Mar 31, 2014
We have audited the accompanying financial statements of Gujchem
Distillers India Limited (the ''Company''), which comprise the Balance
Sheet as at 31st March, 2014, the Statement of Profit and Loss and the
Cash Flow Statement for the year then ended, and a summary of
significant accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the accounting standards referred to in Section 211(3C) of the
Companies Act, 1956 read with the General Circular No.15/ 2013 dated
13th September, 2013 of the Ministry of Corporate Affairs with respect
to Section 133 of the Companies Act, 2013. This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances 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 management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion, and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
(b) in the case of the Statement of Profit and Loss, of the loss for
the year ended on that date; and
(c) in case of the Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 and as
amended by the Companies (Auditor''s Report) (Amendment) Order, 2004
(together the ''Order'') issued by the Central Government of India in
terms of Section 227 (4A) of the Companies Act, 1956, 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 Companies Act, 1956, we report
that:
a) we have obtained all 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, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
d) in our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement comply with the accounting standards
referred to in Section 211 (3C) of the Companies Act, 1956 read with
the General Circular No.15/2013 dated 13th September, 2013 of the
Ministry of Corporate Affairs with respect to Section 133 of the
Companies Act, 2013; and
e) on the basis of the written representations received from directors
of the Company as on 31st March, 2014, and taken on record by the Board
of Directors, we report that none of the directors is disqualified as
on 31st March, 2014, from being appointed as a director in terms of
Section 274 (1)(g) of the Companies Act, 1956.
ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT
(Referred to in Paragraph 1 of our report of even date)
(i) (a) The Company is maintaining proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) As explained to us, all the fixed assets have not been physically
verified by the management during the year but there is a regular
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 disposed of any substantial part of its fixed
assets during the year so as to affect its going concern status.
(ii) (a) As explained to us, the Company did not carry any inventory
during the year. Accordingly, the Clauses 4(ii) (a), (b) and (c) of the
Order are not applicable to the Company.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loans, secured or unsecured, to
companies, firms and other parties covered in the register maintained
under Section 301 of the Companies Act, 1956. Accordingly, the Clauses
4(iii) (b), (c) and (d) of the Order are not applicable to the Company.
(b) According to the information and explanations given to us, the
Company has not taken any loans, secured or unsecured, from companies
and firms covered in the register maintained under Section 301 of the
Companies Act, 1956. The Company has taken an unsecured interest-free
loan from a director amounting to Rs. 1.50 lacs and has been repaid
during the year. The terms and conditions are prima facie not
prejudicial to the interest to the Company. There is no balance
outstanding at the year-end.
(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 audit, we have neither come across nor
have been informed of any continuing failure to correct major
weaknesses in internal control system.
(v) (a) According to the information and explanations given to us, we
are of the opinion that the particulars of contracts or arrangements
that need to be entered in the register maintained under Section 301 of
the Companies Act, 1956, have been entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contract or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
(vi) In our opinion and according to the information and explanations
given to us, during the year the Company has complied with the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
Companies (Acceptance of Deposits) Rules, 1975. During the year, no
order has been passed by the Company Law Board, National Company Law
Tribunal or Reserve Bank of India or any Court or any other Tribunal.
(vii) The Company had appointed an independent firm of chartered
accountants as internal auditors up till for the year 1993-94. Due to
stoppage of the manufacturing activities of the Company, the internal
audit function has not been carried out since then.
(viii) As there are no manufacturing activities carried out during the
year, the requirements of the maintenance of cost records under Section
209(1 )(d) of the Companies Act, 1956 are not applicable to the
Company.
(ix) (a) According to the information and explanations given to us, in
our opinion, the Company has been regular in depositing undisputed
statutory dues including investor education and protection fund, income
tax, wealth tax, sales tax, vat, custom duty, excise duty, service tax
and cess, wherever applicable, with the appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax,
customs duty, excise duty, service tax and cess were in arrears, as at
31st March, 2014 for a period of more than six months from the date
they become payable.
(c) According to the information and explanations given to us, the
following disputed dues have not been deposited since the matters are
pending with the relevant forum are:
Nature of Statute Nature of the dues Amount Period to which
(Rs. lakhs) the amount
relates
Central Excise Central Excise 16.62 1985-86 &
and Salt Act 1986-87
Nature of Statute Forum where
dispute is pending
Central Excise A.O.
and Salt Act Central Excise
Department
(x) The accumulated losses of the Company are not more than fifty
percent of its net worth. The Company has not incurred cash losses
during the financial year and in the immediately preceding financial
year.
(xi) According to the information and explanations given to us and as
per the records of the Company examined by us, the Company has not
defaulted in repayment of dues to banks. The Company did not have any
outstanding dues to any financial institutions. The Company has not
issued any debentures. Accordingly, the Paragraph 4(xi) of the Order
is not applicable to the Company.
(xii) 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. Accordingly,
the Clause 4(xii) of the Order is not applicable to the Company.
(xiii) According to the information and explanations given to us, the
provisions of any special statute applicable to chit fund / nidhi /
mutual benefit fund / societies are not applicable to the Company.
(xiv) According to the information and explanations given to us, the
Company is not dealing or trading in shares, securities, debentures and
other investments. Accordingly, the Clause 4(xiv) of the Order is not
applicable to the Company.
(xv) 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. Accordingly, the Clause 4(xv) of the Order
is not applicable to the Company.
(xvi) According to the information and explanations given to us, the
Company has not availed any term- loan during the year. Accordingly,
the Clause 4(xvi) of the Order is not applicable to the Company.
(xvii) According to the information and explanations given to us and on
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 any preferential allotment of shares to parties
and companies covered in the register maintained under Section 301 of
the Companies Act, 1956, during the year. Accordingly, the Clause 4
(xviii) of the Order is not applicable to the Company.
(xix) The Company has not issued any debentures during the year.
Accordingly, the Clause 4(xix) of the Order is not applicable to the
Company.
(xx) The Company has not raised any money by public issues during the
year. Accordingly, the Clause 4(xx) of the Order is not applicable to
the Company.
(xxi) During the course of our examination of 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 instances of material
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
SHARP & TANNAN
Chartered Accountants
Firm''s Registration No. 109982W
By the hand of
Milind P.Phadke
Ahmedabad, 9th May, 2014 Partner
Membership No. 033013
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Gujchem
Distillers India Limited (the ''Company'') which comprise the Balance
Sheet as at 31st March, 2013, the Statement of Profit and Loss and the
Cash Flow Statement for the year then ended and a summary of
significant accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the accounting standards referred to in Section 211(3C) of the
Companies Act, 1956. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment
of the risks of material misstatement of the financial statements,
whether due to fraud or error. In making those risk assessments, the
auditor considers internal control relevant to the Company''s
preparation and fair presentation of the financial statements in order
to design audit procedures that are appropriate in the circumstances.
An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of the accounting estimates made
by management, as well as evaluating the overall presentation of the
financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
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 Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2013;
(b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
(c) in case of the Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 and
as amended by the Companies (Auditor''s Report) (Amendment) Order,
2004 (together the ''Order'') issued by the Central Government of
India in terms of Section 227 (4A) of the Companies Act, 1956, 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 Companies Act, 1956, we report
that:
a) we have obtained all 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, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
d) in our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement comply with the accounting standards
referred to in Section 211 (3C) of the Companies Act, 1956; and
e) on the basis of the written representations received from directors
of the Company as on 31st March, 2013, and taken on record by the Board
of Directors, we report that none of the directors is disqualified as
on 31st March, 2013, from being appointed as a director in terms of
Section 274 (1)(g) of the Companies Act, 1956.
(i) (a) The Company is maintaining proper records showing full
particulars, including quantitative details and situation of fixed assets.
(b) As explained to us, all the fixed assets have not been physically
verified by the management during the year but there is a regular
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 disposed of any substantial part of its fixed
assets during the year so as to affect its going concern status.
(ii) (a) As explained to us, the Company did not carry any inventory
during the year. Accordingly, the Paragraphs 4(ii) (a), (b) and (c) of
the Order are not applicable to the Company.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loans, secured or unsecured, to
companies, firms and other parties covered in the register maintained
under Section 301 of the Companies Act, 1956. Accordingly, the
Paragraphs 4(iii) (b),
(c) and (d) of the Order are not applicable to the Company.
(b) According to the information and explanations given to us, the
Company has not taken any loans, secured or unsecured, from companies,
firms and other parties covered in the register maintained under
Section 301 of the Companies Act, 1956. Accordingly, the Paragraphs
4(iii) (f) and (g) of the Order are not applicable to the Company.
(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 audit, we have neither come across nor
have been informed of any continuing failure to correct major
weaknesses in internal control system.
(v) (a) According to the information and explanations given to us, we
are of the opinion that the particulars of contracts or arrangements
that need to be entered in the register maintained under Section 301 of
the Companies Act, 1956, have been entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contract or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
(vi) In our opinion and according to the information and explanations
given to us, during the year the Company has complied with the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
Companies (Acceptance of Deposits) Rules, 1975. During the year, no
order has been passed by the Company Law Board, National Company Law
Tribunal or Reserve Bank of India or any Court or any other Tribunal.
(vii) The Company had appointed an independent firm of chartered
accountants as internal auditors up till for the year 1993-94. Due to
stoppage of the manufacturing activities of the Company, the internal
audit function has not been carried out since then.
(viii) As there are no manufacturing activities carried out during the
year, the requirements of the maintenance of cost records under Section
209(1 )(d) of the Companies Act, 1956 are not applicable to the
Company.
(ix) (a) According to the information and explanations given to us, in
our opinion, the Company has been regular in depositing undisputed
statutory dues including investor education and protection fund, wealth
tax, service tax, sales tax, vat, custom duty, excise duty, cess
wherever applicable with the appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of excise duty, income tax,
wealth tax, customs duty, excise duty and cess except service tax of
Rs. 26,285 were in arrears, as at 31st March, 2013 for a period of more
than six months from the date they become payable.
(c) According to the information and explanations given to us, the
following disputed dues have not been deposited since the matters are
pending with the relevant forum are:
Nature of Statute Nature of
the dues Amount Period to
which the Forum where
(Rs. lakhs) amount
relates dispute is
pending
Central Excise Central
Excise 16.62 1985-86 & A.O.
and Salt Act 1986-87 Central
Excise
Department
(x) The accumulated losses of the Company are not more than fifty
percent of its net worth. The Company has not incurred cash losses
during the financial year and in the immediately preceding financial
year.
(xi) According to the information and explanations given to us and as
per the records of the Company examined by us, the Company has not
defaulted in repayment of dues to banks. The Company did not have any
outstanding dues to any financial institutions. The Company has not
issued any debentures. Accordingly, the Paragraph 4(xi) of the Order
is not applicable to the Company.
(xii) 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. Accordingly,
the Paragraph 4(xii) of the Order is not applicable to the Company.
(xiii) According to the information and explanations given to us, the
provisions of any special statute applicable to chit fund / nidhi /
mutual benefit fund / societies are not applicable to the Company.
(xiv) According to the information and explanations given to us, the
Company is not dealing or trading in shares, securities, debentures and
other investments. Accordingly, the Paragraph 4(xiv) of the Order is
not applicable to the Company.
(xv) 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. Accordingly, the Paragraph 4(xv) of the
Order is not applicable to the Company.
(xvi) According to the information and explanations given to us, the
Company has not availed any term- loan during the year. Accordingly,
the Paragraph 4(xvi) of the Order is not applicable to the Company.
(xvii) According to the information and explanations given to us and on
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 any preferential allotment of shares to parties
and companies covered in the register maintained under Section 301 of
the Companies Act, 1956, during the year. Accordingly, the Paragraph 4
(xviii) of the Order is not applicable to the Company.
(xix) The Company has not issued any debentures during the year.
Accordingly, the Paragraph 4(xix) of the Order is not applicable to the
Company.
(xx) The Company has not raised any money by public issues during the
year. Accordingly, the Paragraph 4(xx) of the Order is not applicable
to the Company.
(xxi) During the course of our examination of 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 instances of material
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
SHARP & TANNAN
Chartered Accountants
Registration No. 109982W
By the hand of
Milind P.Phadke
Mumbai, 9th May, 2013 Partner
Membership No. 033013
Mar 31, 2012
We have audited the attached Balance Sheet of Gujchem Distillers India
Limited (the 'Company') as at 31st March, 2012, 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.
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.
In accordance with provisions of Section 227 of the Companies Act 1956,
we report that:
1. As required by the Companies (Auditor's Report) Order, 2003 as
amended by the Companies (Auditor's Report) (Amendment) Order, 2004
(together the 'Order') 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.
2. Further to our 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 purposes of
our audit;
(b) in our opinion, proper books of account, as required by law, have
been kept by the Company so far as it appears from our examination of
those books;
(c) the Balance sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account of the Company;
(d) in our opinion the Balance sheet, the Statement of Profit and Loss
and the Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in Section 211(3C) of the Companies
Act, 1956, to the extent applicable; and
(e) on the basis of the written representations received from the
Directors as on 31st March, 2012 and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2012 from being appointed as a Director in terms of Section
274(1)(g) of the Companies Act, 1956.
In our opinion and according to the explanations given to us, the said
financial statements read together with the Significant Accounting
Policies in Note 2 and Notes forming part of the financial statements
in Note 3 to 31 thereon, give the information required by the Companies
Act, 1956 in the manner so required and give a true and fair view;
(i) in the case of Balance Sheet, of the state of the Company's affairs
as at 31st March, 2012;
(ii) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
(iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph (1) of our Report of even date)
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of Company and the nature of its assets. No material discrepancies
were notice on such verification.
(c) The Company has not disposed off any substantial part of its fixed
assets during the year, so as to affect its going concern status.
2. The Company did not carry any inventory during the year.
Accordingly, the Clauses 4 (a), (b) and (c) of the Order are not
applicable to the Company.
3. (a) According to the information and explanations given to us, the
Company has not granted any loans, secured or unsecured, to companies,
firms and parties covered in the Register maintained under Section 301
of the Companies Act, 1956. Accordingly, Clauses 4 (iii) (b), (c) and
(d) of the Order are not applicable to the Company.
(b) According to the information and explanations given to us, the
Company has not taken any loans, secured or unsecured, from companies,
firms and parties covered in the Register maintained under Section 301
of the Companies Act, 1956. Accordingly, Clauses 4 (iii) (f) and (g) of
the Order are not applicable to the Company.
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 the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods and services. During the course of audit, we have not
observed any continuing failure to correct major weakness in internal
controls.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of Companies Act, 1956 have
been so entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contract or
arrangements entered in the Register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
6. In our opinion and according to the information and explanations
given to us, the Company has generally complied with the provisions of
Sections 58A and 58AA of the Companies Act, 1956 and the Companies
(Acceptance of Deposit) Rule, 1975, except for non filing of return of
deposits, with regard to the deposits accepted from the public. During
the year, no order has been passed by the Company Law Board, National
Company Law Tribunal or Reserve Bank of India or any Court or any other
Tribunal.
7. The Company had appointed an independent firm of chartered
accountants as internal auditors up till for the year 1993-94. Due to
stoppage of the manufacturing activities of the Company, the internal
audit function has not been carried out since then.
8. As there are no manufacturing activities carried out during the
year, the requirements of the maintenance of cost records under Section
209 (1) (d) of the Companies Act, 1956 are not applicable to the
Company.
9. (a) The Company has been generally regular in depositing undisputed
statutory dues in respect of investor education and protection fund,
wealth tax, service tax, sales tax, VAT, custom duty, excise duty, cess
wherever applicable with appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of excise duty, income tax,
wealth tax, service tax, customs duty, excise duty and cess were in
arrears, as at 31st March, 2012 for a period of more than six months
from the date they become payable.
(c) According to the information and explanations given to us, the
disputed dues which have not been deposited since the matters are
pending with the relevant forum are:
Nature of Nature of Amount Period to Forum where
Statute the dues which the dispute is
(Rs. lakhs) amount pending
relates
The Central Central Excise 16.62 1985-86 and A.O.
Excise and 1986-87 Central
Salt Act Excise
Department
10. The accumulated losses of the Company are not more than fifty
percent of its net worth. The Company has not incurred cash losses
during the financial year and in the immediately preceding financial
year.
11. Pursuant to the BIFR Order letter dated 16th September, 2003, 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, debenture holders and banks.
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. In our opinion, the Company is not a chit fund or nidhi/mutual
benefit fund/society Accordingly, the Clause 4 (xiii) of the Order is
not applicable to the Company.
14. 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 Clause 4 (xiv) of the Order is
not applicable to the Company.
15. According to the information and explanations given to us, the
Company has not given any guarantee for loan taken by others from banks
or financial institutions.
16. According to the information and explanations given to us, the
Company has not accepted any term- loan during the year. Accordingly,
the Clause 4 (xvi) of the Order is not applicable to the Company.
17. According to the information and explanations given to us and on
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.
18. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares to parties
and companies covered in the Register maintained under Section 301 of
the Companies Act, 1956, during the year.
19. The Company has not issued any debentures during the year. Hence,
the reporting on Clause 4 (xix) of the Order pertaining to creation of
security or charge for debentures does not arise.
20. The Company has not raised money by way of public issue during the
year. Accordingly, Clause 4 (xx) of the Order is not applicable to the
Company.
21. 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 instances of
material fraud on or by the Company, noticed or reported during the
year, nor have we been informed of such case by the management.
SHARP & TANNAN
Chartered Accountants
Registration No. 109982W
By the hand of
Milind P.Phadke
Partner
Membership No. 033013
Mumbai, 24th July, 2012
Mar 31, 2011
We have audited the attached Balance Sheet of GUJCHEM DISTILLERS INDIA
LIMITED as at 31st March, 2011, 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 Company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
i) 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.
ii) As required by the Companies (Auditor's 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 paragraphs 4 and 5 of the said
order.
iii) Further to our 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 purposes of
our audit;
b) In our opinion, proper books of accounts, 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, Profit and Loss Account and Cash Flow statement
dealt with by this report are in agreement with the books of account of
the Company;
d) In our opinion the Balance Sheet, Profit & 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.
e) On the basis of the written representations received from the
Directors as on 31st March 2011, and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2011 from being appointed as a Director in terms of clause
(g) of sub section 274 of the Companies Act, 1956.
f) In our opinion and according to the explanations given to us, the
said accounts read with note 2 of Schedule 'L'regarding setting up as
recoverable under loans and advances an amount of Rs. 11.30 lacs being
excise duty and sales-tax and other administrative fees of Rs. 4.40
Lacs:
and read together with the other notes and the accounting policies
appearing in schedule 'L'give the information required by the
Companies Act, 1956 in the manner so required and give a true and fair
view;
I. In the case of Balance Sheet of the state of the company's affairs
as at 31st March 2011
II. In the case of the Profit and Loss, of the Loss for the year ended
on that date.
III. In the case of Cash Flow statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS'REPORT
(Referred to in paragraph (2) of our Report of even date)
1. (a) the Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of Company and the nature of its assets. No material discrepancies
were notice on such verification.
(c) there has not been any substantial disposal of fixed assets during
the year.
2. the company has not carried any inventory during the year and hence
the requirements of the clauses (a), (b) and (c) of the order regarding
inventory are not applicable to the company.
3. (a) the company had not taken / granted any loans, secured or
unsecured from / to the companies and firms listed in the register
maintained under section 301 of the Companies act, 1956. However, the
company had taken interest free Fixed Deposit from director which has
been repaid in full at the year end.
(b) In our opinion, other terms and conditions of such interest free
Fixed Deposit taken from director is not, prima facie, prejudicial to
the interest of the Company.
(c) the company has been regular in payment of the principal amount.
(d) there is no overdue amount of more than Rupees One Lac as at 31st
March, 2011.
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 the nature of its business with regard
to purchase of inventory , fixed assets and with regard to the sale of
goods and services. During the course of audit, we have not observed
any continuing failure to correct major weakness in internal controls.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of Companies Act, 1956 have
been so entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contract or
arrangements entered in the register maintained under section 301 of
the Companies Act,1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
6. In our opinion and according to the information and explanation
given to us the Company has generally complied with the provisions of
section 58A and 58AA of the Companies Act, 1956 and the Companies
(Acceptance of Deposit) Rule, 1975, except for delays in filing of
return of deposits, with regard to the deposits accepted from the
public. During the year, no order has been passed by the Company Law
Board, National Company Law Tribunal or Reserve Bank of India or any
Court or any other Tribunal. As regards repayment of fixed deposits,
the company has made repayment of principal amount of outstanding fixed
deposits as per the rehabilitation scheme approved by BIFR vide its
order letter dated 16.9.2003. there are no outstanding unclaimed
deposits as at 31st March, 2011. Outstanding unclaimed deposits of Rs.
2,23,100 have been transferred to Investors Education and Protection
Fund of the Central Government on 12.4.2011 in accordance with the
provisions of section 205A of the Companies Act, 1956.
7. Until the year 1993-94 the company had appointed an independent
firm of Chartered Accountants as internal auditoRs. Due to stoppage of
the manufacturing activities of the company the internal audit
functions has not been carried out since then.
8. Since there are no manufacturing activities carried out during the
year, the requirements of the maintenance of cost records under section
209 (1) (d) of the Companies Act, 1956 are not applicable to the
company.
9. (a) the company has been regular in depositing with appropriate
authorities undisputed statutory dues in respect of investor education
and protection fund, wealth tax, service tax, Sales Tax, VAT, Custom
duty, Excise Duty, Cess wherever applicable to it.
(b) According to the information and explanations given to us no
undisputed amounts payable in respect of excise duty, income tax,
wealth tax, service tax, customs duty, excise duty and cess were in
arrears, as at 31st March, 2011 for a period of more than six months
from the date they become payable.
(c) According to the information and explanations given to us, the
following disputed dues have not been deposited since the matters are
pending with the relevant forum.
statement of Disputed Dues
Nature of statute Nature of the Amount Period to Forum
dues (Rs. in which the where
lacs) amount dispute
relates is
pending
Central Excise & Central Excise 16.62 1985-86 A.O.Central
Salt Act & 86-87 Excise
Department
10. the accumulated losses of the company are more then fifty percent
of its net worth, the company has incurred cash losses during the
financial year covered by our audit. However the company has not
incurred cash losses during the immediately preceding financial year
11. Pursuant to the BIFR order letter date 16.9.2003, in our opinion
and according to the information and explanation given to us, the
company has not defaulted in repayment of dues to financial
institutions, debenture holders and banks.
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 share, debentures and other securities.
13. In our opinion that company is not a chit fund or 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.
14. According to the information and explanations given to us, the
Company is not dealing in or trading in shares, securities, debentures
and investment. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditor's Report) Order, 2003 are not applicable to the
company.
15. According to the information and explanation given to us, the
company has not given any guarantee for loan taken by others form banks
or financial institution.
16. According to the information and explanation given to us, the
company has not accepted any term loan during the year.
17. According to the information and explanations given to us and on
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.
18. According to the information and explanations given to us, the
company has not made any preferential allotment of shares to parties
and companies covered in the register maintained under section 301 of
the Companies Act, 1956.
19. During the year, no debentures have been issued by the Company and
the question of creating securities in respect thereof does not arise.
20. During the year, the Company has not raised money by way of public
issue.
21. According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
SHARP & TANNAN
Chartered Accountants
(Registration No. 109982W)
By the hand of
M.P.Phadke
Partner
Mem.No. 33013
12th August, 2011, Mumbai
Mar 31, 2010
We have audited the attached Balance Sheet of GUJCHEM DISTILLERS INDIA
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.
i) 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.
ii) 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 paragraphs 4 and 5 of the said
order.
iii) Further to our 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 purposes of
our audit;
b) In our opinion, proper books of accounts, 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, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the Company;
d) In our opinion the Balance Sheet, Profit & 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.
e) 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 274 of the Companies Act, 1956.
f) Attention is drawn to
a. Note no. 1 regarding the Company being declared as a sick industrial
undertaking under the provisions of Sick Industrial Companies (Special
Provisions) Act, 1985 and the accounts being drawn on a going concern
basis in spite of the net worth of the company being negative.
Subject to the forgoing, in our opinion and according to the
explanations given to us, the said accounts read with note 2 of
schedule N regarding setting up as recoverable under loans and
advances an amount of Rs.11.30 lacs being excise duty and sales-tax and
other administrative fees of Rs.4.40 Lacs:
and read together with the other notes and the accounting policies
appearing in schedule M give the information required by the
Companies Act, 1956 in the manner so required and give a true and fair
view;
I. In the case of Balance Sheet of the state of the companys affairs
as at 31st March 2010
II. In the case of the Profit and Loss, of the Loss for the year ended
on that date.
III. In the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph (2) of our Report of even date)
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of Company and the nature of its assets. No material discrepancies
were notice on such verification.
(c) There has not been any substantial disposal of fixed assets during
the year.
2. (a) As explained to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion, 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, the company is maintaining proper records of
inventory and no material discrepancies were noticed on physical
verification.
3. (a) The company had not taken granted any loans, secured or
unsecured from / to the companies and firms listed in the register
maintained under section 301 of the Companies act, 1956. However, the
company had taken interest free Fixed Deposit from director and the
amount outstanding at the year end was Rs.14.35 lacs.
(b) In our opinion, other terms and conditions of such interest free
Fixed Deposit taken from director is not, prima facie, prejudicial to
the interest of the Company.
(c) Pursuant to the order of the BIFR, interest free Fixed Deposits are
not due for repayment during the year.
(d) There is no overdue amount of more than Rupees One Lac in respect
of interest free Fixed Deposit taken from the director.
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 the nature of its business with regard
to purchase of inventory , fixed assets and with regard to the sale of
goods and services. During the course of audit, we have not observed
any continuing failure to correct major weakness in internal controls.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of Companies Act, 1956 have
been so entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contract or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
6. In our opinion and according to the information and explanation
given to us the Company has generally complied with the provisions of
section 58A and 58AA of the Companies Act, 1956 and the Companies
(Acceptance of Deposit) Rule, 1975, except for delays in filing of
return of deposits, with regard to the deposits accepted from the
public. During the year, no order has been passed by the Company Law
Board, National Company Law Tribunal or Reserve Bank of India or any
Court or any other Tribunal. As regards repayment of fixed deposits,
the company has made repayment of principal amount of outstanding fixed
deposits as per the rehabilitation scheme approved by BIFR vide its
order letter dated 16.9.2003. However, there are outstanding unclaimed
deposits of Rs. 6.34 lacs as at the end of the year.
7. Until the year 1993-94 the company had appointed an independent
firm of Chartered Accountants as internal auditors. Due to stoppage of
the manufacturing activities of the company the internal audit
functions has not been carried out since then.
8. Pursuant to the order made by the Central Government for the
maintenance of cost records under section 209 (1) (d) of the Companies
Act, 1956 the company is required to maintain cost records in respect
of manufacture of Industrial Alcohol and Chemical. However, in view of
non manufacture of the aforesaid products during the year the
maintenance of such records and review thereof was not necessary.
Further, in view of letters received from Cost Audit Branch, Ministry
of Company Affairs, Government of India dated 22.12.2005 and 27.2.2006
in respect of Industrial Alcohol and Chemicals respectively, the
requirement of conducting cost audit is stands withdrawn w.e.f.
1.4.2004 and 1.4.2005 respectively.
9. (a) The company has been regular in depositing with appropriate
authorities undisputed statutory dues in respect of investor education
and protection fund, wealth tax, service tax, Sales Tax, VAT, Custom
duty, Excise Duty, Cess wherever applicable to it.
Some of the undisputed dues in respect of Provident Fund, Employees
State Insurance and Income Tax have been settled by the company after
the due date.
(b) According to the information and explanations given to us no
undisputed amounts payable in respect of excise duty, income tax,
wealth tax, service tax, customs duty, excise duty and cess were in
arrears, as at 31st March, 2010 for a period of more than six months
from the date they become payable.
(c) According to the information and explanations given to us, the
following disputed dues have not been deposited since the matters are
pending with the relevant forum.
Statement of Disputed Dues
Nature of
Statute Nature of
the dues Amount Period to
which the Forum where
(Rs. in lacs) amount
relates dispute is
pending
Central
Excise & Central Excise 16.62 1985-86 &
86-87 A.O.Central
Excise
Salt Act Department
10. The accumulated losses of the company are more then fifty percent
of its net worth. The company has incurred cash losses during the
financial year covered by our audit. However the company has not
incurred cash losses during the immediately preceding financial year
11. Pursuant to the BIFR order letter date 16.9.2003, in our opinion
and according to the information and explanation given to us, the
company has not defaulted in repayment of dues to financial
institutions, debenture holders and banks.
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 share, debentures and other securities.
13. In our opinion that company is not a chit fund or nidhi / mutual
benefit fund / society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditors Report) Order, 2003 are not applicable to the
company.
14. According to the information and explanations given to us, the
Company is not dealing in or trading in shares, securities, debentures
and investment. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditors Report) Order, 2003 are not applicable to the
company.
15. According to the information and explanation given to us, the
company has not given any guarantee for loan taken by others form banks
or financial institution.
16. According to the information and explanation given to us, the
company has not accepted any term loan during the year.
17. According to the information and explanations given to us and on
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.
18. According to the information and explanations given to us, the
company has not made any preferential allotment of shares to parties
and companies covered in the register maintained under section 301 of
the Companies Act, 1956.
19. During the year, no debentures have been issued by the Company and
the question of creating securities in respect thereof does not arise.
20. During the year, the Company has not raised money by way of public
issue.
21. According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
SHARP & TANNAN
Chartered Accountants
By the hand of
M.P.Phadke
21stAugust, 2010, Mumbai Partner
Mem.No. 33013
FRN : 109982W
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