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Auditor Report of Globus Power Generation Ltd.

Mar 31, 2015

We have audited the accompanying Standalone financial statements of Globus Power Generation Limited (''the Company"), which comprise the Balance Sheet as at 31st Match, 2015 and the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.

Management's Responsibility Tor the Standalone Financial Statements

The Company's Board of Directors is responsible for the mailers slated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the prepare lion of these standalone financial selections that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014, This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for pre vending and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates dial 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 lo the preparation and presentation of the financial statement is dial give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor's Responsibility

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

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

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

An audit involves performing procedures to obtain audit evidence about the amounts and 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.

ANNEXURE CARO)

(Financial Year ending on 31,03.2015)

GLOBUS POWER GENERATION LIMITED (Referred to in sub paragraph h of our report of even date)

1.a) whether the company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets: -Yes-

b) whether these fixed assets have been physically verified by the management at reasonable intervals; whether any material discrepancies were noticed on such verification and if so, whether the same have been properly dealt with in the books of account; -Yes, no discrepancies noticed-2,

a) whether physical verification of inventory has been conducted at reasonable intervals by the management;

-No Inventory held-

h) are the procedures of physical verification of inventory followed by the management reasonable and adequate in relation to the size of the company and the nature of its business. If not, the inadequacies in such procedures should be reported;

-N.A.-

c) whether the company is maintaining proper records of inventory and whether any material discrepancies were noticed on physical verification and if so, whether the same have been properly dealt with in the boots of account;

-N.A-

3. whether The company has granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act. If so,

-Yes, loans Si advances are given to its WOS (TGPPL)-

a) whether receipt of the principal amount and interest are also regular; and

-The loan is interest free .Repayment &float is noticed-

b) if overdue Amount is more than rupees one laklv whether reasonable steps have been taken by the company for recovery of the principal and interest;

-NA-

4. Is there an adequate internal control system commensurate with the size of the comply and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. Whether there is a continuing failure to correct major weaknesses in internal control system.

-Yes, there is no such continuing failure -

5. In case the company has accepted deposits, whether the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under, where applicable, have been complied with- If not, the nature of contraventions should be stated; If an order has been passed by Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal, whether the same has been complied with or not-

-No such deposits accepted during the year-

6. Where maintenance of cost records Government under sub section (1) of section, been specified by the Central of the Companies Act, whether lias 148 such accounts and records have been made and maintained;

-No such cost records are prescribed Jjp MCA-

1,a) is the company regular in depositing undisputed statutory dues including provident fund, employees state insurance, income tax, sales-tax, wealth tax, service tax, duty of customs, duty of excise, value added tax cases and any other statutory dues with the appropriate authorities and if not, the extent of the arrears of outstanding statutory dues as at the last day of the financial year concerned tor a period of more than six months from tile date they became payable, shall be indicated by the auditor.

-Yes ,it Is regular wherever there are any stitch statutory dues, Arrears exceeding 6 months as at B/sheet date -NIL-

b) in case dues of income lax or sales tax or wealth tax or service tax or duly of customs or duty of excise or value added tax or cases have not been deposited on account of any dispute, then the amount involved and the forum where dispute is pending shall be mentioned. (A mete representation to the concerned Department shall not constitute a dispute),

-NIL-

e) whether the amount required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 -l of 1956) and rules made there under has been transferred to such fund within time.

-There is no such amount as is required to be transferred to such fund

f. Whether in case of a company which has been registered for a period not less than live years, its accumulated losses at the end of the financial year are not less than fifty per cent of its net worth and whether it lias incurred cash losses in such financial year and in the immediately preceding financial year;

I) Accumulated Losses Rs. 621. 51 Lacs (PY 555.77 Lacs), it does not exceed 50% offset worth of the company,

ii) Cash tosses incurred during the year RS. 66.21 Lacs (PY NU)

9. Wieldier the company has defaulted in repayment of dues to a financial institution or bank or debenture holders- if yes, the period and amount of default to be reported:

-No such Came availed by the company.

10. Whether the company has given any guarantee for loans taken by others from bank or financial institutions, the terms and conditions whereof are prejudicial to the interest of the company;

i- Yes, Guarantee given Rs 4932.09 lacs (PY W/- to SBBI for foam taken by WOS-TGPPL.

ii) Terms and condition are not prejudicial.

1. Whether term loans were applied for the purpose for which the loans were obtained;

-No such term loan accepted during the year-

12. Whether any fraud on or by the company has been noticed or reported during the year; If yes, the nature and the amount involved us to be indicated.

-No such fraud is noticed or reported-

For Padam Dinesh. & Co.

DATE :13/08/2 015 Chartered Accountants

PLACE : New Delhi FRN - 009061N



Sd/-

CA. Rakesh Aggarwal

Partner

M.No.84226


Mar 31, 2014

We have audited the accompanying financial statements of M/s. Globus Power Generation Limited, which comprise the Balance Sheet as at 31M march 2014, Statement of Profit & Loss and Cash Flow Statement for the year ended as on that date and a summary of significant accounting policies and other Notes 6c Explanatory information.

Management''s Responsibility for the financial statements

Management is responsible for the preparation of these financial statements that give a true & 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 Sec. 133 of the Companies Act. 2013 and in accordance with the accounting principles generally accepted in India. 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 anc fair view and are free from the material misstatement, whether due to fraud or error.

Auditor''s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the standards on Auditing issued by the Institute of Chartered Accountants of India. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assuranee 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 crder to design audit procedures that arc appropriate to the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company''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

(Pursuant to section 227(2) of the Act)

In cur opinion and to the best of our information and according to the explanations given to us, the said Financial Statements give the information required by the Act in the manner so required and give a tru2 and fair view in conformity with accounting principles generally accepted in India:

a) In so far as it relates to the Balance Sheet of the state of affairs of the Company as at 31" March, 2014.

b) In so far as it relates to the Statement of Profit and Loss of the loss of the Company for the year ended on that date.

c) In the case of Cash Flow statement, of the cash f ows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

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

a) We have obtained all the information and explanations, which tc the best of our knowledge and belief were necessary for the purpose of our audit.

b) In our opinion proper books of Accounts as required by law have been maintained by the Company so far as appears from our examination of such 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 sub section 3C of section 211 of the Act, read with the General Circular 15/2013 dated 13th September 2013 of the Ministry of Corporate Affairs in respect of Sec. 133 of the Companies Act, 2013

c) On the basis of 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.

2. As required by the companies (Auditors report) order, 2003 issued by company Law Board in terms of section 227 (4A) of the Act, we enclose in the annexure a statement on the matters specified in paragraph 4 & 5 of the said order.

ANNEXURE (CARO) (Year ending on 31.03.2014) GLOBUS POWER GENERATION LIMITED (Referred to in paragraph 2 of our report of even date) (i) (a) Whether the Company is maintaining proper records showing full particulars, including quantitative details anc situation of fixed assets;

-Yes-

(b) Whether these fixed assets have been physically verified by the management at reasonable intervals; whether any material discrepancies were noticed on such verification and if so, whether the same have been properly dealt with in the hook of account;

- Yes; No discrepancies noticed -

(c) If a substantial part of fixed assets have been disposed of during the year whether it has affected the going concern;

-NA-

(ii) Whether physical verification of inventory has been conducted at reasonable intervals by the management;

- No Inventoty held -

(a) Are the procedure of physical verification of inventory followed by the management reasonable and adequate in relation to the size of the company and the nature of its business- If not, the inadequacies in such procedures should be reported;

-NA-

(b) Whether the Company is maintaining proper records of inventory and whether any material discrepancies were noticed on Physical verification and it so, whether the same have been properly dealt with in the books of account;

- NA-

(iii) (a) Has the company cither granted ary loans , secured or unsecured to companies, firms or other parties covered in the register maintained under sect.on 301 of the Aet, if so. give the number of parties and amount involved in the transactions ;

—No—

(b) Whether the rate of interest and other terms and conditions of loans given by the company, secured or unsecured, arc prima facie prejudicial to the interest of the company; - No-

te) Whether receipt of the principal amount and interest are also regular;

(d) If overcue amount is more than Rupees one lakh, whether reasonable steps have been taken by the company for recovery of the principal and interest;

-NA-

(c) Has the company taken any loans , secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Act, if so, give the number of parties and amount involved in the transactions ;

-No-

(f) Whether the rate of interest and other terms and conditions of loans taken by the company, secured or unsecured, arc prima facie prejudicial to the interest of the company;

-NA-

(g) Whether payment of the principal amount and interest are also regular;

-NA-

(iv) Is there an adequate internal control procedure commensurate with the size of the company and the nature of its business, for the purpose of inventory and fixed assets and for the sale of goods- Whether there is a continuing failure to correct major weakness in internal control;

- Yes, and no such continuing Jailure-

(v) (a) Whether transactions .hat need to be entered into a register in pursuance of section 301 of the Act have been so entered ;

-NA-

(b) Whether each of these transactions has been made at prices which arc reasonable having regard to the prevailing market prices at the relevant time;

-NA-

(This information is required only in case of transactions exceeding the value of five lakh rupees in respect of any party and in any one financial year);

(vi) In case the company has accepted deposits from the public , whether the directives issued by the Reserve bank of India and the Provisions section 58A and 58AA of the Act and the rules framed there under , where applicable, have been complied with . If not, the nature of contraventions should be stated; If an order has been passed by the company Law Board whether the same has been complied with or not-

-NA-

(vii) In the ease of listed companies and ! ui olhei companies having a paid -up capital and reserves exceeding Rs 50 lakhs as at the commencement of the financial year concerned , or having an average annual turnover exceeding five crore rupees for a oeriod of three consecutive financial years immediately preceding the financial year concerned , whether the company has an internal audit system commensurate with its size and nature of its business;

-The company does not have a formal interna! audit system. However in cur opinion there ore adequate internal control procedures commensurate with the size of the company and nature of its business -

(vm) Where Maintenance of cost records has been prescribed by the Central Government under clause (d) of sub-section (1) of section 209 of the Act, whether such accounts and records have been made and maintained:

-NA-

(ix) (a) Is the Company regular in depositing undisputed statutory dues including provident Fund, investor Education and Protection Fund, Employee''s State Insurance, Income Tax, Sales tax, Wealth-tax Custom Duty, Excise Duty, csss and any other statutory dues with the appropriate authorities and if not, the extent of the arrears of outstanding statutory dues as at the las: day of the financial year concerned for a period of more than six months from the date they became payable, shall be indicated by the auditor;

-Yes, wherever there are any such statutory dues;

A rrear of statutory dues exceeding six months as at year end- N!L-

(b) In case dues of sales tax / income tax ! Custom tax / Wealth tax / Excise Du:y / cess have not been deposited on account of any dispute, than the amounts involved and the forum where dispute is pending may please be mentioned.

-NA-

(A mere representation to the Department shall not constitute the dispute);

(x) Whether in case of a company which has been registered for a period not less than five years, its accumulated losses a: the end of the financial year are not less than fifty percent of its net worth and whether it has incurred cash losses in such financial year and in the financial year immediately preceding such financial year also;

- Accumulated losses NIL (LY- NIL-) Cash Losses NIL (LYRs. 27,64,039/-)

(xi) W hether the C ompany has defaulted in repayment of dues to a financial institution or bank or debenture holders- If yes, the period and amount of default to be reported ;

- NA-

(xii) Whether adequate documents and records are maintained in cases where the company has granted loans and advances on the basis of security by way of pledge of shares , debentures and other securities; if not, the deficiencies to be pointed out.

(xiii) Whether the Provisions of any special statute applicable to chit fund have been duly complied with in respect of nidhi/ mutual benefit fund / societies :

-NA-

(a) Whether the Net -owned funds to deposit liability ratio is more than 1:20 as on the date of balance sheet;

(b) Whether the company has complied with the prudential norms on income recognition and provisioning agains: sub-standard/''default, loss assets;

(c) Whether the company has adequate procedures for appraisal of credit proposals/ requests, assessment of credit needs and repayment capacity of the borrowers;

(d) Whether The repayment schedule of various loans granted by the nidhi is based on the repayment capacity of the borrower and would be conducive to recovery of the loan amount;

(xiv) If the company is dealing or trading in shares, securities, debentures and other investments, whether proper records have been maintained of the transactions and contracts and whether timely entries have been made therein; also whether the shares, securities, debentures and other securities have been held by the company, in its own name except to the extent of the exemption, if any, granted under section 49 of the Act;

No such trading in shares -

(xv) Whether the company has given any guarantee for loans taken by others from bank or financial institutions, the terms and conditions where of are prejudicial to the interest of the company;

-NIL-

(xvi) Whether Term loans were applied for the purpose for which the loans were obtained;

-NA-

(xvii) Whether The funds raised on short-term basis have been used for long term investment and vice versa; if yes, the nature and amount is to be indicated;

-NA-

(xviii) Whether The company has made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of Act and if so whether the price at which shares have been issued is prejudicial to the interest of the company;

- Yes preferential allotment is made to such cur/i/mnies — The price of issue is rot prejudicial-

(xix) Whether securities have been created in respect of debentures issued-

(xx) Whether the management has disclosed on tie end use of money raised by public issues and the same has been verified;

-NA-

(xxi) Whether any fraud on or by the company has been noticed or reported during the year; if yes, the nature and the amount involved is to be indicated.

-No such fraud is noticed or reported-

For Padain Dinesh & Co.

Chartered Accountants FRN:-009061N

Sd /-

CA. Rakcsh Aggarwal (Partner)

M. No: 084226

Place : New Delhi Data : 30,th May, 2014


Mar 31, 2013

1. We have audited the attached Balance Sheet of Globus Power Generation Limited as at March 31, 2013, the Profit and Loss Account and Cash Flow Statement of the company 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 (as amended) issued by the Central Government of India in terms of Section 227 (4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order, to the extent applicable.

4. Further to our comments in the annexure referred to in paragraph 3 above, we report that:

(i) 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;

(ii) 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 the books;

(iii) The balance sheet, profit and loss account and cash flow statement dealt with by this report are in agreement with the books of account;

(iv) In our opinion, the balance sheet, profit and loss account and cash flow statement comply with the requirements of the accounting standards referred to in sub-section (3C) of Section 211 of the Companies Act, 1956;

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

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

a) in the case of the balance sheet, of the state of affairs of the Company as at March 31, 2013;

b) in the case of the profit and loss account, of the loss for the year ended on that date; and

c) in the case of the cash flow statement, of the cash flows for the year ended on that date.

ANNEXURE REFERRED TO IN PARAGRAPH (3) OF OUR REPORT OF EVEN DATE ON

THE ACCOUNTS OF GLOBUS POWER GENERATION LIMITED

(Formerly known as M/s Globus Constructors & Developers Limited)

FOR THE YEAR ENDED MARCH 31, 2013

i. The Company does not have any fixed assets.

ii. During the year ended March 31, 2013, the Company does not have any inventory as it has sold off its entire opening inventory in earlier years.

iii. As informed to us, the Company has neither granted nor taken any loan, secured or unsecured to/ from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956.

iv. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of Service. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

v. According to the information and explanations given to us, we are of the opinion that no such transactions have been entered by the Company which is required to be entered into the register maintained under section 301 of the Companies Act, 1956.

vi. The Company has not accepted any deposit from the public with in the provision of section 58A and 58AA of the Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules, 1975.

vii.In our opinion and as per the information & explanations given to us, the company has internal control procedures commensurate with the size and nature of its business.

viii. To the best of our knowledge and according to the explanation given to us the Central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 1956.

ix. (a) The company has generally being regular in depositing with appropriate authorities undisputed statutory dues including provident fund, investor education protection fund, employees, state insurance, income tax, sales tax, wealth tax, custom duty, excise duty, cess and other material statutory dues applicable to it.

(b) According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31st March, 2013 for a period of more than six month form the date they became payable.

(c) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, excise duty and cess, which have not been deposited on account of any dispute.

x. The Company has accumulated losses at the end of the year and has incurred cash losses in the current financial year also, since the company is in its initial phase of setting up of its activities in the infrastructure industry and has incurred statutory and other expenses towards its maintenance. It has also incurred cash losses in the financial year immediately proceeding such financial year.

xi. In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to financial institutions or banks. The Company has not issued any debentures.

xii.According to the information and explanation 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.

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

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

xv. In our opinion, the company has not given any guarantee for the loans taken by others from banks or financial institutions.

xvi.The company did not have any term loan outstanding during the period.

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

xviii. According to the information and explanations given to us, the company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act.

xix.The company did not have outstanding debentures during the year.

xx. The company has not raised any money through any public issue during the year.

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

For BNPSY & Associates Chartered Accountants

FRN-50785C

Sd/-

Date: 22/5/13 S. K. Sharma

Place: New Delhi Partner

Memb. No. 086387


Dec 31, 2009

1. We have audited the attached Balance Sheet of M/s Globus Constructors & Developers Limited, (formerly known as M/s Gupta Fibres Limited) as at December 31, 2009 and also the Profit and Loss account and the Cash Flow Statement for the period 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 of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks of the books and records of the company as we considered appropriate and the information and explanations given to us during the course of audit, we enclose 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:

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 accounts;

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 referred to in Sub-Section (3C) of Section 211 of the Companies Act, 1956, to the extent applicable;

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

f. Subject to the above, in our opinion and to the best of our information and according to the explanations given to us, the said accounts give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India;

i. in the case of the balance sheet, of the state of affairs of the Company as at December 31, 2009;

ii. in the case of the profit and loss account, of the loss for the period ended on that date; and

iii. in the case of cash flow statement, of the cash flows for the period ended on that date.

REFERRED TO IN PARAGRAPH (3) OF OUR REPORT OF EVEN DATE ON THE ACCOUNTS OF M/S GLOBUS CONSTRUCTORS & DEVELOPERS LIMITED (Formerly known as M/s Gupta Fibres Limited) FOR THE YEAR ENDED 31st DECEMBER 2009:

i. The Company does not have any fixed assets.

ii. In respect of its inventories

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

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) On the basis of our examination of the records of inventory and according to the information and explanations given to us, we are of the opinion that the Company is maintaining proper records of inventory.

iii. The Company has not granted any loans, secured or unsecured, to Companies, firms or other Parties covered in the register maintained under Section 301 of the Companies Act, 1956. The Company has taken unsecured loan repayable on demand from directors. The maximum amount involved during the year was Rs. 10,000/- and the yearend balance of unsecured loan taken from such parties is Rs. 10,000/-.

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

v. In respect of contracts or arrangements referred to in Section 301 of the Act

a. According to the information and explanations given to us, there was no contract or arrangement during the period needed to be entered in the register maintained under Section 301 of the Companies Act, 1956.

b. The Company has not conducted transactions during the period in respect of the Party in pursuance of contracts or arrangement entered in register maintained under section 301 of the Companies Act, 1956.

vi. The Company has not accepted any deposits from the public within the meaning of sections 58A, 58AA or any other relevant provisions of the Companies Act, 1956 and rules framed there under.

vii. In our opinion internal control procedures commensurate with the size of the Company and the nature of its business although no separate internal audit department is functioning.

viii. To the best of our knowledge and as explained, the central government has not prescribed maintenance of cost records under Section 209(1) (d) of the Companies Act, 1956 for the products of the Company.

ix. In respect of statutory dues;

a. According to the information and explanation given to us, the company is generally regular in depositing with appropriate authorities undisputed statutory dues applicable to it.

b. According to the information and explanations given to us, there are no disputed statutory dues outstanding at the end of the period which was not deposited with respective statutory authorities.

x. The Company pursuant to a Scheme of Capital Reduction sanctioned by the Honble High Court of Delhi on 15.12.2009 & by allotment of Preference Shares on 31.12.2009 has been able to make its Net Worth positive and thus Accumulated Losses at the end of the period have not exceeded fifty percent of the net worth of the Company. However, the Company has incurred cash losses during the period covered by our audit and as well in the immediately preceding financial year.

xi. Based on our audit procedures and as per the information and explanations given by the management, the Company has not defaulted in repayment of any dues to a financial institution, banks or debenture holders.

xii. According to the information and explanations given to us and based on the documents and records produced 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.

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

xiv. In our opinion and according to the information and explanations given to us, the Company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditors Report) Order, 2003 (as amended) 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.

xvi. The Company did not have any term loans outstanding during the period.

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

xviii. During the period, the Company has not made any preferential allotment of shares to parties or companies covered in the register maintained under Section 301 of the Companies Act, 1956.

xix. The Company did not have any outstanding debentures during the year.

xx. The Company has not raised any money through a public issue during the year.

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

For BNPSY & Associates Chartered Accountants

Sd/-

S. K. Sharma

Date: 05.02.2010 Partner

Place: New Delhi Membership No.: 086387




Mar 31, 2009

1. We have audited the attached Balance Sheet of Globus Constructors & Developers Limited, (formerly Gupta fibres Limited) as at March 31, 2009 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 Companies 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 of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks of the books and records of the Company as we considered appropriate and the information and explanations given to us during the course of audit, we enclose 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:

i. 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;

ii. 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;

iii. The balance sheet, profit and loss account and cash flow statement dealt with by this report are in agreement with the books of accounts;

iv. In our opinion, the Balance Sheet, Profit and Loss account and Cash Flow statement dealt with by this report comply with the accounting standards referred to in sub-section (3C) of Section 211 of the Companies Act, 1956, to the extent applicable;

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

vi. Subject to the above, 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 the said account give a true and fair view in conformity with the accounting principles generally accepted in India;

a) in the case of the balance sheet, of the state of affairs of the Company as at March 31, 2009;

b) in the case of the profit and loss account, of the profit for the year ended on that date; and

c) in the case of cash flow statement, of the cash flows for the year ended on that date.

REFERRED TO IN PARAGRAPH (3) OF OUR REPORT OF EVEN DATE ON THE ACCOUNTS OF GLOBUS CONSTRUCTORS & DEVELOPERS LIMITED (Formerly Known as M/s Gupta Fibres Limited) FOR THE YEAR ENDED 31st MARCH 2009:

I. The Company does not have any fixed assets.

II. In respect of its inventories

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

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

c) On the basis of our examination of the records of inventory and according to the information and explanations given to us, we are of the opinion that the Company is maintaining proper records of inventory.

III. The Company has not granted or taken any loans, secured or unsecured, to companies, firms or other Parties covered in the register maintained under Section 301 of the Companies Act, 1956. As the Company has not granted nor taken any loans, secured or unsecured from/to parties listed in the register maintained under Section 301 of the Companies Act, 1956 the provisions are not applicable.

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

V. In respect of contracts or arrangements referred to in section 301 of the Act

a. According to the information and explanations given to us, there was no contract or arrangement during the year needed to be entered in the register maintained under Section 301 of the Companies Act, 1956.

b. The Company has not conducted transactions during the year in respect of the Party in pursuance of Contracts or arrangement entered in register maintained under Section 301 of the Companies Act, 1956.

VI. The Company has not accepted any deposits from the public within the meaning of Sections 58A, 58AA or any other relevant provisions of the Companies Act, 1956 and rules framed there under.

VII. In our opinion internal control procedures commensurate with the size of the Company and the nature of its business although no separate internal audit department is functioning.

VIII. To the best of our knowledge and as explained, the central government has not prescribed maintenance of cost records under Section 209(1) (d) of the Companies Act, 1956 for the products of the Company.

IX. In respect of statutory dues;

a) According to the information and explanation given to us, the Company is generally regular in depositing with appropriate authorities undisputed statutory dues applicable to it during the year.

b) According to the information and explanations given to us, there are no disputed statutory dues outstanding at the end of the year which was not deposited with respective statutory authorities.

X. Accumulated Losses at the end of the financial year have exceeded fifty percent of the net worth of the Company. Further the Company has also incurred cash losses during the financial year covered by our audit and as well in the immediately preceding financial year.

XI. Based on our audit procedures and as per the information and explanations given by the management, the Company has not defaulted in repayment of any dues to a financial institution, banks or debenture holders.

XII According to the information and explanations given to us and based on the documents and records produced 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.

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

XIV. In our opinion and according to the information and explanations given to us, the Company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditors Report) Order, 2003 (as amended) 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.

XVI. The Company did not have any term loans outstanding during the year.

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

XVIII. During the year, the Company has not made any preferential allotment of shares to parties or companies covered in the register maintained under Section 301 of the Companies Act, 1956.

XIX. The Company did not have any outstanding debentures during the year.

XX. The Company has not raised any money through a public issue during the year.

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

For BNPSY & Associates

Sd/-

S. K. Sharma

Partner

M. No. 086387

Place: New Delhi Dated: 03.12.2009

 
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