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Auditor Report of Jai Mata Glass Ltd.

Mar 31, 2014

1. We have audited the accompanying financial statements of Jai Mata Glass Limited ("the Company"), which comprise the Balance Sheet as at March 31, 2014, and 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.

2. Management''s Responsibility for the Financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 ("the Act") read with the General Circular 15/2013 dated 13 September 2013 of the Ministry of Corporate Affairs in respect of section 133 of the Companies Act, 2013. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

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 the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity''s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

4. Opinion

In our opinion and to the best of our information and according to the explanations given to us, the said financial statements together with the notes thereon and attached thereto give, in the prescribed manner, the information required by the Act, 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 March31,2014;

b) in the case of the Profit and Loss Account, of the profit/ loss for the year ended on that date; and

c) in the case of the Cash Flow Statement, of the cash flows for the year ended on thatdate.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 ("the Order) issued by the Central

Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by section 227(3) of the Act, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of ouraudit;

b) In our opinion proper books of account as required by law have been kept by the Company so far as appears from ourexamination of those books

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

d) In our opinon,except for the effect of the matters referred to in Note No.33 to the financial statements in the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956 read with the General Circular 15/2013 dated 13 September 2013 of the Ministry of Corporate Affairs in respect of section 133 of the Companies Act, 2013;

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

The Annexure referred to in paragraph 1 of the Our Report of even date to the members of Jai Mata Glass Limited on the accounts of the company for the year ended 31st March, 2014.

On the basis of such checks as we considered appropriate and according to the information and explanation given to us during the course of our audit, we report that:

1. (a) The company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets.

(b) As explained to us, fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification.

(c) Substantial part of the fixed assets has not been disposed off during the year so as to affect the going concern but attention is drawn to note 39 of the financial statements whereby the management does not consider the issue of going concern and has emphasized its commitment to provide continued financial and operational support by utilising the existing dealer network to undertake and develop trading operations related to its line of business.

2. (a) As explained to us, inventories have been 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 are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) In our opinion and on the basis of our examination of the records, the Company is generally maintaining proper records of its inventories. No material discrepancy was noticed on physical verification of stocks by the management as compared to book records.

3. (a) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not granted any loans, secured or unsecured, to companies, firms orother parties listed in the register maintained under Section 301 of the Companies Act, 1956. Consequently, the provisions of clauses iii (b), iii(c) and iii (d) of the order are not applicable to the Company.

(b) According to the information and explanations given to us, the Company has taken unsecured interest free loan from three parties listed in the register maintained under Section 301 of the Companies Act, 1956 and the maximum amount involved during the year aggregate to Rs. 727.23 lacs and the year-end balance amounted to Rs. 288.03 lacs.

(c) According to the information explanation given, there was no other terms and conditions for the loan taken. (e) In respect of loan taken by the Company, the payment towards principal amount is payable on demand.

4. In our opinion and according to the information and explanations given to us, there is generally an adequate internal control procedure commensurate with the size of the company and the nature of its business, for the purchase of inventories & fixed assets and payment for expenses & for sale of goods. During the course of our audit, no major instance of continuing failure to correct any weaknesses in the internal controls has been noticed.

5. a) Based on the audit procedures applied by us and according to the information and explanations provided by the management, the particulars of contracts or arrangements referred to in section 301 of the Act have been entered in the register required to be maintained under that section.

b) As per information & explanations given to us and in our opinion, the transaction entered into by the company with parties covered u/s 301 of the Act does not exceeds five lacs rupees in a financial year therefore requirement of reasonableness of transactions does not arises.

6. According to the information and explanation given to us, the Company has not accepted any deposits from the public covered under section 58A and 58AA of the Companies Act, 1956 and the rules framed there under. Therefore, the provision of this clause of the Companies (Auditor''s Report) Order, 2003 (as amended) is not applicable to the Company.

7. In our opinion and according to the information and explanations given to us, the company has an internal audit system commensurate to the size and nature of its business.

8. The Central Government has not prescribed maintenance of the cost records by the Company under Section 209 (1)(d) of the Act, therefore the provision of clause 4(viii) of the Companies (Auditor''s Report) Order, 2003 is not applicable to the Company.

9. (a) According to the records and information and explanations given to us, the Company has not been regular in depositing undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities and there are undisputed statutory dues payable for the year ending March 31, 2014 as given below:

Service Tax Rs. 12,25,745

Service Tax (Payable under voluntary deposit scheme) Rs. 15,74,013

Barrier Tax Rs. 10,36,036

Sales Tax Rs. 82,32,130

Mandi Tax Rs. 1,87,606

ESI Rs. 10,30,064

However, it is to be read together with comments in Para No. 4(b) in the Auditor''s Report and Note No. 35 on Financial Statements.

(b) According to the information and explanations given to us and the records of the Company examined by us, the particulars of the dues of Excise Duty, Sales Tax and Provident Fund, as at March 31, 2014 which has not been deposited on account of disputes, are as follows:-

Sr. No. Name of the Statute Nature of the dues From where dispute is Amount pending (Rs. In lacs)

1 Income Tax Act, 1961 Income Tax Hon''ble High Court, 23.84 Himachal Pradesh

2 Employees Provident Fund Act.1952 Interest & Damages Charges Employees Provident Fund 46.67 Appellate Tribunal, New Delhi

10. The accumulated losses of the company have exceeded fifty percent of its net worth as at the end of the year. The Company has incurred cash losses during the financial year covered by our audit and in the immediately preceding financial year.

11. 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 bank as at the Balance Sheet date.

12. According to the information and explanations given to us, the Company has not granted loans and advances on the basis of security byway of pledge of shares, debentures and othersecurities.

13. The Company is not a chit fund or a nidhi /mutual benefit fund/society. Therefore, the provision of this clause of the Companies (Auditor''s Report) Order, 2003 (as amended) is not applicable to the Company.

14. According to information and explanations given to us, the Company is not dealing in or trading in Shares, Mutual funds & other Investments. Therefore, the provision of this clause of the Companies (Auditor''s Report) Order, 2003 (as amended) is not applicable to the Company.

15. According to the information and explanations given to us, the Company has not given any guarantees for loan taken byothersfromabankorfinancialinstitution.

16. Based on our audit procedures and on the information given by the management, we report that the company has not raised any term loans during the year.

17. Based on the information and explanations given to us and on an overall examination of the Balance Sheet of the Company as at 31* March, 2014, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

18. Based on the audit procedures performed and the information and explanations given to us by the management, we report that the Company has not made any preferential allotment of shares during the year.

19. The Company has no outstanding debentures during the period under audit.

20. The Company has not raised any money by public issue during the year.

21. Based on the audit procedures performed and the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year, nor have we been informed of such case by the management

For B Bhushan & Co.

Chartered Accountants

FRN: 001596N

Subhash Agarwalla

Place : New Delhi (Partner)

Date : April 22, 2014 Membership No. : 533256


Mar 31, 2013

Report on the Financial Statements

We have audited the accompanying Financial Statements of JAI MATA GLASS LIMITED, which comprise the Balance Sheet as at 31st March, 2013, the Statement of Profit and Loss and Cash Flow Statement for the year ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

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 perform the audit to obtain reasonable assurance about whether the financial Statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessments, 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 preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believes that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Basis for Qualified Opinion

(a). Note No.28.15 regarding Non-confirmation of balances of loans, debtors, loans & advances and current liabilities, impact whereof presently cannot be commented.

(b). Note No.28.24 regarding to the position stated in the said Note, the Financial Statements have been prepared on the basis that the Company is a "Going Concern" although losses exceed aggregate of its paid up capital and reserves. We are unable to express our opinion on its ability to continue as a "going concern ".

We further report that the loss for the year, balance in statement of profit and loss, assets and liabilities are without considering the impact of the items in para (a) & (b) above.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, except for the effects of the matter described in the Basis for Qualified Opinion paragraph, the financial statements give the information required by the Act the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2013;

(b). In the case of the Statement of Profit and Loss, of The Loss for the year ended on that date; and

(c). In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirement

1. As required by the Companies (Auditor''s Report) order, 2013 ("the Order") issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraph 4 and 5 of the order.

2. Asrequiredbysection227(3)of the Act, we report that:

(a) We have obtained all the information and explanation which to the best of our knowledge and belief were necessary for the purpose of our audit.

(b) In our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books.

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

(d) Except of the effect of the matter described in the Basis for Qualified Opinion paragraph, in our opinion, the Balance Sheet, Statement of Profit and Loss, Cash Flow Statement comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the Act;

(e) On the basis of written representation received from the directors as on March 31,2013, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2013, from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Act.

In our opinion, and in so far as we have been able to ascertain from the records produced, information furnished and the explanation given to us by the Company

1. The Company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets including discarded/scrap building and plant & machinery. .

2. The fixed assets have been physically verified by the management during the year which in our opinion is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.

3. As per information and explanations given by the management during the year, the Company has not disposed off a major part of fixed assets during the year.

4. The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

5. The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size ofthe Company and nature of its business.

6. The Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material.

7. a) According to the information and explanation given to us, the Company has taken unsecured interest free loan

from one company listed in the register maintained under Section 301 of the Act and the maximum amount involved during the year aggregated to Rs. 526.27 lacs and the year-end balance amounted to Rs. 523.77 lacs.

b) According to the information and explanation given, there was no other terms and conditions for the loan taken,

c) As explained to us, the payment of principal amount is payable on demand.

d) In respect of loan taken by the Company, this is payable on demand and therefore the question of overdue amount does not arise and the provisions of sub-clause (d) of clause 4(iii) of the order are not applicable to the Company.

8. The Company has not granted any loan, secured or unsecured, to companies, firms and other parties as listed in the Register maintained under section 301 of the Companies Act, 1956.

9. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory, fixed assets and with regard to sale of goods. During the course of our audit, no major weakness has been noticed in internal controls.

10. According to the information and explanations given to us, we are of the opinion that the transactions that need to be entered into the Register maintained u/s 301 of the Act, have been so entered.

11. In our opinion and according to the information and explanations given to us, the Company has not entered into contracts or arrangements exceeding Rs. 5.00 lacs in value with companies in which Directors are interested as listed in the Register maintained under Section 301 of the Act.

12. In our opinion and according to the information and explanation given to us, the Company has not accepted any deposit from the public within the meaning of Sections 58A& 58AAof the Act and the rules framed there under.

13. In our opinion, the Company has an internal audit system commensurate to the size and nature of its business.

14. The Central Govt, has not prescribed maintenance of the cost records by the Company under Section 209 (1 )(d) of the Act, therefore the provision of clause 4(viii) often Companies (Auditor''s Report) Order, 2003 is not applicable to the Company.

15. According to the records and information & explanations given to us, the Company has not been regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities and there are undisputed statutory dues payable for a period of more than six months from the date they became payable for the year ending 31st March, 2013 as given below:

Nature of Dues Amount (Rs.)

Service Tax 33949848

Barrier Tax 1036036

Sales Tax 17336164

MandiTax 187606

However, it is to be read together with comments in Para No. 4 in the Auditor''s Report and Note No. 28.28 (b) on Financial Statements.

16. According to the information and explanations given to us and the records of the Company examined by us, the particulars of dues of Excise Duty and Sales Tax, as at 31 st March, 2013 which have not been deposited on account of dispute, are as follows:-

Sr. Name ofthe Nature ofthe From where Amount No. Statute Dues dispute is Pending (Rs. in lacs)

I. Central Excise Excise Duty Appellate Tribunal, 24.76 Act, 1944 Delhi

II. Income Tax Act, Income Tax Hon''ble High Court 1961 Himachal Pradesh 23.84

Total 48.60

17. The accumulated losses of the Company are more than fifty per cent of its net worth. The Company has incurred cash losses during the financial year covered by our audit, and in the immediately preceding financial year no cash loss was incurred.

18. The Company has no dues to financial Institutions or banks as at the Balance Sheet date.

19. According to the information and explanation given to us, the Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

20. The Company is not a Chit Fund or a Nidhi/ mutual benefit fund/society. Therefore, the provision of clause 4 (xiii) of the Companies (Auditor''s Report) Order, 2003(hereafter referred to as the said Order ) are not applicable to the Company.

21. The Company is not dealing in or trading in shares, securities, debentures & other investments. Accordingly, the provisions of clause (xiv) of the said Order are not applicable to the Company.

22. According to the information and explanation given to us, the Company has not given any guarantees for loans taken by others from banks or financial institutions.

23. According to the information and explanation given to us, the Company has not received any term loan during the year.

24. 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 during the year under report.

25. The Company did not have any outstanding debentures during the year.

26. The Company has not raised any money through a public issue during the year.

27. Based on examination of documents and records made available and on the basis of information and explanations given to us, the Company has not used funds raised on short basis for long term investments and vice versa.

28. To the best of 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.

For P.K. MAHESHWARI & CO.

CHARTERED ACCOUNTANTS

FRN. 000977N

(P. K. MAHESHWARI)

Place : New Delhi PARTNER

Date : June03,2013. M. No. 7850


Mar 31, 2012

1. We have audited the attached Balance Sheet of Jai Mata Glass Limited, as at 31st March, 2012, the Statement of Profit and Loss and also the Cash Flow Statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

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 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 ouropinion.

3. As required by the Companies (Auditor's Report) Order, 2003 as amended by the Companies (Auditor's Report) (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.

4. Attention is invited to Note No.28.21 (b) on Financial Statements regarding non-provision of interest & other levies on statutory dues & the consequential effect on the loss. The amount is unascertainable.

5. Subject to our comments in the Annexure referred to in paragraph 3 & 4, we report that:

(i) 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;

(ii) In ouropinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

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

(iv) In ouropinion, the Balance Sheet, Statement of Profit and Loss 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;

(v) On the basis of the written representations received from the directors, as at 31st March, 2012, and taken on record by the Board of Directors, we report that none of the directors is disqualified as at 31st March, 2012 from being appointed as a director in terms of clause (g) of sub- section (1) of Section 274 of the Companies Act, 1956;

(vi) In our opinion and to the best of our information and according to the explanations given to us, the said financial statements together with the notes thereon and attached thereto give, in the prescribed manner, the information required by the Companies Act, 1956, 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 6f affairs of the Company as at 31st March, 2012;

(b) In the case of the Statement of Profit and Loss, of the Loss for the year ended on that date; and

(c) In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF JAI MATA GLASS LIMITED ON THE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31 st MARCH 2012.

1. The Company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets.

2. The fixed assets have been physically verified by the management during the year according to a regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.

3. No substantial part of fixed assets has been disposed off during the year, which has bearing on the going concern status of the Company.

4. The inventory (except in transit) has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

5. The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

6. The Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material.

7. a) According to the information and explanation given to us, the Company has taken unsecured loans from two companies listed in the register maintained under Section 301 of the Act and the maximum amount involved during the year aggregated to Rs. 592.55 lacs and the year-end balance amounted to Rs. 322.48 lacs.

b) According to the information and explanation given, the rate of interest charged is prima facie not prejudicial to the interest of the Company. There are no other terms and conditions for the loan taken.

c) As explained to us, the payment of principal amount is payable on demand and payment of interest is regular.

d) In respect of loan taken by the Company, this is payable on demand and therefore the question of overdue amount does not arise and the provisions of sub-clause (d) of clause 4(iii) of the order are not applicable to the Company.

8. The Company has not granted any loan, secured or unsecured, to companies, firms and other parties as listed in the Register maintained undersection 301 of the Companies Act, 1956.

9. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory, fixed assets and with regard to sale of goods. During the course of our audit, no major weakness has been noticed in internal controls.

10. According to the information and explanations given to us, we are of the opinion that the transactions that need to be entered into the Register maintained u/s 301 of the Companies Act, 1956 have been so entered.

11. In our opinion and according to the information and explanations given to us, the Company has not entered into contracts or arrangements exceeding ' 5.00 lacs in value with companies in which Directors are interested as listed in the Register maintained under Section 301 of the Companies Act, 1956.

12. In our opinion and according to the information and explanation given to us, the Company has not accepted any deposit from the public within the meaning of Sections 58A & 58AA of the Companies Act, 1956 and the rules framed there under.

13. In our opinion, the Company has an internal audit system commensurate to the size and nature of its business.

14. The Central Govt, has not prescribed maintenance of the cost records by the Company under Section 209 (1)(d) of the Companies Act, 1956, therefore the provision of clause 4(viii) of the Companies (Auditor's Report) Order, 2003 is not applicable to the Company.

15. According to the records and information & explanations given to us, the Company has not been regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities and there are undisputed statutory dues payable for a period of more than six months from the date they became payable for the year ending 31 st March, 2012 as given below:

Nature of Dues Amount (Rs.)

Service Tax 3277850

Barrier Tax 1036036

Sales Tax 13031401

Mandi Tax 187606

However, it is to be read together with comments in Para No. 4 in the Auditor's Report and Note No. 29.26

(b) on Financial Statements.

16. According to the information and explanations given to us and the records of the Company examined by us, the particulars of dues of Excise Duty and Sales Tax, as at 31st March, 2012 which have not been deposited on account of dispute, areasfollows:-

Sr. Name of the Nature of the From where Amount No. Statute Dues dispute is Pending (Rs. in lacs) Pending

I. Central Excise Excise Duty Appellate Tribunal, Act, 1944 Delhi. 24.76

II. Income Tax Act, Income Tax Hon'ble High Court 1961 Himachal Pradesh 23.84

Total 48.60

17. The accumulated losses of the Company are more than fifty per cent of its net worth. The Company has not incurred any cash losses during the financial year covered by our audit, and in the immediately preceding financial year.

18. The Company has no dues to financial Institutions or banks as at the Balance Sheet date.

19. According to the information and explanation given to us, the Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

20. The Company is not a Chit Fund or a Nidhi/ mutual benefit fund/society. Therefore, the provision of clause 4 (xiii) of the Companies (Auditor's Report) Order, 2003(hereafter referred to as the said Order) are not applicable to the Company.

21. The Company is not dealing in or trading in shares, securities, debentures & other investments. Accordingly, the provisions of clause (xiv) of the said Order are not applicable to the Company.

22. According to the information and explanation given to us, the Company has not given any guarantees for loans taken by others from banks or financial institutions.

23. According to the information and explanation given to us, the Company has not received any term loan during the year.

24. 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 during the year under report.

25. The Company did not have any outstanding debenture during the year.

26. The Company has not raised any money through a public issue during the year.

27. Based on examination of documents and records made available and on the basis of information and explanations given to us, the Company has not used funds raised on short basis for long term investments and vice versa.

28. To the best of 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

For P. K. Maheshwari & Co.

Chartered Accountants

FRN.000977N

P. K. Maheshwari

Place . New Delhi (Partner)

Date. June 06,2012. Membership No. 7850


Mar 31, 2010

1. We have audited the attached Balance Sheet of Jai Mata Glass Limited, as at 31st March, 2010, the Profit and Loss Account and also the Cash Flow Statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

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 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.

3. As required by the Companies (Auditors Report) Order, 2003 as amended by the Companies (Auditors Report) (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.

4. Attention is invited to note no. 20 (b) regarding non provision of interest & other levies on statutory dues & the consequential effect on the profit. The amount is unascertainable.

5. Subject to our comments in the Annexure referred to in paragraph 3 & 4 , we report that:

(i) 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;

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

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

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

(v) On the basis of the written representations received from the directors, as at 31st March, 2010, and taken on record by the Board of Directors, we report that none of the directors is disqualified as at 31st March, 2010 from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274 of the Companies Act, 1956;

(vi) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the Significant Accounting Policies and other notes give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India;

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31 st March, 2010;

(b) In the case of the Profit and Loss Account, of the Profit for the year ended on that date; and

(c) In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF JAI MATA GLASS LIMITED ON THE ACCOUNTS AS AT AND FOR THE YEAR ENDED 31st MARCH 2010.

1. The Company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets.

2. The fixed assets have been physically verified by the management during the year according to a regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.

3. No substantial part of fixed assets has been disposed off during the year, which has bearing on the going concern status of the Company.

4. The inventory (except in transit) has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

5. The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

6. The Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material.

7. a) According to the information and explanation given to us, the Company has taken unsecured loans from two companies listed in the register maintained under Section 301 of the Act and the maximum amount involved during the year aggregated to Rs.794.10 lacs and the year-end balance amounted to Rs.684.35 lacs.

b) According to the information and explanation given, the rate of interest charged is prima facie not prejudicial to the interest of the Company. There are no other terms and conditions for the loan taken.

c) As explained to us, the payment of principal amount is payable on demand and payment of interest is regular.

d) In respect of loan taken by the Company, this is payable on demand and therefore the question of overdue amount does not arise and the provisions of sub-clause (d) of clause 4(iii) of the order are not applicable to the Company.

8. The Company has not granted any loan, secured or unsecured, to companies, firms and other parties as listed in the Register maintained under section 301 of the Companies Act, 1956.

9. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory, fixed assets and with regard to sale of goods. During the course of our audit, no major weakness has been noticed in internal controls.

10. According to the information and explanations given to us, we are of the opinion that the transactions that need to be entered into the Register maintained u/s 301 of the Companies Act, 1956 have been so entered.

11. In our opinion and according to the information and explanations given to us, the Company has not entered into contracts or arrangements exceeding Rs. 5.00 lacs in value with companies in which Directors are interested as listed in the Register maintained under Section 301 of the Companies Act, 1956.

12. In our opinion and according to the information and explanation given to us, the Company has not accepted any deposit from the public within the meaning of Sections 58A & 58AA of the Companies Act, 1956 and the rules framed there under.

13. In our opinion, the Company has an internal audit system commensurate to the size and nature of its business.

14. The Central Govt, has not prescribed maintenance of the cost records by the Company under Section 209 (1)(d) of the Companies Act, 1956, therefore the provision of clause 4(viii) of the Companies (Auditors Report) Order, 2003 is not applicable to the Company.

15. According to the records and information & explanations given to us, the Company has not been regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities and there are undisputed statutory dues payable for a period of more than six months from the date they became payable for the year ending 31st March, 2010 as given below:

Nature of Dues (Amount (Rs.)

Provident Fund (since deposited Rs. 2793221/-) 6023815

Service Tax 1731261

Barrier Tax 1036036

Sales Tax 5964779

Mandi Tax 187606

However, it is to be read together with comments in Para No. 4 in the Auditors Report and Note No. 20.

16. According to the information and explanations given to us and the records of the Company examined by us, the particulars of dues of Excise Duty and Sales Tax, as at 31st March, 2010 which have not been deposited on account of dispute, are as follows :-

Sr. Name of the Nature of the From where Amount

No. Statute Dues dispute is Pending (Rs. in lacs)

I. Central Excise Excise Duty Appellate Tribunal, 24.76 Act, 1944 Delhi.

II. Haryana General Sales tax Sales Tax Tribunal, 0.65 Sales Tax Act Haryana

III.Income Tax Act, Income Tax Honble High Court 1961 Himachal Pradesh 23.84

Total 49.25



17. The accumulated losses of the Company are more than fifty per cent of its net worth. The Company has not incurred any cash losses during the financial year covered by our audit, and in the immediately preceding financial year.

18. The Company has no dues to financial Institutions or banks as at the Balance Sheet date.

19. According to the information and explanation given to us, the Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

20. The Company is not a Chit Fund or a Nidhi/ mutual benefit fund/society. Therefore, the provision of clause 4 (xiii) of the Companies (Auditors Report) Order, 2003 (hereafter referred to as the said Order) are not applicable to the Company.

21. The Company is not dealing in or trading in shares, securities, debentures & other investments. Accordingly, the provisions of clause (xiv) of the said Order are not applicable to the Company.

22. According to the information and explanation given to us, the Company has not given any guarantees for loans taken by others from banks or financial institutions.

23. According to the information and explanation given to us, the Company has not received any term loan during the year.

24. According to the information and explanations given to us, the Company has made the preferential allotment of 70,00,000 Equity Shares of nominal value Re. 1/- per share to a company covered in the register maintained under section 301 of the Companies Act, 1956 during the year, in terms of the Rehabilitation Scheme sanctioned by the Honble BIFR, vide its order dated April 10, 2006.

25. The Company did not have any outstanding debentures during the year.

26. The Company has not raised any money through a public issue during the year.

27. Based on examination of documents and records made available and on the basis of information and explanations given to us, the Company has not used funds raised on short basis for long term investments and vice versa.

28. To the best of 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.



For P.K. Maheshwari & Co.

Chartered Accountants

FRN. 000977N

Place : New Delhi P. K. Maheshwari

Date : July 21, 2010 (Partner)

Membership No. 7850

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