Mar 31, 2015
We have audited the accompanying financial standalone statements of
EUROTEX INDUSTRIES & EXPORTS LIMITED ("the Company"), which comprise
the Balance Sheet as at 31st March, 2015, the Statement of Profit and
Loss, 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 Stand- alone 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 resposibility also includes
maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding the assets of the Company and
for preventing and detecting frauds and other irregularities; Selection
and application of appropriate accounting policies; making judgements
and estimates that are 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, relevent to the preparation and
presentation of the financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
Auditors' Responsibility
Our responsibility is to express an opinion on these 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
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those standards required
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers the internal financial control
relevant to the Company's preparation of the financial statements that
give a true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the 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 31st March, 2015 and its loss and its cash flows for the year ended
on that date.
Report on Other Legal and Regulatory Require- ments
1. As required by the Companies (Auditor's Report) Order,
2015 ("the Order") issued by the Central Government of
India in terms of sub-section (11) of Section 143 of the
Act, we give in the Annexure a statement on the matters
specified in paragraphs 3 and 4 of the Order.
2. As required by Section 143(3) of the Act, we report that:
(a) we have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit;
(b) in our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
(c) the Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account;
(d) in our opinion, the aforesaid 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;
(e) on the basis of the written representations received from the
Directors as on 31st March, 2015 and 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;
(f) with respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us:
i) The Company has disclosed the impact of pending litigations on its
financial position in the aforesaid financial statements - Refer Note
26(1) & 26(3) 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.
ANNEXURE REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING "REPORT ON OTHER
LEGAL AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE TO THE
MEMBERS OF THE EUROTEX INDUSTRIES AND EXPORTS LIMITED ON STANDALONE
FINANCIAL STATEMENTS
On the basis of such checks as we considered appropriate and according
to the information and explanations given to us during the course of
our audit, we state that:
1. a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
b) As explained, the assets have been physically verified by the
management in accordance with the phased programme designed to cover
all the assets over three years. In our opinion, the frequency of
verification is reasonable considering the size of the Company and
nature of its fixed assets. As informed, no major discrepancies were
noticed on such verification.
2. a) The inventory has been physically verified by the management at
reasonable intervals during the year. Inventory-in-transit has been
verified by the management with reference to the relevant documents.
b) The procedures for physical verification of the inventories 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. The
discrepancies noticed on verification between the physical stocks and
book records were not material considering the operations of the
Company and have been properly dealt with in the books of account.
3. During the year, the Company has not granted any loans, secured or
unsecured to / from Companies, firms or other parties covered in the
register maintained under Section 189 of the Act.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased and sold are of the special nature and suitable alternative
source does not exist for obtaining comparable quotations, there are
adequate internal control systems commensurate with the size of the
Company and nature of its business for purchase of inventory, fixed
assets and with regard to the sale of goods and services. During the
course of our audit, no major weakness has been noticed in the internal
control system.
5. No deposits within the meaning of directives issued by RBI (Reserve
Bank of India) and Sections 73 to 76 or any other relevant provisions
of the Act and Rules framed thereunder have been accepted by the
Company.
6. On the basis of records produced, we are of the opinion that prima
facie, the cost records and accounts prescribed by the Central
Government under Section 148(1) of the Act have been maintained.
However, we are not required to and thus have not carried out any
detailed examination of such accounts and records, with a view to
ascertain whether these are accurate and complete.
7. (a) The Company is generally regular in depositing undisputed
statutory dues including Provident Fund, Employee's State Insurance,
Income Tax, Sales Tax, Wealth Tax, Service Tax, Duty of Customs, Duty of
Excise, Cess and other material statutory dues applicable to the Company
with the appropriate authorities. No undisputed amount payable in
respect of the aforesaid statutory dues were outstanding as at the last
day of the financial year for a period of more than six months from the
date they became payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Wealth Tax, Service Tax, Duty of Customs, Duty
of Excise, Cess which have not been deposited on account of any dispute
except the following:
Name Forum where
of the Nature the dispute is Financial Amount
Statute of Dues pending Year in Rs.
The Custom Cenvat Custom, Excise 2001-02
Act, 1962 Duty & and Service Tax to
Penalty Appellate Tribu- 2003-04 1,74,367
nal (CESTAT), 2005-06 3,56,890
Mumbai. 2006-07 1,31,07,968
The Central Excise Custom, Excise
Excise Act, Duty & and Service Tax 2001-02 30,73,840
1944 Penalty Appellate Tribu- 2005-06 13,39,07,368
nal (CESTAT),
Mumbai.
Supreme Court 2001-02 2,00,827
of India
The Bombay Deputy Commi- 2001-02 51,22,933
Sales Tax ssioner of Sales
Act, 1959 / Sales Tax (Appeal),
Central Sales Tax Kolhapur
Tax Act
1956 Joint Commissi- 2006-07 1,13,28,290
oner of Sales Tax 2009-10 59,00,594
(Appeal) 2007-08 77,51,400
Kolhapur
(c) There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
8. The Company has no accumulated losses as at 31st March, 2015 and it
has not incurred any cash losses in the financial year ended on that
date and in the immediately preceding financial year.
9. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to
banks and financial institutions.
10. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
11. Based on the information and explanations given to us by the
management, term loans were applied for the purpose for which the loans
were obtained.
12. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing standards in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For LODHA & COMPANY
Chartered Accountants
(R. P. BARADIYA)
Partner
Place: Mumbai (M. No. 44101)
Date : 23rd May, 2015. Firm Regn. No. 301051E
Mar 31, 2014
We have audited the accompanying financial statements of EUROTEX
INDUSTRIES & EXPORTS LIMITED ("the Company"), which comprise the
Balance Sheet as at 31st March , 2014, the Statement of Profit and Loss
and the Cash Flow Statement for the year ended, and a summary of the
significant accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards referred to in sub-section
(3C) of section 211 of the Companies Act, 1956 ("the Act") read with
the General Circular 15/2013 dated 13th September, 2013 of the Ministry
of Corporate Affairs in respect of Section 133 of the Companies Act,
2013. This responsibility includes the design, implementation and
maintenance of internal control relevant to the preparation and
presentation of the financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with the
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 the internal control relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances but not for the purpose of expressing an opinion on the
effectiveness of the entity''s internal control. An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of the accounting estimates made by the 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.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date, and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Require- ments
1. As required by the Companies (Auditor''s Report) Order, 2003("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, we report that:
(a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
(b) in our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
(c) the Balance Sheet, Statement of Profit and Loss, and the Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
(d) in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards referred
to in sub-section (3C) of Section 211 of the Act;
(e) on the basis of the written representations received from the
Directors as on 31st March, 2014 and taken on record by the Board of
Directors, none of the Directors is disqualified as on 31st March, 2014
from being appointed as a Director in terms of Clause (g) of
sub-section (1) of Section 274 of the Act.
ANNEXURE REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING "REPORT ON OTHER
LEGAL AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE TO THE
MEMBERS OF THE EUROTEX INDUSTRIES AND EXPORTS LIMITED
On the basis of such checks as we considered appropriate and according
to the information and explanations given to us during the course of
our audit, we state that:
1. a) The Company has maintained proper records
showing full particulars, including quantitative details and situation
of fixed assets.
b) The Company has carried out physical verification of all its fixed
assets during the year. In our opinion, the frequency of verification
is reasonable considering the size of the Company and the nature of its
assets. No material discrepancies were noticed on such verification.
c) No Substantial part of the fixed assets has been disposed off during
the year.
2. a) The inventory has been physically verified by the management at
reasonable intervals during the year. Inventory lying with third
parties and in-transit have been verified by the management with
reference to the confirmation received from them and/or subsequent
receipt of goods.
b) The procedures for physical verification of the inventories 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. The
discrepancies noticed on verification between the physical stocks and
book records were not material considering the operations of the
Company and have been properly dealt with in the books of account.
3. During the year, the Company has not granted / taken any loans,
secured or unsecured to / from Companies, firms or other parties
covered in the register maintained under Section 301 of the Act.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased and sold are of the special nature and suitable alternative
source does not exist for obtaining comparable quotations, there are
adequate internal control procedures commensurate with the size of the
Company and nature of its business for purchase of inventory, fixed
assets and with regard to the sale of goods and services. During the
course of our audit, no major weakness has been noticed in the internal
control system.
5. There are no contracts or arrangements that need to be entered in
the register maintained under Section 301 of the Act.
6. No deposits within the meaning of directives issued by RBI (Reserve
Bank of India) and Sections 58A and 58AA or any other relevant
provisions of the Act and Rules framed there under have been accepted
by the company.
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size of the Company and nature of its business.
8. On the basis of records produced, we are of the opinion that prima
facie, the cost records and accounts prescribed by the Central
Government under Section 209(1) (d) of the Act have been maintained.
However, we are not required to and thus have not carried out any
detailed examination of such accounts and records, with a view to
ascertain whether these are accurate and complete.
9. (a) The Company is generally regular in depositing undisputed
statutory dues including Provident Fund, Investor Education and
Protection Fund, Employee''s State Insurance, Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other
material statutory dues applicable to the Company with the appropriate
authorities. No undisputed amount payable in respect of the aforesaid
statutory dues were outstanding as at the last day of the financial
year for a period of more than six months from the date they became
payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Service Tax, Custom Duty, Wealth Tax, Excise
Duty, Cess which have not been deposited on account of any dispute
except the following:
Name Forum where
of the Nature the dispute is Financ- Amount
Statute of Dues pending ial Year in Rs.
The Custom Cenvat Custom, Excise
Act, 1962 Duty & and Service Tax 2003-04 1,74,367
Penalty Appellate Tribu- 2004-05 3,56,890
nal (CESTAT), 2006-07 1,31,07,968
Mumbai.
The Central Excise Custom, Excise
Excise Act, Duty & and Service Tax 2001-02 31,75,351
1944 Penalty Appellate Tribu- 2005-06 13,39,07,368
nal (CESTAT),
Mumbai.
Supreme Court 2001-02 2,00,827
of India
The Bombay Deputy Commi- 2001-02 51,22,933
Sales Tax ssioner of Sales
Act, 1959 / Sales Tax Tax (Appeal),
Central Sales Kolhapur
Ta x Act, Joint Commissi- 2006-07 2,10,18,767
1956 oner of Sales Tax 2009-10 59,00,594
(Appeal) Kolhapur
10. The Company has no accumulated losses as at 31st March, 2014 and
it has not incurred any cash losses in the financial year ended on that
date and in the immediately preceding financial year.
11. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to
banks.
12. During the year, the Company has not granted loans and advances on
the basis of security by way of pledge of shares, debentures and other
securities.
13. The provisions of any special statute applicable to chit fund /
nidhi / mutual benefit fund / societies are not applicable to the
Company.
14. The Company is not a dealer or trader in shares, securities,
debentures and other investments.
15. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
16. Based on the information and explanations given to us by the
management, term loans were applied for the purpose for which the loans
were obtained.
17. According to the information and explanations given to us and on
an overall examination of the Cash Flow Statements and Balance Sheet of
the Company, in our opinion, the funds raised on short-term basis have,
prima facie, not been used for long term investment.
18. During the year, the Company has not made any preferential
allotment of shares to parties and Companies covered and recorded in
the Register maintained under Section 301 of the Act.
19. The Company has not raised any money by way of issue of debentures
during the year or in the recent past.
20. The Company has not raised any money by way of public issue during
the year or in the recent past..
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing standards in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For LODHA & COMPANY
Chartered Accountants
(R. P. BARADIYA)
Partner
Place: Mumbai (M. No. 44101)
Date : 30th May, 2014 Firm Regn. No. 301051E
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of EUROTEX
INDUSTRIES & EXPORTS LIMITED ("the Company"), which comprise the
Balance Sheet as at 31st March , 2013, the Statement of Profit and Loss
and the Cash Flow Statement for the year ended, and a summary of the
significant accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards 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.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with the
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 the 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 the 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.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2013;
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date, and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Require- ments
1. As required by the Companies (Auditor''s Report) Order, 2003("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, we report that:
(a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, Statement of Profit and Loss, and the Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
(d) In our opinion, the Balance Sheet, Statement of Profit and Loss,
and the Cash Flow Statement comply with the Accounting Standards
referred to in sub-section (3C) of section 211 of the Act.
(e) On the basis of the written representations received from the
directors as on 31st March, 2013 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2013
from being appointed as a director in terms of clause (g) of
sub-section (1) of section 274 of the Act.
ANNEXURE REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING "REPORT ON OTHER
LEGAL AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE TO THE
MEMBERS OF THE EUROTEX INDUSTRIES AND EXPORTS LIMITED
On the basis of such checks as we considered appropriate and according
to the information and explanations given to us during the course of
our audit, we state that:
1. a) The Company has maintained proper records showing full
particulars, including quanti- tative details and situation of fixed
assets.
b) The Company has carried out physical verification of all its fixed
assets during the year. In our opinion, the frequency of verification
is reasonable considering the size of the Company and the nature of its
assets. No material discrepancies were noticed on such verification.
c) No Substantial part of the fixed assets has been disposed off during
the year.
2. a) The inventory has been physically verified by the management at
reasonable intervals during the year. Inventory lying with third
parties and in-transit have been verified by the management with
reference to the confirmations received from them and/or subsequent
receipt of goods.
b) The procedures for physical verification of the inventories 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. The
discrepancies noticed on verification between the physical stocks and
book records were not material considering the operations of the
Company and have been properly dealt with in the books of account.
3. During the year, the Company has not granted / taken any loans,
secured or unsecured to / from companies,firms or other parties covered
in the register maintained under Section 301 of the Act.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased and sold are of the special nature and suitable alternative
source does not exist for obtaining comparable quotations, there are
adequate internal control procedures commensurate with the size of the
Company and nature of its business for purchase of inventory, fixed
assets and with regard to the sale of goods. During the course of our
audit, no major weakness has been noticed in the internal control
system.
5. There are no contracts or arrangements that need to be entered in
the register maintained under Section 301 of the Act.
6. No deposits within the meaning of directives issued by RBI (Reserve
Bank of India) and Sections 58A and 58AA or any other relevant
provisions of the Act and Rules framed there under have been accepted
by the company.
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size of the Company and nature of its business.
8. On the basis of records produced, we are of the opinion that prima
facie, the cost records and accounts prescribed by the Central
Government under Section 209(1) (d) of the Act have been maintained.
However, we are not required to and thus have not carried out any
detailed examination of such accounts and records, with a view to
ascertain whether these are accurate and complete.
9. (a) The Company is regular in depositing undisputed statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employee''s State Insurance, Income Tax, Sales Tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, Cess and other material statutory dues
applicable to the Company with the appropriate authorities. No
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at the last day of the financial year for a period
of more than six months from the date they became payable.
10. The Company has no accumulated losses as at 31st March, 2013 and
it has not incurred any cash losses in the financial year ended on that
date and in the immediately preceding financial year.
11. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to
banks.
12. During the year, the Company has not granted loans and advances on
the basis of security by way of pledge of shares, debentures and other
securities.
13. The provisions of any special statute applicable to chit fund /
nidhi / mutual benefit fund / societies are not applicable to the
Company.
14. The Company is not a dealer or trader in shares, securities,
debentures and other investments.
15. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
16. Based on the information and explanations given to us by the
management, term loans were applied for the purpose for which the loans
were obtained.
17. According to the information and explanations given to us and on
an overall examination of the cash flow statements and balance sheet of
the Company, in our opinion, the funds raised on short-term basis have,
prima facie, not been used for long term investment.
18. During the year, the Company has not made any preferential
allotment of shares to parties and companies covered and recorded in
the Register maintained under section 301 of the Act.
19. The Company has not raised any money by way of issue of
debentures.
20. The Company has not raised any money by way of public issue.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing standards in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For LODHA & COMPANY
Chartered Accountants
(A. M. HARIHARAN)
Partner
Place: Mumbai (M. No. 38323)
Date : 25th May, 2013. Firm Regn. No. 301051E
Mar 31, 2012
1. We have audited the attached Balance Sheet of EUROTEX INDUSTRIES
AND EXPORTS LIMITED as at 31st March, 2012 and also the Profit and Loss
Statement and the Cash Flow Statement for the year ended on that date
annexed thereto. These financial statements are the responsibility of
the Company's management. Our responsibility is to express an opinion
on these financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003
issued by the Central Government in terms of Section 227 (4A) of the
Companies Act, 1956 (hereinafter referred to as the "Act"), we
enclose in the Annexure a statement on the matters specified in the
paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, Profit and Loss statement and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance Sheet, Profit and Loss statement and
Cash Flow Statement dealt with by this report comply with the
Accounting Standards prescribed by Companies (Accounting Standards)
Rules 2006, to the extent applicable.
e) On the basis of the written representations received from directors
as on 31st March, 2012 and taken on record by the Board of Directors,
we report that none of the directors is disqualified as on 31st March,
2012 from being appointed as a director of the Company in term of
clause (g) of sub-section (1) of section 274 of the Act; -
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with
accompanying notes to financial statement, 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.
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012;
(ii) in the case of the Profit and Loss Statement, of the profit of the
Company for the year ended on that date; and
(iii) in the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF AUDITORS' REPORT OF EVEN DATE
ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2012 OF
EUROTEX INDUSTRIES AND EXPORTS LIMITED
On the basis of such checks as we considered appropriate and according
to the information and explanations given to us during the course of
our audit, we state that:
1. The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets. All the
fixed assets have been physically verified by the management according
to the regular programme of periodical verification in a phased manner,
which in our opinion is reasonable having regard to the size of the
Company and the nature of its fixed assets. There were no discrepancies
noticed on such physical verification. The Company has disposed off
land, buildings and other assets of Calicut unit during the year.
2. (a) The inventory has been physically verified by the management at
reasonable intervals during the year. Inventory in-transit have been
verified by the management with reference to confirmations or statement
of accounts or subsequent receipt of goods.
(b) The procedures for physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. There were
no discrepancies noticed on verification between the physical stock and
book records.
3. The Company has not taken / granted any loans, secured or
unsecured, from / to Companies, firms or other parties covered in the
register maintained under section 301 of the Act.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased and sold are of the special nature and suitable alternative
source does not exist for obtaining comparable quotations, there are
adequate internal control procedures commensurate with the size of the
Company and nature of its business for purchase of inventory, fixed
assets and with regard to the sale of goods. During the course of our
audit, no major weakness has been noticed in the internal control
system.
5. (a) According to the information and explanations given to us, we
are of the opinion that particulars of contracts or arrangements
referred to in the Section 301 of the Act have been entered in the
register required to be maintained under that section.
(b) In our opinion, having regard to our comments in para 4 above, the
transactions of purchase of inventory and services and sale of
inventory/ fixed assets made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Act and
aggregating during the year to Rs. 5 lacs or more in respect of each
party have been made at prices which are reasonable having regard to
prevailing market prices for such inventory/ services or the prices at
which transactions for similar inventory/ services have been made with
other parties.
6. No deposits within the meaning of Section 58A and 58AA or any other
relevant provisions of the Act and rules framed there under have been
accepted by the company.
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size of the Company and nature of its business.
8. We have broadly reviewed the cost records maintained by the Company
pursuant to the rules made by the Central Government for the
maintenance of cost records under Section 209(1) (d) of the Act and are
of the opinion that, prima facie, the prescribed records have been made
and maintained. We are, however, not required to make a detailed
examination of the records with a view to determine whether they are
accurate or complete.
9. (a) The Company is regular in depositing with appropriate
authorities the undisputed statutory dues including Provident Fund,
Investor Education and Protection Fund, Employee's State Insurance,
Income Tax, Sale Tax, Wealth Tax, Service Tax, Custom Duty, Excise
Duty, Cess and other material statutory dues applicable to it. No
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at the last day of the financial year for a period
of more than six months from the date they become payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Service Tax, Custom Duty, Wealth Tax, Excise
Duty, Cess which have not been deposited on account of any dispute
except the following :
Particulars Forum where the Year Amount
dispute is pending (in Rs.)
Custom Duty Custom, Excise and 2001,
Service Tax Appellate 2004 &
Tribunal (CESTAT) 2005 5,31,257
Excise Duty Custom, Excise and 2000,
Service Tax Appellate 2002 &
Tribunal (CESTAT) 2006 13,90,28,284
Supreme Court of India 2002 2,00,827
Income Tax Commissioner of A. Y.
Income Tax (Appeals) 2005-06 30,71,506
A. Y.
High Court, Mumbai 1997-98
2004-05 32,99,287
Sales Tax Deputy Commissioner 2002 to
(Appeal) 2003 63,89,639
Sales Tax Tribunal 2000 13,03,056
Joint Commissioner of 2004 to
Sales Tax (Appeal) 2005 3,82,20,374
10. The Company has no accumulated losses as at 31st March, 2012 and
it has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
11. The Company has not defaulted in repayment of dues to banks &
financial institutions during the year.
12. During the year, the Company has not granted any loans and
advances on the basis of security by way of pledge of shares and other
securities.
13. The Company is not a dealer or trader in shares, securities,
debentures and other investments.
14. In our opinion, the Company is not a chit fund or a nidhi / mutual
benefit fund / society. Therefore, the provisions of clause 4(xiii) of
the Order are not applicable to the Company.
15. During the year, the Company has not given any guarantee for loans
taken by others from bank or financial institutions.
16. According to the information and explanations given to us, in our
opinion, the term loans were applied for the purpose for which they
were obtained.
17. According to the information and explanations given to us and on
an pverall examination of the cash flow statements and balance sheet of
the Company, in our opinion, the funds raised on short-term basis have,
prima facie, not been used for long-term investment.
18. During the year or in the recent past, the Company has not made
any preferential allotment of shares to parties and companies covered
and recorded in the Register maintained under section 301 of the Act.
19. During the year or in the recent past, the Company has not raised
any money by way of issue of debentures.
20. The Company has not raised any money by way of public issue during
the year or in the recent past.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such cases by the management.
For LODHA & COMPANY
Chartered Accountants
(A. M. HARIHARAN)
Partner
Place: Mumbai (M. No. 38323)
Date : 26th May, 2012. Firm Regn. No. 301051E
Mar 31, 2010
1. We have audited the attached Balance Sheet of EUROTEX INDUSTRIES
AND EXPORTS LIMITED as at 31st March, 2010 and also the Profit and Loss
Account and the Cash Flow Statement for the year ended on that date
annexed thereto. These financial statements are the responsibility of
the Companys management. Our responsibility is to express an opinion
on these financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government in terms of Section 227 (4A) of the Companies
Act, 1956 (hereinafter referred to as the "Act"), we enclose in the
Annexure a statement on the matters specified in the paragraphs 4 and 5
of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards prescribed by Companies (Accounting Standards) Rules 2006, to
the extent applicable;
e) On the basis of the written representations received from directors
as on 31st March, 2010 and taken on record by the Board of Directors,
we report that none of the directors is disqualified as on 31st March,
2010 from being appointed as a director of the Company in term of
clause (g) of sub- section (1) of section 274 of the Act;
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with
Significant Accounting Policies and Notes to Accounts in Schedule No.
18 and other notes appearing elsewhere in the accounts, 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:
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010;
(ii) in the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date; and
(iii) in the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF AUDITORS REPORT OF EVEN DATE ON
THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2010 OF EUROTEX
INDUSTRIES AND EXPORTS LIMITED On the basis of such checks as we
considered appropriate and according to the information and
explanations given to us during the course of our audit, we state that:
1. The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets. All the
fixed assets have been physically verified by the management according
to the regular programme of periodical verification in a phased manner,
which in our opinion is reasonable having regard to the size of the
Company and the nature of its fixed assets. There were no discrepancies
noticed on such physical verification. No substantial part of the fixed
assets has been disposed off by the Company during the year.
2. (a) The inventory has been physically verified by the management at
reasonable intervals during the year. Inventory in-transit have been
verified by the management with reference to confirmations or statement
of accounts or subsequent receipt of goods.
(b) The procedures for physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. There were
no discrepancies noticed on verification between the physical stock and
book records.
3. During the year, the Company has taken interest free loan from a
body corporate as promoters contribution, covered in the register
maintained under section 301 of the Act, terms and condition whereof
are prima-facie, not prejudicial to the interest of the company.
Maximum amount due during the year is Rs. 3,00,000 & the year end
balance is Rs. 3,00,000.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased and sold are of the special nature and suitable alternative
source does not exist for obtaining comparable quotations, there are
adequate internal control procedures commensurate with the size of the
Company and nature of its business for purchase of inventory, fixed
assets and with regard to the sale of goods. During the course of our
audit, no major weakness has been noticed in the internal control
system.
5. (a) According to the information and explanations given to us, we
are of the opinion that particulars of contracts or arrangements re-
ferred to in the Section 301 of the Act have been entered in the
register required to be maintained under that section. f
(b) In our opinion, having regard to our comments in para 4 above, the
transactions of purchase of inventory and services and sale of
inventory/ fixed assets made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Act and
aggregating during the year to Rs. 5 lacs or more in respect of each
party have been made at prices which are reasonable having regard to
prevailing market prices for such inventory/ services or the prices at
which transactions for similar inventory/ services have been made with
other parties.
6. No deposits within the meaning of Section 58A and 58AA or any other
relevant provisions of the Act and rules framed there under have been
accepted by the company.
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size of the Company and nature of its business.
8. We have broadly reviewed the cost records maintained by the Company
pursuant to the rules made by the Central Government for the
maintenance of cost records under Section 209(l)(d) of the Act and are
of the opinion that, prima facie, the prescribed records have been made
and maintained. We are, however, not required to make a detailed
examination of the records with a view to determine whether they are
accurate or complete.
9. (a) The Company is regular in depositing with appropriate
authorities the 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 other material statutory dues applicable to it. No
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at the last day of the financial year for a period
of more than six months from the date they become payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Service Tax, Custom Duty, Wealth Tax, Excise
Duty, Cess which have not been deposited on account of any dispute
except - the following:
Particulars Forum where the Year Amount
dispute is pending (in Rs.)
Custom Duty Custom, Excise and 2000,
Service Tax Appellate 2001,
Tribunal (CESTAT) 2004 &
2005 8,24,943
Excise Duty Custom, Excise and 2000
Service Tax Appellate 2002 &
Tribunal (CESTAT) 2006 13,90,28,284
Supreme Court
of India 2002 2,00,827
Income Tax Commissioner of A. Y
Income Tax (Appeals) 2005-06 27,75,820
Income Tax Appellate A. Y
Tribunal 1997-98
2003-04
2004-05 30,34,169
Sales Tax Deputy Commissioner 2002 to
(Appeal) 2003 63,89,639
Sales Tax Tribunal 1998 to
2000 10,48,056
Joint Commissioner of 2004 to
Sales Tax (Appeal) 2005 3,82,20,374
10. The Company has accumulated losses as at 31st March 2010 which are
not more than 50% of its net worth and it has not incurred cash losses
in the financial year ended on that date but has incurred cash losses
in the immediately preceding financial year.
11. Considering the acceptance of Companys proposal for restructuring
by the lenders, the Company has not defaulted in repayment of dues to
banks and financial institutions.
12. During the year, the Company has not granted any loans and
advances on the basis of security by way of pledge of shares and other
securities.
13. The Company is not a dealer or trader in shares, securities,
debentures and other investments.
14. In our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/society. Therefore, the provisions of clause 4(xiii) of
the Order are not applicable to the Company.
15. During the year, the Company has not given any guarantee for loans
taken by others from bank or financial institutions.
16. According to the information and explanations given to us, in our
opinion, the term loans were applied for the purpose for which they
were obtained.
17. According to the information and explanations given to us and on
an overall examination of the cash flow statements and balance sheet of
the Company, in our opinion, the funds raised on short- term basis
have, prima facie, not been used for long-term investment.
18. During the year or in the recent past, the Company has not made
any preferential allotment of snares to parties and companies covered
and recorded in the Register maintained under section 301 of the Act.
19. During the year or in the recent past, the Company has not raised
any money by way of issue of debentures.
20. The Company has not raised any money by way of public issue during
the year or in the recent past.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such cases by the management.
For LODHA & COMPANY
Chartered Accountants
(A. M. HARIHARAN)
Partner
Mumbai (M. No. 38323
Dated : 29th May, 2010 Firm No. 301051E)