Mar 31, 2014
We have audited the accompanying financial statements of Hindustan
Appliances Limited (the Company), which comprise the Balance Sheet as
at March 31, 2014, the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
MANAGEMENT''S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards notified under the Companies
Act, 1956 (the Act) read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 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 and fair view and are free from material
misstatement, whether due to fraud or error.
AUDITORS'' RESPONSIBILITY
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
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 aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) In the case of the Statement of Profit and Loss, of the Profit of
the Company for the year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1) As required by the Companies (Auditor''s Report) Order, 2003 (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Act, we give in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the Order.
2) As required by Section 227(3) of the Act, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books.
c) The Balance Sheet, 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 Accounting Standards notified
under the Act read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013
e) On the basis of the written representations received from the
directors as on March 31, 2014, taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 2014,
from being appointed as a director in terms of Section 274(1)(g) of the
Act.
ANNEXURE TO INDEPENDENT AUDITORS'' REPORT
REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING OF "REPORT ON OTHER LEGAL
AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE,
1. In respect of its fixed assets:
Based on our scrutiny of the company''s books of accounts and other
records and according to the information and explanations received by
us from the management, we are of the opinion that the question of
commenting on maintenance of proper records of fixed assets, physical
verification of fixed assets and any substantial sale thereof does not
arise since the company had no fixed assets at the end of the financial
year nor at any time during the financial year ended on that date.
2. In respect of its inventories:
a) As the company does not engaged in the business of manufacturing,
marketing and processing of any goods and articles, the provisions of
Clause (ii) of paragraph 4 of the CARO is not applicable.
3. In respect of its loans, secured or unsecured, granted or taken by
the Company to/from companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956:
In respect loans taken from persons covered U/s.301 of the companies
Act:
According to the information and explanations given to us, the company
has not taken any secured or unsecured loans from companies, firms or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956
In respect loans granted to the persons covered U/s.301 of the
companies Act:
According to the information and explanations given to us, the company
has not granted any secured or unsecured loans to companies, firms or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956
4. Having regard to the nature of the company''s business and based on
our scrutiny of the company''s records and the information and
explanation received by us, we report that the company''s activities do
not include purchase of inventory and sale of goods. In our opinion and
according to the information and explanation received by us, there are
adequate internal control procedure commensurate with the size of the
Company and nature of its business with regards to purchase of fixed
assets. During the course of audit, we have not observed any continuing
failure to correct major weaknesses in internal control system with
regard to purchase of fixed assets.
5. In respect of transaction covered under section 301 of the Companies
Act, 1956.
a) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangement that needed to be entered in to in the register maintained
under section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to the information and explanations
given to us there was no any transactions was made in pursuance of
contract or arrangement entered in the register maintained under
section 301 of the Companies Act, 1956 and exceeding the value of Rs..
5, 00,000 in respect of each party during the year have been made a
prices which appears reasonable as per information available with the
company.
6. Based on scrutiny of the company''s records and according to the
information and explanation provided by the management, in our opinion,
the Company has not accepted any loan or deposit which are deposits
within the meaning of Rule2(b) of the Company''s (Acceptance of Deposit)
Rules,1975 from the public. Therefore, the provisions of Clause (vi) of
paragraph 4 of the CARO are not applicable to the Company.
7. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
8. According to the information and explanation provided by the
management, the company is not engaged in production, processing,
manufacturing or mining activities. Hence, the provisions of section
209 (1) (d) of the Companies Act, 1956 do not apply to the company.
Hence, in our opinion no comment on maintenance of cost records under
section 209(1)(d) is required.
9. In respect of statutory dues:
a) According to the records provided to us, the Company is generally
regular in depositing with appropriate authority undisputed statutory
dues including amount of Provident fund, Investor education and
protection fund, Employee''s state insurance, Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other
Material statutory dues, applicable to it.
According to the Information and Explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were
outstanding as at 31st March, 2014 for a period of more than six months
from the date of becoming able.
b) According to the records of the company and information and
explanations given to us, there are no dues of Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess which have not
been deposited on account of any dispute.
10. The Company does not have accumulated losses at the end of the
financial year. The Company has not incurred cash losses during the
financial year covered by the audit and in the immediately preceding
financial year.
11. According to the records of the company, the company has not
borrowed from financial institutions or banks or issued debenture till
the end of the financial year. Hence, in our opinion, the question of
reporting of default in repayment of dues to financial institutions or
bank or debenture does not arise.
12. In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the Company on
the basis of security by '' way of pledge of shares, debentures and
other securities.
13. In our opinion, and to the best of our information and according
to the explanation provided by the management, we are of the opinion
that the company is neither a Chit Fund nor a Nidhi/Mutual benefit
society. Hence, in our opinion, the requirements of Para 4(xiii) of the
CARO do not apply to the company.
14. According to the Information and explanation given to us the
company is not dealing or Trading in Shares, Securities and Debentures.
Investments in respect of all shares, debentures and other investments
have been held by the company in its own name and have also maintained
adequate and proper records.
15. According to the records of the company and the Information and
Explanation provided by the management, the company has not given any
guarantee for loans taken by others from any banks or financial
institution.
16. The Company has not obtained any term loan during the year. There
was no terms loan outstanding at the beginning of the year.
17. According to the Information and Explanations given to us and over
all examination of balance sheet of the Company, we report that no fund
raised on short term basis have been used for long term investment by
the company.
18. According to the records of the company and the information and
explanation provided by the management, 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 the Company has not issued any debenture and also
there is no any outstanding during the year hence the question of
creating security or charge in respect of debenture does not arise.
20. During the year the Company has not raised any money by way of
public issue.
21. During the course of examination of the books and records of the
company carried out in accordance with generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the company, noticed or reported during the year nor have been informed
of such cases by the Management.
For A.C.MODI & ASSOCIATES
Chartered Accountants
Firm''s registrations number : 116555W
ALPESG C.MODI
Proprietor
Membership number : 101342
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Hindustan
Appliances Limited (''the Company'') which comprise the Balance Sheet as
at 31 March 2013, the Statement of Profit and Loss and cash flow
statement for the year ended on that date and 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 flow of the Company in accordance with
accounting principles generally accepted in India including Accounting
Standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
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 aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
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;
c) In the 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 ("the
Order"), as amended, issued by the Central Government of India in terms
of sub-section (4A) of section 227 of the Act, we give in the Annexure
a statement on the matters specified in paragraphs 4 and 5 of the
Order.
2. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) the Balance Sheet and Statement of Profit and Loss and Cash flow
statement dealt with by this report are in agreement with the books of
account;
d) in our opinion, the Balance Sheet, Statement of Profit and Loss and
cash flow statement comply with the Accounting Standards referred to in
subsection f3.Q-oi.section 211 of the Companies Act, 1956; and
e) on the basis of written representations received from the directors
as on 31 March 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on 31 March 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE TO INDEPENDENT AUDITORS'' REPORT
REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING OF "REPORT ON OTHER LEGAL
AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE.
1. In respect of its fixed assets:-
Based on our scrutiny of the company''s books of accounts and other
records and according to the information and explanation received by us
received by us from the management. We are of the opinion that the
question of commenting on maintenance of the proper records of the
fixed assets, physical verification of fixed assets and any Substantial
sale thereof does not arise since the company had no fixed assets as on
31st March, 2013 nor at any time during the financial year ended 31st
March, 2013.
2. In respect of its inventories:
As the Company is not engaged in the business of manufacturing or
trading of goods clause (if) of paragraph 4 of the Order is not
applicable.
3. In respect loans taken from persons covered U/s.301 of the
companies Act:
According to the information and explanations given to us, the company
has not taken unsecured loans from parties covered under the register
maintained u/s.301 of the Companies Act, 1956.
4. In respect loans granted to persons covered U/s.301 of the
companies Act:
According to the information and explanations given to us, the company
has not given any loan to any parties/persons covered under the
register maintained u/s.301 of the Companies Act, 1956.
5. Having regard to the nature of the company''s business and based on
our scrutiny of the company''s records and , in our opinion and
according to the information and explanations given to us, we report
that the company''s activity do not include purchase of inventory and
sale of goods. In our opinion and according to the information and
explanation received by us there are adequate internal control system
commensurate with the size of the Company and nature of its business
for the purchase of fixed assets. However the company has not purchase
any of fixed assets during the year.
6. In respect of transaction covered under section 301 of the
Companies Act, 1956.:
Based on the Audit procedures applied by us and according to the
information and explanations provided by the management we are of the
opinion that there were no transactions during the year that need to be
entered in the regia^OlatOtained under section 301 of the Companies
Act, 1956.
7. The Company has not accepted any deposit from the public within the
meaning of section 58A and 58AA of the Act and the companies
(Acceptance of Deposits) Rules,1975. Accordingly the provision of
clause 4(vi) of the order are not applicable.
8. In our opinion, The Company has an internal audit system
commensurate with its size and nature of its business.
9. The central Government has not prescribed maintenance of cost
records under section 209 (1) (d) of the Companies Act, 1956.
Accordingly the provision of clause 4(viii) of the order is not
applicable.
10. In respect of statutory dues:
(a) According to the records provided to us, the Company is generally
regular in depositing with appropriate authority undisputed statutory
dues including amount of Provident fund. Investor education and
protection fund, Employee''s state insurance. Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other
Material statutory dues, applicable to it.
(b) According to the Information and Explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were
outstanding as at 31st march, 2013 for a period of more than six months
from the date of becoming payable.
(c) According to the records of the company and information and
explanations given to us, there are no dues of Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty/ cess which have not
been deposited on account of any dispute.
11. The Company does not have accumulated losses. The company has not
incurred cash losses during the financial year covered by our audit.
The company has not incurred any loss in the immediately preceding
financial year.
12. According to the information and explanation given to us, we are of
the opinion that the Company has not taken / availed any loans from the
financial institutions, Banks or Debenture Holders and accordingly the
provision of clause 4(xi) of the order is not applicable.
13. In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
14. In our opinion, the company is not a chit fund or a nidhi/ mutual b
society. Accordingly, clause 4 (xiii) of the order is not applicable.
AJ
15. According to the Information and explanation given to us the
company is not dealing or Trading in Shares, Securities and Debentures.
Investments in respect of all shares, debentures and other investments
have been held by the company in its own name and has also maintained
adequate and proper records.
16. According to the Information and Explanations given to us, and the
representations made by the management, company has not given any
guarantee for loans taken by others from any banks or financial
institution, during the year.
17. The Company has not obtained any term loan during the year. There
was no terms loan outstanding at the beginning of the year Accordingly
clause 4 (xvi) of the order is not applicable.
18. The company has not raised any fund on short term basis and
accordingly clause 4 (xvii) of the order is not applicable.
19. During the year, 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.
20. During the year the Company has not issued any debenture and also
there is no any outstanding during the year accordingly Clause 4(xix)
of the order is not applicable.
21. During the year the Company has not raised any money by way of
issue of shares to the public accordingly Clause 4(xx) of the order is
not applicable.
22. During the course of examination of the books and records of the
company carried out in accordance with generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the company, noticed or reported during the year nor have been informed
of such cases by the Management.
for A.CMODI & ASSOCIATES
Chartered Accountants
Firm''s registratiork 116555W
AIpesh
Proprietor
Membership numbor 25643,
Place : Mumbai, .
Mar 31, 2012
We have audited the accompanying financial statements of Hindustan
Appliances Limited ('the Company') which comprise the Balance Sheet as
at 31 March 2012, the Statement of Profit and Loss and cash flow
statement for the year ended on that date.
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 flow of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 (the Act"). This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
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 Act in the
i. in the case of the Balance Sheet, of the state of affairs of the
Company as at 31 March 2012;
ii. in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date;
iii. in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2003 ("the
Order"), as amended, issued by the Central Government of India in terms
of sub-section (4A) of section 227 of the Act, we give in the Annexure
a statement on the matters specified in paragraphs 4 and 5 of the
Order.
2. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) the Balance Sheet and Statement of Profit and Loss and Cash flow
statement dealt with by this report are in agreement with the books of
account;
d) in our opinion, the Balance Sheet, Statement of Profit and Loss and
cash flow statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956; and
e) on the basis of written representations received from the directors
as on 31 March 2012, and taken on record by the Board of Directors,
none of the directors is disqualified as on 31 March 2012, from being
appointed .
- as a director in terms of clause (g) of sub-section (1) of section
274 of the Companies Act, 1956.
REFERRED TO IN PARAGRAPH 2 OF OUR REPORT OF EVEN DATE
1. In respect of its fixed assets:-
a) The Company has maintained' proper records showing full particulars
including quantitative detail and situation of fixed assets on basis of
available information.
b) As explained to us, the fixed assets have been physical verified by
the management during the year, which in our opinion is reasonable,
having regard to the size of the company and nature of its assets.
There were no material discrepancies noticed on such verifications.
c) In our opinion, the Company has not disposed of substantial part of
fixed assets during the year and accordingly the going concern status
of the company is not affected.
2. In respect of its inventories:
As the Company is not engaged in the business of manufacturing or
trading of goods clause (ii)of paragraph 4 of the Order is not
applicable.
3. In respect loans taken from persons covered lJ/s.301 of the
companies Act:
(i) According to the information and explanations given to us, the
company has not taken unsecured loans from parties covered under the
register maintained u/s.301 of the Companies Act,1956.
4. In respect loans granted to persons covered I)/s.301 of the
companies Act:
(i) According to the information and explanations given to us, the
company has not given any loan to any parties/persons covered under the
register maintained u/s.301 of the Companies Act,1956.
5. In our opinion and according to the information and explanations
given to us, there are adequate internal control system commensurate
with the size of the Company and nature of its business for the
purchase of inventory and fixed assets and also for the sale of goods
and Services. However the company has not purchase any of inventory and
fixed assets and also not sold any good setoffs the year.
6. In respect of transaction covered under section 301 of the
Companies Act, 1956
aj In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
arrangement that needed to be entered in to in the register maintained
under section 301 of the 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 in pursuance of contract or
arrangement entered in the register maintained under section 301 of the
Companies Act, 1956 aggregating during the year to Rs. 5 Lacs (Rupees
Five Lacs Only) or more in respect of any party.
7. The Company has not accepted any deposit from the public within the
meaning of section section 58A and 58AA of, the Act and the companies
(Acceptance of Deposits) Rules,1975. Accordingly the provision of
clause 4(vi) of the order are not applicable.
8. In our opinion, The company has an internal audit system
commensurate with its size and nature of its business.
9. The central Government has not prescribed maintenance of cost
records under section 209 (1) (d) of the Companies Act,1956.
Accordingly the provision of clause 4(viii) of the order is not
applicable.
10. In respect of statutory dues:
a) According to the records provided to us, the Company is generally
regular in depositing with appropriate authority undisputed statutory
dues including amount of Provident fund, Investor education and
protection fund, Employee's state Insurance, Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other
Material statutory dues, applicable to it.
According to the Information and Explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were,
outstanding as at 31st march,2012 for a period of more than six months
from the date of becoming payable.
b) According to the records of the company and information and
explanations given to us, there are no dues of Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty/ cess which have not
been deposit of any dispute.
11. The Company does not have accumulated losses. The company has not
incurred cash losses during the financial year covered by our audit.
The company has not incurred any loss in the immediately preceding
financial year.
12. According to the information and explanation given to us, we are
of the opinion that the Company has not taken / availed any loans from
the financial institutions, Banks or Debenture Holders and accordingly
the provision of clause 4(xi) of the order is not applicable.
13. In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
14. In our opinion , the company is not a chit fund or a nidhi/ mutual
benefit fund / society. Accordingly, clause 4 (xiii) of the order is
not applicable.
15. According to the Information and explanation given to us the
company is not dealing or Trading in Shares, Securities and Debentures.
Investments in respect of all shares, debentures and other investments
have been held by the company in its own name and has also maintained
adequate and proper records.
16. According to the Information and, Explanations given to us, and
the representations made by the management, company has not given any
guarantee for loans taken by others from any banks or financial
institution, during the year.
17. The Company has not obtained any term loan during the year. There
was no terms loan outstanding at the beginning of the year Accordingly
clause 4 (xvi) of the order is not applicable.
10. The company has not raised any fund on short term basis and
accordingly clause 4 (xvii) of the order is not applicable.
19. During the year, 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.
20. During the year the Company has not issued any debenture and also
there is no any outstanding during the year accordingly Clause 4(xix)
of the order is not applicable.
21. During the year the Company has not raised any money by way of
issue of shares to the public acc Clause 4(xx) of the order
is not applicable.
22. During the course of examination of the books and records of the
company carried out in accordance with generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the company, noticed or reported during the year nor have been informed
of such cases by the Management.
for A.C.MODI & ASSOCIATES
Chartered Accountants
Firm's registration number
ALPESH C.MODI
proprietor
Membership number:101342
Place: Mumbai,
Date:
Mar 31, 2010
We have audited the attached Balance Sheet of HINDUSTAN APPLANCES
LIMITED as at 31st March, 2010 , the Profit & 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
Companys management. Our responsibility is to express an opinion on
these financial statement bases on our Audit.
1) We conduct our audit in accordance with Auditing Standards generally
accepted in India. Those standard require that we plan and perform the
audit to obtain the reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test check 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.
2) As required by the Companies (Auditors Report) Order, 2003, [as
amended by Companies(Auditors Report)(Amendment) Order , 2004], issued
by the Central Government of India in terms of section 227 (4A) of the
Companies Act, 1956 and on the basis of such checks as we considered
appropriate, and according to the information and explanation given to
us, we give in the Annexure, hereto a statement on the matters
specified in paragraphs 4 & 5 of the said order.
3) Further to our comments in the Annexure referred to in paragraph 2
above and subject to the notes to the Balance sheet, 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 such
books.
c) The Balance Sheet and Profit & Loss Account referred to in this
report are in agreement with the books of account.
d) In our Opinion, The Profit & Loss accounts and Balance Sheet comply
with the accounting Standards referred to in sub section 3(c) of
Section 211 of the Companies Act,1956.
e) On the. basis of written representations received from the
Directors, and taken on record by Board of Directors, We report that
none of the Directors are disqualified as on 31st March, 2010 from
being appointed as director in terms of clause (g] of sub- section (1)
of section 274 of the Companies Act,1956.
f) Note No.2 of Schedule No. 11 to the financial statements: The
Company is a Non Banking Financial Institution in terms of section 451
(C) of the Reserve Bank of India Act, 1934. As per the last audited
accounts of the Company for the year ended March 31, 2010, the
financial assets of the Company are more than 50% of its total assets
and income from financial assets are also more than 50% of the gross
income. Thus, the company has the business of a Non - Banking Financial
Company (NBFC) as its principal business and is required to be
registered as an NBFC with Reserve Bank of India. The company has not
applied for and obtained any such registration.
4) In our opinion and to the best of information and according to
explanations given to us, the said accounts read with significant
accounting policies and other notes thereon, 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 Balance Sheet of the state of affairs of the Company
as at 31st.March, 2010.
ii. In the case of the Profit & Loss Account of the Loss of the
Company for the year ended on that date and
iii. In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE TO AUDITORS REPORT REFERRED TO IN PARAGRAPH 2 OF OUR REPORT
OF EVEN DATE
1. In respect of its fixed assets:-
a) The Company has maintained proper records showing full particulars
including quantitative detail and situation of fixed assets on basis of
available information.
b) As explained to us, the fixed assets have been physical verified by
the management during the year, which in our opinion is reasonable,
having regard to the size of the company and nature of its assets.
There were no material discrepancies noticed on such verifications.
c) In our opinion , the Company has not disposed of substantial part of
fixed assets during the year and accordingly the going concern status
of the company is not affected.
2. In respect of its inventories:
As the Company is not engaged in the business of manufacturing or
trading of goods clause (if) of paragraph 4 of the Order is not
applicable.
3. a) According to the information and explanations given to us, the
company has not taken any Loans, secured or unsecured from companies,
Firms or other parties Covered in the register maintained under section
301 of the Companies Act, 1956, Accordingly the provision of clauses
4(iii)(f) and 4(iii)(g) of the order are not applicable.
b) According to the information and explanations given to us, the
company had given unsecured loans to a 2 persons covered under the
register maintained u/s.301 of the Companies Act,1956. The Maximum
amount involves during the year in respect of the said loans is
Rs.299.50 lacs and the year end balance of such loan is Rs.1,070.76
lacs respectively.
(c) In our opinion and according to the information and explanation
given to us the rate of Interest and other terms and conditions on
which aforesaid loans has been given are not prima-facie prejudicial to
the interest of the company.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control system commensurate
with the size of the Company and nature of its business for the
purchase of inventory and fixed assets and also for the sale of goods
and Services. However the company has not purchase any of inventory and
fixed assets and also not sold any goods during the year.
5. In respect of transaction covered under section 301 of the
Companies Act,1956.:
a) In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
arrangement that needed to be entered in to in the register maintained
under section 301 of the 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 in pursuance of contract or
arrangement entered in the register maintained under section 301 of the
Companies Act, 1956 aggregating during the year to Rs. 5 Lacs (Rupees
Five Lacs Only) or more in respect of any party.
6. The Company has not accepted any deposit from the public within the
meaning of section section 58A and 58AA of the Act and the companies
(Acceptance of Deposits) Rules,1975. Accordingly the provision of
clause 4(vi) of the order are not applicable.
7. In our opinion, The company has an internal audit system
commensurate with its size and nature of its business.
8. The central Government has not prescribed maintenance of cost
records under section 209 (1) (d) of the Companies Act,1956.
Accordingly the provision of clause 4(viii) of the order is not
applicable.
9. In respect of statutory dues:
a) According to the records provided to us, the Company is generally
regular in depositing with appropriate authority undisputed statutory
dues including amount of Provident fund, Investor education and
protection fund, Employees state insurance, Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other
Material statutory dues, applicable to it.
According to the Information and Explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were
outstanding as at 31st march,2010 for a period of more than six months
from the date of becoming payable.
b) According to the records of the company and information and
explanations given to us, there are no dues of Income Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty/cess which have not
been deposited on account of any dispute.
10. The Company does not have accumulated losses. The company has
incurred cash losses during the financial year covered by our audit.
The company has not incurred any loss in the immediately preceding
financial year.
11. According to the information and explanation given to us, we are of
the opinion that the Company has not taken / availed any loans from the
financial institutions, Banks or Debenture Holders and accordingly the
provision of clause 4(xi) of the order is not applicable.
12. In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
13. In our opinion , the company is not a chit fund or a nidhi/ mutual
benefit fund / society. Accordingly, clause 4 (xiii) of the order is
not applicable.
14. According to the Information and explanation given to us the
company is not dealing or Trading in Shares, Securities and Debentures.
Investments in respect of all shares, debentures and other investments
have been held by the company in its own name and has also maintained
adequate and proper records.
15. According to the Information and Explanations given to us, and the
representations made by the management, company has not given any
guarantee for loans taken by others from any banks or financial
institution, during the year.
16. The Company has not obtained any term loan during the year. There
was no terms loan outstanding at the beginning of the year Accordingly
clause 4 (xvi] of the order is not applicable.
17. The company has not raised any fund on short term basis and
accordingly clause 4 (xvii) of the order is not applicable.
18. During the year, 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 the Company has not issued any debenture and also
there is no any outstanding during the year accordingly Clause 4(xix)
of the order is not applicable.
20. During the year the Company has not raised any money by way of
issue of shares to the public accordingly Clause 4(xx) of the order is
not applicable.
21. During the course of examination of the books and records of the
company carried out in accordance with generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the company, noticed or reported during the year nor have been informed
of such cases by the Management.
For A.C. MODI & ASSOCIATES
CHARTERED ACCOUNTANTS
(ALPESH C. MODI)
PROPRIETOR
Membership No. 101342
Firm Regn.: 116555W
PLACE : MUMBAI
DATED : September 2, 2010