Mar 31, 2015
We have audited the accompanying financial statements of I EC Education
Limited, ("the Company") which comprise the Balance Sheet as at 31
March 2015, the Statement of Profit and Loss, 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
The Company's Board of Directors is responsible for the matters in
section 134(5) of the Companies Act, 2013 ("the Act") with respect to
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 principles generally
accepted in India, including the Accounting Standards specified under
Section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rules, 2014. This responsibility also includes the maintenance of
adequate accounting records in accordance with the provision of the Act
for safeguarding the assets of the Company and for preventing and
detecting the frauds and other irregularities; selection and
application of appropriate accounting policies; making judgments and
estimates that are reasonable and prudent; and design, implementation
and maintenance of internal financial control, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, 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 have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
there under.
We conducted our audit in accordance with the Standards on Auditing
specified under section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and 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 financial control relevant to the Company's
preparation of the financial statements that give true and fair view 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 Company's Directors, as well as evaluating the
overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
statements.
Basis for Qualified Opinion
Attention is invited to:
(I) Note No: 2.8 of financial statements relating to non registration
of title deeds in respect of one building premises, (Net book value as
at year end Rs. 50.74 lacs, Previous year Rs. 51.92 lacs)
(ii) Note No.: 2.22 at serial no. 02 of financial statements relating
to adjustments of entries arising out of confirmation/reconciliation of
the accounts of parties;
(iii) Note No. 2.22 at serial no. 05 of financial statements relating
to non provision of trade receivables and long term loans and advances
considered doubtful amounting to Rs. 499.71 Lacs and Rs. 38.03 lacs
respectively; (Previous year Rs 128.85 Lacs and Rs. 28.03 Lacs
respectively).
(iv) Note no. 2.22 at serial no. 6 of financial statement relating to
not booking the income of Rs. 85 Lacs (Previous year Rs. NIL) as per
agreement with one of the trust in which directors of the company are
interested. Accordingly revenue from operation would have been
increased by Rs 85 Lacs (Previous year Rs. NIL) and profit before tax
for the year and shareholders' fund would have been increased
accordingly (Previous year Rs NIL)
(v) Note No. 2.22 at serial no. 07 of financial statement relating to
short provision of service tax ofRs. 321.64 Lacs .Accordingly other
expenses would have been increased by Rs 321.64 Lacs (Previous year Rs
NIL) and profit before tax for the year and shareholders' fund would
have been reduced accordingly. (Previous year Rs NIL)
Qualified Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for possible effect of the matter
described in the Basis for Qualified opinion paragraph above, the
aforesaid financial statements give the information required by the Act
in the manners required and give a true and fair view inconformity 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 31,2015;
b) in the case of the Statement of Profit and Loss, of the loss for the
year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order,2015, issued
by the Central Government of India in term of sub-section (11) of
section 143 of the Companies Act,2013, we give in the Annexure a
statement on the matters specified in the paragraphs 3 and 4 of the
Order.
2. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary
for the purposes of our audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books.
c) The Balance Sheet, the 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 aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of written representations received from the directors
as on 31 March, 2015, taken on record by the Board of Directors, none
of the directors is disqualified as on 31 March, 2015, from being
appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule II of the Companies (Audit and Auditors)
2014, in our opinion and to our best of the in formation and according
to the explanations given to us:
I. The Company has disclosed the impact of pending litigations on its
financial position in its financial statements - Refer Note no. 2.22 at
Serial No.Ol to the financial statements;
ii. In our opinion and as per the information and explanation provided
to us, the Company has not entered into any long term contracts
including derivative contracts, requiring provision under applicable
laws or accounting standards, for material foreseeable losses; and
iii. There has been no delay in transferring amount, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
Annexure to The Independent Auditor's Report to The Members of IEC
Education Limited
(I) (a) The company is maintaining proper records showing full
particulars including quantitative details and situation of fixed
assets. However in some cases, item wise depreciation, location or
quantity were not maintained in the fixed asset register.
(b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the Company
and nature of its assets. To the best of our knowledge, no material
discrepancies were noticed in respect of assets verified during the
year
(ii) Having regard to the nature of Company's business, Clause 2 of
CARO 2015 is not applicable.
(iii) As informed to us, the company has not granted any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under section 189 of the Companies Act.
Accordingly, the sub-clauses (a) and (b) 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 fixed assets and for the sale of goods and services. During
the course of our audit, we have not observed any continuing failure to
correct major weaknesses in internal control system.
(v) According to the information and explanations given to us, the
company has not accepted any deposits in terms of directives issued by
the Reserve Bank of India and the provisions of sections 73 to 76 or
any other relevant provisions of the Companies Act and the rules framed
there under. Accordingly, paragraph 3(v) of the Order is not applicable
to the Company.
(vi) The Central Government has not prescribed the maintenance of cost
records under section 148 (1) if the Companies Act, 2013 for
any of the services rendered by the Company.
(vii) (a) The company is generally regular in depositing undisputed
statutory dues including provident fund, employees state insurance,
income-tax, sales-Lax, wealth tax, service tax, duty of customs, duty
of excise, value added tax, cess and any other statutory dues with the
appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amount payable in respect of income tax or sales tax
or wealth tax or service tax or duty of customs or duty of excise or value added
tax or cess were in arrears as at 31st March, 2015 for a period of more than six
months from the date they became payable except income tax of Rs 15.72 Lacs
(Previous year Rs 12.04 Lacs),TDS of RS 25.76
Lacs and Service Tax of Rs6.53 Lacs. (Previous year Rs. 5.91 Lacs and NIL
respectively)
(c) In our opinion and according to the information and explanations
given to us, amount required to be transferred to investor education
and protection fund in accordance with the relevant provisions of the
Companies Act, 1956 (1 of 1956) and rules made there under have been
transferred to such fund within time.
(viii)The company has no accumulated losses at the end of the financial
year under audit. The Company has not incurred cash losses
during the financial year covered by audit and in the immediately
preceding financial year.
(ix) According to the information and explanations given to us, the
company has not defaulted in repayment of dues to a financial
institution or bank.
(x) According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
bankorfinancialinstitutions,thetermsandconditionswhereofareprejudicialto
the interest of the Company.
(xi) According to the information and explanations given to us, no term
loans were obtained during the year under audit.
(xii) Based upon the audit procedures performed and according to the
information and explanation given to us, no fraud on or by the company
has been noticed or reported during the year of our audit
For NATH&HARI
Chartered Accountants
Firm Reg. No-007403N
(KAILASH HARI)
Place: Delhi Partner
Date : 30th May. 2015 M.No-082285
Mar 31, 2014
We have audited the accompanying financial statement of IEC Education
Ltd ("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 the significant accounting
policies and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flow of the Company in
accordance with the Accounting Standards referred to in Section 211(3C)
of the Companies Act, 1956 ("the Act") (which continue to be applicable
in respect of Section 133 of the Companies Act, 2013 in terms of
General Circular 15/2013 dated September 13, 2013 of the Ministry of
Corporate Affairs) 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.
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 the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgement, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers the internal control relevant to the
Company's preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company's internal control. An audit also includes
evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Management, as
well as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our audit opinion.
Basis for qualified opinion
Attention is invited to:
(I) Note No: 2.8 of financial statements relating to non registration
of title deeds in respect of one building premises , (Net book value as
at year end Rs. 51.92 lacs , Previous year Rs.53.15 lacs)
(ii) Note No.: 2.22 at serial no.2 of financial statements relating to
adjustments of entries arising out of confirmation/reconciliation of
the accounts of parties and banks;
(iii) Note No.2.22 at serial no.5 of financial statements relating to
non provision of trade receivables and long term loans and advances
considered doubtful amounting to Rs.128.85 lacs and Rs.28.03 lacs
respectively;
Qualified opinion:
In our opinion and to the best of our information and according to the
explanation given to us, except for possible effects of the matter
described in the basis for qualified opinion, the financial statement
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014.
(b) In the case of the Statement of profit and Loss, of the Profit of
the Company for the year ended on that date and
(c) In the case of 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 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 purposes of our
audit;
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
(c) The Balance Sheet, the Statement of profit and Loss and the Cash
flow Statement dealt with by this report are in agreement with the
books of account;
(d) In our opinion, the Balance Sheet, the Statement of profit and Loss
and the Cash Flow statement comply with the Accounting Standards
notified under the Act (which continue to be applicable in respect of
Section 133 of the Companies Act, 2013 in terms of General Circular
15/2013 dated September 13, 2013 of the Ministry of Corporate Affairs).
(e) On the basis of written representations received from the Directors
as on 31st March, 2014 taken on record by the Board of Directors, none
of the Directors is disqualified as on 31st March, 2014 from being
appointed as a director in terms of Section 274 (1)(g) of the Act.
Annexure to The Independent Auditor's Report to The Members of IEC
Education Limited
(Referred to in paragraph I under 'Report on Other legal and Regulatory
Requirements' section of our report of even date)
I. Having regard to the nature of the Company's business, clauses
(ii),(xiii),(xiv),(xix) and (xx) of the paragraph 4 of CARO are not
applicable.
II. In respect of its fixed assets:
a) The Company has maintained fixed assets register. However in some
cases item wise depreciation, location or quantity were not maintained
in the fixed asset register.
b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the company
and nature of its assets. To the best of our knowledge, no material
discrepancies were noticed in respect of assets verified during the
year.
c) During the year, the Company has not disposed off substantial part
of its fixed assets.
III. a) The Company has not granted any loan, secured or unsecured to
Companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act,1956.Accordingly Clause (iii)(b)
to (iii) (d) of the order are not applicable. b) The company has not
taken any loan, secured or unsecured, from companies, firms, or other
parties covered in the register maintained under section 301 of
Companies Act,1956. Accordingly Clause (iii)(f) and (iii) (g) of the
order are not applicable.
IV. In our opinion and according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regards to purchase of components, plant and machinery, equipments
and similar assets and also for sale of goods and services. In our
opinion and according to the information and explanations given to us,
there is no continuing failure to correct major weaknesses in internal
control system in respect of these areas.
V. a) In our opinion and according to the information and explanation
given to us, the particulars of contracts or arrangements referred to in
Section 301 of the Companies Act have been entered in the register
required to be maintained under that Section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements and exceeding the value of rupees five lakhs in respect of
any party during the year, have been made at prices which are
reasonable having regard to the prevalent market prices at the relevant
time other than transactions of special nature for which competitive
quotations are not available. However on the basis of information and
explanations provided , the same appear reasonable.
VI. The Company has not accepted any deposits from the public and
hence the directives issued by the Reserve Bank of India and the
provision of section 58A and 58 AA of the Companies Act, 1956 and the
rules framed hereunder, are not applicable to the Company.
VII. In our opinion, the Company's present internal audit system is
commensurate with the size and nature of its business.
VIII. Since the Company is not a manufacturing, mining or processing
industry, the Central Government has not prescribed the maintenance of
cost records under Section 209 (1) (d) of the Companies Act, 1956.
IX. According to the information and explanation given to us and the
records of the Company examined by us, in our opinion the Company has
been generally regular in depositing undisputed statutory dues including
Provident fund, Investor education and protection fund, Employees state
insurance, Income tax, Sales tax, Service tax , Wealth tax, Custom duty,
Excise duty and Cess and any other statutory dues applicable to it, with
the appropriate authorities and 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 payable except
Income tax of Rs.12.04 lacs and TDS of Rs.5.91 lacs. There are no dues
of any aforesaid nature outstanding that have not been deposited on
account of any disputes.
X. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
XI. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to any
financial institutions or bank during the year. The Company did not
have any outstanding dues to any debenture holders during the year.
XII. According to the information and explanation given to us and based
on the documents and records produced to us, the company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
XIII. According to the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions during the year.
XIV. According to the information and explanation given to us, no term
loan has been raised during the year.
XV. According to information and explanation given to us and on an
overall examination of Balance Sheet of the Company, we report that no
funds raised on short term basis have been used for long-term
investment and no long term funds have been prima facie used to finance
short term assets.
XVI. The Company has not made during the year any preferential
allotment of shares to parties and Companies covered in the register
maintained under Section 301 of the Companies Act,1956.
XVII. 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.
Place : Delhi For NATH & HARI
Chartered Accountants
FR No:007403N
Date:- 30th May, 2014
(Kailash Hari)
M.No:- 082285
Partner
Mar 31, 2013
We have audited the accompanying financial statement of IEC Education
Ltd ( ACI-the Company ACI-), 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 the significant accounting
policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flow of the Company in
accordance with the Accounting Standards referred to in Section 211(3C)
of the Companies Act, 1956 ( ACI-the Act ACI-) 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.
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 the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments the auditor considers the internal control relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances , but not for the purpose of expressing an opinion on the
effectiveness of the Company''s internal control. An audit also includes
evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Management, as
well as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements subject
to:
i. Note No: 2.8 of Notes to accounts regarding non registration of
title deeds in respect of one premises ADs-
ii. Note No.:2.22 at serial no.2 of Notes to accounts regarding
adjustments of entries arising out of confirmation/reconciliation of
the accounts of parties and banks ADs-
iii. Note No.2.22 at serial no.5 of Notes to accounts regarding non
provision of trade receivables and long term loans and advances
considered doubtful amounting to Rs..128.85 lacs and Rs..38.03 lacs
respectively ADs- give the information required by the Act in the manner so
required and give a true and fair view in conformity with the
accounting principles generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2013.
(b) In the case of the Statement of profit and Loss, of the Profit of
the Company for the year ended on that date and
(c) In the case of 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,( ACI-the
Order ACI-) issued by the Central Government 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 purposes of our
audit.
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, the Statement of profit and Loss, and the Cash
flow Statement dealt with by this report are in agreement with the
books of account.
(d) In our opinion, the 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 Act.
(e) On the basis of written representations received from the Directors
as on 31st March, 2013 taken on record by the Board of Directors, none
of the Directors is disqualified as on 31st March, 2013 from being
appointed as a director in terms of Section 274 (1)(g) of the Act.
ANNEXURE TO THE INDEPENDENT AUDITOR''S REPORT TO THE MEMBERS OF IEC
EDUCATION LIMITED
(Referred to in paragraph I under ''Report on Other legal and Regulatory
Requirements'' section of our report of even date)
I. Having regard to the nature of the Company''s business, clauses
(ii), (xiii), (xiv), (xix) and (xx) of the paragraph 4 of CARO are not
applicable.
II. In respect of its fixed assets:
a) The Company has maintained fixed assets register. However in some
cases item wise depreciation, location or quantity were not maintained
in the fixed asset register.
b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the company
and nature of its assets. To the best of our knowledge, no material
discrepancies were noticed in respect of assets verified during the
year.
c) During the year, the Company has not disposed off substantial part
of its fixed assets.
IIII. a) The Company has not granted any loan, secured or unsecured to
Companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act,1956.Accordingly Clause (iii)(b)
to (iii) (d) of the order are not applicable. b) The company has not
taken any loan, secured or unsecured, from companies, firms, or other
parties covered in the register maintained under section 301 of
Companies Act,1956. Accordingly Clause (iii)(f) and (iii) (g) of the
order are not applicable.
IV. In our opinion and according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regards to purchase of components, plant and machinery, equipments
and similar assets and also for sale of goods and services. In our
opinion and according to the information and explanations given to us,
there is no continuing failure to correct major weaknesses in internal
control system in respect of these areas.
V. a) In our opinion and according to the information and explanation
given to us, the particulars of contracts or arrangements referred to
in Section 301 of the Companies Act have been entered in the register
required to be maintained under that Section. b) In our opinion and
according to the information and explanations given to us, the
transactions made in pursuance of such contracts or arrangements and
exceeding the value of rupees five lakhs in respect of any party during
the year, have been made at prices which are reasonable having regard
to the prevalent market prices at the relevant time other than
transactions of special nature for which competitive quotations are not
available. However on the basis of information and explanations
provided, the same appear reasonable.
VI. The Company has not accepted any deposits from the public and
hence the directives issued by the Reserve Bank of India and the
provision of section 58A and 58 AA of the Companies Act, 1956 and the
rules framed hereunder, are not applicable to the Company.
VII. In our opinion, the Company''s present internal audit system is
commensurate with the size and nature of its business.
VIII. Since the Company is not a manufacturing, mining or processing
industry, the Central Government has not prescribed the maintenance of
cost records under Section 209 (1) (d) of the Companies Act, 1956.
IX. According to the information and explanation given to us and the
records of the Company examined by us, in our opinion the Company has
been generally regular in depositing undisputed statutory dues
including Provident fund, Investor education and protection fund,
Employees state insurance, Income tax, Sales tax, Service tax, Wealth
tax, Custom duty, Excise duty and Cess and any other statutory dues
applicable to it, with the appropriate authorities and 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 except Income tax of Rs..12.04 lacs and TDS of Rs.. 2.15
lacs.
There are no dues of any aforesaid nature outstanding that have not
been deposited on account of any disputes.
X. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
XI. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to any
financial institutions or bank during the year. The Company did not
have any outstanding dues to any debenture holders during the year.
XII. According to the information and explanation given to us and
based on the documents and records produced to us, the company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
XIII. According to the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions during the year.
XIV. According to the information and explanation given to us, no term
loan has been raised during the year.
XV. According to information and explanation given to us and on an
overall examination of Balance Sheet of the Company, we report that no
funds raised on short term basis have been used for long-term
investment and no long term funds have been prima facie used to finance
short term assets.
XVI. The Company has not made during the year any preferential
allotment of shares to parties and Companies covered in the register
maintained under Section 301 of the Companies Act,1956.
XVII. 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.
Place : Delhi For NATH ACY- HARI
Chartered Accountants
FR No: 007403N
Date:- 30th May, 2013
(Kailash Hari)
M.No:- 082285
Partner
Mar 31, 2012
1) We have audited the attached Balance Sheet of IEC Education Ltd
("the Company") as at 31st March, 2012, the Statement of profit and
Loss and the Cash Flow Statement of the Company for the year ended on
that date annexed thereto. These financial statements are the
responsibility of the Company's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
2) We conducted our audit in accordance with the auditing standards
generally accepted in India. These 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 presentation of
financial statements. We believe that our audit provides a reasonable
basis for our opinion.
3) As required by the Companies (Auditor's Report) Order, 2003,(CARO)
issued by the Central Government in terms of sub section (4A) of
section 227 of the Companies Act,1956, we enclose in the annexure, a
statement on the matters specified in paragraph 4 and 5 of the said
order.
4) Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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 such
books.
(c) The Balance Sheet, Statement of profit and Loss and Cash flow
Statement dealt with by this report are in agreement with the books of
account.
(d) In our opinion, the Balance Sheet, Statement of profit and Losss
and Cash Flow statement dealt with by this report are in compliance
with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
(e) On the basis of written representations received from the Directors
of the Company as on 31st March, 2012 and taken on record by the Board
of Directors, we report that the none of the Directors is disqualified
as on 31st March, 2012 from being appointed as a director of the
Company in terms of clause (g) of sub-section (I) of section 274 of the
Companies Act, 1956.
(f) In Our opinion and to the best of our information and according to
the explanations given to us, the said financial statements subject to:
(i) Note No: 2.8 of Notes to accounts regarding non registration of
title deeds in respect of one premises;
(ii) Note No.:2.23 at serial no.2 of Notes to accounts regarding
adjustments of entries arising out of confirmation/reconciliation of
the accounts of parties and banks;
(iii) Note No.2.23 at serial no.5 of Notes to accounts regarding non
provision of trade receivables and long term loans and advances
considered doubtful amounting to Rs. 128.85 lacs and Rs. 38.03 lacs
respectively;
and read together with the notes and the significant accounting
policies 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 the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012.
II. In the case of the Statement of profit and Loss, of the Profit of
the Company for the year ended on that date ; and
III. In the case of Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNGXURe TO THE AUDITOR'S REPORT IP
(Referred to in paragraph 3 of our report of even date on the accounts
of IEC Education Ltd for the year ended 31st March, 2012)
I. In respect of its fixed assets:
a) The Company has maintained fixed assets register. However in some
cases item wise depreciation, location or quantity were not maintained
in the fixed asset register.
b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the company
and nature of its assets. To the best of our knowledge, no material
discrepancies were noticed in respect of assets verified during the
year.
c) During the year, the Company has not disposed off substantial part
of its fixed assets.
II. The nature of the company's business/activities during the year
have been such that clause (ii) of paragraph 4 is not applicable to the
Company for the year.
III. a) The Company has not granted any loan, secured or unsecured to
companies, firms or other parties covered in the register
maintained under section 301 of the Companies Act, 1956. Accordingly
Clause (iii) (b) to (iii) (d) of the order are not applicable.
b) The company has not taken any loan, secured or unsecured, from
companies, firms or other parties covered in the register maintained
under section 301 of Companies Act, 1956. Accordingly Clause (iii) (f)
and (iii) (g) of the order are not applicable.
IV. In our opinion and according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regards to purchase of components, plant and machinery, equipments
and similar assets and also for sale of goods and services. In our
opinion and according to the information and explanations given to us,
there is no continuing failure to correct major weaknesses in internal
control system in respect of these areas.
V. a) In our opinion and according to the information and explanation
given to us, the particulars of contracts or arrangements referred to
in Section 301 of the Companies Act have been entered in the register
required to be maintained under that Section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements and exceeding the value of rupees five lakhs in respect of
any party during the year, have been made at prices which are
reasonable having regard to the prevalent market prices at the relevant
time other than transactions of special nature for which competitive
quotations are not available. However on the basis of information and
explanations provided, the same appear reasonable.
VI. The Company has not accepted any deposits from the public and
hence the directives issued by the Reserve Bank of India and the
provision of section 58A and 58 AA of the Companies Act, 1956 and the
rules framed hereunder, are not applicable to the Company.
VII. In our opinion, the Company's present internal audit system is
commensurate with the size and nature of its business.
VIII. Since the Company is not a manufacturing, mining or processing
industry, the Central Government has not prescribed the maintenance of
cost records under Section 209 (1) (d) of the Companies Act, 1956.
IX. According to the information and explanation given to us and the
records of the Company examined by us, in our opinion the Company has
been generally regular in depositing undisputed statutory dues
including Provident fund, Investor education and protection fund,
Employees state insurance, Income tax, Sales tax, Service tax , Wealth
tax, Custom duty, Excise duty and Cess and any other statutory dues
applicable to it, with the appropriate authorities. Except Income Tax
of Rs. 12.04 lacs and TDS of Rs. 0.13 lacs.
There are no dues of any aforesaid nature outstanding that have not
been deposited on account of any disputes.
X. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
XI. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to any
financial institutions or bank during the year. The Company did not
have any outstanding dues to any debenture holders during the year.
XII. According to the information and explanation given to us and based
on the documents and records produced to us, the company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
XIII. In our opinion, the company is not a Chit fund or Nidhi / Mutual
benefit fund/ society. Therefore the provision of clause 4 (xiii) are
not applicable to the Company.
XIV. In our opinion, the Company is not dealing or trading in share,
securities, debentures and other Investments. Accordingly, the
provisions of clause 4 (xiv) are not applicable to the Company.
XV. According to the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions during the year.
XVI. According to the information and explanation given to us, no term
loan has been raised during the year.
XVII.According to information and explanation given to us and on an
overall examination of Balance Sheet of the Company, we report that no
funds raised on short term basis have been used for long-term
investment and no long term funds have been prima facie used to finance
short term assets.
XVIII.The Company has not made during the year any preferential
allotment of shares to parties and Companies covered in the register
maintained under Section 301 of the Companies Act,1956.
XIX. The Company has not raised any loan during the year through issue
of debentures; hence the provision of clause 4 (xix) are not applicable
to the Company.
XX. The Company has not raised any money through a public issue during
the year, hence the provision of clause 4 (xx) are not applicable to
the Company.
XXI. 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.
Place : New Delhi For NATH & HARI
Chartered Accountants
FR No: 007403N
Date:- 28th August, 2012
(Kailash Hari)
M.No:- 82285
Partner
Mar 31, 2010
1) We have audited the attached Balance Sheet of IEC Education Ltd
("the Company" as at 31st March, 2010, the Profit & Loss Account and
the 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 statements based on our audit.
2) We conducted our audit in accordance with the auditing standards
generally accepted in India. These 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 presentation of
financial statements. We believe that our audit provides a reasonable
basis for our opinion.
3) As required by the Companies (Auditors Report) Order, 2003,(CARO)
issued by the Central Government in terms of sub section (4A) of
section 227 of the Companies Act,1956, we enclose in the annexure, a
statement on the matters specified in paragraph 4 and 5 of the said
order.
4) Further to our comments in the Annexure referred to in paragraph 3
above, we report that :
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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 such
books.
(c) The Balance Sheet, Profit & Loss Account and Cash flow Statement
dealt with by this report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, Profit & Loss Accounts and Cash
Flow statement dealt with by this report are in compliance with the
Accounting Standards referred to in sub-section (3c) of Section 211 of
the Companies Act, 1956.
(e) On the basis of written representations received from the Directors
of the Company as on 31st March, 2010 and taken on record by the Board
of Directors, we report that the none of the Directors is disqualified
as on 31st March, 2010 from being appointed as a director of the
Company in terms of clause (g) of sub-section (I) of section 274 of the
Companies Act, 1956.
(f) In Our opinion and to the best of our information and according to
the explanations given to us, the said financial statements subject to:
(i) Note No: 4 of Schedule 20 regarding non registration of title deeds
in respect of one premise;
(ii) Note No: 5 of Schedule 20 regarding adjustments of entries arising
out of confirmation / reconciliation of the accounts of parties and
banks;
(iii) Note No:9 of Schedule 20 regarding non provision of debts and
advances considered doubtful amounting to Rs.1,28,84,944.94 and
Rs.51,03,404.45 respectively.
and read together with the notes and the
significant accounting policies 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 the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010.
II. In the case of the Profit & Loss Account, of the Profit of the
Company for the year ended on that date ; and
III. In the case of Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Annexure to the Auditors Report
(Referred to in paragraph 3 of our report of even date on the accounts
of IEC Education Ltd for the year ended 31st March, 2010)
I. In respect of its fixed assets:
a) The Company has maintained fixed assets register. However in some
cases item wise depreciation, location or quantity were not maintained
in the fixed asset register.
b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the company
and nature of its assets. To the best of our knowledge, no material
discrepancies were noticed in respect of assets verified during the
year.
c) Fixed assets disposed off during the year, in our opinion, do not
constitute a substantial part of the fixed assets of the Company and
such disposal has, in our opinion, not affected the going concern
status of the Company.
II. The nature of the companys business/activities during the year
have been such that clause (ii) of paragraph 4 is not applicable to the
Company for the year.
III. a) During the year, the Company has granted loan, Secured or
Unsecured to Companies, firms or other parties covered in the register
maintained under Section 301 of the Companies Act, 1956.The terms &
conditions of such loan are prima facie prejudicial to the interest of
the company to the extent of interest not charged.
b) The Company has not taken any loan, Secured or Unsecured, from
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act,1956.Accordingly clauses (iii) f
and (iii) g of the Order are not applicable.
IV. In our opinion and according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regards to purchase of components, plant and machinery, equipments
and similar assets and also for sale of goods and services. In our
opinion and according to the information and explanations given to us,
there is no continuing failure to correct major weaknesses in internal
control system in respect of these areas.
V. a) In our opinion and according to the information and explanation
given to us, the particulars of contracts or arrangements referred to
in Section 301 of the Companies Act have been entered in the register
required to be maintained under that Section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements and exceeding the value of rupees five lakhs in respect of
any party during the year, have been made at prices which are
reasonable having regard to the prevalent market prices at the relevant
time other than transactions of special nature for which competitive
quotations are not available. However on the basis of information and
explanations provided , the same appear reasonable.
VI. The Company has not accepted any deposits from the public and
hence the directives issued by the Reserve Bank of India and the
provision of section 58A and 58 AA of the Companies Act, 1956 and the
rules framed hereunder, are not applicable to the Company.
VII. In our opinion, the Companys present internal audit system is
commensurate with the size and nature of its business.
VIII. Since the Company is not a manufacturing, mining or processing
industry, the Central Government has not prescribed the maintenance of
cost records under Section 209 (1) (d) of the Companies Act, 1956.
IX. According to the information and explanation given to us and the
records of the Company examined by us, in our opinion the Company has
been generally regular in depositing undisputed statutory dues
including Provident fund, Investor education and protection fund,
Employees state insurance, Income tax ( Other than TDS of Rs.91245/-
outstanding for a period of more than six month as on 31st March 2010)
Sales tax, Service tax , Wealth tax, Custom duty, Excise duty and Cess
and any other statutory dues applicable to it, with the appropriate
authorities.
X. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
XI. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to any
financial institutions or bank during the year.The Company did not have
any outstanding dues to any debenture holders during the year.
XII. According to the information and explanation given to us and
based on the documents and records produced to us, the company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
XIII. In our opinion, the company is not a Chit fund or Nidhi / Mutual
benefit fund/ society. Therefore the provision of clause 4 (xiii) are
not applicable to the Company.
XIV. In our opinion, the Company is not dealing or trading in share,
securities, debentures and other Investments. Accordingly, the
provisions of clause 4 (xiv) are not applicable to the Company.
XV. According to the information and explanation given to us, the
terms and conditions of gurantees given by the company for loans taken
by others from bank or financial institutions are not , prima facie,
prejudicial to the interests of the Company.
XVI. According to the information and explanation given to us, no term
loan has been raised during the year.
XVII.According to information and explanation given to us and on an
overall examination of Balance Sheet of the Company, we report that no
funds raised on short term basis have been used for long-term
investment and no long term funds have been prima facie used to finance
short term assets.
XVIII.During the year Company has allotted 2000000 Equity Shares upon
conversion of Share Warrants In our opinion, the price at which shares
have been issued upon Conversion of share warrant is not prejudicial to
the interest of the Company.
XIX. The Company has not raised any loan during the year through issue
of debentures; hence the provision of clause 4 (xix) are not applicable
to the Company.
XX. The Company has not raised any money through a public issue during
the year, hence the provision of clause 4 (xx) are not applicable to
the Company.
XXI. 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.
For NATH & HARI
Chartered Accountants
Place :- Delhi
Kailash Hari
Date :- 23rd August, 2010
(Partner)
M.No.- 82285
Mar 31, 2009
1) We have audited the attached Balance Sheet of IEC Education Ltd
(Formerly IEC Softwares Ltd.) as at 31st March, 2009, the Profit & Loss
Account and also the Cash Flow Statement for the year ended on that
date both annexed thereto. These financial statements are the
responsibility of the Companys management. Our responsibility is to
express an opinion on these financial statements based onouraudit.
2) We conducted our audit in accordance with the auditing standards
generally accepted in India. These 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 presentation of
financial statements. We believe that our audit provides a reasonable
basis for our opinion.
3) As required by the Companies (Auditors Report) Order, 2003, (CARO)
issued by the Central Government in terms of sub section (4A) of
section 227 of the Companies Act, 1956, we enclose in the annexure, a
statement on the matters specified in paragraph 4 and 5 of the said
order.
4) Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the
purposeofouraudit.
(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, Profit & Loss Account and Cash flow Statement
dealt with by this report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, Profit & Loss Accounts and Cash
Flow statement dealt with by this report are in compliance with the
Accounting Standards referred to in sub-section (3c) of Section 211 of
the Companies Act, 1956.
(e) On the basis of written representations received from the Directors
of the Company as on 31st March, 2009 and taken on record by the Board
of Directors, we report that the none of the Directors is disqualified
as on 31st March, 2009.
from being appointed as a director of the Company in terms of clause
(g) of sub-section (I) of section 274 of the Companies Act, 1956.
(f) In Our opinion and to the best of our information and according to
the explanations given to us, the said account subject to:
(i) Note No: 4 of Schedule 20 regarding non registration of title deeds
in respect of one premise;
(ii) Note No: 5 of Schedule 20 regarding adjustments of entries arising
out of confirmation / reconciliation of the accounts of parties and
banks;
(Hi) Note No: 9 of Schedule 20 regarding non provision of debts and
advances considered doubtful amounting to Rs. 1,28,84,944.94 and
Rs.1,01,03,404.45 respectively,
and read together with the notes and the significant accounting
policies 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 the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2009.
II. ln the case of the Profit & LossAccount, of the Profit of the
Company for theye arended on that date and
III. ln the case of Cash Flow Statement, of the cash flows of the
Company for the year ende don that date.
(Referred to in paragraph 3 of our report of even date on the accounts
of I EC Education Ltd (Formerly IEC Softwares Ltd) for the year ended
31st March, 2009)
I. In respect of its fixed assets:
a) The Company has maintained fixed asset register. However in some
cases item wise depreciation, location or quantity were not maintained
in the fixed asset register.
b) The management has not carried out a physical verification of all
the fixed assets but there is a regular programme of verification which
in our opinion is reasonable having regard to the size of the company
and nature of its assets. To the best of our knowledge, no material
discrepancies have been noticed on such verification.
c) In our opinion and according to the information and explanation
given to us, the fixed assets have not been disposed off by the company
during the year.
U. The nature of the companys business/activities during the year have
been such that clause (ii) of paragraph 4 is not Applicable to the
company for the year.
III. a) During the year, the Company has not granted any loan, Secured
or Unsecured to Companies, firms or other parties covered in the
register maintained under Section 301 of the Companies Act,1956.
b) The Company has taken unsecured interest free loans, repayable on
demand, from five parties covered in the register maintained under
section 301 of the Companies Act,1956. The maximum amounts outstanding
during the year were Rs.86,87,635.94 and the year end balance was Rs.
18,81,690.31
c) According to the information and explanation given to us, we are of
the opinion that the rate of interest and other terms and conditions on
which the interest free loans have been taken by the Company from the
parties covered in the .register maintained under section 301 of the
Companies Act,1956 are not prima facie prejudicial to the interest of
the Company.
d) As maintained in para (iii)(b) above, the loan taken by the
companies covered in the register maintained under section 301 of the
Companies Act,1956, are repayable on demand. In view of this, we are
unable to comment on the regularity of payment of principal and the
overdue amount, if any, due to the parties covered in the register
maintained under section 301 of the Companies Act, 1956.
IV. In our opinion and, according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and nature of its business
with regards to purchase of components, plant and machinery, equipments
and similar assets and also for training and education Services
rendered.
V. a) In our opinion and according to the information and explanations
given to us, the particulars of contracts or arrangements referred to
in Section 301 of the Act have been entered in the register required to
be maintained under that Section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements and exceeding the value of rupees fivelakhs in respect of
any party during the year, have been made at prices which are
reasonable having regard to the prevalent market prices at the relevant
time other than transactions of special nature for which competitive
quotations are not available.
VI. The Company has not accepted any deposits from the public and
hence the directives issued by the Reserve Bank of India and the
provision ofsection58A and 58 AAofthe Companies Act, 1956 a"nd the
rules framed hereunder, are not applicableto the Company.
VII. In our opinion, the Companys present internal audit system is
commensurate with the size and nature of its business.
VIII. Since the Company is not a manufacturing, mining or processing
industry, the Central Government has not prescribed the maintenance of
cost records under Section 209 (1) (d) of the Companies Act, 1956.
I A-r I
IX. According to the information and explanation given to us and the
records of the Company examined by us, in our opinion the Company has
been generally regular in depositing undisputed statutory dues
including Provident Fund, Investor education and protection Fund,
Employees state insurance, income tax (other than TDS of Rs. 88124
outstanding for a period of more than Six month as on 31st March 2009),
Sales Tax, Service tax,wealth Tax, custom duty, excise duty and cess
and any other statutory dues applicable to it, with the appropriate
authorities.
X. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
XI. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to any
financial institutions or bank during the year.
XII. According to the information and explanation given to us and
based on the documents and records produced to us, the company has not
granted loans and the advances on the basis of security by way of
pledge of shares, debentures and other securities.
XIII.- In our opinion, the company is not a Chit Fund or Nidhi/ Mutual
benefit fund/ society. Therefore the provision of clauses 4 (xiii) are
not applicable to the Company.
XIV. In our opinion, the Company is not dealing in or trading in
share, securities, debentures and other Investments. Accordingly, the
provisions of clause 4 (xiv) are not applicable to the Company.
XV. According to the information and explanation given to us, the
company has not given any guarantee for loans taken by others from
bankorfinancial institutions duringtheyear.
XVI. According to the information and explanation given to us, no term
loan has been raised duringtheyear.
XVII. According to information and explanation given to us and on an
overall examination of Balance Sheet of the Company, we report that no
funds raised on short term basis have been used for long-term
investment and no long term funds have been prime facie used to finance
short term assets.
XVIII. During the year Company has allotted 3000000 Equity Shares upon
conversion of Share Warrants and 3260000 Equity Shares pursuant to the
scheme of amalgamation approved by Honble High Court of Delhi. In our
opinion, the price at which shares have been issued upon Conversion of
share warrant is not prejudicial to the interest of the Company.
XIX. The Company has not raised any loan during the year through issue
of debentures; hence the provisions of clause 4 (xix) are not
applicable to the Company.
XX. The Company has not raised any money through a public issue during
the year, hence the provisions of clause 4 (xx) are not applicable to
the Company.
XXI. Based upon the audit procedures performed and the information and
explanation given to us by the management, we reportthat no fraud on or
by the Company has been noticed or reported during the course of our
audit.
For NATH&HARI
Chartered Accountants
Place :- Delhi
Date :-28th August, 2009 Kailash Hari
(Partner) M.No.- 82285