Mar 31, 2015
We have audited the accompanying financial statements of INANNA FASHION
AND TRENDS LIMITED (Formally known as M/s. FRONTLINE BUSINESS SOLUTIONS
LIMITED) ("the Company"), which comprise the Balance Sheet as at March
31, 2015, the Statement of Profit and Loss and Cash Flow Statement for
the year then ended, and a summary of significant accounting policies
and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated
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
maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding of the assets of the Company and
for preventing and detecting 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 adequate internal financial controls,
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
thereunder.
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 misstatements.
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 a true and fair view
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial
controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by the 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.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at March 31, 2015, and its profit and its cash flows for the year ended
on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors' Report) Order 2015("the
Order") issued by the Central Government in terms of Section 143(11) of
the Act, we give in the annexure a statement on the matters specified
in 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 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 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 the written representations received from the
directors as on March 31, 2015, taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 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 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us :
i) The Company does not have any pending litigations which would impact
its financial position.
ii) The Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses :
iii) There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
Annexure to Independent Auditor's Report
(Referred to in paragraph 1 under 'Report on Other Legal and Regulatory
Requirements' section of our report of even date)
(i) In respect of its fixed assets :
a) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
b) The Company has a programme of physical verification of all its
fixed assets in a phased manner which, in our opinion, is reasonable
having regard to the size of the Company and the nature of its assets.
In accordance with such a programme, certain fixed assets were
physically verified by the management during the year. According to the
information and explanation given to us, no material discrepancies were
noticed on such verification.
(ii) In respect of its inventories :
a) As explained to us, the inventories were physically verified during
the year by the Management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and no material discrepancies were observed during the
course of physical verification.
(iii) The Company has granted interest free unsecured loans to four
parties covered in the register maintained under Section 189 of the
Companies Act, 2013. The maximum amount outstanding during the year and
year end balance of such loan aggregate to Rs. 2.04 Crore and Rs. 0.57
crore respectively. Since the loans are repayable on demand the
question of overdue amount does not arise.
(iv) There is an adequate internal control system commensurate with the
size of the Company and the nature of its business with regard to
purchases of inventory and fixed assets and the sale of goods and
services. During the course of our audit, we have not observed any
major weakness in such internal control system.
(v) According to the information and explanations given to us, the
Company has not accepted any deposit from the public as per directives
issued by the Reserve Bank of India and the provisions of section 73 to
76 or any other relevant section of the Companies Act and the rules
framed thereunder.
(vi) The Central Government has not prescribed the maintenance of cost
records under section 148(1) of the Act for any of the services
rendered by the Company.
(vii) According to the information and explanations given to us in
respect of statutory dues ;
a) The Company has generally been regular in depositing undisputed
statutory dues including provident fund, employees' state insurance,
income-tax, sales tax, wealth tax, service tax, customs duty, excise
duty, value added tax, cess and any other statutory dues with the
appropriate authorities.
b) There were no undisputed amount payable in respect of Provident
fund, Employees' State Insurance, Income tax, Sales tax, Service tax
and any other material statutory dues in arrears as at March 31, 2015
for a period of more than six months from the date they become payable.
c) Details of Sales tax dues which have not been deposited as on March
31,2015 on account of dispute are given below:
Name of Statue Nature of dues Amount Period
JCCI Penalty 534523/- 1991-92
Sales tax Assessment due 647571/- 1996-97
Name of Statue Forum where dispute
is pending Appeal
JCCI Appeal
Sales tax Appeal
d) There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
(viii) The Company has accumulated losses at the end of the financial
year. However it has not incurred cash losses during the financial year
under report and immediately preceding financial year.
(ix) In our opinion and according to the information and explanations
given to us, the Company does not have any borrowing from any bank,
financial institutions and debenture holders.
(x) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not taken term loans during the year.
(xii) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
FOR P. C. BARADIYA & CO.
CHARTERED ACCOUNTANTS
FIRM REGN. NO. 101017W
K.C. KANKARIYA
PARTNER
MEMBERSHIP NO: 43951
Mar 31, 2014
1. Report on the Financial Statements
We have audited the accompanying financial statements of M/s FRONTLINE
BUSINESS SOLUTIONS LIMITED (the Company), which comprise the Balance
Sheet as at 31 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.
2. Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards notified under the Companies
Act, 1956 (the Act) (which continue to be applicable in respect of
Section 133 of the Companies Act, 2013 in terms of General Circular
15/2013 dated 13th September, 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.
3 Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and 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 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.
4 Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31March 2014.
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5 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 13 September 2013 of the (Ministry of Corporate Affairs).
(e) On the basis of the written representations received from the
directors as on 31 March 2014 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 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
Referred to in paragraph "1" under Report on other legal and the
regulatory requirements section of our report of even date of Frontline
Business Solution Limited for the year ended 31st March, 2014
1.
(a) The Company has maintained proper records showing full particulars
including quantitative details and location of fixed assets.
(b) As explained to us, the assets have been physically verified by the
management at reasonable intervals in accordance with the phased
programme of verification which, in our opinion, is reasonable
considering the size of the Company and the nature of its fixed assets.
According to the information and explanation given to us, no material
discrepancies have been noticed on such physical verification.
(c) In our opinion and according to the information and explanation
give to us, no fixed assets has been disposed off during the year and
therefore does not affect the going concern assumption.
2.
(a) The inventory of the Company has been physically verified by the
Management at reasonable intervals.
(b) In our opinion, the procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and nature of its business.
(c) On the basis of examination of the records of the Company, we are
of the opinion that the Company is maintained proper records of
inventory and no material discrepancies were noticed on such physical
verification.
3. (a) The Company has granted unsecured loan to four parties covered
in the register maintained under section 301 of the Companies Act. The
maximum amount involved during the year was Rs. 168.17 Lakh and the
year-end balance of such loans was 55.13 Lakh. There were no
stipulation as to when the interest was payable, wherever applicable.
In our opinion, the rate of interest and the other terms and condition
of such loans are prima facie not prejudicial to the interest of the
Company.
(b) The Company has taken unsecured loans from two parties covered in
the register maintained under section 301 of the Companies Act, 1956.
The maximum amount involved during the year was Rs. 13.85 Lakh and the
year end balance of such loan was Rs. NIL Lakh. There were no
stipulation as to when the interest was payable, wherever applicable.
In our opinion, the rate of interest and the other terms and condition
of such loans are prima facie not prejudicial to the interest of the
Company.
4. In our opinion, and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of fixed assets and for the sale of
goods and services. During the course of our audit, no major weakness
has been noticed in the internal control procedures.
5. In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of the Companies Act, 1956 during the year to be entered in
the register required to be maintain under that section. Accordingly,
the question of commenting on transaction made in pursuance of such
contract or arrangement does not arise.
6. The Company has not accepted any deposits from the Public and
consequently, the directives issued by the Reserve Bank of India , the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under are not applicable.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and the nature of its
business.
8. The Central Government has not prescribed maintenance of cost
records under Cause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 in respect of activities of the Company.
9 (a) According to the records of the Company, the Company is generally
regular in depositing undisputed statutory dues including Provident
Fund, Employees State Insurance, Investor Education and Protection
Fund, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty,
Excise Duty, Cess and other material Statutory dues to the extent
applicable with the appropriate authorities and there are no undisputed
statutory dues payable for a period more than six months from the date
they became payable as at 31st March, 2013.
(b) According to the records and information and explanation given to
us, there are no dues in respect of Income Tax, Service Tax, Custom
Duty, Wealth Tax, Excise Duty that have not been deposited with the
appropriate authorities on account of any dispute except the following
:
Name of Nature of Dues Amount Period Forum where the
the dispute is pending
Statute
JCCI Penalty 5,34,523 91-92 Appeal
Sales Tax Assessment Dues 6,47,571 96-97 Appeal
10. Accumulated losses of the Company are less than 50% of its net
worth. The company has earned profit during the current financial year.
11. The Company has not taken any loan from financial institution,
banks and debenture holders and as such the question of commenting on
default in repayment of dues to any financial institution, banks and
debenture holder does not arise.
12. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
13. In our opinion, Company is not a chit fund or a nidhi/ mutual
benefit fund or society and as such the provision of clause 4 (xiii) of
the Order are not applicable to the Company.
14. In our opinion, the Company is not dealing or trading in shares,
securities, debentures, and other investments and as such the provision
of clause 4 (xiv) of the Order are not applicable to the company.
15. According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions and as such the provision of clause 4
(xv) of the Order are not applicable to the Company.
16. The Company has not raised any term loans and as such the
provisions of Clause 4 (xvi) of the Order are not applicable to the
Company.
17. According to the information and explanation given to us and on
and overall examination of the balance sheet of the Company, in our
opinion, the funds raised on short-term basis have, prima-facie, not
been used for long term investment.
18. According to the information and explanation given to us, the
company has not made preferential allotment of shares to company &
parties covered in the Register maintained under Section 301 of
Companies Act, 1956.
19. The Company has not raised any money by way of issue of debenture
during the year and as such the provision of 4 (xix) of the Order is
not applicable to the Company.
20. The Company has not raised any money by public issues during the
year. Accordingly clause 4 (xx) of the Order is not applicable to the
Company.
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such cases by the management.
22. Based on the audit procedures performed and on the basis of
information and explanations provided by the management, no fraud on or
by the Company has been noticed or reported during the course of our
audit nor we have been informed by the management about any such
instance.
For P.C. BARADIYA & CO
Chartered Accountants
(K.C. KANKARIYA)
PARTNER
MUMBAI Membership No. : 43951
May 30, 2014 Firm Regn. No. : 101017W
Mar 31, 2013
1. Report on the financial statements
We have audited the accompanying financial statements of M/s FRONTLINE
BUSINESS SOLUTIONS LIMITED, which comprise the balance sheet as at 31st
March, 2013, and the statement of the profit & loss and the cash flow
statement for the year then ended, and a summary of the significant
accounting policies and other explanatory information.
2. Management''s responsibility for the financial statements
Management is responsible for the preparation of these financial
statements that give a true and the 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 section 211 of the Companies Act, 1956 ("the Act"). This
maintenance of internal control relevant to the preparation and
presentation of the financial statements that give a true and fair view
and free from material misstatement, whether due to fraud or error.
3. 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 Institute of Chartered
Accountant of India. Those standard require that we comply with the
ethical requirements and plan and perform the audit to obtain the
reasonable assurance about whether the financial statements are free
from material misstatements.
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 assessment of
risks of material misstatement of the financial statements, whether due
to fraud or error. In making those risk assessments, company''s
preparation and fair presentation of the financial statements in order
to design audit procedures that are appropriate in the circumstances.
An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of the accounting estimates made
by 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 audit opinion.
4. Emphasis of matter
Attention is drawn to note no. 22 regarding balances of debtors, fixed
assets lying with the third parties and current liabilities (including
advances from customers) and secured loans as stated in the said note
are in the process of confirmation/reconciliation.
5. Opinion
In our opinion and best of our information and according to the
explanations given to us, the financial statements read together with
notes thereon give the information required by 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 the affairs of
the company as at 31st March, 2013.
b. In case of the statement of the profit and loss, of the profit for
the year ended on that date, and
c. In case of the cash flow statement, of the cash flows for the year
ended on that date.
6. Report on other legal and the regulatory requirements
a. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Companies Act, we give in the
Annexure a statement on the matters specified in paragraphs 4 and 5 of
the order.
b. As required by section 227(3) of the Act, we report that :
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
b) In our opinion, proper books of accounts, as required by the Law,
have been kept by the Company so far as appears from our examination of
the books.
c) The Balance Sheet, the Statement of Profit and Loss Account and the
Cash Flow Statement of the Company referred to in this report are in
agreement with the books of Accounts .
d) In our opinion, the Balance Sheet and the Statement of Profit and
Loss Account and the Cash Flow Statement referred in this report comply
with the Accounting Standards referred to in Section 211(3C) of the
Companies Act, 1956.
e) On the basis of the written representation received from the
Directors as on March 31, 2013 and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2013 from being appointed as a director in the terms of
clause (g) of sub section (1) of section 274 of the Companies Act,
1956;.
ANNEXURE TO THE INDEPENDENT AUDITOR''S REPORT
Referred to in paragraph "a." under Report on other legal and the
regulatory requirements section of our report of even date of Frontline
Business Solution Limited for the year ended 31st March, 2013
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and location of fixed
assets.
(b) As explained to us, the assets have been physically verified by the
management at reasonable intervals in accordance with the phased
programme of verification which, in our opinion, is reasonable
considering the size of the Company and the nature of its fixed assets.
According to the information and explanation given to us, no material
discrepancies have been noticed on such physical verification.
(c) In our opinion and according to the information and explanation
give to us, no fixed assets has been disposed off during the year and
therefore does not affect the going concern assumption.
2. (a) The inventory of the Company has been physically verified by
the Management at reasonable intervals.
(b) In our opinion, the procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and nature of its business.
(c) On the basis of examination of the records of the Company, we are
of the opinion that the Company is maintained proper records of
inventory and no material discrepancies were noticed on such physical
verification.
3. (a) The Company has granted unsecured loan to four parties covered
in the register maintained under section 301 of the Companies. The
maximum amount involved during the year was Rs. 125.45 Lakh and the
year-end balance of such loans was NIL. There were no stipulation as to
when the interest was payable, wherever applicable. In our opinion, the
rate of interest and the other terms and condition of such loans are
prima facie not prejudicial to the interest of the Company. (b) The
Company has taken unsecured loans from two parties covered in the
register maintained under section 301 of the Companies Act, 1956. The
maximum amount involved during the year was Rs. 35.31 Lakh and the year
end balance of such loan was Rs. 23 Lakh. There were no stipulation as
to when the interest was payable, wherever applicable. In our opinion,
the rate of interest and the other terms and condition of such loans
are prima facie not prejudicial to the interest of the Company. 4 In
our opinion, and according to the information and explanations given to
us, there are adequate internal control procedures commensurate with
the size of the company and the nature of its business with regard to
purchase of fixed assets and for the sale of goods and services. During
the course of our audit, no major weakness has been noticed in the
internal control procedures.
5. In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of the Companies Act, 1956 during the year to be entered in
the register required to be maintain under that section. Accordingly,
the question of commenting on transaction made in pursuance of such
contract or arrangement does not arise.
6. The Company has not accepted any deposits from the Public and
consequently, the directives issued by the Reserve Bank of India , the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under are not applicable.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and the nature of its
business.
8. The Central Government has not prescribed maintenance of cost
records under Cause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 in respect of activities of the Company.
9. (a) I According to the records of the Company, the Company is
generally regular in depositing undisputed statutory dues including
Provident Fund, Employees State Insurance, Investor Education and
Protection Fund, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom
Duty, Excise Duty, Cess and other material Statutory dues to the extent
applicable with the appropriate authorities and there are no undisputed
statutory dues payable for a period more than six months from the date
they became payable as at 31st March, 2013. (b) According to the
records and information and explanation given to us, there are no dues
in respect of Income Tax, Service Tax, Custom Duty, Wealth Tax, Excise
Duty that have not been deposited with the | appropriate authorities on
account of any dispute except the following :
Name of Nature of Dues Amount Period Forum where
the the dispute is
Statute pending
JCCI Penalty 5,34,523 91-92 Appeal
Sales Tax Assessment Dues 6,47,571 96-97 Appeal
10. Accumulated losses of the Company are less than 50% of its net
worth. The company has earned profit during the current financial year.
11. The Company has not taken any loan from financial institution,
banks and debenture holders and as such the question of commenting on
default in repayment of dues to any financial institution, banks and
debenture holder does not arise.
12. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
13. In our opinion, Company is not a chit fund or a nidhi/ mutual
benefit fund or society and as such the provision of clause 4 (xiii) of
the Order are not applicable to the Company.
14. In our opinion, the Company is not dealing or trading in shares,
securities, debentures, and other investments and as such the provision
of clause 4 (xiv) of the Order are not applicable to the company.
15. According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions and as such the provision of clause 4
(xv) of the Order are not applicable to the Company.
16. The Company has not raised any term loans and as such the
provisions of Clause 4 (xvi) of the Order are not applicable to the
Company.
17. According to the information and explanation given to us and on
and overall examination of the balance sheet of the Company, in our
opinion, the funds raised on short-term basis have, prima-facie, not
been used for long term investment.
18. The Company has allotted the shares on exercise of share warrant
issued in the earlier years to the parties and Companies covered and
recorded in the Register maintained under section 301 of the Companies
Act, 1956. In our opinion, the price at which shares has been issued is
not prejudicial to the interest of the Company.
19. The Company has not raised any money by way of issue of debenture
during the year and as such the provision of 4 (xix) of the Order is
not applicable to the Company.
20. The Company has not raised any money by public issues during the
year. Accordingly clause 4 (xx) of the Order is not applicable to the
Company.
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such cases by the management.
22. Based on the audit procedures performed and on the basis of
information and explanations provided by the management, no fraud on or
by the Company has been noticed or reported during the course of our
audit nor we have been informed by the management about any such
instance.
For P.C. BARADIYA & CO
Chartered Accountants
(K.C. KANKARIYA)
PARTNER
MUMBAI Membership No. : 43951
14th August, 2013 Firm Regn. No. : 101017W
Mar 31, 2012
1 We have audited the attached Balance Sheet of M/s FRONTLINE BUSINESS
SOLUTIONS LIMITED as at 31st March, 2012, the Statement of Profit &
Loss Account and also 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 auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurances about whether the
financial statements are free of material misstatements. An audit
includes examining, on test basis, evidence supporting the amounts and
disclosure made by the management, in the financial statements. An
audit 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.
3 As required by the Companies (Auditor's Report) Order, 2003 (as
amended by the Amendment Order 2004), issued by the Central Government
of India in terms of sub-section (4A) of section 227 of the Companies
Act, 1956, (hereinafter referred to as the "Act") We enclose in the
Annexure a statement on the matters specified in paragraphs 4 and 5 of
the said order to the extent applicable.
4 Further to our comments in the Annexure referred to in paragraph 3
above, we state 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 Accounts as required by the Law have
been kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, the Statement of Profit and Loss Account and the
Cash Flow Statement of the company dealt with by this report are in
agreement with the books of Accounts
d) In our opinion, the Balance Sheet and the Statement of Profit and
Loss Account and the Cash Flow Statement dealt with by this report
comply with the Accounting Standards referred to in Section 211(3C) of
the Companies Act, 1956.
e) On the basis of the written representation received from the
directors as on 31st March, 2012, and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2012 from being appointed as a director in the 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 accounts give the information as
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India ;
i. In the case of Balance Sheet, of the state of affairs of the
company as at 31st March 2012;
ii. In the case of Statement of Profit and 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 AUDITOR'S REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT
OF EVEN DATE
1. (a) The Company has maintained proper records showing full
particulars
including quantitative details and location of fixed assets.
(b) As explained to us, the assets have been physically verified by the
management at reasonable intervals in accordance with the phased
program of verification which, in our opinion, is reasonable
considering the size of the Company and the nature of its fixed assets.
According to the information and explanation given to us, no material
discrepancies have been noticed on such physical verification.
(c) The assets disposed off during the year are not significant and
therefore do not affect the going concern assumption.
2. (a) The Company has granted unsecured loan to one party covered in
the register maintained under section 301 of the Companies. The maximum
amount involved during the year was Rs. 10 Lakh and the year-end balance
of such loans aggregated to Rs.10 Lakh. There were no stipulation as to
when the interest was payable, wherever applicable. In our opinion, the
rate of interest and the other terms and condition of such loans are
prima facie not prejudicial to the interest of the Company.
(b) The Company has taken unsecured loans from 1 party covered in the
register maintained under section 301 of the Companies Act, 1956. The
maximum amount involved during the year was Rs. 24 Lakh and the same has
been repaid by the company. There were no stipulation as to when the
interest was payable, wherever applicable. In our opinion, the rate of
interest and the other terms and condition of such loans are prima
facie not prejudicial to the interest of the Company.
3. 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 for the sale of
services. During the course of our audit, no major weakness has been
noticed in the internal control procedures.
4. In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of the Companies Act, 1956 during the year to be entered in
the register required to be maintain under that section. Accordingly,
the question of commenting on transaction made in pursuance of such
contract or arrangement does not arise.
5. The Company has not accepted any deposits from the Public and
consequently, the directives issued by the Resen/e Bank of India , the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under are not applicable.
6. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and the nature of its
business.
7. The Central Government has not prescribed maintenance of cost
records under Cause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 in respect of activities of the Company.
8. According to the information and explanation given to us, and the
record of the Company examined by us, in our opinion, the company is
regular in depositing the undisputed statutory dues including provident
fund, employees' state insurance, service tax and other material
statutory dues as applicable with the appropriate authorities.
(a) According to the information and explanation given to us, no
undisputed dues payable in respect of sales tax, income tax, custom
duty, provident fund were outstanding at 31st March ,2012 for a period
of more than six months from the date they became payable. No
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at the last day of financial year for a period of
more than six months from the date they become payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Custom Duty, Wealth Tax, Excise Duty which have
not been deposited with the appropriate authorities on account of any
dispute except the following :
Name of Nature of Dues Amount Period Forum
the where the
Statute dispute is
pending
JCCI Penalty 5,34,523 91-92 Appeal
Sales Tax Assessment Dues 6,47,571 96-97 Appeal
9. Accumulated losses of the Company are less than 50% of its net
worth. The company has earned profit during the current financial
year.
10. The Company has not taken any loan from financial institution,
banks and debenture holders and as such the question of commenting on
default in repayment of dues to any financial institution, banks and
debenture holder does not arise.
11. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
12. In our opinion, Company is not a chit fund or a nidhi/ mutual
benefit fund or society and as such the provision of clause 4 (xiii) of
the Order are not applicable to the Company.
13. In our opinion, the Company is not dealing or trading in shares,
securities, debentures, and other investments and as such the provision
of clause 4 (xiv) of the Order are not applicable to the company.
14. According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions and as such the provision of clause 4
(xv) of the Order are not applicable to the Company.
15. The Company has not raised any term loans and as such the
provisions of Clause 4 (xvi) of the Order are not applicable to the
Company.
16. According to the information and explanation given to us and on
and overall examination of the balance sheet of the Company, in our
opinion, the funds raised on short-term basis have, prima-facie, not
been used for long term investment.
17. The Company, in strict compliance with the provision of Regulation
72(1) (2) of SEBI (ICDR) Regulation, 2009, has made preferential
allotment of shares to the parties and Companies covered and recorded
in the Register maintained under section 301 of the Companies Act,
1956. In our opinion, the price at which shares has been issued is not
prejudicial to the interest of the Company.
18. The Company has not raised any money by way of issue of debenture
during the year and as such the provision of 4 (xix) of the Order is
not applicable to the Company.
19. The Company has not raised any money by public issues during the
year. Accordingly clause 4 (xx) of the Order is not applicable to the
Company.
20. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such cases by the management.
21. Considering the nature of business conducted by the Company, the
clause, (ii) of paragraph 4 of the Companies (Auditor's Report) Order,
2003, as amended by the Companies (Auditor's Report) (Amendment)
Order, 2004, is not applicable in the case of the Company for the
current year, and hence in our opinion there is no matter which arises
to be reported in the aforesaid clause of the order.
For P.C. BARADIYA & CO
Chartered Accountants
Place: Mumbai sd/-
Date: 10th August, 2012 (K.C. KANKARIYA)
PARTNER
Membership No. : 43951
Firm Regn. No.: 101017W
Mar 31, 2011
1 We have audited the attached Balance Sheet of FRONTLINE BUSINESS
SOLUTIONS LIMITED as at 31st March, 2011 and also the Profit & Loss
Account for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2 We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurances about whether the
financial statements are free of material misstatements. An audit
includes examining, on test basis, evidence supporting the amounts and
disclosure made by the management, in the financial statements. An
audit 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.
3 As required by the Companies (Auditor's Report) Order, 2003 (as
amended by the Amendment Order 2004), issued by the Central Government
of India in terms of sub-section (4A) of section 227 of the Companies
Act, 1956, (hereinafter referred to as the "Act") We enclose in the
Annexure a statement on the matters specified in paragraphs 4 and 5 of
the said order to the extent applicable.
4 Further to our comments in the Annexure referred to in paragraph 3
above, we state 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 Accounts as required by the Law have
been kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet & Profit and Loss Account dealt with by this
report are in agreement with the books of Accounts .
d) In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by this report comply with the Accounting Standards referred
to in Section 211(3C) of the Companies Act, 1956.
e) On the basis of the written representation received from the
directors as on 31st March, 2011, and taken on record by the Board of
Directors, we report that none of the Directors is disqualified as on
31st March, 2011 from being appointed as a director in the 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 accounts read together with
'Significant Accounting Policies and Notes to Accounts' in Balance
Sheet and the Profit and Loss Account, read together with the notes
thereon give the information as 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 on 31st March 2011 ;
ii. In the case of Profit and Loss Account, of the Loss 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 AUDITOR'S REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT
OF EVEN DATE
1) (a) The Company has maintained proper records showing full
particulars including Quantitative details and location of fixed
assets.
(b) As explained to us, the assets have been physically verified by the
management at reasonable intervals in accordance with the phased
programme of verification which, in our opinion, is reasonable
considering the size of the Company and the nature of its fixed assets.
According to the information and explanation given to us, no material
discrepancies have been noticed on such physical verification.
(c) The assets disposed off during the year are not significant and
therefore do not affect the going concern assumption.
2)
(a) The Company has not granted any loan, secured or unsecured, to the
firms. Companies or other parties covered in the register maintained
under section 301 of the Companies Act, 1956.
(b) The Company has taken unsecured loans from 2 parties covered in the
register maintained under section 301 of the Companies Act, 1956. The
maximum amount involved during the year was Rs. 48.73 lakh and the
year-end balance of such loans aggregated to Rs.15.95 lakh. There were
no stipulation as to when the interest was payable, wherever
applicable. In our opinion, the rate of interest and the other terms
and condition of such loans are prima facie not prejudicial to the
interest of the Company.
3) 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 for the sale of
services. During the course of our audit, no major weakness has been
noticed in the internal control procedures.
4) In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of the Companies Act, 1956 during the year to be entered in
the register required to be maintain under that section. Accordingly,
the question of commenting on transaction made in pursuance of such
contract or arrangement does not arise.
5) The Company has not accepted any deposits from the Public and
consequently, the directives issued by the Reserve Bank of India , the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under are not applicable.
6) In our opinion, the Company has an internal audit system
commensurate with the size of the Company and the nature of its
business.
7) The Central Government has not prescribed maintenance of cost
records under Cause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 in respect of activities of the Company.
8) According to the information and explanation given to us, and the
record of the Company examined by us, in our opinion, the company is
regular in depositing the undisputed statutory dues including provident
fund, employees' state insurance, service tax and other material
statutory dues as applicable with the appropriate authorities.
(a) According to the information and explanation given to us, no
undisputed dues payable in respect of sales tax, income tax, custom
duty, provident fund were outstanding at 31st March ,2011 for a period
of more than six months from the date they became payable. No
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at the last day of financial year for a period of
more than six months from the date they become payable.
(b) According to the records of the Company, there are no dues of
Income Tax, Sales Tax, Custom Duty, Wealth Tax, Excise Duty which have
not been deposited with the appropriate authorities on account of any
dispute except the following :
Name of the Nature of Dues Amount Period Forum where the
Statute dispute is
pending
JCCI Penalty 5,34,523 91-92 Appeal
Sales Tax Assessment Dues 6,47,571 96-97 Appeal
9) Accumulated losses of the Company at Rs. 25,12,41,173/- is less than
50% of its net worth. It has incurred cash losses in the current
financial year and the immediately preceding financial year.
10) The Company has not taken any loan from financial institution,
banks and debenture holders and as such the question of commenting on
default in repayment of dues to any financial institution, banks and
debenture holder does not arise.
11) The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
12) In our opinion, Company is not a chit fund or a nidhi/ mutual
benefit fund or society and as such the provision of clause 4 (xiii) of
the Order are not applicable to the Company.
13) In our opinion, the Company is not dealing or trading in shares,
securities, debentures, and other investments and as such the provision
of clause 4 (xiv) of the Order are not applicable to the company.
14) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions and as such the provision of clause 4
(xv) of the Order are not applicable to the Company.
15) The Company has not raised any term loans and as such the
provisions of Clause 4 (xvi) of the Order are not applicable to the
Company.
16) According to the information and explanation given to us and on and
overall examination of the balance sheet of the Company, in our
opinion, the funds raised on short-term basis have, prima-facie, not
been used for long term investment.
17) The Company, in strict compliance with the provision of Regulation
72(1)(2) of SEBI (ICDR) Regulation, 2009, has made preferential
allotment of shares to the parties and Companies covered and recorded
in the Register maintained under section 301 of the Companies Act,
1956. In our opinion, the price at which shares has been issued is not
prejudicial to the interest of the Company.
18) The Company has not raised any money by way of issue of debenture
during the year and as such the provision of 4 (xix) of the Order is
not applicable to the Company.
19) The Company has not raised any money by public issues during the
year. Accordingly clause 4 (xx) of the Order is not applicable to the
Company.
20) During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such cases by the management.
21) Considering the nature of business conducted by the Company, the
clause, (ii) of paragraph 4 of the Companies (Auditor's Report) Order,
2003, as amended by the Companies (Auditor's Report) (Amendment) Order,
2004, is not applicable in the case of the Company for the current
year, and hence in our opinion there is no matter which arises to be
reported in the aforesaid clause of the order.
For P.C.Baradiya & Co.
Chartered Accountants
Sd/-
(K.C.Kankariya)
Partner
Mumbai (M. No. 43951)
August 22, 2011.
Mar 31, 2010
1 We have audited the attached Balance Sheet of FRONTLINE BUSINESS
SOLUTIONS LIMITED as at 31st March, 2010 and the Profit & Loss Account
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 auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurances about whether the
financial statements are free of material misstatements. An audit
includes examining, on test basis, evidence supporting the amounts and
disclosure made by the management, in the financial statements. An
audit 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.
3 As required by the Companies (Auditors Report) Order,2003 (as
amended by the Amendment Order 2004), issued by the Central Government
of India in terms of sub-section (4A) of section 227 of the Companies
Act, 1956, We enclose in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the said order to the extent
applicable .
4 Further to our comments in the Annexure referred to in paragraph 3
above, we state 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 Accounts as required by the Law have
been kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet & Profit and Loss Account dealt with by this
report are in agreement with the books of Accounts .
d) In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by this report comply with the Accounting Standards referred
to in Section 211(3C) of the Companies Act, 1956.
e) On the basis of the written representation received from the
directors, and taken on record by the Board of Directors, we report
that none of the Directors is disqualified as on 31st March, 2010 from
being appointed as a director in the terms of clause
(g) of sub section (1) of section 274 of the Companies Act, 1956;.
f) In our opinion and as per the information and according to the
explanations given to us, the said Balance Sheet and the Profit and
Loss Account, read together with the notes thereon give the information
as 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 on 31st March 2010 ;
ii. In the case of Profit and Loss Account, of the Loss 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 AUDITORS REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT
OF EVEN DATE
1) (a) The Company is in process of maintaining proper records showing
full particulars including quantitative details and location of fixed
assets.
(b) There is a regular program of physical verification, which in our
opinion is reasonable, having regard to the size of the Company and the
nature of the fixed assets. No material discrepancies have been noticed
in respect of the assets physically verified during the year.
(c) The Company has not disposed off any substantial part of fixed
assets during the year.
2) The Provision of clause 4 (II) is not applicable to the Company.
3) According to the information and explanation given to us, in respect
of loan, Secured or unsecured granted or taken by the company to/ from
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act 1956.
(a) The Company has taken loans of Rs. 30,33,752.00 from 2 (Two)
parties covered in the register maintained under section 301 of the
Companies Act, 1956 during the year
(b) The Company has not granted any loan during the year to the parties
covered in the register maintained under section 301 of the Companies
Act, 1956.
4) In our opinion, and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to Fixed Assets. There is no major weakness in the
internal control procedures.
5) a) To the best of our knowledge and belief and according to the
information and explanation given to us, we are of the opinion that the
transaction that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered .
b) In our opinion, and having regard to our comments in paragraph
above, and according to the information and explanation given to us,
transaction made in pursuance of contracts or arrangement entered in
the register maintained under section 301 of the Companies Act, 1956
and exceeding the value of Rupees Five Lakhs in respect of each party
during the year have been made at price which are reasonable having
regards to prevailing market prices at the relevant time.
6) The Company has not accepted any deposits from the Public and
consequently, the directives issued by the Reserve Bank of India , the
provisions of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under are not applicable.
7) The Provision of Clause 4 (VII) of the order is not applicable to
the Company.
8) The Central Government has not prescribed maintenance of cost
records under Cause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956 for the product of the Company.
9) According to the information and explanation given to us, and on the
basis of our information of the books of account, the Company has been
generally regular in depositing with appropriate authorities undisputed
statutory dues with the appropriate authorities outstanding as at 31st
March, 2010 for a period of more that six month from the date on which
they become payable.
10) According to the information and explanation given to us, no
undisputed dues payable in respect of sales tax, income tax, custom
duty, provident fund were outstanding at 31st March ,2010 for a period
of more than six months from the date they became payable.
11) According to the information and explanation given to us, there are
following dues in respect of sales tax, custom duty, that have not been
deposited with the appropriate authorities on account of some dispute.
Name of Nature of Dues Amount Period Forum where the
Statute dispute is pending
JCCI Penalty 5,34,523 91-92 Appeal
Sales Tax Assessment Dues 6,47,571 96-97 Appeal
12) The Company has accumulated losses of Rs. 25,12,41,173/- as at 31st
March 2010 and it has incurred cash losses in the financial year ended
on that date however the company has not incurred cash losses in the
immediately preceding financial year.
13) The Company has not defaulted during the year in repayment of dues
to any financial institution and banks and company has not issued any
debenture. Accordingly clause 4 (xi) of the order is not applicable.
14) The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
15) As the Company is not a chit fund, nidhi, mutual benefit fund or
society, the provision of clause 4 (xiii) of Order is not applicable to
the Company.
16) As the Company is not dealing or trading in shares, securities,
debentures, and other investments, the provision of clause 4 (xiv) of
the Order is not applicable to the company.
17) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions. Accordingly clause 4 (xv) of the Order
is not applicable to the Company.
18) The Company has not obtained any term loans. Accordingly clause 4
(xvi) of the Order is not applicable to the Company.
19) According to the information and explanation given to us, the
Company has not raised any funds on short-term or long term basis.
20) The Company has not made any preferential allotment of shares to
the parties and Companies covered in the register maintained under
section 301 of the Companies Act, 1956 which is prejudicial to the
interest of the Company.
21) The Company has not issued any debentures. Accordingly clause 4
(xix) of the Order is not applicable to the Company.
22) The Company has not raised any money by public issues during the
year. Accordingly clause 4 (xx) of the Order is not applicable to the
Company.
23) According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the year.
For G. M. Purohit & Co.
Chartered Accountants
SD/-
G. M. Purohit
Proprietor
Mumbai, August 31, 2010