Auditor Report of Ellenbarrie Industrial Gases Ltd.

Mar 31, 2016

TO THE MEMBERS OF

ELLENBARRIE INDUSTRAL GASES LIMITED

Report on the Financial Statements

I have audited the accompanying financial statements of ELLENBARRIE INDUSTRIAL GASES LTD. which comprise the Balance Sheet as at 31 st March, 2016, the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.

Management’s Responsibility for the Financial Statements

The Company’s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (“the Act”) with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of 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

My responsibility is to express an opinion on these financial statements based on my audit.

I 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.

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

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

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

Opinion

In my opinion and to the best of my information and according to the explanations given to me, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at31st March, 2016, and its loss and its cash flows for the year ended on that date.

Emphasis of Matters

I draw attention to the following matters in the Notes to the financial statements :

a) Note 31 to the financial statements which describes the uncertainty related to the outcome of the lawsuit filed against the Company by a supplier.

b) The Company has incurred a net loss during the current and previous year, and the Company’s current liabilities exceed its current assets as at the balance sheet date. There has been no default in repayment of loans or interest in respect of loans. The financial statements of the Company have been prepared on a going concern basis.

My opinion is not modified in respect of these matters.

As required by the Companies (Audit Report) Order, 2016, I report that:

I) a) The Company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. However for its new unit at Hyderabad the fixed asset register is under compilation.

b) The fixed assets have been physically verified by the management at the year end and no material discrepancy was noticed on such verification.

c) The title deeds of the immovable properties are held in the name of the company.

II) Physical verification of inventory has been conducted at reasonable intervals by the management and no material discrepancy was noticed.

III) Maintenance of cost records has been specified by the Central Government under sub section (I) of section 148 of the Companies Act, 2013 and such records and accounts are maintained.

IV) The company is regular in depositing undisputed statutory dues including provident fund, employees’ state insurance, income tax, sales tax, service tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues with the appropriate authorities and there is no arrear as at the last day of the financial year for a period of more than six months from the date they became payable.

V) The company has not defaulted in repayment of loans or borrowings to a financial institution and bank.

VI) Money raised by way of term loans were applied for the purposes for which they were raised.

VII) No fraud by the company or any fraud on the company by its officers or employees has been noticed or reported during the year.

VIII) Managerial remuneration has been paid or provided in accordance with the requisite approval mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.

IX) All transaction with the related parties are in compliance with sections 177 and 188 of Companies Act, 2013 where applicable and the details have been disclosed in the Financial Statements, etc. as required by the applicable accounting standards.

X) The company has made private placement of preference shares during the year under review and the requirement of section 42 of the Companies Act, 2013, have been duly complied with. The amount raised have been used forthe purpose for which the funds were raised.

XI) The company has not entered into any non cash transactions with directors or persons connected with them.

In the circumstances of the case, the other clauses of the order are not applicable to the company.

Report on Other Legal and Regulatory Requirements

As required by Section 143 (3) of the Act, I report that:

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

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

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

d) In my opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014, barring non compliance of Accounting Standards 15: Re: Retirement Benefits and subject to Note 36 of Notes to Accounts regarding Accounting Standards 22 : Re: Deferred Tax.

e) The going concern matter described in sub-paragraph (b) under the Emphasis of Matters paragraph above, in my opinion, may have an adverse effect on the functioning of the Company.

f) On the basis of the written representations received from the directors as on 31st March, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.

g) The company has adequate internal financial control systems over financial reporting in place.

h) 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) Rule, 2014, in my opinion and to the best of my information and according to the explanations given to me:

i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 31 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 were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.

For A. K. KUMAR & CO.

Chartered Accountant

(Regn. No. 308013E)

9-15, Fern Road ANJAN KUMAR

Kolkata - 700 019 Proprietor

Dated : 24th day of May, 2016 (Regn. No. 013166)

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Mar 31, 2015

I have audited the accompanying financial statements of ELLENBARRIE INDUSTRIAL GASES LTD. which comprise the Balance Sheet as at 31st March, 2015, the statement of Profit and Loss, the Cash Flow statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.

Management's Responsibility for the Financial statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of 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

My responsibility is to express an opinion on these financial statements based on my audit. I 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.

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

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

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

Opinion

In my opinion and to the best of my information and according to the explanations given to me, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2015, and its loss and its cash flows for the year ended on that date.

Emphasis of Matters

I draw attention to the following matters in the Notes to the financial statements:

a) Note 31 to the financial statements which describes the uncertainty related to the outcome of the lawsuit filed against the Company by a supplier.

b) The financial statements indicates that the Company has accumulated losses and its net worth has been fully eroded. The Company has incurred a net loss during the current and previous year, but the Company's current liabilities does not exceed its current assets as at the balance sheet date. There has been no default in repayment of loans or interest in respect of loans. The financial statements of the Company have been prepared on a going concern basis.

My opinion is not modified in respect of these matters.

As required by the Companies (Audit Report) Order, 2015,1 report that:

I) a) The Company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. However for its new unit at Hyderabad the fixed asset register is under compilation. b) The fixed assets have been physically verified by the management at the year end and no material discrepancy was noticed on such verification.

II) a) Physical verification of inventory has been conducted at reasonable intervals by the management.

b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

c) The company maintains proper record of inventory and no material discrepancy were noticed on physical verification.

III) There is an adequate internal control system commensurate with the size of the company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods or services. There is no continuing failure to correct major weaknesses in internal control system.

IV) The company is regular in depositing undisputed statutory dues including provident fund, employees 'state insurance, income tax, sales tax, wealth tax, service tax, etc with the appropriate authorities and there is no arrear as at the last day of the financial year for a period of more than six months from the date they became payable.

V) The company's accumulated loss is more than fifty per cent of its net worth and the company has incurred cash loss this year and also in the immediately preceding year.

VI) Term loans were applied for the purpose for which the loans were obtained.

VII) The company has not defaulted in repayment of dues to a financial institution or bank or debentures holders. In the circumstances of the case, the other clauses of the order are not applicable to the company. Report on Other Legal and Regulatory Requirements As required by Section 143 (3) of the Act, I report that:

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

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

c) The Balance Sheet, the statement of Profit and Loss and the Cash Flow statement dealt with by this Report subject to Note 9 (3) of Notes to Accounts Re: Change in basis of calculation of depreciation thus affecting the working result by Rs.2,98,95,961/- are in agreement with the books of account.

d) In my opinion, the aforesaid financial statements comply with the Accounting standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014, barring non compliance of Accounting standards 22: Re: Deferred Tax and Accounting standards 15: Re: retirement Benefits.

e) The going concern matter described in sub-paragraph (b) under the Emphasis of Matters paragraph above, in my opinion, may have an adverse effect on the functioning of the Company.

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

g) The company has adequate internal financial control systems over financial reporting in place. h) 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) Rule, 2014, in my opinion and to the beast of my information and according to the explanations given to me:

i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 31 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 were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.

For A. K. KUMAR & CO.

Chartered Accountant

(Regn. No. 308013E)

9/15, Fern Road ANJAN KUMAR

Kolkata - 700 019 Proprietor

Dated : 12th day of August, 2015 (Regn. No. 013166)

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Mar 31, 2014

I have audited the attached Balance Sheet of ELLENBARRIE INDUSTRIAL GASES LIMITED as at 31st March, 2014 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. My responsibility is to express an opinion on these financial statements based on my audit.

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

As required by the Companies (Auditor''s Report) (Amendment) Order, 2004 issued by the Central Government of India in terms of Sub-section (4A) of Section 227 of the Companies Act, 1956, I report that :

i) a) The Company maintains proper records showing full particulars, including quantitative details and situation of fixed assets. However the Fixed Asset Register is being updated.

b) The fixed assets have been physically verified by the management at the end of the year and there have been no material discrepancy.

c) A substantial part of the fixed assets have not been disposed off during the year.

ii) a) Physical verification of inventory has been conducted by the management at the end of the year.

b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification.

iii) a) The Company has taken loans from a company and parties covered in the register maintained under Section 301 of the act. The number of parties and the amount involved are FOUR and Rs. 37,86,50,000/- respectively.

b) The terms and conditions of the loans taken are prima facie not prejudicial to the interest of the Company.

c) The payment of principal is on demand. The payment of interest is regular.

iv) There is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. There is no continuing failure to correct major weaknesses in internal control system.

v) a) Transactions that need to be entered into a register in pursuance of Section 301 of the Act, have been so entered. b) Each of these transactions have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

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

vii) The Company has an internal audit system commensurate with its size and nature of its business.

viii) The Company maintains accounts and records as prescribed under Section 209(1)(d) of the Act.

ix) The Company is regular in depositing undisputed statutory dues including Provident Fund, Investor Education & Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess or any other statutory dues with the appropriate authorities and there is no arrear of more than six months as at the last day of the year.

x) The Company''s accumulated loss is not more than fifty percent of its net worth and the Company has incurred cash loss this year.

xi) The Company has not defaulted in repayment of dues to a bank or financial institution.

xii) The term loans were applied for the purpose for which the loans were obtained.

xiii) The funds raised on short term basis have not been used for long term investment.

xiv) In the circumstances of the case, other clauses of the order are not applicable. Further to my comments, I report that :

i) I have obtained all the information and explanations, which to the best of my knowledge and belief were necessary for the purpose of my audit ;

ii) In my opinion, proper books of account as required by law have been kept by the Company so far as appears from my examination of those books

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

iv) In my opinion, the Balance Sheet and Profit & Loss Account dealt with by this report comply with the accounting standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956.

v) On the basis of written representations received from the directors, as on 31st March, 2014 and taken on record by the Board of Directors, I report that none of the directors is disqualified as on 31st March, 2014 from being appointed as a director in terms of clause (g) of Sub-section (1) of Section 274 of the Companies Act, 1956 ;

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

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

b) in the case of Profit & Loss Account, of the loss for the year ended on that date.

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

For A. K. KUMAR & CO. Chartered Accountant (Regn. No. 308013E) 9/15, Fern Road ANJAN KUMAR Kolkata - 700 019 Proprietor Dated : 13th day of August, 2014 (Regn. No. 013166)

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Mar 31, 2013

I have audited the attached Balance Sheet of ELLENBARRIE INDUSTRIAL GASES LIMITED as at 31 st March, 2013 and also the Statement of Profit & Loss 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. My responsibility is to express an opinion on these financial statements based on my audit.

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

As required by the Companies (Auditor''s Report) (Amendment) Order, 2004 issued by the Central Government of India in terms of Sub-section (4A) of Section 227 of the Companies Act, 1956, I report that:

i) a) The Company maintains proper records showing full particulars, including quantitative details and situation of Fixed Assets.

b) The fixed assets have been physically verified by the management at the end of the year and there have been no material discrepancy.

c) A substantial part of the fixed assets have not been disposed of during the year.

ii) a) Physical verification of inventory has been conducted by the management at the end of the year.

b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification.

iii) There is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. There is no continuing failure to correct major weaknesses in internal control system.

iv) a) Transactions that need to be entered into a register in pursuance of Section 301 of the Act, have been so entered,

b) Each of these transactions have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

v) The Company has not accepted deposits from the public.

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

vii) The Company is regular in depositing undisputed statutory dues including Provident Fund, Investor Education & Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess or any other statutory dues with the appropriate authorities and there is no arrear of more than six months as at the last day of the year.

viii) The Company has not defaulted in repayment of dues to a bank or financial institution.

ix) The Company is dealing in shares, debentures and other investments and proper records have been maintained of the transactions and contracts and timely entries have been made. The shares, securities and debentures have been held by the Company in its own name.

x) The term loans were applied for the purpose for which the loans were obtained.

xi) The funds raised on short term basis have not been used for long term investment.

xii) In the circumstances of the case, other clauses of the order are not applicable.

Further to my comments, I report that:

i) I have obtained all the information and explanations, which to the best of my knowledge and belief were necessary for the purpose of my audit;

ii) In my opinion, proper books of account as required by law have been kept by the Company so far as appears from my examination of those books ;

iii) The Balance Sheet and Statement of Profit & Loss dealt with by this report are in agreement with the books of account;

iv) In my opinion, Subject to non compliance of AS 22: Re: Deferred Tax, the Balance Sheet and Statement of Profit & Loss dealt with by this report comply with the accounting standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956;

v) On the basis of written representations received from the directors, as on 31st March, 2013 and taken on record by the Board of Directors, I report that none of the directors is disqualified as on 31st March, 2013 from being appointed as a director in terms of clause (g) of Sub-section (1) of Section 274 of the Companies Act, 1956 ;

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

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

b) in the case of Statement of Profit & Loss, of the profit for the year ended on that date.

c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date. For A. K. KUMAR & CO.

Chartered Accountant

(Regn. No. 308013E)

9/15, Fern Road ANJAN KUMAR

Kolkata - 700 019 Proprietor

Dated : 5th day of September, 2013 (Regn. No. 013166)

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Mar 31, 2012

I have audited the attached Balance Sheet of ELLENBARRIE INDUSTRIAL GASES LIMITED as at 31 st March, 2012 and also the Statement of Profit & Loss 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. My responsibility is to express an opinion on these financial statements based on my audit.

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

As required by the Companies (Auditor's Report) (Amendment) Order, 2004 issued by the Central Government of India in terms of Sub-section (4A) of Section 227 of the Companies Act, 1956, I report that:

i) a) The Company maintains proper records showing full particulars, including quantitative details and situation of Fixed Assets. However, the same has not been updated for the Vizag Plant.

b) The fixed assets have been physically verified by the management at the end of the year and there have been no material discrepancy.

c) A substantial part of the fixed assets have not been disposed of during the year.

ii) a) Physical verification of inventory has been conducted by the management at the end of the year.

b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification.

iii) There is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. There is no continuing failure to correct major weaknesses in internal control system.

iv) a) Transaction that need to be entered into a register in pursuance of Section 301 of the Act have been so entered.

b) Each of these transactions have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

v) The Company has not accepted deposits from the public.

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

vii) The Company is regular in depositing undisputed statutory dues including Provident Fund, Investor Education & Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess or any other statutory dues with the appropriate authorities and there is no arrear of more than six months as at the last day of the year.

viii) The Company has not defaulted in repayment of dues to a bank or financial institution.

ix) The Company is dealing in shares, debentures and other investments and proper records have been maintained of the transactions and contracts and timely entries have been made. The shares, securities and debentures have been held by the Company in its own name.

x) The term loans were applied for the purpose for which the loans were obtained.

xi)' The funds raised on short term basis have not been used for long term investment.

xii) In the circumstances of the case, other clauses of the order are not applicable.

Further to my comments, I report that:

i) I have obtained all the information and explanations, which to the best of my knowledge and belief were necessary for the purpose of my audit;

ii) In my opinion, proper books of account as required by law have been kept by the Company so far as appears from my examination of those books ;

iii) The Balance Sheet and Statement of Profit & Loss dealt with by this report are in agreement with the books of account;

iv) In my opinion, Subject to non compliance of AS 22: Re: Deferred Tax, the Balance Sheet and Profit & Loss Account dealt with by this report comply with the accounting standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956;

v) On the basis*)f written representations received from the directors, as on 31 st March, 2012 and taken on record by the Board of Directors, I report that none of the directors is disqualified as on 31st March, 2012 from being appointed as a director in terms of clause (g) of Sub-section (1) of Section 274 of the Companies Act, 1956 ;

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

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

b) in the case of Statement of Profit & Loss, of the profit for the year ended on that date.

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

For A. K. KUMAR & CO. Chartered Accountant (Regn. No. 308013E)

9/15, Fern Road ANJAN KUMAR

Kolkata - 700 019 Proprietor

Dated : 29th day of August, 2012 (Regn. No. 013166)

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Mar 31, 2010

I have audited the attached Balance Sheet of ELLENBARRIE INDUSTRIAL GASES 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. My responsibility is to express an opinion on these financial statements based on my audit.

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

As required by the Companies (Auditors Report) (Amendment) Order, 2004 issued by the Central Government of India in terms of Sub-section (4A) of Section 227 of the Companies Act, 1956,

I report that:

i) a) The Company maintains proper records showing full particulars, including quantitative details and situation of Fixed Assets.

b) The fixed assets have been physically verified by the management at the end of the year and there have been no material discrepancy.

c) A substantial part of the fixed assets have not been disposed of during the year.

ii) a) Physical verification of inventory has been conducted by the management at the end of the year.

b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification.

iii) a) The Company has given loan to a company covered in the register maintained under Section 301 of the Act. The number of party and amount involved is ONE and Rs. 43,62,492/- respectively.

b) The loan given is interest free as per the convention of the company amongst sister concern and is repayable on demand.

c) The repayment of principle is on demand.

iv) The Company has not taken loans from a company, firm or other party covered in the register maintained Section 301 of the Act.

v) There is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. There is no continuing failure to correct major weaknesses in internal control system.

vi) a) Transaction that need to be entered into a register in pursuance of Section 301 of the Act, have been so entered.

b) Each of these transactions have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

vii) The Company has not accepted deposits from the public.

viii) The Company has an internal audit system commensurate with its size and nature of its business.

ix) The Company is regular in depositing undisputed statutory dues including Provident Fund, Investor Education & Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess or any other statutory dues with the appropriate authorities and there is no arrear of more than six months as at the last day of the year.

x) The Company has not defaulted in repayment of dues to a bank or financial institution.

xi) The Company is dealing in shares, debentures and other investments and proper records have been maintained of the transactions and contracts and timely entries have been made. The shares, securities and debentures have been held by the Company in its own name.

xii) The term loans were applied for the purpose for which the loans were obtained.

xiii) The funds raised on short term basis have not been used for long term investment.

xiv) In the circumstances of the case, other clauses of the order are not applicable.

Further to my comments, I report that:

i) I have obtained all the information and explanations, which to the best of my knowledge and belief were necessary for the purpose of my audit;

ii) In my opinion, proper books of account as required by law have been kept by the Company so far as appears from my examination of those books ;

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

iv) In my opinion, Subject to non compliance of AS 15: Re: Retirement Benefits ; Re: Gratuity, and non compliance of AS 22 : Re : Deferred Tax, the Balance Sheet and Profit & Loss Account dealt with by this report comply with the accounting standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956;

v) On the basis of written representations received from the directors, as on 31 st March, 2010 and taken on record by the Board of Directors, I report that none of the directors is disqualified as on 31st March, 2010 from being appointed as a director in terms of clause (g) of Sub-section (1) of Section 274 of the Companies Act, 1956 ;

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

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

b) in the case of the Profit & Loss Account, of the profit for the year ended on that date.

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



For A. K. KUMAR & CO.

Chartered Accountant

(Regn. No. 308013E)

9/15, Fern Road AN JAN KUMAR

Kolkata - 700 019 Proprietor

Dated : 4th day of September ,2010 (Regn. No. 013166)