Mar 31, 2023
INDEPENDENT AUDITOR''S REPORT
To the Members of FISCHER CHEMIC LIMITED
Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying financial statements of FISCHER CHEMIC LIMITED ("the Company"), which
comprise the Balance Sheet as at March 31, 2023, and the Statement of Profit and Loss (Including Other Comprehensive
Income), Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes to the financial
statements, including a summary of significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial
statements give the information required by the Companies Act, 2013 ("the Act") in the manner so required and give a
true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with
Companies (Indian Accounting Standards) Rules, 2015 ("Ind AS") and other accounting principles generally accepted in
India, of the state of affairs of the Company as at March 31, 2023, and profit, other comprehensive income, changes in
equity and its cash flows for the year ended on that date.
We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Act.
Our responsibilities under those Standards are further described in the Auditor''s Responsibilities for the Audit of the
Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics
issued by the Institute of Chartered Accountants of India (ICAI) together with the ethical requirements that are relevant
to our audit of the financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled
our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit
evidence obtained by us is sufficient and appropriate to provide a basis for our opinion.
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the
financial statements of the current period. These matters were addressed in the context of our audit of the financial
statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
Information Other than the Financial Statements and Auditor''s Report Thereon
The Company''s Board of Directors is responsible for the other information. The other information comprises the
Director''s report but does not include the financial statements and our auditor''s report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of
assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing
so, consider whether the other information is materially inconsistent with the financial statements or our knowledge
obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we
conclude that there is a material misstatement of this other information, we are required to report that fact. We have
nothing to report in this regard.
Responsibilities of Management and Board of Directors for the Financial Statements
The Company''s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the
preparation of these financial statements that give a true and fair view of the financial position, financial performance,
changes in equity 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. 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
statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Board of Directors is responsible for assessing the Company''s ability to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis
of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no
realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Company''s financial reporting process.
Auditor''s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor''s report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs
will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are
considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these financial statements.
We give in "Annexure A" a detailed description of Auditor''s responsibilities for Audit of the Financial Statements.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order"), issued by the Central Government
of India in terms of sub-section (11) of section 143 of the Act, we give in "Annexure B" a statement on the
matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
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 (including other comprehensive income), the Statement of
Changes in Equity and the Statement of Cash Flow dealt with by this Report are in agreement with the books of
account.
(d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under
Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on March 31, 2023 taken on record by
the Board of Directors, none of the directors are disqualified as on March 31, 2023 from being appointed as a
director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls with reference to financial statements of the
Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure C".
(g) With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the
Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according
to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financial
position.
ii. The Company did not have any long-term contracts including derivative contracts for which
there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and
Protection Fund by the Company.
iv.
(1) The Management has represented that, to the best of its knowledge and belief, no funds have been
advanced or loaned or invested (either from borrowed funds or share premium or any other
sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including
foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or
otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or
entities identified in any manner whatsoever by or on behalf of the Company ("Ultimate
Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate
Beneficiaries.
(2) The Management has represented, that, to the best of its knowledge and belief, no funds have
been received by the Company from any person(s) or entity(ies), including foreign entities
(Funding Parties), with the understanding, whether recorded in writing or otherwise, as on the
date of this audit report, that the Company shall, directly or indirectly, lend or invest in other
persons or entities identified in any manner whatsoever by or on behalf of the Funding Party
("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate
Beneficiaries.
(3) Based on the audit procedures performed that have been considered reasonable and appropriate
in the circumstances, and according to the information and explanations provided to us by the
Management in this regard nothing has come to our notice that has caused us to believe that the
representations under sub-clause (i) and (ii) of Rule 11(e) as provided under (1) and (2) above,
contain any material mis-statement.
v. The Company has neither declared nor paid any dividend during the year.
vi. As proviso to rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable for the
Company only w.e.f. April 1, 2023, reporting under this clause is not applicable.
3. The company has not paid any remuneration to its directors during the year and hence the company is in
compliance with the requirement of section 197 of companies act, 2013.
Chartered Accountants
Firm Reg. No. 101490W
Kiran Suvarna
Partner
Membership no. 113784
UDIN: 23030382BGSHYE7629
Place of Signature: Mumbai
Date: 29th May 2023
Mar 31, 2014
We have audited the accompanying financial statements of FISCHER CHEMIC
LIMITED ("the Company"), which comprise the Balance Sheet as at March
31, 2014, and the Statement of Profit and Loss and Cash Flow Statement
for the year then ended, and a summary of significant accounting
policies and other explanatory information.
Management 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.
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
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 March 31, 2014;
b) In the case of the Profit and Loss Account, of the profit/ loss for
the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956;
e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
f) Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
The ANNEXURE referred to in paragraph 1 of the Our Report of even date
to the members of FISCHER CHEMIC LIMITED_On the accounts of the company
for the year ended 31st March, 2014.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a) The company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
(c) In our opinion and according to the information and explanations
given to us, no fixed asset has been disposed during the year and
therefore does not affect the going concern assumption.
2. (a) As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and on the basis of our examination of the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3. (a) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not granted any loans, secured or unsecured, to companies, firms or
other parties listed in the register maintained under Section 301 of
the Companies Act, 1956. Consequently, the provisions of clauses iii
(b), iii(c) and iii
(d) of the order are not applicable to the Company.
(e) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses (f) & (g) are not applicable to the company.
4. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories & fixed assets and payment
for expenses & for sale of goods. During the course of our audit, no
major instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
5. a) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, the
particulars of contracts or arrangements referred to in section 301 of
the Act have been entered in the register required to be maintained
under that section.
b) As per information & explanations given to us and in our opinion,
the transaction entered into by the company with parties covered u/s
301 of the Act does not exceeds five lacs rupees in a financial year
therefore requirement of reasonableness of transactions does not
arises.
6. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
7. As per information & explanations given by the management, the
Company has an internal audit system commensurate with its size and the
nature of its business.
8. The Central Government has not prescribed the maintenance of the
cost records U/s. 209(1)(d) of the Companies Act, 1956 for any of the
products of the company.
9. (a) According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2014 for a period of more than six months from the date they
became payable.
(b) According to the information and explanations given to us, there is
no amounts payable in respect of income tax, wealth tax, service tax,
sales tax, customs duty and excise duty which have not been deposited
on account of any disputes.
10. The Company have accumulated losses of Rs. 346.94 lacs as at
31.03.2014.The company has incurred cash losses during the financial
year covered by our audit.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
14. According to information and explanations given to us, the Company
did not deal in Shares, Mutual funds & other Investments. Proper
records & timely entries have been maintained in regard to investments
made by company in its own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
16. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
17. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2014, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
19. The Company has no outstanding debentures during the period under
audit.
20. The Company has not raised any money by public issue during the
year.
21. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For Ashvin Thumar & Co
Chartered Accountants
Ashvin Thumar
Membership No. 138376
Date: 14th August, 2014
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s. FISCHER CHEMIC
LIMITED, CHENNAI, as at March 31, 2012 and the Statement of Profit and
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. Our responsibility is to express an opinion
on these financial statements based on our audit.
2. We have conducted our audit in accordance with the auditing
statement 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
mis-statement. An audit 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 of India in terms of Sub-Section (4A) of
Section 227 of the Companies Act, 1956, we enclose in the Annexure, a
statement on the matters specified in paragraph 4 & 5 of the said
Order.
4. Further to my comments in the Annexure referred to 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 purpose of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the company so far as appears from my 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 and the profit and 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;
e) On the basis of written representation received from the Directors
as on 31st March, 2012 and taken on record by the Board of Directors,
we report that none of the Dir*;tor is disqualified as on 31st March
2012 from being appointed as a director in terms of clause (g) of
Section 274 of the Companies Act, 1956;
f) In our opinion and to the best of our information and according to
the explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and
subject to Note No.7 of the Annexure relating to strengthening of
internal audit system, Note No. 26(a) of Schedule 20 - Notes to
Accounts relating to non-obtaining of confirmation of balances from
debtors, creditors and other parties, Note No. 26(d) of Schedule 20 -
Notes to Accounts relating to their status under Micro, small and
Medium Enterprises Development Act, 2006 give a true and fair view in
conformity with the accounting principles generally accepted in India:
i. In the case of Balance Sheet of the State of Affairs of the Company
as at March 31, 2012;
ii. In the case of the profit and loss account, of the Loss for the
year ended on that date;
iii. In the case of the Cash Flow statement of the cash flows for the
year ended on that date.
Annexure to Auditors' Report
(Referred to in paragraph 3 of our report of even date )
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets. The same needs to be updated.
(b) All the assets have been physically verified by the management
during the year in accordance with a programme of verification which,
in our opinion, is reasonable having regard to the size of the company
and the nature of its assets. No material discrepancies were noticed on
such verification.
(c) The company has not sold/disposed off any significant portion of
the fixed assets during the year,
2. (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) On the basis of our examination of the records of inventory, we are
of the opinion that the company is maintaining proper records of
inventory. The discrepancies noticed on verification between the
physical stocks and the book records were not material.
3. In respect of loans granted:
(a) The company had not granted any loan, secured or unsecured, to any
party covered in the register maintained under section 301 of the
Companies Act, 1956.
In respect of loans taken:
(a) The company had taken unsecured loan from two parties covered in
the register maintained under section 301 of the Companies Act, 1956.
The maximum amount involved during the year was Rs.43,25,607/- and the
year-end balance of loans taken from such parties was Rs.43,25,607/-.
(b) No interest has been paid on such unsecured loans and the same is
not prejudicial to the interest of the company or its members.
(c) There are no terms and conditions or period specified with regard
to repayment of loans and hence we are unable to express an opinion on
the repayment of loans taken or given.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regard to purchases of inventory, fixed assets and with regard to
sale of goods and services. During the course of our audit, no major
weakness has been noticed in the internal controls.
5. I n respect of transactions entered in the register maintained in
pursuance of Section 301 of the Act:
a) According to the information and explanations given to me, the
particulars of contracts or arrangements referred to in Section 301 of
the Act that needed to be entered into the register have been so
entered;
b) According to the information and explanations given to me, there
were no purchase or sale transactions or provision of any services
during the year with parties covered under Section 301 of the Companies
Act, 1956
6. In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits from public
during the year as per the provisions of sections 58A and 58AA of the
Companies Act, 1956
7. In our opinion, the internal audit system of the company needs to
be strengthened to commensurate with the size and nature of its
business carried on during the year under review.
8. In our opinion and according to the information and explanations
given to me, maintenance of cost records under section 209 (1) (d) of
the Companies Act 1956 has not been prescribed for the products dealt
by the company.
9. Statutory and other dues
(a) According to the information and explanations given to us, the
company is regular in depositing the undisputed statutory dues relating
to the contribution under Income Tax, Provident Fund Act, Employee's
State Insurance Act and the Sales Tax dues, Wealth Tax, Fringe Benefit
Tax wherever applicable to it with appropriate authorities. The Company
is generally regular in depositing other statutory dues including
Customs duty, excise-duty, cess and other statutory dues applicable to
it with the appropriate authorities during the year.
(b) According to the information and explanations given to us,
undisputed amounts payable in respect of contribution under Provident
Fund Act, Employee's State Insurance Act, Wealth-tax under Wealth tax
act and Fringe Benefit tax under Income Tax Act which were in arrears
as at 31st March 2012 for a period of more than 6 months from the date
they became payable are as given below:
Nature of Statute Nature of dues Amount Period to which
(Rs.) the Amount
relates
Income Tax Act, Fringe benefit
1961 tax 569,770 2005-06,2006-
07,2007-08,
2008-09
Wealth Tax Act, Wealth tax 100,166 2006-07,2007-
1957 08,2008-09.
(c) According to the information and explanations given to us, there
was no dues income-tax/sales tax/service tax/ wealth tax/ customs
duty/excise duty or cess which have not been deposited on account of
any disputes during the year.
10. The company's accumulated losses exceeded its net worth at the end
of the year. The company has incurred cash losses during the current
year and in the year immediately preceding the current financial year.
11. According to the information and explanations given by the
management, we are of the opinion that the company has not defaulted in
repayment of dues to the bank. The company does not have any debenture
holders.
12. According to the information and explanations given to us and
based on our examination of the documents and records, we are of the
opinion that no loans or advances have been granted by the company on
the basis of security by way of pledge of shares, debentures and other
securities.
13. In our opinion, the company is not a chit fund or nidhi / mutual
benefit fund/society. Therefore, provisions of clause (xiii) of the
Companies (Auditor's Report) Order, 2003 are not applicable to the
company.
14. In our opinion, the company is not dealing in or trading in
shares, securities, debentures and other investments.
Accordingly, the provisions of clause (xiv) of the Companies (Auditor's
Report) Order, 2003 are not applicable to the company.
15. According to the information and explanations given to us and
based on our examination of the documents and records, no guarantee was
given by the company for loans taken by others from banks or other
financial institutions during the year.
16. In our opinion and according to the information and explanation
given to us, the Company had applied the any term loan for the purpose
for which they were raised during the year.
17. According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that the no funds raised on short-term basis have been used for
long-term investment No long-term funds have been used to finance
short-term assets except permanent working capital.
18. The company has not any made preferential allotment of shares
during the year to parties covered in the register maintained under
section 301 of the Act.
19. The company had not issued any debentures in the current year.
20. The company had not raised any money through public issues during
the year.
21. According to the information and explanations given to us, no
fraud on or by the company was noticed or reported during the course of
our audit.
For VIVEKANANDAN ASSOCIATES
Chartered Accountants
Firm Registration No. 05268 S
N.SUBRAMANIAN
Partner
Date : 18thMay2012 Membership Number: 021628
Mar 31, 2010
1. We have audited the attached Balance Sheet of Fischer Chemic
Limited, as at 31st March 2010, 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 the 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, as
amended by the Companies (Auditors Report) (Amendment) Order, 2004
(together Ãthe OrderÃ) issued by the Central Government of India in
terms of sub-section (4A) of section 227 of the Companies Act, 1956, of
India (the ÃActÃ) and on the basis of such checks of the books and
records of the Company as we considered appropriate and according to
the information and explanations given to us, we give in the Annexure a
statement on the matters specified in 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: -
41 We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of
audit
4.2 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
such books.
4.3 The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account.
4.4 In our opinion, the Balance Sheet, the Profit & Loss Account and
the Cash Flow Statement dealt with by this report comply with the
Accounting Standards, except as stated in
Note 14 of Schedule No.20 - Notes on Accounts, Referred to in Section
211 (3C) of the Companies Act, 1956.
4.5 On the basis of the written representations received from the
Directors, as on 31st March, 2010 and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2010 from being appointed as a Director in terms of Clause
(g) of sub-section (1) of section 274 of the Companies Act, 1956.
4.6 Attention is invited to the following matters:
4.6.1 Confirmation of balance as on 31st March 2010 is pending from
Sundry Debtors, Sundry Creditors, Unsecured Loans, Loans & Advances,
Deposits and Other Current Assets as mentioned in Note No.17 (a) of
Schedule No. 20 - Notes on Accounts wherein the effect on the profit is
not quantifiable.
4.6.2 The Company has provided for the liability on Gratuity and
compensated absences on the basis of the estimates made by the
Management without obtaining the Actuarial valuation as mentioned in
Note No.14 of Schedule No. 20 - Notes on Accounts, wherein the effect
on the Profit is not quantifiable.
4.7 Attention is invited to the following matters:
4.7.1 The Company has not received information from vendors regarding
their status under Micro, small and Medium Enterprises Development Act,
2006 as mentioned in Note No.13 of Schedule No.20 - Notes on Accounts.
4.8 In our opinion and to the best our information and according to the
explanations given to us read together with the accounting policies and
notes thereon, the said accounts subject to paragraph 4.6 above, 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.
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 & Loss Account of the LOSS 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 to Auditors Report
(Referred to in paragraph 3 of our report of even date to the Members
of FISCHER CHEMIC LIMITED on the Financial Statements for the year
ended 31st March, 2010)
(i) (a) The Company has not maintained proper records showing full
particulars including quantitative details and situation of fixed
assets. The Fixed Assets Register needs to be updated to provide full
particulars including quantitative details and situation of fixed
assets.
(b) The fixed assets have not been verified by the management at
reasonable intervals and hence reporting on any material discrepancies
on such verification does not arise.
(c) The Company has not disposed off substantial part of fixed assets
during the year,
(ii) (a) As explained to us, inventories were physically verified
during the year by the management.
(b) In our opinion, the procedure of physical verification of
inventories followed by the Management is reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and material discrepancies noticed during such physical
verification have been properly dealt with in the books of accounts.
(iii) (a) The Company had not granted unsecured loans to a Company
covered in the register maintained under Section 301 of the Companies
Act, 1956 and hence reporting under the provisions of clause
4(1)(iii)(a) to (d) does not arise.
(b) The Company had taken unsecured interest free loans from the Two of
its Directors covered in the register maintained under Section 301 of
the Companies Act, 1956 and the maximum amount involved during the year
was Rs. 42.82 lakhs and the year-end balance was Rs. 32.47 lakhs.
(c) In our opinion and according to the information and explanations
given to us, the loans are interest free and other terms and conditions
on which the loans have been taken from Parties listed in the register
maintained under Section 301 of the Companies Act, 1956 are not, prima
facie, prejudicial to the interest of the Company
(d) In respect of loans taken by the Company they are interest free and
no time limit for repayment is stipulated
and hence reporting under the provisions of clause 4(1)(iii)(g) does
not arise.
(iv) In our opinion and according to the information and explanations
given to us, there are internal control procedures commensurate with
the size of the company and the nature of its business with regard to
purchases of fixed assets, inventory and with regard to the sale of
goods. During the course of our audit, we have not observed continuing
failure to correct major weaknesses in internal control.
(v) (a) According to the information and explanations given to us, we
are of the opinion that the transactions / particulars of contracts or
arrangements referred to in section 301 of the Act have been entered in
the register maintained under that section.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements exceeding the value of Rupees Five lakhs in respect of any
party during the year have been made at prices which are reasonable
having regard to the prevailing market prices at the relevant time.
(vi) In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits from public
during the year under the provisions of Section 58A of the Companies
Act, 1956 and the Companies (Acceptance of Deposits) Rules, 1975 and
hence the provisions clause 4(1)(vi) of the Order are not applicable to
the company
(vii) In our opinion, the internal audit system of the company needs to
be strengthened to commensurate with the size and nature of its
business.
(viii) As per the information and explanations given to us, the
maintenance of cost records has not been prescribed by the Central
Government under clause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 hence the provisions clause 4(1)(viii) of the Order
are not applicable to the company
(ix) (a) According to the records of the Company, the company is not
regular in depositing the undisputed statutory dues relating to the
contributions under Income Tax, Provident Fund Act, Employees State
Insurance Act and the Sales Tax dues, Wealth Tax, Fringe Benefit Tax
wherever applicable to it with appropriate authorities. The Company is
generally regular in depositing other statutory dues, including, Excise
Duty, Customs Duty and other applicable dues with appropriate
authorities.
According to the information and explanations given to us, the
undisputed amounts payable in respect of contributions under the
Provident Fund Act, Employees State Insurance Act, Wealth tax under
Wealth tax act and Fringe Benefit Tax under the Income Tax Act which
were in arrears as at 31st March 2010 for a period of more than six
months from the date they became payable are as given below -
Nature of Nature of Dues Amount Period to
Statute (Rs.) which the
amount relates
Provident Fund Act Provident Fund 146,833 2008-09, 2009-10
Contribution
Employees State ESI Contribution 468,927 200607, 2007-08,
Insurance Act 200809
Income Tax
Act, 1961 Fringe Benefit
Tax 569,770 200506, 200607,
2007-08, 200809
Wealth Tax
Act, 1957 Wealth Tax 100,166 200607, 2007-08.
200809
(b) According to the information and explanation given to us, there are
no dues of sales tax, income tax, customs duty, excise duty and cess,
which have not been deposited on account of disputes.
(x) In our opinion, the accumulated losses of the company are not less
than fifty percent of its net worth without considering the
non-quantifiable qualifications referred to in clause 4.6.1 and 4.6.2
of our audit report. The company has incurred cash losses during the
financial year covered by our audit and not incurred such cash losses
during the immediately preceding financial year.
(xi) According to the records of the Company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of its dues to any Bank / Financial Institutions at the
Balance sheet date
(xii) In our opinion and according to the information and explanations
given to us, the company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities and hence the provisions clause 4(1)(xii) of the Order are
not applicable to the company
(xiii) In our opinion, the company is not a chit fund or a nidhi /
mutual benefit fund / society and hence, the provisions of clause
4(xiii) of the Order are not applicable to the company
(xiv) In our opinion, the company is not a dealer or trader in shares,
securities, debentures and other investments, and hence, the provisions
of clause 4(xiv) of the Order are not applicable to the company
(xv) In our opinion and according to the information and explanations
given to us, the company has not given any guarantee for loans taken by
others from bank or financial institutions and hence the provisions of
clause 4(xv) of the Order is not applicable to the company
(xvi) In our opinion and according to the information and explanations
given to us, the Company has not availed any term loan during the year
and hence the provision of clause 4(xvi) of the order is not applicable
to the company
(xvii) According to the information and explanation given to us and on
the basis of an overall examination of the Balance Sheet of the
Company, there are no funds raised on short-term basis which have been
used for long-term investments.
(xviii) According to the information and explanations given to us, the
company has not made preferential allotment of shares during the year
to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956, and hence provisions of clause
4(xviii) of the order is not applicable to the company
(xix) According to the information and explanations given to us, the
company has neither any outstanding debentures at the beginning of the
year nor it has issued any debentures during the year and hence the
provisions of clause 4 (xix) of the order are not applicable to the
company
(xx) According to the information and explanations given to us, the
company has not raised money by public issues during the year and hence
the provisions of clause 4 (xx) of the order are not applicable to the
company
(xxi) During the course of our examination of the books and records of
the Company carried out in accordance with the generally accepted
auditing practices 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.
Place: CHENNAI For MANIAN & NARAYANAN
Date : 30th August 2010 Chartered Accountants
Firm Regn No: 001982S
C. Subramanian
Partner
M No: 27959