Home  »  Company
Enter the first few characters of Company and click 'Go'
Sorry, unable to find the company details of Ikf finance

Search NSE/BSE Listed Company Details By Alphabets

 
Subscribe now to get personal finance updates in your inbox!
Auditor Report of IKF Finance Ltd. Company
Home  »  Company  »  IKF Finance Ltd.  »  Quotes  »  Auditor Report
Enter the first few characters of Company and click 'Go'

Auditor Report of IKF Finance Ltd.

Mar 31, 2014

We have audited the attached Balance Sheet of IKF FINANCE LIMITED, (the "Company") as at March 31, 2014, and the related Profit and Loss Statement and the Cash Flow Statement for the year ended on that date annexed thereto which we have signed under reference to this report. These financial statements are the responsibility of the Company''s Management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material mis- statement. 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 the Manage- ment as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditor''s Report) Order, 2003, ("the Order") issued by the Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks as we considered appropriate and according to the information and explanations given to us during the course of audit a statement on matters specified in the said order has been given in the annexure hereof.

Further to our comments in the Annexure referred to in paragraph 3 above, we report that:

a) we have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;

c) the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report are in agreement with the books of account;

d) in our opinion and according to the information and explanations given to us, the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Companies Act, 1956;

e) on the basis of written representations received from the directors and taken on record by the company, none of the directors are disqualified as on March 31, 2014, from being appointed as a director in terms of clause (g) of sub- section (1) of Section 274, of the Companies Act, 1956;

f) in our opinion and to the best of our information and according to the explanations given to us, the said financial statements give the information required by the 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 March 31, 2014;

ii) in the case of Statement of Profit and Loss, of the profit of the company for the year ended on that date; and

ii) in the case of 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 3 of our report of even date)

Re: IKF FINANCE LIMITED ("the company")

Financial Year Ended March 31, 2014

I. (a) The Company is maintaining proper records showing full particulars including quantitative details and situation of fixed assets.

(b) The Company has a phased programme of physical verification of fixed assets, which in our opinion, is reasonable having regard to the size of the Company and nature of fixed assets. In accordance with the programme, the fixed assets have been physically verified by the management during the year and no material discrepancies were noticed on such physical verification.

(c) The Company has disposed off vehicles from fixed assets of which are actually part of its business activity, as such the assets disposed off during the year were not substantial and therefore do not affect the going concern status of the Company.

II. In our opinion and as per the information and explanations given to us the Company has not granted/taken any loans, secured or unsecured, to/from companies, firms or other parties listed in the register maintained under section 301 of the Companies Act, 1956 (the Act).

III. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and sale of goods and services. During the course of our audit, no major weakness has been noticed in the above controls and therefore the reporting of the same does not arise.

IV. In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956

(a) To the best of our knowledge and belief 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, and

(b) According to the information and explanations given to us, where each of such transactions in respect of any party, the transactions made in pursuance of such contracts or arrangements have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

V. The Company has not accepted public deposits in accordance with the provisions of Section 58A, 58AA or any other relevant provisions of the Companies Act, 1956.

VI. The Company has an internal audit system, which in our opinion, is commesurate with the size and the nature of its business.

VII. The Central Government has not prescribed the maintenance of cost records under Section 209(1)(d) of the Act.

VIII. (a) According to the records of the Company and information and explanations given to us, undisputed statutory dues including provident fund, Investor education and protection fund, Employee''s State Insurance, Income tax, Wealth tax, service tax, as applicable were regularly deposited during the year with the appropriate authorities etc. and there exist no dues which is outstanding for a period exceeding six months as at the last day of the financial year.

(b) According to the information and explanations given to us and the books and records examined by us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty and Cess which have not been deposited on account of dispute which is outstanding for a period exceeding six months as at the last day of the financial year.

IX. The Company does not have any accumulated lossess at the end of the financial year and has not incurred any cash losses during the current and immediately preceeding financial year.

X. Based on our audit procedures and as per information and explanations given by the management, we are of the opinion that the Company has not defaulted in the repayment of dues to banks, financial institutions or debenture holders.

XI. According to the information and explanations given to us and based on our examination of books and records, the Company has not granted loans and advances on the basis of security by way of pledge of shares and other securities.

XII. In our opinion the company is not a chit fund or a nidhi/mutual benefit fund/society.

XIII. Based on our examination of records and the information and explanations given to us, the Company does not deal / trade in shares, securities and debentures and other investments.

XIV. In our opinion and according to the information and explanations given to us, the Company has given guarantees, in respect of loans, sanctioned to the various finance creditors under the Channel Business activity undertaken by the Company as detailed below. The terms and conditions thereof are not prejudical to the interest of the Company.

(Rs. In Lacs)

Sl. Name of the Activity Outstanding Amount No.

1 Channel Business 1670.17

XV. To the best of our knowledge and belief and according to the information and explanations given to us, term loans availed by the company were, prima facie, applied by the company during the year for the purposes for which the loans were obtained other than temporary deployment, pending application.

XVI. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that the funds raised on short term basis have not been used for long term investment.

XVII. According to the information and explanations given to us, the company has allotted 30,00,000 Equity Shares of Rs.10/- each with a Premium of Rs.3/- per Share on September 30, 2013, consequent to conversion of Warrants allotted on September 30, 2013, to both the Promoters and Promoter Group in terms of SEBI Preferential Issue Guidelines and therefore we are of the opinion that the same are not prejudicial to the interest of the Company.

XVIII.According to the information and explanations given to us, the Company has created securities by way of floating charges in respect of secured debentures issued.

XIX. The Company has not raised money by Public issue of Shares during the year.

XX. To the best of our knowledge and belief and according to the information and explanations given to us, no material fraud on or by the Company was noticed or reported during the course of our audit.

XXI. In our opinion and according to the information and explanations given to us, the nature of the Company''s business / activities during the year have been such that clause (ii) of paragraph 4 of the Companies (Auditors'') Report) Order, 2003 are not applicable to the Company for the year.

For Hanumaiah & Co. Chartered Accountants Firm Registration No: 009021S

Sd/- K Hanumaiah, FCA Partner Place: Vijayawada Membership No: 201719 Date: 27-05-2014


Mar 31, 2013

We have audited the attached Balance Sheet of IKF FINANCE LIMITED, (the "Company") as at March 31, 2013, and the related Profit and Loss Statement and the Cash Flow Statement for the year ended on that date annexed thereto which we have signed under reference to this report. These financial statements are the responsibility of the Company''s Management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the Management as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditor''s Report) Order, 2003, ("the Order") issued by the Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks as we considered appropriate and according to the information and explanations given to us during the course of audit a statement on matters specified in the said order has been given in the annexure hereof.

Further to our comments in the Annexure referred to in paragraph 3 above, we report that:

a) we have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books; -—^^*^

c) the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report are in agreement with the books of account; %^_^

d) in our opinion and according to the information and explanations given to us, the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Companies Act, 1956;

e) on the basis of written representations received from the directors and taken on record by the company, none of the directors are disqualified as on March 31, 2013, from being appointed as a director in terms of clause (g) of sub- section (1) 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 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 March 31, 2013;

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 the Cash Flow Statement, of the cash flows for the year ended on that date.

ANNEXURE TO AUDITORS'' REPORT

(Referred to in paragraph 3 of our report of even date)

Re: IKF FINANCE LIMITED ("the company")

Financial Year Ended March 31, 2013

I. (a) The Company is maintaining proper records showing full particulars including quantitative details and situation of fixed assets.

(b) The Company has a phased programme of physical verification of fixed assets, which in our opinion, is reasonable having regard to the size of the Company and nature of fixed assets. In accordance with the programme, the fixed assets have been physically verified by the management during the year and no material discrepancies were noticed on such physical verification.

(c) The Company has disposed off vehicles from fixed assets of which are actually part of its business activity, as such the assets disposed off during the year were not substantial and therefore do not affect the going concern status of the Company.

II. In our opinion and as per the information and explanations given to us the Company has not granted/taken any loans,secured or unsecured, to/from companies, firms or other parties listed in the register maintained under section 301 of the Companies Act, 1956 (the Act).

III. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and sale of goods and services. During the course of our audit, no major weakness has been noticed in the above controls and therefore the reporting of the same does not araise.

IV. In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956

(a) To the best of our knowledge and belief 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, and

(b) Accordingl to the information and explanations given to us, where each of such transactions in respect of any party, the transactions made in pursuance of such contracts or arrangements have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

V. The Company has not accepted accepted public deposits in accordance with the provisions of Section 58A, 58AA or any other relevant provisions of the Companies Act, 1956.

VI. The Company has an internal audit system, which in our opinion, is commesurate with the size and the nature of its business.

VII. The Central Government has not prescribed the maintenance of cost records under Section 209(1)(d) of the Act.

VIII. (a) According to the records of the Company and information and explanations given to us, undisputed statutory dues including provident fund, Investor education and protection fund, Employee''s State Insurance, Income tax, Wealth tax, service tax, as applicable were regularly deposited during the year with the appropriate authorities etc. and there exist no dues which is outstanding for a period exceeding six months as at the last day of the financial year.

(b) According to the information and explanations given to us and the books and records examined by us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty and Cess which have not been deposited on account of dispute.

IX. The Company does not have any accumulated lossess at the end of the financial year and has not incurred any cash losses uring the current and immediately preceeding financial year.

X. Based on our audit procedures and as per information and explanations given by the management, we are of the opinionthat the Company has not defaulted in the repayment of dues to banks, financial institutions or debenture holders.

XI. Accordingl to the information and explanations given to us and based on our examination of books and records, the Company has not granted loans and advances on the basis of security by way of pledge of shares and other securities.

XII. In our opinion the company is not a chit fund or a nidhi/mutual benefit fund/society.

XIII. Based on our examination of records and the information and explanations given to us, the Company does not deal / trade in shares, securities and debentures and other investments.

XIV. In our opinion and according to the information and explanations given to us, the Company has given guarantees, in respect of loans, sanctioned to the various finance creditors under the Channel Business and Securitization activities undertaken by the Company as detailed below. The terms and conditions thereof are not prejudical to the interest of the Company

XV. To the best of our knowledge and belief and according to the information and explanations given to us, term loans availed by the company were, prima facie, applied by the company during the year for the purposes for which the loans were obtained other than temporary deployment, pending application.

XVI. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that the funds raised on short term basis have not been used for long term investment.

XVII.According to the information and explanations given to us, the company has issued 68,50,000 Equity Shares of Rs.10/- each with a Premium of Rs.3/- per Shar on August 16, 2012 and 36,60,000 Equity Shares of Rs.10/- each with a Premium of Rs.3.25 per Shar on March 18, 2013 to both the Promoters, Promoter Group amd Non Promoters in terms of SEBI preferential Issue Guidelines and therefore we are of the opinion that the same are not prejudicial to the interest of the Company.

XVIIIAccording to the information and explanations given to us, the Company has created securities by way of floating charges in respect of secured debentures issued.

XIX. The Company has not raised money by Public issue of Shares during the year.

XX. To the best of our knowledge and belief and according to the information and explanations given to us, no material fraud on or by the Company was noticed or reported during the course of our audit.

XXI. In our opinion and according to the information and explanations given to us, the nature of the Company''s business / activities during the year have been such that clause (ii) of paragraph 4 of the Companies (Auditors'') Report) Order, 2003 are not applicable to the Company for the year.

For Hanumaiah & Co.

Chartered Accountants

Sd/-

K Hanumaiah, FCA

Partner

Place: Vijayawada Membership No: 201719

Date: 25-05-2013 Firm Registration No: 009021S


Mar 31, 2012

We have audited the attached Balance Sheet of IKF FINANCE LIMITED, (the "Company") as at March 31, 2012, and the related Profit and Loss Statement and the Cash Flow Statement for the year ended on that date annexed thereto which we have signed under reference to this report. These financial statements are the responsibility of the Company's Management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the Management as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditor's Report) Order, 2003, ("the Order") issued by the Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks as we considered appropriate and according to the information and explanations given to us during the course of audit a statement on matters specified in the said order has been given in the Annexure hereof.

Further to our comments in the Annexure referred to in paragraph 3 above, we report that:

a) we have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;

c) the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report are in agreement with the books of account;

d) in our opinion and according to the information and explanations given to us, the Balance Sheet, Profit and Loss Statement and Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Companies Act, 1956;

e) on the basis of written representations received from the directors and taken on record by the company, none of the directors are disqualified as on March 31, 2012, from being appointed as a director in terms of clause (g) of sub-section (1) 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 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 March 31, 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 the Cash Flow Statement, of the cash flows for the year ended on that date.



ANNEXURE TO AUDITORS' REPORT

(Referred to in paragraph 3 of our report of even date)

Re: IKF FINANCE LIMITED ("the company")

Financial Year Ended March 31, 2012

I. (a) The Company is maintaining proper records showing full particulars including quantitative details and situation

of fixed assets.

(b) The Company has a phased programme of physical verification of fixed assets, which in our opinion, is reasonable having regard to the size of the Company and nature of fixed assets. In accordance with the programme, the fixed assets have been physically verified by the management during the year and no material discrepancies were noticed on such physical verification.

(c) The Company has disposed off vehicles from fixed assets of which are actually part of its business activity, as such the assets disposed off during the year were not substantial and therefore do not affect the going concern status of the Company.

II. In our opinion and as per the information and explanations given to us the Company has not granted/taken any loans, secured or unsecured, to/from companies, firms or other parties listed in the register maintained under section 301 of the Companies Act, 1956 (the Act).

III. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and sale of goods and services. During the course of our audit, no major weakness has been noticed in the above controls and therefore the reporting of the same does not arise.

IV. In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956

(a) To the best of our knowledge and belief 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, and

(b) According to the information and explanations given to us, where each of such transactions in respect of any party, the transactions made in pursuance of such contracts or arrangements have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

V. The Company has not accepted accepted public deposits in accordance with the provisions of Section 58A, 58AA or any other relevant provisions of the Companies Act, 1956.

VI. The Company has an internal audit system, which in our opinion, is commensurate with the size and the nature of its business.

VII. The Central Government has not prescribed the maintenance of cost records under Section 209(1)(d) of the Act.

VIII. (a) According to the records of the Company and information and explanations given to us, undisputed statutory dues including provident fund, Investor education and protection fund, Employee's State Insurance, Income tax, Wealth tax, service tax, as applicable were regularly deposited during the year with the appropriate authorities etc. and there exist no dues which is outstanding for a period exceeding six months as at the last day of the financial year.

(b) According to the information and explanations given to us and the books and records examined by us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty and Cess which have not been deposited on account of dispute.

IX. The Company does not have any accumulated losses at the end of the financial year and has not incurred any cash losses during the current and immediately preceding financial year.

X. Based on our audit procedures and as per information and explanations given by the management, we are of the opinion that the Company has not defaulted in the repayment of dues to banks, financial institutions or debenture holders.

XI. According to the information and explanations given to us and based on our examination of books and records, the Company has not granted loans and advances on the basis of security by way of pledge of shares and other securities.

XII. In our opinion the company is not a chit fund or a nidhi/mutual benefit fund/society

XIII. Based on our examination of records and the information and explanations given to us, the Company does not deal/trade in shares, securities and debentures and other investments.

XIV. In our opinion and according to the information and explanations given to us, the Company has given guarantees, in respect of loans, sanctioned to the various finance creditors under the Channel Business and Securitization activities undertaken by the Company as detailed below. The terms and conditions thereof are not prejudicial to the interest of the Company

Sl. Name of the Activity Outstanding Amount No. (Rs. In Lacs)

1 Channel Business 5908.20

2 Securitization/Direct Assignment 168.71

XV. To the best of our knowledge and belief and according to the information and explanations given to us, term loans availed by the company were, prima facie, applied by the company during the year for the purposes for which the loans were obtained other than temporary deployment, pending application.

XVI. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that the funds raised on short term basis have not been used for long term investment.

XVII. According to the information and explanations given to us, the company has issued 31,71,600 Equity Shares of Rs. 10/- each with a Premium of Rs. 3/- per Share and 40,00,000 Warrants at Rs. 13/- (including a Premium of Rs. 3/- per Warrant) convertible in to one Equity Share each on Preferential basis to the parties or companies covered in the register maintained under section 301 of the Act.

XVIII. According to the information and explanations given to us, the Company has created securities by way of floating charges in respect of secured debentures issued.

XIX. The Company has not raised money by Public issue of Shares during the year.

XX. To the best of our knowledge and belief and according to the information and explanations given to us, no material fraud on or by the Company was noticed or reported during the course of our audit.

XXI. In our opinion and according to the information and explanations given to us, the nature of the Company's business/activities during the year have been such that clause (ii) of paragraph 4 of the Companies (Auditors') Report) Order, 2003 are not applicable to the Company for the year.

For Hanumaiah & Co. Chartered Accountants

Sd/- K Hanumaiah, FCA Partner Membership No: 201719 Firm Registration No: 009021S

Place: Vijayawada Date: 31-07-2012


Mar 31, 2010

We have audited the attached Balance Sheet of M/s.IKF Finance Limited as at 31st March. 2010 and the Profit and Loss Account and the Cash Flow Statement of the Company 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 on our audit.

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 the Management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditors Report) Order. 2003 issued by the Central Government in terms of Section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order.

Further to our comments in the Annexure referred to in paragraph 3 above:

(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 it appears from our examination of those books.

(c) the Balance Sheet and the Profit & Loss. Account dealt with by this report are in agreement with the books of account;

(d) in our opinion, the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report are in compliance with the Accounting Standards referred in Section 211(3C) of the Companies Act, 1956;

(e) on the basis of the written representations from the directors, taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2010 from being appointed as a director under Section 274(l)(g) of the Companies Act, 1956;

(f) in our opinion and to the best of our information and according to the explanations given to us, the said accounts give the information required by the Companies Act, 1956, in the manner so required and 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 and Loss Account, of the Profit 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

The Annexure referred to in Auditors Report to the M/s. IKF FINANCE LIMITED for the year ended 31st March, 2010.

We report that:

1.1. The company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.

1.2. The company has a phased programme of physical verification of fixed assets, which in our opinion, is reasonable having regard to the size of the company and nature of fixed assets. In accordance with the programme, the fixed assets have been physically verified by the management during the year. No material discrepancies were noticed during the year on such verification.

1.3. The Company has disposed off a vehicle from fixed assets of its own use and the assets on lease which are actually part of its business activity, as such the assets disposed off during the year were not substantial and therefore do not affect the going concern status of the company.

2.1. In our opinion and according to the information and explanations given 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 301 of the Companies Act, 1956.

2.2. In our opinion and according to the information and explana tions 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.

3.0. In our opinion and according to the information and explanations given to us, there are adequate internal control systems commensurate with the size of the company and the nature of its business, with regard to purchases of fixed assets and sale of goods and services. During the course of our audit, no major weakness has been noticed in the above controls and therefore the reporting of the same does not arise.

4.0. In respect of transactions entered in the register maintained in pursuance of section 301 of the companies Act 1956:

(a) To the best of our knowledge and belief 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; and

(b) According to the information and explanations given to us, where each of such transactions in respect of any party, the transactions made in pursuance of such contracts or arrangements have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

5.0. The company has not accepted public deposits in accordance with the provisions of Section 58A, 58AA or any other relevant provisions of the Act, 1956.

6.0. The company has an internal audit system, which in our opinion, is commensurate with the size and the nature of its business.

7.0. The Central Government has not prescribed the maintenance of cost records under Section 209(l)(d) of the Companies Act, 1956.

8.0. a) According to the records of the company, Provident Fund, Investor Education and Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax and Service Tax as applicable were regularly deposited during the year with the appropriate authorities, except the tax on distributed profits payable for the financial year 2008-09 amounting to Rs. 10,38,995/- which is outstanding for a period exceeding six months as at the last day of the financial year.

b) According to the information and explanations given to us and the books and records examined by us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty and cess which have not been deposited on account of dispute.

9.0. The company does not have any accumulated losses at the end of the financial year and has not incurred cash losses in the such financial year and in the immediately preceding financial year.

10. Based on our audit procedures and on the information and explanations given by the management, we are of the opinion that the company has not defaulted in repayment of dues to banks or debture holders.

11. According to the information and explanations given to us and based on our examinations of records, the company has not granted loans and advances on the basis of security by way of pledge of shares and other securities.

12. The company is not a chit fund/nidhi/mutual benefit fund or society.

13. Based on our examinations of records and the information and explanations given to us, the company does not deal/trade in shares, securities, and other investments.

14. In our opinion and according to the information and explanations given to us, the company has given guarantees, in respect of loans sanctioned to the various finance creditors under the Asset portfolio management and Securitisation of assets activity undertaken by the company as detailed below. The terms and conditions thereof are not prejudicial to the interest of the company.

Sl.No. Name of Activity Outstanding Amount (Rs. in Crores)

01. Asset Portfolio Management 77.09

02. Securitisation 11.35



15. To the best of our knowledge and belief and according to the information and explanations given to us, the company has not availed any term loans during the year.

16. According to the cash flow statement and other records examined by us and the information and explanations given to us, on an overall examination of the balance sheet of the company, funds raised on short term basis, prima facie, have not been used during the year for long term investment.

17. According to the information and explanation given to me, the company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act

18. According to the information and explanations given to us, the company has created securities by way of floating charge in respect of secured debentures issued.

19. The company has not made any public issue of shares during the year.

20. To the best our knowledge and belief and according to the information and explanations given to us, no fraud on or by the company was noticed or reported during,the year.

21. In our opinion and according to the information and explanations given to us, the nature of the companys business/activities during the year have been such that clause (ii) of paragraph 4 of the Companies (AuditorsReport) Order, 2003 are not applicable to the company.



for Hanumaiah & Co.,

Chartered Accountants

Sd/-

(K.Hanumaiah)

Partner.

Place : Vijayawada

Date : 30.08.2010.


Mar 31, 2000

I have audited the Balance Sheet of M/s.lKF FINANCE LIMITED as at 31st March, 2000 and the Profit and Loss Account for the period ended on that date, annexed thereto.

As required by the Manufacturing and Other Companies (Auditors Report) Order, 1988 issued by the Central Govern- ment in terms of Section 227 (4A) of the Companies Act, 1956 I report that:

1. The Company has maintained adequate records to show full particulars, including quantitative details and situation of its fixed assets. The leased and own fixed assets of the company have been physically verified by the Manage- ment in a phased manner. No material discrepancies were noticed on such verification.

2. None of the fixed assets of the company have been revalued during the period.

3. The Stock-in-trade have been physically verified by the Management during the year and no discrepancies have been noticed on such verification. The procedures fol- lowed are, in our opinion, reasonable and adequate. The company has valued the stocks at cost.

4. The Company has not obtained any loan from the parties listed in the register maintained under section 301 of the Companies Act, 1956.

5. The Company has not granted any loans to the parties listed in the register maintained under section 301 of the Companies Act, 1956.

6. Inrespectof Loans & Advances, HireMoneydueonstock on hire, lease rentals on leased assets transactions entered into by the Company in the ordinary course of business, where the installments are overdue, I am of the opinion that reasonable steps have been taken by the Company for the recovery of the same.

7. In our opinion and in accordance with the information and explanations given to me, there are adequate internal control procedures commensurate with the size of the company and the nature of its business for purchase of assets.

8. The Company has not entered into any contracts or arrangements during the year for purchase or sale of any goods, materials or services from Companies, firms or other parties, if any, listed in the register maintained under Section 301 of the Companies Act, 1956.

9. The Company has accepted public deposits in accor- dance with the provisions of Section 58A of the Compa- nies Act, 1956 and the company has complied with Non- Banking financial companies (Reserve Bank) Directions, 1998 and the rules made thereunder.

10. The Company has adequate internal audit system com- mensurate with its size and business.

11. The Provident Fund and Employees state Insurance system is not applicable to the Company.

12. According to the information and explanations given to me and the books and records examined by me, there are no undisputed amounts payable in respect of Income Tax, Sales Tax, Customs Duty and Excise Duty outstanding as at 31st March, 2000 for a period exceeding six months from the date they become payable.

13. The Company has a policy of authorising expenditure based on reasonable checks and balances. The policy is intended to ensure that expenses are authorised on the basis of contractual obligations or accepted business practices having regard to the Companys needs and exigencies. In terms of these observation, I have not come across any expenses charged to revenue Account which in my opinion and judgement and to the best of my knowledge and belief could be regarded as a personal expense.

14. The Company has maintained proper records of its deal- ings in Shares and Securities and the transactions and contracts of such dealings are being entered regularly.

15. The other items of the aforesaid order are, in my opinion, not applicable in case of this Company.

And as required by the Non-Banking Financial Companies Auditors Report (Reserve Bank) Directions, 1998, issued by the Reserve Bank of India in terms of sub-section (1 A) section 45 MA of the Reserve Bank of India Act, 1934,1 report that:

i) The Company has been granted the registration as Non-Banking Financial Company by the department of Non-Banking Supervision, Reserve Bank of India Hyderabad vide its certificate of registration bearing No.09-00172 dated 6th May 1998.

ii) The Company has accepted the public deposits, and the deposits as defined in the Non-Banking Financial Companies (Reserve Bank) Directions, 1998, are within the limits admissible to the Company as per the Directions.

iii) The Company has secured the credit rating for fixed deposits BBB assigned by the Credit Analysis and Research Limited. (CARE) Bombay on 01-09-99 is in force for an amount of Rs.100 lakhs. And the aggregate deposits amounting to Rs.30.21 lakhs outstanding as at 31-03-2000 are within the limit specified by the rating agency.

iv) As per the information available to me, the Company has not defaulted in paying to its depositors the interest and/or principal amount of deposits after they became due.

v) The Company has Complied with prudential norms on income recognition, accounting standards, asset classification, provisioing for bad and doubtful debts, and concentration of credit/investments as specified in the directions issued by the Reserve Bank of India in terms of the Non-Banking Financial Companies prudential norms (Reserve Bank) Directions, 1998.

vi) The Capital adequacy ratio as disclosed in the return submitted to the Reserve Bank of India in terms of the Non-Banking Financial Companies prudential norms (Reserve Bank) Directions, 1998 has been correctly determined and as well complied with the minimum capital to Risk Asset Ratio prescribed by the Reserve Bank of India.

vii) The Company has complied with the prescribed liquidity requirement and kept the approved securities with a designated Bank.

viii) The Company has furnished to the Reserve Bank of India within stipulated period the half-yearly return on prudential norms as specified in the Non-Banking Financial Companies prudential norms (Reserve Bank) Directions, 1998 and

ix) The Company has furnished to the Reserve Bank of India within the stipulated period the return on deposits as specified in the First Schedule to the Non-Banking Financial Companies(Reserve Bank) Directions, 1998.

Further to. and in terms of the above. I also report that

A) I have obtained all the information and explanations which, to the best of my knowledge and belief, were necessary for the purpose of audit.

B) In my opinion, proper books of account, as required by the Companies Act, 1956, have been kept by the Company so far as it appears from my examination of those books.

C) The Balance Sheet and Profit and Loss Account dealt with by the Report are in agreement with the said books of account.

D) In my opinion, and to the best of my information and according to the explanations given to me, the said accounts read with the Notes thereon give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view:

i) In the case of the Balance Sheet, of the state of the Companys affairs as at 31st March, 2000 and

ii) In the case of the Profit and Loss Account, of the Profit of the Company for the period ended on the date.

K.HANUMAIAH Chartered Accountant

Place: Vijayawada,

Date : 12-08-2000.

 
Subscribe now to get personal finance updates in your inbox!