Mar 31, 2018
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of CENTURY EXTRUSIONS LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2018 and the Statement of Profit & Loss Account including Other Comprehensive Income, the Cash Flow Statement and the Statement of Change in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone 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.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditorâs 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 Companyâs preparation and fair presentation of the financial statements that give a true and fair view 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 the Companyâs 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 standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone Ind AS 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 including the Ind AS, of the financial position of the Company as at March 31, 2018 and its financial performance including comprehensive income, its cash flow and its change in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order 2016 (âthe Orderâ), issued by the Central Government of India in terms of Section 143) of the Act, we give in the Annexure âAâ the matters specified in paragraph 3 and 4 of the Order, to the extent applicable to the Company.
2. As required by section 143(3) of the Act, we report that:
2.1. We have sought and obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purpose of our audit.
2.2. In our opinion, proper books of account as required by law, have been kept by the Company so far as appears from our examination of those books.
2.3. The Balance Sheet, Statement of Profit & Loss and Cash Flow Statement dealt with by this report are in agreement with the books of the account.
2.4. In our opinion, the standalone financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
2.5. On the basis of written representations received from the directors, as on 31st March, 2018 taken on record by the Board of Directors, none of the director is disqualified as on 31st March, 2018 from being appointed as Director in terms of Section 164(2) of the Act.
2.6. With respect to the adequacy of internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure âBâ.
2.7. With respect to the other matters to be included in the Auditorâs 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 has disclosed the impact of pending litigations on its financial position in its financial statements -Refer Note 34 to the financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
Annexure âAâ to the Auditors Report
(Referred to in paragraph 1 of the Report on other legal and regulatory requirements of the Independent Auditorâs Report to the Members of the Company of even date):
1) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The management has physically verified its fixed assets at reasonable intervals, which in our opinion is reasonable having regard to the size of the Company and nature of its fixed assets. No material discrepancies were noticed on such verification.
(c) In our opinion and according to information and explanations given to us, the title deeds of immovable properties are held in the name of Company.
2) The inventories have been physically verified by the management during the year at reasonable intervals and discrepancies noticed on physical verification were not material.
3) The company has not granted any loans, secured or unsecured to companies, firms, limited liability partnership and other parties listed in the Register maintained under Section 189 of the Companies Act, 2013 and therefore provisions on clauses 3(iii) of the Order are not applicable to the Company.
4) In our opinion and according to the information and explanations given to us, the Company has neither given any loans nor has any investments and therefore provisions of clause (iv) of the Order are not applicable to the Company.
5) In our opinion and according to information and explanation given to us, during the year, the Company has not accepted any deposits from the public as defined under sections 73 or any other relevant provisions of the Companies Act, 2013 and the rules framed there under and therefore provisions on clauses 3(v) of the Order are not applicable to the Company.
6) The Company has maintained the cost records as prescribed by the Central Government under sub section (1) of section 148 of the Act.
7) (a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Value Added Tax, Cess and any other statutory dues applicable to it except for few cases where there was delay in depositing of Provident Fund and Employees State Insurance Contribution with the appropriate authorities. According to information and explanations given to us, there are no undisputed amounts payable in respect of aforesaid dues which were outstanding as at 31st March, 2018 for a period of more than six months from the date they became payable.
(b) The disputed statutory dues aggregating Rs.23.48Lakhs, that have not been deposited on account of matters pending before appropriate authorities are as under:
Nature of Statute |
Nature of Dues |
Amount(in INR) |
Period to which the amount relates |
Forum where dispute is pending |
|
Service Tax |
Service Tax |
1.05 Lakhs |
2011-12 |
Commissioner of Appeals I |
|
Central Excise Act, 1944 |
Excise Duty & Interest & Penalty |
2.43 Lakhs |
2010-11 |
Commissioner of Appeals I |
|
West Bengal Value Added Tax Act |
Value Added Tax |
2.77 Lakhs |
2014-15 |
Sr. Joint Commissioner |
|
Central Sales Tax ACT |
Central Sales Tax |
17.23Lakhs |
2014-15 |
Sr. Joint Commissioner |
|
8) The Company has not defaulted in payment Loan borrowed from financial institutions or bank or government or by way of issue of debentures.
9) During the year, the Company has taken term loans, which have been applied for the purposes for which they were raised.
10) In our opinion and according to information and explanations given to us, during the year, no material fraud by the Company or any fraud on the company by its officers or employees has been noticed or reported during the course of our audit.
11) According to information and explanations given to us and based on our examination of records of the Company, the Company has paid/provided for Managerial Remuneration in accordance with requisite approval mandated by provisions of section 197 read with schedule V of the Act.
12) The Company is not a Nidhi Company and therefore provisions of clause 3(xii) of the order are not applicable to the Company.
13) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with section 177 and 188 of the Act where applicable and the details of such transactions have been disclosed in the Financial Statements, as required by the applicable accounting standards.
14) During the year the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and therefore provisions of clause 3(xiv) of the order are not applicable to the Company.
15) According to information and explanation given to us and based on our examination of the records of the Company, the Company has not entered into any non-cash transactions with directors or persons connected with him during the year and therefore provisions of clause 3(xv) of the order are not applicable to the Company.
16) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
Annexure âBâ to the Auditors Report
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of CENTURY EXTRUSIONS LIMITED (âthe Companyâ), as of 31 March 2018 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For A. MEHARIA & ASSOCIATES
Chartered Accountants
Firmâs ICAI Regn. No. 324666E
(A.K.Meharia)
Kolkata Partner
Dated: 28th day of May, 2018 Membership No. 053918
Mar 31, 2017
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of CENTURY EXTRUSIONS LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2017 and the Statement of Profit & Loss Account and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone 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.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditorâs 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 Companyâs preparation and fair presentation of the financial statements that give a true and fair view 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 the Companyâs 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 standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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, 2017 and its Profit and its cash flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order 2016 (âthe Orderâ), issued by the Central Government of India in terms of Section 143) of the Act, we give in the Annexure âAâ the matters specified in paragraph 3 and 4 of the Order, to the extent applicable to the Company.
2. As required by section 143(3) of the Act, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law, have been kept by the Company so far as appears from our examination of those books.
2.3. The Balance Sheet, Statement of Profit & Loss and Cash Flow Statement dealt with by this report are in agreement with the books of the account.
2.4. In our opinion, the standalone financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
2.5. On the basis of written representations received from the directors, as on 31st March, 2017 taken on record by the Board of Directors, none of the director is disqualified as on 31st March, 2017 from being appointed as Director in terms of Section 164(2) of the Act.
2.6. With respect to the adequacy of internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure âBâ.
2.7. With respect to the other matters to be included in the Auditorâs 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 has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 28 to the financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
iv. The company has provided requisite disclosures in the financial statements as to holdings as well as dealings in Specified Bank Notes during the period from 8th November, 2016 to 30th December, 2016. Based on audit procedures and relying on the management representation we report that the disclosures are in accordance with books of account maintained by the Company and as produced to us by the Management - Refer Note 34 to the financial statements.
ANNEXURE âAâ TO THE AUDITORS REPORT
(Referred to in paragraph 1 of the Report on other legal and regulatory requirements of the Independent Auditorâs Report to the Members of the Company of even date):
1) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The management has physically verified its fixed assets at reasonable intervals, which in our opinion is reasonable having regard to the size of the Company and nature of its fixed assets. No material discrepancies were noticed on such verification.
(c) In our opinion and according to information and explanations given to us, the title deeds of immovable properties are held in the name of Company.
2) The inventories have been physically verified by the management during the year at reasonable intervals and discrepancies noticed on physical verification were not material.
3) The company has not granted any loans, secured or unsecured to companies, firms, limited liability partnership and other parties listed in the Register maintained under Section 189 of the Companies Act, 2013 and therefore provisions on clauses 3(iii) of the Order are not applicable to the Company.
4) In our opinion and according to the information and explanations given to us, the Company has neither given any loans nor has any investments and therefore provisions of clause (iv) of the Order are not applicable to the Company.
5) In our opinion and according to information and explanation given to us, during the year, the Company has not accepted any deposits from the public as defined under sections 73 or any other relevant provisions of the Companies Act, 2013 and the rules framed there under and therefore provisions on clauses 3(v) of the Order are not applicable to the Company.
6) The Company has maintained the cost records as prescribed by the Central Government under sub section (1) of section 148 of the Act.
7)(a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Value Added Tax, Cess and any other statutory dues applicable to it except for few cases where there was delay in depositing of Provident Fund and Employees State Insurance Contribution with the appropriate authorities. According to information and explanations given to us, there are no undisputed amounts payable in respect of aforesaid dues which were outstanding as at31st March, 2017 for a period of more than six months from the date they became payable.
(b) The disputed statutory dues aggregating Rs.4.61Lakhs, that have not been deposited on account of matters pending before appropriate authorities are as under:
Nature of Statute |
Nature of Dues |
Amount (in INR) |
Period to which the amount relates |
Forum where dispute is pending |
Service Tax |
Service Tax |
1.05 Lakhs |
2015-16 |
Commissioner of Appeals I |
Central Excise Act, 1944 |
Excise Duty & Interest & Penalty |
3.56 Lakhs |
2015-16 |
Commissioner of Appeals I |
8) The Company has not defaulted in payment Loan borrowed from financial institutions or bank or government or by way of issue of debentures.
9) During the year, the Company has taken term loans, which have been applied for the purposes for which they were raised.
10) In our opinion and according to information and explanations given to us, during the year, no material fraud by the Company or any fraud on the company by its officers or employees has been noticed or reported during the course of our audit.
11) According to information and explanations given to us and based on our examination of records of the Company, the Company has paid/provided for Managerial Remuneration in accordance with requisite approval mandated by provisions of section 197 read with schedule V of the Act.
12) The Company is not a Nidhi Company and therefore provisions of clause 3(xii) of the order are not applicable to the Company.
13) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with section 177 and 188 of the Act where applicable and the details of such transactions have been disclosed in the Financial Statements, as required by the applicable accounting standards.
14) During the year the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and therefore provisions of clause 3(xiv) of the order are not applicable to the Company.
15) According to information and explanation given to us and based on our examination of the records of the Company, the Company has not entered into any non-cash transactions with directors or persons connected with him during the year and therefore provisions of clause 3(xv) of the order are not applicable to the Company.
16) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
Chartered Accountants
Firmâs ICAI Regn. No. 313132E
(A.K.Khetawat)
Kolkata Partner
Dated: 25th day of May, 2017 Membership No. 052751
Mar 31, 2016
To The Members CENTURY EXTRUSIONS LIMITED,
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of CENTURY EXTRUSIONS LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2016 and the Statement of Profit & Loss Account and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone 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 frau 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 an presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditorâs 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 Companyâs preparation and fair presentation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit a includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the Companyâs 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 standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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, 2016 and its Profit and its cash flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order 2015 (âthe Orderâ), issued by the Central Government of India in terms of Section 143) of the Act, we give in the Annexure âAâ the matters specified in paragraph 3 and 4 of the Order, to the extent applicable to the Company.
2. As required by section 143(3) of the Act, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law, have been kept by the Company so far as appears from our examination of those books.
2.3. The Balance Sheet, Statement of Profit & Loss and Cash Flow Statement dealt with by this report are in agreement with the books of the account.
2.4. In our opinion, the standalone financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
2.5. On the basis of written representations received from the directors, as on 31st March, 2016 taken on record by the Board of Directors, none of the director is disqualified as on 31st March, 2016 from being appointed as Director in terms of Section 164(2) of the Act.
2.6. With respect to the adequacy of internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure B.
2.7. With respect to the other matters to be included in the Auditorâs 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 has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 29 to the financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
(Referred to in paragraph 1 of the Report on other legal and regulatory requirements of the Independent Auditorâs Report to the Members of the Company of even date):
1) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The management has physically verified its fixed assets at reasonable intervals, which in our opinion is reasonable having regard to the size of the Company and nature of its fixed assets. No material discrepancies were noticed on such verification.
(c) In our opinion and according to information and explanations given to us, the title deeds of immovable properties are held in the name of Company.
2) The inventories have been physically verified by the management during the year at reasonable intervals and discrepancies noticed on physical verification were not material.
3) The company has not granted any loans, secured or unsecured to companies, firms, limited liability partnership and other parties listed in the Register maintained under Section B9 of the Companies Act, 203 and therefore provisions on clauses 3(iii) of the Order are not applicable to the Company.
4) In our opinion and according to the information and explanations given to us, the Company has neither given any loans nor has any investments and therefore provisions of clause (iv) of the Order are not applicable to the Company.
5) In our opinion and according to information and explanation given to us, during the year, the Company has not accepted any deposits from the public as defined under sections 73 or any other relevant provisions of the Companies Act, 2013 and the rules framed there under and therefore provisions on clauses 3(v) of the Order are not applicable to the Company.
6) The Company has maintained the cost records as prescribed by the Central Government under sub section (1) of section 48 of the Act.
7) (a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Value Added Tax, Cess and any other statutory dues applicable to it except for few cases where there was delay in depositing of Provident Fund and Employees State Insurance Contribution with the appropriate authorities. According to information and explanations given to us, there are no undisputed amounts payable in respect of aforesaid dues which were outstanding as at 3st March, 206 for a period of more than six months from the date they became payable.
(b) The disputed statutory dues aggregating Rs.184.48 lakhs, that have not been deposited on account of matters pending before appropriate authorities are as under:
Nature of Statute |
Nature of Dues |
Amount (in INR) |
Period to which the amount relates |
Forum where dispute is pending |
West Bengal Sale Tax Act, 1994 |
State Sales Tax |
3.63 Lakhs |
2004-05 |
West Bengal Commercial Appellate & Revisional Board, Kolkata |
West Bengal Vat Act, 20C3 |
Value Added Tax |
4.31 Lakhs |
2009-10 & 2010-11 |
Joint Commissioner of Sales Tax |
8.79 Lakhs |
2011-12 |
Sr. Joint Commissioner of Sales Tax |
||
Central Sales Ta Act, 1956 |
Central Sales Tax |
4.71 Lakhs |
2004-05 |
West Bengal Commercial Appellate & Revisional Board, Kolkata |
104.52 Lakhs |
2009-10 & 2010-11 |
Joint Commissioner of Sales Tax |
||
53.91 Lakhs |
2012 |
Sr. Joint Commissioner of Sales Tax |
||
Service Tax |
Service Tax |
1.05 Lakhs |
2015-16 |
Commissioner of Appeals I |
Central Excise Act, 1944 |
Excise Duty & Interest & Penalty |
3.56 Lakhs |
2015-16 |
Commissioner of Appeals I |
8) The Company has defaulted in payment of Sales Tax Loan from Government of West Bengal as detailed below. The Company has not defaulted in payment Loan borrowed from financial institutions or bank or by way of issue of debentures.
Particulars |
Amount of default as at the balance sheet date |
Period of default |
Remarks, if any |
i) Name of the Lenders: Sales Tax Loan from Government of Wes Bengal |
79 Lakhs |
2 Years |
Since regularized |
9) During the year, the Company has taken term loans, which have been applied for the purposes for which they were raised.
10) In our opinion and according to information and explanations given to us, during the year, no material fraud by the Company or any fraud on the company by its officers or employees has been noticed or reported during the course of our audit.
11) According to information and explanations given to us and based on our examination of records of the Company, the Company has paid/provided for Managerial Remuneration in accordance with requisite approval mandated by provisions of section 197 read with schedule V of the Act.
12) The Company is not a Nidhi Company and therefore provisions of clause 3(xii) of the order are not applicable to the Company.
13) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with section 77 and 188 of the Act where applicable and the details of such transactions have been disclosed in the Financial Statements, as required by the applicable accounting standards.
14) During the year the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and therefore provisions of clause 3(xiv) of the order are not applicable to the Company.
15) According to information and explanation given to us and based on our examination of the records of the Company, the Company has not entered into any non-cash transactions with directors or persons connected with him during the year and therefore provisions of clause 3(xv) of the order are not applicable to the Company.
16) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of CENTURY EXTRUSIONS LIMITED (âthe Companyâ), as of 31 March 2016 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detecte Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2016, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For A L P S & CO.
Chartered Accountants
Firmâs ICAI Regn. No. 313132E
Kolkata Partner
Dated: 21st day of May, 2016 Membership No. 052751
Mar 31, 2015
We have audited the accompanying standalone financial statements of
CENTURY EXTRUSIONS LIMITED ("the Company"), which comprise the Balance
Sheet as at 31 st March, 2015 and the Statement of Profit & Loss
Account 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 Standalone 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 standalone 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.
Auditor's Responsibility
Our responsibility is to express an opinion on these standalone
financial statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and 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 and fair presentation 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 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 standalone
financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone 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 flow for the year ended
on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2015 ("the
Order"), issued by the Central Government of India in terms of Section
143) of the Act, we give in the Annexure a statement on the matters
specified in paragraph 3 and 4 of the Order, to the extent applicable
to the Company.
2. As required by section 143(3) of the Act, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law, have
been kept by the Company so far as appears from our examination of
those books.
2.3. The Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement dealt with by this report are in agreement with the books of
the account.
2.4. In our opinion, the standalone financial statements comply with
the Accounting Standards specified under section 133 of the Act, read
with Rule 7 of the Companies (Accounts) Rules, 2014.
2.5. On the basis of written representations received from the
directors, as on 31st March, 2015 taken on record by the Board of
Directors, none of the director is disqualified as on 31st March, 2015
from being appointed as Director in terms of Section 164(2) of the Act.
2.6 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 has disclosed the impact of pending litigations on its
financial position in its financial statements - Refer Note 28 to the
financial statements.
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses.
iii. There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO THE INDEPENDENT AUDITOR S REPORT
(Referred to in paragraph 1 of the Report on other legal and regulatory
requirements of the Independent Auditor's
Report to the Members of the Company of even date):
1) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The management has physically verified its fixed assets at
reasonable intervals, which in our opinion is reasonable having regard
to the size of the Company and nature of its fixed assets. No material
discrepancies were noticed on such verification.
2) (a) The inventories have been physically verified by the management
during the year at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification followed by the
management are reasonable and adequate in relation to the size of the
Company and nature of its business.
(c) The Company has maintained proper records of inventories and
discrepancies noticed on physical verification were not material.
3) The company has not granted any loans, secured or unsecured to
companies, firms or other parties listed in the Register maintained
under Section 189 of the Companies Act, 2013. As the company has not
granted any loans secured or unsecured, to parties listed in the
Register maintained under Section 189 of the Companies Act, 2013,
paragraphs (iii) (b) and (c) of the Order, are not applicable.
4) 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 nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods and services. During the course of our audit, we have not
observed continuing failure of any major weakness in internal controls.
5) In our opinion and according to information and explanation given to
us, during the year, the Company has not accepted any deposits from the
public as defined under sections 73 or any other relevant provisions of
the Companies Act, 2013 and the rules framed there under.
6) The Company has maintained the cost records as prescribed by the
Central Government under sub section (1) of section 148 of the Act.
7) (a) According to the records of the Company, the Company is regular
in depositing undisputed statutory dues including Provident Fund,
Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, Value Added Tax Cess and any other
statutory dues applicable to it except for few cases where there was
delay in depositing of Provident Fund and Employees State Insurance
Contribution with the appropriate authorities. According to information
and explanations given to us,there are no undisputed amounts payable in
respect of aforesaid dues which were outstanding as at 31st March, 2015
for a period of more than six months from the date they became payable.
(b) The disputed statutory dues aggregating Rs.280.53 lakhs, that have
not been deposited on account of matters pending before appropriate
authorities are as under:
Nature of Statute Nature of Dues Amount
(in INR)
West Bengal Sales Tax State Sales Tax 3.63 Lakhs
Act, 1994
West Bengal Vat Act, Value Added Tax 10.31 Lakhs
2003
West Bengal Vat Act, Value Added Tax 4.31 Lakhs
2003
8.79 Lakhs
Central Sales Tax Act, Central Sales Tax 95.06 Lakhs
1956
104.52 Lakhs
53.91 Lakhs
Nature of Statute Period to which the Forum where dispute is
amount relates pending
West Bengal Sales Tax 2004-05 West Bengal Commercial
Act, 1994 Appellate & Revisional
Board. Kolkata
West Bengal Vat Act, 2005-06 & West Bengal Commercial
2003 2006-07 Appellate & Revisional
Board, Kolkata
West Bengal Vat Act, 2009-10 & Joint Commissioner
2003 2010-11,2011-12 of Sales Tax Sr. Joint
Commissioner of Sales
Tax
Central Sales Tax Act, 2003-04,2004-05, West Bengal Commercial
1956 2006-07,2007-08 & Appellate & Revisional
2008-09 Board, Kolkata
2009-10 & 2010-11 Joint Commissioner of
2011-12 Sales Tax
Sr. Joint Commissioner
of Sales Tax
(c) According to the records of the Company, during the year the
Company does not require to transfer any unpaid amount payable to the
Investors Education and Protection Fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made
thereunder and therefore provisions on clauses 3(vii)(c) of the Order
is not applicable to the Company.
8) The company has no accumulated losses at the end of financial year
nor it has incurred cash losses during the financial year under review
and in immediately preceding financial year.
9) According to the information and explanations given to us and audit
in accordance with generally accepted auditing practices, in our
opinion, the company has not defaulted in repayments of dues to
financial institutions or banks or debenture holders.
10) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
11) During the year, the Company has taken term loans, which have been
applied for the purposes for which they were raised.
12) In our opinion and according to information and explanations given
to us, during the year, no fraud on or by the Company has been noticed
or reported.
For A L P S & CO.
Chartered Accountants
Firm's 1CA1 Regn. No. 313132E
Kolkata (A.K.Khetawat)
Dated: 2nd day of July, 2015 Partner
Membership No. 052751
Mar 31, 2014
We have audited the accompanying financial statements of CENTURY
EXTRUSIONS LIMITED, which comprise the Balance Sheet as at 31st March,
2013 and the Statement of Profit & Loss Account 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 Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement. An audit involves performing procedures to
obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor''s
judgment, including the assessment of the risks of material
misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal
control relevant to the Company''s preparation and fair presentation
of the financial statements in order to design audit procedures that
are appropriate in the circumstances. An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness
of the accounting estimates made by management, as well as evaluating
the overall presentation of the financial statements. We believe that
the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
Basis for Qualified Opinion
The Company has changed the valuation of Dies and Tools at lower of
valuation of such items at the year end by approved valuer or net
realizable value instead of charging its cost to Revenue Account. As a
result of this change in method of valuation of Dies, the loss for the
year is understated by Rs. 173 Lakhs and Deferred Tax, Reserve &
Surplus and Shareholders'' fund is overstated by Rs. 57 Lakhs, Rs.116
Lakhs and Rs.116 respectively.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph, 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 Statement of Profit and Loss, of the Loss for
the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
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, 1956 we give in the Annexure
a statement on the matters specified in paragraph 4 and 5 of the
Order, to the extent applicable to the Company.
2. As required by section 227(3) of the Act, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law, have
been kept by the Company so far as appears from our examination of
those books.
2.3. The Balance Sheet, Statement of Profit & Loss Account and Cash
Flow Statement dealt with by this report are in agreement with the
books of the account.
2.4. In our opinion, the Balance Sheet, Statement of Profit & Loss
Account and Cash Flow Statement comply with the applicable Accounting
Standard referred to in Sub-section (3C) of Section 211 of the Act to
the extent applicable.
2.5. 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 director 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 Act.
2.6. 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 Act
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 TO THE AUDITORS REPORT
(Referred to in paragraph 1 of the Report on other Legal and Regulatory
Requirements of the Independent Auditors Report to the Members of the
Company of even date)
1) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation
of fixed assets.
(b) The management has physically verified its fixed assets at
reasonable intervals, which in our opinion is reasonable having regard
to the size of the Company and nature of its fixed assets. No material
discrepancies were noticed on such verification.
(c) In our opinion, the Company has not disposed off the substantial
part of fixed assets during the year, which would affect the going
concern status of the Company.
2) (a) The inventories have been physically verified by the management
during the year at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification followed by the
management are reasonable and adequate in relation to the size of the
Company and nature of its business.
(c) The Company has maintained proper records of inventories and
discrepancies noticed on physical verification were not material.
3) (a) 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. As the company has not
granted any loans secured or unsecured, to parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii) (b), (c) and (d) of the Order, are not applicable.
(b) 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. As the company has not
taken any loans, secured or unsecured, from parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii)(f) and (g) of the Order, are not applicable.
4) 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 nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods and services. During the course of our audit, we have not
observed any major weakness in internal controls.
5) (a) According to the information and explanations given to us and
audit in accordance with generally accepted auditing practices, in
our opinion, the particulars of contracts or arrangements referred to
in section 301 of the Act have been entered in the register required
to be maintained under that section.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements have been made at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
6) During the year, the Company has not accepted any deposits from the
public as defined under sections 58A and 58AA or any other relevant
provisions of the Companies Act, 1956 and the rules framed there under.
7) In our opinion the Company has an internal audit system commensurate
with the size and nature of its business.
8) The Company has maintained the cost records as prescribed by the
Central Government under section 209(1)(d) of the Act.
9) (a) According to the records of the Company, the Company is regular
in depositing 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 and any other statutory dues applicable to it except for
few cases where there was delay in depositing of Employees State
Insurance Contribution with the appropriate authorities. According
to information and explanations given to us, there are no undisputed
amounts payable in respect of aforesaid dues which were outstanding
as at 31st March, 2013 for a period of more than six months from the
date they became payable.
(b) The disputed statutory dues aggregating Rs.154.54 lakhs, that have
not been deposited on account of matters pending before appropriate
authorities are as under:
Nature of Nature of Amount Period to which Forum where dispute
Statute Dues (in INR) the amount is pending
relates
West Bengal State 3.63 2004-05 West Bengal Commercial
Sales Sales Tax lacs Appellate & Revisional
Tax Act,
1994
West Bengal Value 10.31l 2005-06 & West Bengal Commercial
Vat Added Tax lacs 2006-07 Appellate & Revisional
Act, 2003 Board, Kolkata
West Bengal Value 0.54 2009-10 Joint Commissioner of
Vat Added Tax lacs Sales Tax
Act, 2003
Central Central 95.06 2003-04, West Bengal Commercial
Sales Tax Sales Tax lacs 2004-05, Appellate & Revisional
Act, 1956 2006-07, Board, Kolkata
2007-08
& 2008-09
44.90 2009-10 Joint Commissioner of
lacs Sales Tax
10) The company has no accumulated losses at the end of financial year
nor it has incurred cash losses during the financial year under review
and in immediately preceding financial year.
11) According to the information and explanations given to us and audit
in accordance with generally accepted auditing practices, in our
opinion, the company has not defaulted in repayments of dues to
financial institutions or banks or debenture holders.
12) According to the information and explanations given to us and based
on the documents and records produced before us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
13) In our opinion and according to information and explanations given
to us, the Company is not a chit fund or nidhi/ mutual benefit fund or
society. Therefore clause 4(xiii) of the order is not applicable to the
Company.
14) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of the transactions
and contracts and made timely entries therein for dealing in securities
and the investments are held by the company in its own name.
15) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
16) During the year, the Company has taken term loans, which have been
applied for the purposes for which they were raised.
17) According to the information and explanations given to us and on an
overall examination of Balance Sheet of the Company, we are of the
opinion that the Company has not utilized Short Term Funds towards Long
Term Investments.
18) During the year, the Company has not made any preferential
allotment of shares to parties covered in the register maintained under
section 301 of the Act.
19) During the year, the Company has neither issued any debentures nor
it has any outstanding debentures.
20) During the year, the Company not issued any shares to any person,
21) In our opinion and according to information and explanations given
to us, during the year, no fraud on or by the Company has been noticed
or reported.
For A L P S & CO.
Chartered Accountants
Firm''s ICAI Regn. No. 313132E
Kolkata (A.K.Khetawat)
Dated: 28th day of May, 2013 Partner
Membership No. 052751
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of CENTURY
EXTRUSIONS LIMITED, which comprise the Balance Sheet as at 31 st March,
2013 and the Statement of Profit & Loss Account 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 Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement. An audit involves performing procedures to
obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor''s
judgment, including the assessment of the risks of material
misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal
control relevant to the Company''s preparation and fair presentation of
the financial statements in order to design audit procedures that are
appropriate in the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by management, as well as evaluating the
overall presentation of the financial statements. We believe that the
audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
Basis for Qualified Opinion
The Company has changed the valuation of Dies and Tools at lower of
valuation of such items at the year end by approved valuer or net
realizable value instead of charging its cost to Revenue Account. As a
result of this change in method of valuation of Dies, the loss for the
year is understated by Rs. 173 Lakhs and Deferred Tax, Reserve &
Surplus and Shareholders '' fund is overstated by Rs. 5 7 Lakhs, Rs.116
Lakhs and Rs.116 respectively.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph, 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 Statement of Profit and Loss, of the Loss for
the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
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, 1956 we give in the
Annexure a statement on the matters specified in paragraph 4 and 5 of
the Order, to the extent applicable to the Company.
2. As required by section 227(3) of the Act, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law, have
been kept by the Company so far as appears from our examination of
those books.
2.3. The Balance Sheet, Statement of Profit & Loss Account and Cash
Flow Statement dealt with by this report are in agreement with the
books of the account.
2.4. In our opinion, the Balance Sheet, Statement of Profit & Loss
Account and Cash Flow Statement comply with the applicable Accounting
Standard referred to in Sub-section (3C) of Section 211 of the Act to
the extent applicable.
2.5. 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 director is disqualified as on 31sl March, 2013
from being appointed as Director in terms of clause (g) of sub-section
(1) of section 274 of the Act.
2.6. 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
Act 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.
1) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The management has physically verified its fixed assets at
reasonable intervals, which in our opinion is reasonable having regard
to the size of the Company and nature of its fixed assets. No material
discrepancies were noticed on such verification.
(c) In our opinion, the Company has not disposed off the substantial
part of fixed assets during the year, which would affect the going
concern status of the Company.
2) (a) The inventories have been physically verified by the management
during the year at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification followed by the
management are reasonable and adequate in relation to the size of the
Company and nature of its business.
(c) The Company has maintained proper records of inventories and
discrepancies noticed on physical verification were not material.
3) (a) 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. As
the company has not granted any loans secured or unsecured, to parties
listed in the Register maintained under Section 301 of the Companies
Act, 1956, paragraphs (iii) (b), (c) and (d) of the Order, are not
applicable.
(b) 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. As the company has not
taken any loans, secured or unsecured, from parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii)(f) and (g) of the Order, are not applicable.
4) 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 nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods and services. During the course of our audit, we have not
observed any major weakness in internal controls.
5) (a) According to the information and explanations given to us and
audit in accordance with generally accepted
auditing practices, in our opinion, the particulars of contracts or
arrangements referred to in section 301 of the Act have been entered in
the register required to be maintained under that section.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements have been made at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
6) During the year, the Company has not accepted any deposits from the
public as defined under sections 58A and 58AA or any other relevant
provisions of the Companies Act, 1956 and the rules framed there under.
7) In our opinion the Company has an internal audit system commensurate
with the size and nature of its business.
8) The Company has maintained the cost records as prescribed by the
Central Government under section 209( 1 )(d) of the Act.
9) (a) According to the records of the Company, the Company is regular
in depositing 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 and any other statutory dues applicable to it except for few
cases where there was delay in depositing of Employees State Insurance
Contribution with the appropriate authorities. According to information
and explanations given to us, there are no undisputed amounts payable
in respect of aforesaid dues which were outstanding as at 31SI March,
2013 for a period of more than six months from the date they became
payable.
(b) The disputed statutory dues aggregating Rs. 154.54 lakhs, that have
not been deposited on account of matters pending before appropriate
authorities are as under:
Nature of Statute Nature of Dues Amount(inlNR)
West Bengal Sales State Sales Tax 3.63 lacs
Tax Act, 1994
West Bengal Vat Value Added Tax 10.31 lacs
Act, 2003
West Bengal Vat Value Added Tax 0.54 lacs
Act, 2003
Central Sales Tax Central Sales Tax 95.06 lacs
Act, 1956
44.90 lacs
NAME Period to
which Forum where dispute is
pending
the amount
relates
West Bengal Sales 2004-05 West Bengal Commercial Appellate
& Revisional Board, Kolkata
West Bengal Sales 2005-06 & West Bengal Commercial Appellate
West Bengal Sales 2006-07 & Revisional Board, Kolkata
West Bengal Sales 2009-10 Joint Commissioner of Sales Tax
West Bengal Sales 2003-04,
2004-05, West Bengal Commercial Appellate
West Bengal Sales 2006-07,
2007-08 & Revisional Board, Kolkata & 2008-09
West Bengal Sales 2009-10 Joint Commissioner of Sales Tax
10) The company has no accumulated losses at the end of financial year
nor it has incurred cash losses during the financial year under review
and in immediately preceding financial year.
11) According to the information and explanations given to us and audit
in accordance with generally accepted auditing practices, in our
opinion, the company has not defaulted in repayments of dues to
financial institutions or banks or debenture holders.
12) According to the information and explanations given to us and based
on the documents and records produced before us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
13) In our opinion and according to information and explanations given
to us, the Company is not a chit fund or nidhi/ mutual benefit fund or
society. Therefore clause 4(xiii) of the order is not applicable to the
Company.
14) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of the transactions
and contracts and made timely entries therein for dealing in securities
and the investments are held by the company in its own name.
15) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
16) During the year, the Company has taken term loans, which have been
applied for the purposes for which they were raised.
17) According to the information and explanations given to us and on an
overall examination of Balance Sheet of the Company, we are of the
opinion that the Company has not utilized Short Term Funds towards Long
Term Investments.
18) During the year, the Company has not made any preferential
allotment of shares to parties covered in the register maintained under
section 301 of the Act.
19) During the year, the Company has neither issued any debentures nor
it has any outstanding debentures.
20) During the year, the Company not issued any shares to any person,
21) In our opinion and according to information and explanations given
to us, during the year, no fraud on or by the Company has been noticed
or reported.
For ALPS & CO.
Chartered Accountants
Firm''s ICAl
Regn. No. 313132E
kolkata (A.K.Khetawat)
Dated: 28,h day of May, 2013 Partner
Membership No. 052751
Mar 31, 2012
We have audited the attached Balance Sheet of CENTURY EXTRUSIONS
LIMITED as at 31st March, 2012 and also the Profit & Loss Account and
the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
Company's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standard generally
accepted in India. These Standards require that we plan and perform the
audit to obtain reasonable assurance whether the Financial Statements
are prepared 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 presentation of
financial statements. We believe that our audit provides a reasonable
basis for our opinion.
1. As required by the Companies (Auditor's Report) Order 2003, issued
by the Company Law Board in terms of Section 227(4A) of the Companies
Act, 1956 we give in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said Order, to the extent applicable to the
Company.
2. Further to our comments in the Annexure referred to in paragraph 1
above, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
2.3. The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of the
account.
2.4. In our opinion, the Balance Sheet, Profit & Loss Account and
Cash Flow Statement dealt with by this report comply with the
Accounting Standard referred to in Sub-section (3C) of Section 211 of
the Companies Act, 1956, to the extent applicable.
2.5. 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 director is disqualified as on
31st March, 2012 from being appointed as Director in terms of section
274(1)(g) of the Companies Act, 1956.
2.6. In our opinion and to the best of our information and according
to explanations given to us the said account, give the information
required by the Companies Act, 1956 in the manner so required and read
together with other notes given thereon, gives a true and fair view in
conformity with the accounting principles generally accepted in India:
i) In the case of the Balance Sheet of the state of the Company's
affairs as at 31st March, 2012;
ii) In the case of Profit & Loss Account of the Profit for the year
ended on that date; and
iii) In the case of the Cash Flow Statement, of the cash flow for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 1 of our report of even date)
1) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The management has physically verified its fixed assets at
reasonable intervals, which in our opinion is reasonable having regard
to the size of the Company and nature of its fixed assets. No material
discrepancies were noticed on such verification.
(c) In our opinion, the Company has not disposed off the substantial
part of fixed assets during the year, which would affect the going
concern status of the Company.
2) (a) The inventories have been physically verified by the management
during the year at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification followed by the
management are reasonable and adequate in relation to the size of the
Company and nature of its business.
(c) The Company has maintained proper records of inventories and
discrepancies noticed on physical verification were not material.
3) (a) 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. As the company has not
granted any loans secured or unsecured, to parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii) (b), (c) and (d) of the Order, are not applicable.
(b) 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. As the company has not
taken any loans, secured or unsecured, from parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii)(f), and (g) of the Order, are not applicable.
4) 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 nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods and services. During the course of our audit, we have not
observed any major weakness in internal controls.
5) (a) According to the information and explanations given to us and
audit in accordance with generally accepted auditing practices, in our
opinion, the particulars of contracts or arrangements referred to in
section 301 of the Act have been entered in the register required to be
maintained under that section.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements have been made at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
6) During the year, the Company has not accepted any deposits from the
public as defined under sections 58A and 58AA or any other relevant
provisions of the Companies Act, 1956 and the rules framed thereunder.
7) In our opinion the Company has an internal audit system commensurate
with the size and nature of its business.
8) The Company has maintained the cost records as prescribed by the
Central Government under section 209( 1 )(d) of the Act.
9) (a) According to the records of the Company, the Company is regular
in depositing 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 and any other statutory dues applicable to it except for
few cases where there was delay in depositing of Employees State
Insurance Contribution with the appropriate authorities. According
to information and explanations given to us, there are no undisputed
amounts payable in respect of aforesaid dues which were outstanding
as at 31st March, 2012 for a period of more than six months from the
date they became payable.
(b) The disputed statutory dues aggregating Rs. 122.96 lacs, that have
not been deposited on account of matters pending before appropriate
authorities are as under:
Nature of Nature of Dues Amount Period to which
Statute (in INR) the amount
relates
West Bengal State Sales Tax 3.63 lacs 2004-05
Sales Tax
Act, 1994
West Bengal Value Added Tax 0.02 lacs 2006-07
Vat Act,
2003
West Bengal Value Added Tax 10.87 lacs 2005-06 &
Vat Act, 2008-09
2003
Central Central Sales 92.24 lacs 2003-04,2004-05,
Sales Tax Tax 2006.07 & 2007-08
Act, 1956
16.20 lacs 2008-09
Nature of Statute Forum where dispute
is pending
West Bengal Sales West Bengal Commercial Appellate
Tax Act, 1994 & Revisional Board, Kolkata
West Bengal Vat West Bengal Commercial Appellate
Act, 2003 & Revisional Board, Kolkata
West Bengal Vat Joint Commissioner of Sales Tax
Act, 2003
Central Sales Tax West Bengal Commercial Appellate
Act, 1956 & Revisional Board, Kolkata
Joint Commissioner of Sales Tax
10) The company has no accumulated losses at the end of financial year
nor it has incurred cash losses during the financial year under review
and in immediately preceding financial year.
11) According to the information and explanations given to us and audit
in accordance with generally accepted auditing practices, in our
opinion, the company has not defaulted in repayments of dues to
financial institutions or banks or debenture holders.
12) According to the information and explanations given to us and based
on the documents and records produced before us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
13) In our opinion and according to information and explanations given
to us, the Company is not a chit fund or nidhi/ mutual benefit fund or
society. Therefore clause 4(xiii) of the order is not applicable to the
Company.
14) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of the transactions
and contracts and made timely entries therein for dealing in securities
and the investments are held by the company in its own name.
15) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
16) During the year, the Company has taken term loans, which have been
applied for the purposes for which they were raised.
17) According to the information and explanations given to us and on an
overall examination of Balance Sheet of the Company, we are of the
opinion that the Company has not utilized Short Term Funds towards Long
Term Investments.
18) During the year, the Company has not made any preferential
allotment of shares to parties covered in the register maintained under
section 301 of the Act.
19) During the year, the Company has neither issued any debentures nor
it has any outstanding debentures.
20) During the year, the Company not issued any shares to any person,
21) In our opinion and according to information and explanations given
to us, during the year, no fraud on or by the Company has been noticed
or reported.
For A L P S & CO.
Chartered Accountants
Firm's ICAI Regn. No. 313132E
(S.K.Khetawat)
Partner
Membership No. 051224
Kolkata
Dated: 28th day of May, 2012
Mar 31, 2010
We have audited the attached Balance Sheet of CENTURY EXTRUSIONS
LIMITED as at 31 st March, 2010 and also the Profit & Loss Account and
the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
Companys management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standard generally
accepted in India. These Standards require that we plan and perform the
audit to obtain reasonable assurance whether the Financial Statements
are prepared 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 presentation of
financial statements. 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 Company Law Board in terms of Section 227(4A) of the Companies
Act, 1956 we give in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said Order, to the extent applicable to the
Company.
2. Further to our comments in the Annexure referred to in paragraph 1
above, we report that:
2.1. 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.
2.2. In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
2.3. The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of the
account.
2.4. In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standard referred to in Sub-section (3C) of Section 211 of the
Companies Act, 1956, to the extent applicable.
2.5. 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 director is disqualified as on
31st March, 2010 from being appointed as Director in terms of section
274(l)(g) of the Companies Act, 1956.
2.6. In our opinion and to the best of our information and according
to explanations given to us the said account, give the information
required by the Companies Act, 1956 in the manner so required and read
together with other notes given thereon, gives a true and fair view in
conformity with the accounting principles generally accepted in India:
i) in the case of the Balance Sheet of the state of the Companys
affairs as at 31st March, 2010;
ii) in the case of Profit & Loss Account of the Profit for the year
ended on that date; and
in) in the case of the Cash Flow Statement, of the cash flow for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT (Referred to in paragraph 1 of our
report of even date)
1) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of
fixed assets.
(b) The management has physically verified its fixed assets at
reasonable intervals, which in our opinion is reasonable having regard
to the size of the Company and nature of its fixed assets. No material
discrepancies were noticed on such verification.
(c) In our opinion, the Company has not disposed off the substantial
part of fixed assets during the year, which would affect the going
concern status of the Company.
2) (a) The inventories have been physically verified by the management
during the year at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
(c) The Company has maintained proper records of inventories and
discrepancies noticed on physical verification were not material.
3) (a) 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. As the company has not
granted any loans secured or unsecured, to parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii) (b), (c) and (d) of the Order, are not applicable.
(b) 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. As the company has not
taken any loans, secured or unsecured, from parties listed in the
Register maintained under Section 301 of the Companies Act, 1956,
paragraphs (iii)(f), and (g) of the Order, are not applicable.
4) 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 nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods and services. During the course of our audit, we have not
observed any major weakness in internal controls.
5) (a) According to the information and explanations given to us and
audit in accordance with generally accepted auditing practices, in our
opinion, the particulars of contracts or arrangements referred to in
section 301 of the Act have been entered in the register required to
be maintained under that section.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements have been made at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
6) During the year, the Company has not accepted any deposits from the
public as defined under sections 58A and 58AA or any other relevant
provisions of the Companies Act, 1956 and the rules framed thereunder.
7) In our opinion the Company has an internal audit system commensurate
with the size and nature of its business.
8) The Company has maintained the cost records as prescribed by the
Central Government under section 209(1 )(d) of the Act.
9) (a) According to the records of the Company, the Company is regular
in depositing 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 and any other statutory dues applicable to it except for few
cases where there was delay in depositing of Employees State Insurance
Contribution with the appropriate authorities. According to information
and explanations given to us, there are no undisputed amounts payable
in respect of aforesaid dues which were outstanding as at 31st March,
2010 for a period of mere than six months from the date they became
payable.
(b) The disputed statutory dues aggregating Rs.94.75 lakhs, that have
not been deposited on account of matters pending before appropriate
authorities are as under:
Nature of
Statute Nature of Dues Amount
(in INR.) Period to which Forum
where dispute
is pending
the amount
relates
West Bengal
Sales State Sales
Tax 3.63 Lakhs 2004-05 West Bengal
Commercial Appellate
Tax Act, 1994 & Revisional Board, Kolkata
West Bengal
Vat Value Added Tax 10.31 Lakhs 2005-06 & Joint Commissioner
Act, 2003 2006-07 of Sales Tax
CentralSales
Tax Central
Sales Tax 14.75 Lakhs 2003-04 & West Bengal Comme
rcial
Act, 1956 2004-05 Appellate & Revis
-ional Board,
Kolkata
66.06 Lakhs 2006-07 Joint
Commissioner of
Sales Tax
10) The company has no accumulated losses at the end of financial year
nor it has incurred cash losses during the financial year under review
and in immediately preceding financial year.
11) According to the information and explanations given to us and audit
in accordance with generally accepted auditing practices, in our
opinion, the company has not defaulted in repayments of dues to
financial institutions or banks or debenture holders.
12) According to the information and explanations given to us and based
on the documents and records produced before us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
13) In our opinion and according to information and explanations given
to us, the Company is not a chit fund or nidhi/ mutual benefit fund or
society. Therefore clause 4(xiii) of the order is not applicable to the
Company.
14) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of the transactions
and contracts and made timely entries therein for dealing in securities
and the investments are held by the company in its own name.
15) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
16) During the year, the Company has taken term loans, which have been
applied for the purposes for which they were raised.
17) According to the information and explanations given to us and on an
overall examination of Balance Sheet of the Company, we are of the
opinion that the Company has not utilized Short Term Funds towards Long
Term Investments.
18) During the year, the Company has not made any preferential
allotment of shares to parties covered in the register maintained under
section 301 of the Act.
19) During the year, the Company has neither issued any debentures nor
it has any outstanding debentures.
20) During the year, the Company not issued any shares to any person,
21) In our opinion and according to information and explanations given
to us, during the year, no fraud on or by the Company has been noticed
or reported.
For ALPS&CO
Chartered Accountants
Kolkata AJCKhetawat
Dated: 20th day of May, 2010 Partner
Membership No. 052751
Firms ICAI Regn. No. 313132E