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Auditor Report of Jindal Worldwide Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of JINDAL WORLDWIDE LIMITED("the Company"), which comprise the Balance Sheet as at March 31, 2015, the statement of Profit and Loss and the Cash Flow statement for the year then ended, and a summary of significant accounting policies and other explanatory information. The Financial Statements of the Three Divisions of the Company have been audited and signed by M/s. B. A. Bedawala & Company, Chartered Accountants and relied upon by us for the merger of the Financial Statements.

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 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 there under.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and 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 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 the 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 statement.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the financial statements give the information required by the Act in the 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, 2015

b) in the case of Statement of Profit and Loss, 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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order, 2015 issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (hereinafter referred to the "Order"), and on the basis of such checks of the books and records of the Company as we considered appropriate and according to the information and explanations given to us, 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 purpose of our audit.

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

c) The Balance Sheet, 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 written representations received from the Directors as on March 31, 2015, and 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), 2014, in our opinion and to the best of our information and according to the explanations given to us;

i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements,

ii. In our opinion and as per the information and explanations provides to us, the Company has not entered into any long- term contracts including derivative contracts, requiring provision under applicable laws or accounting standards, for material foreseeable losses, and

iii. There has been no delay in transferring the amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.

ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT:

(Referred to in Paragraph 1 under section (Report on Other Legal and Regulatory Requirements, of our report of even date)

1. a) The company is maintaining proper records showing full particulars including quantitative details and situation of fixed assets.

b) All the fixed assets have been physically verified by the management at reasonable intervals and no material discrepancies were noticed on such verification.

2. a) The inventories have been physically verified at reasonable intervals by the management.

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 according to the information and explanations given to us, the Company is maintaining proper records of its inventories and no material discrepancies were noticed on such physical verification.

3. As informed to us, the company has not taken loans from the parties covered in the register maintained under section 189. The company has granted unsecured loans to companies covered in the register maintained under section 189 of the Companies Act. The maximum amount involved during the year was Rs.1164.66 Lacs and the yearend balance of the loan is NIL.

4. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the company and the nature of its business for the purchase of inventory, fixed assets and for the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal control system.

5. According to the information and explanations given to us, the Company has not accepted any deposits in terms of directives issued by Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under.

6. We have broadly reviewed the books of account maintained by the Company pursuant sub-section (1) of Section 148 of the Companies Act, and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained.

7. a) The company is generally regular in depositing undisputed statutory dues including provident fund, employees state insurance, income tax, sales tax, wealth tax, service tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues with the appropriate authorities and we have been informed that there are no arrears of outstanding statutory dues as at the last day of the financial year under audit for a period of more than six months from the date they became payable.

b) According to the information and explanations given to us, no undisputed amount is payable in respect of income tax or sales tax or wealth tax or service tax or duty of customs or duty of excise or value added tax or cess as at March 31,2015,

c) In our opinion and according to the information and explanations given to us, amounts required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and Rules made thereunder have been transferred to such fund within time,

8. The Company has no accumulated losses at the end of the financial year under audit. The company has not incurred cash losses during the financial year covered by audit and in the immediately preceding financial year.

9. According to the information and explanations given to us, the Company has not defaulted in repayment of dues to a financial institution or bank.

10. According to the information and explanations given to us, the Company has given guarantee amounting to Rs. 2175.40 Lacs for loans taken by others from banks.

According to the information and explanations given to us, we are of the opinion that the terms and conditions thereof are not prima facie prejudicial to the interest of the Company.

11. To the best of our knowledge and belief and according to the information and explanations given to us, in our opinion, the company has raised new term loan during the current financial year and utilised the same for the purpose for which the loans were obtained.

12. Based upon the audit procedures performed and according to the information and explanations given to us, no fraud on or by the company has been noticed or reported during the year of our audit.

For, MEHRA ANIL & ASSOCIATES Chartered Accountants

(ANIL MEHRA) PROPRIETOR Place : AHMEDABAD M.No. 033052

Date : 30-05-2015 FRNo. 117692W






Mar 31, 2014

We have audited the accompanying financial statements of JINDAL WORLDWIDE LIMITED, which comprise the Balance Sheet as on March 31, 2014, 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. The Financial Statements of the Three Divisions of the Company have been audited and signed by M/s. B. A. Bedawala & Company, Chartered Accountants and relied upon by us for the merger of the Financial Statements.

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

Our responsibility is to express an opinion on these financial statements bases on our audit. We conducted our audit in accor- dance with the standards on Auditing issued by the Institute of Chartered Accountants of India. Those standards require that we comply with ethical requirement 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 state- ments. The procedure selected depends on the auditor''s judgment, including the assessment of risk 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 procedure that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

In our opinion and to the best of our information and according to the explanation given to us, the financial statements give the information required by the Act in the maimer so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2014, and

(b) In the case of Statement of Profit & Loss account, of the Profit for the year ended on 31st March, 2014

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

1. As required by the Companies (Auditors'' Report) Order, 2003 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.

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

a) We have obtained all the information and ex- planations 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 law have been kept by the company so far as it appears from our examination of the books;

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

d) In our opinion Balance Sheet and Profit & Loss A/c of the company comply with the Accounting standards referred to in sub sec. (3C) of sec. 211 of The Companies Act.,1956.

e) On the basis of written representation from directors as on 31.03.2014 and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31.03.2014 from being appointed as a directors in terms of clause (g) of sub section (1) of section 274 of the Companies Act, 1956.

ANNEXURE TO THE AUDITORS'' REPORT

Referred to in paragraph of our report of even date,

1. IN RESPECT OF FIXED ASSETS

a) The company has maintained proper records showing full particulars including quantitative details and situation of Fixed Assets.

b) As explained to us, all the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is rea- sonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

c) None of the Fixed Assets have been revalued during the year.

2. IN RESPECT OF INVENTORIES

a) The inventory together with stock with third parties have been physically verified by the manage- ment during the year.

b) In our opinion and as per the information given to us, the procedure of physical verification of stocks, adopted by the management is reasonable and adequate in relation to the size and nature of the busi- ness carried out by the company.

C) Discrepancies noticed on physically verifica- tion of stock are not material & the effect of the same have been duly recorded in the books of accounts.

d) In our opinion the method of valuation of stock is fair and proper and in accordance with the nor- mally accepted accounting principles and is consistent with the method adopted in preceding year.

3. IN RESPECT OF LOANS, SECURED OR UNSECURED, GRANTED OR TAKEN BY THE COMPANY TO / FROM COMPANY, FIRM OR OTHER PARTIES COVERED IN THE REGISTER MAINTAINED UNDER SEC. 301 OF THE COMPANIES ACT, 1956

a) The Company has not given loans to whol- ly owned subsidiary and other than subsidiary of the company.

b) The Company has taken loan from its subsidiary. In respect of the said loans, the maximum amount outstanding at any time during the year was Rs. 267.98 Lacs and the year-end balance is Rs.42.48 Lacs.

The Company has taken loan from companies covered in the register maintained under sec. 301 of the companies Act, 1956. The maximum amount involved during the year was Rs. 1851.91 Lacs and the year end balance of the loan is Rs. 1851.91 Lacs.

c) In our opinion, the rate of interest and other terms and conditions of such loan 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 is adequate internal control procedure commensurate with the size of the company and the nature of its business for the purchase of stores, raw materials, plant and machinery, equipments, other assets and for the sale of Finished goods. Further, on the basis of our examination of the books and records of the Company and according to the information and explanations given to us, we have neither come across nor have been informed of any continuing failure to correct major weakness in the aforesaid internal control procedure.

5. IN RESPECT OF CONTRACTS OR ARRANGEMENTS REFERRED TO IN SECTION 301 OF THE COMPANIES

a) In our opinion and according to the informa- tion and explanations given to us, the transactions that need to be entered into the register in pursuance to Section 301 of the Companies Act, 1956 have been so entered.

b) In our opinion and according to the information and explanation given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 and exceeding the value of Rs. 5,00,000/- in respect of any party have been made at prices which are reasonable having regards to prevailing market prices at relevant time.

6. In our opinion and according to the information and explanations given to us, no deposit has been accepted by the company under the purview of the provisions of section 58A and 58AA of Companies Act, 1956 and the rules made thereunder.

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. As per information & explanation given to us, the Central Government has not prescribed maintenance of cost records under section 209(1 )(d) of the Companies Act 1956.

9. STATUTORY DUTIES

a) According to the records of the Company, the company is regular in depositing with appropri- ate authorities undisputed statutory dues including Provident Fund, Investor Education Protection Fund, Employees'' State Insurance, Income Tax, Sales-Tax, Wealth-Tax, Customs Duty, Excise Duty, Cess and other statutory dues applicable to it with the appropriate authorities.

b) According to the information & explanation given to us no undisputed amount payable in respect of income tax, wealth tax, sales tax, custom duty, excise duty & cess were in arrears as at 31.03.2014 for a period of from the period of six months from the date they became payable.

10. The Company does not have accumulated losses at the end of the financial year. The Company has not incurred cash losses during the financial year covered by the audit and in the immediately preceding financial year.

11. According to the records of the Company examined by us and the information and explanations given by the management, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions and banks as at the Balance Sheet date.

12. In our opinion and according to the explanations given to us and based on the information available, no loans and advances have been granted by the Company on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion, the Company is not a chit fund / nidhi / mutual benefit fund / society. Accordingly, the provisions of Clause 4 (xiii) of the Companies (Auditor''s Report) Order, 2003 are not applicable to the Company.

14. In our opinion and according to the information and explanations given to us, the Company does not deal or trade in shares, securities, debentures and other investments. Accordingly, the provisions of Clause 4 (xiv) of the Companies (Auditor''s Report) Order, 2003 are not applicable to the Company.

15. According to the information and explanations given to us, the Company has given guarantee amounting to Rs. 2456.86 Lacs for loans taken by others from banks. According to the information and explanations given to us, we are of the opinion that the terms and conditions thereof are not prima facie prejudicial to the interest of the Company.

16. To the best of our knowledge and belief and according to the information and explanations given to us, in our opinion, the company has raised new term loan during the current financial year and utilised the same for the purpose for which the loans were obtained.

17. According to the information and explanation given to us and on the overall examination of the balance sheet of the company, we report that no funds raised on short term basis have been used for long term investment.

18. The Company has not issued any debentures during the year nor were any debentures outstanding at the beginning of the year. Accordingly the provisions of Clause (xix) of the companies (Auditor''s Report) Order, 2003 are not applicable to the company.

19. During the year the Company has not made preferential allotment of shares to parties and companies cov ered in the register maintained under section 301 of the Companies Act, 1956.

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

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

For, Mehra Anil & Associates

Chartered Accountants

Sd/- Anil Mehra (Proprietor)

M.No. 033052 FRNo. 117692W

Place: Ahmedabad 30th May, 2014


Mar 31, 2013

We have audited the accompanying financial statements of JINDAL WORLDWIDE LIMITED'' which comprise the Balance Sheet as on March 31'' 2013'' 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. The Financial Statements of the Three Divisions of the Company have been audited and signed by M/s. B. A. Bedawala & Company'' Chartered Accountants and relied upon by us for the merger of the Financial Statements.

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

Our responsibility is to express an opinion on these financial statements bases 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 requirement 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 procedure selected depends on the auditor''s judgment'' including the assessment of risk 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 procedure that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management'' as well as evaluating the overall presentation of the financial statements.

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

In our opinion and to the best of our information and according to the explanation given to us'' the financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

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

(b) In the case of Statement of Profit & Loss account ''of the Profit for the year ended on 31st March'' 2013

(c) In case of Cash flow statement'' of the cash flows for the year ended on that date.

1. As required by the Companies (Auditors'' Report) Order'' 2003 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.

2. As required be 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 law have been kept by the company so far as it appears from our examination of the books;

c) The Balance Sheet'' Profit & Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books of accounts;

d) In our opinion Balance Sheet and Profit & Loss A/c of the company comply with the Accounting standards referred to in sub sec. (3C) of sec. 211 of The Companies Act.''1956.

e) On the basis of written representation from directors as on 31.03.2013 and taken on record by the Board of Directors'' we report that none of the directors is disqualified as on 31.03.2013 from being appointed as a directors in terms of clause (g) of sub section (1) of section 274 of the Companies Act'' 1956.

ANNEXURE TO THE AUDITORS'' REPORT

Referred to in paragraph of our report of even date''

1) IN RESPECT OF FIXED ASSETS

a) The company has maintained proper records showing full particulars including quantitative details and situation of Fixed Assets.

b) We have been informed that during the year these assets were physically verified by the management and no discrepancies were found on such verification.

c) None of the Fixed Assets have been revalued during the year.

2) IN RESPECT OF INVENTORIES

a) The inventory together with stock with third parties have been physically verified by the management during the year.

b) In our opinion and as per the information given to us'' the procedure of physical verification of stocks'' adopted by the management is reasonable and adequate in relation to the size and nature of the business carried out by the company.

c) Discrepancies noticed on physically verification of stock are not material & the effect of the same have been duly recorded in the books of accounts.

d) In our opinion the method of valuation of stock is fair and proper and in accordance with the normally accepted accounting principles and is consistent with the method adopted in preceding year.

3) IN RESPECT OF LOANS'' SECURED OR UNSECURED'' GRANTED OR TAKEN BY THE COMPANY TO / FROM COMPANY'' FIRM OR OTHER PARTIES COVERED IN THE REGISTER MAINTAINED UNDER SEC. 301 OF THE COMPANIES ACT'' 1956

a) The Company has not given loans to wholly owned subsidiary and other than subsidiary of the company.

b) The Company has taken loan from its subsidiary. In respect of the said loans'' the maximum amount outstanding at any time during the year was Rs. 350.00 Lacs and the year-end balance is NIL.The Company has taken loan of Rs. 1200.00 Lacs from the company covered in the register maintained under sec. 301 of the Companies Act.'' 1956 and the year-end balance of the same is Rs. 1200.00 Lacs.

c) In our opinion'' the rate of interest and other terms and conditions of such loan are prima facie not prejudicial to the interest of the company.

4) In our opinion & according to the information given to us'' there is adequate internal control procedure commensurate with the size of the company and the nature of its business for the purchase of stores'' raw materials'' plant and machinery'' equipments'' other assets and for the sale of Finished goods. Further'' on the basis of our examination of the books and records of the Company and according to the information and explanations given to us'' we have neither come across nor have been informed of any continuing failure to correct major weakness in the aforesaid internal control procedure.

5) IN RESPECT OF CONTRACTS OR ARRANGEMENTS REFERRED TO IN SECTION 301 OF THE COMPANIES

a) In our opinion and according to the information and explanations given to us'' the transactions that need to be entered into the register in pursuance to Section 301 of the Companies Act'' 1956 have been so entered.

b) In our opinion and according to the information and explanation given to us'' the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 and exceeding the value of Rs. 5''00''000/- in respect of any party have been made at prices which are reasonable having regards to prevailing market prices at relevant time.

6) In our opinion and according to the information & explanations given to us'' no deposit has been accepted by the company under the purview of the provisions of section 58A and 58AA of Companies Act'' 1956 and the rules made thereunder.

7) In our opinion'' the internal audit have been commensurate with the size of the Company and the nature of its business.

8) As per information & explanation given to us'' the Central Government has not prescribed maintenance of cost records under section 209(1)(d) of the Companies Act 1956.

9) STATUTORY DUTIES

a) According to the records of the Company'' the company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund'' Investor Education Protection Fund'' Employees'' State Insurance'' Income Tax'' Sales-Tax'' Wealth-Tax'' Customs Duty'' Excise Duty'' Cess and other statutory dues applicable to it with the appropriate authorities.

b) According to the information & explanation given to us no undisputed amount payable in respect of income tax'' wealth tax'' sales tax'' custom duty'' excise duty & cess were in arrears as at 31.03.2013 for a period of from the period of six months from the date they became payable.

10) There are no accumulated losses & the company has not incurred cash losses during the financial year covered by our audit & the immediately preceding financial year.

11 ) According to the records of the Company examined by us and the information and explanations given by the management'' the Company has not defaulted in repayment of dues to a bank as at the Balance Sheet date.

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'' the Company is not a chit fund / nidhi / mutual benefit fund / societies. Accordingly'' the provisions of Clause 4 (xiii) of the Companies (Auditor''s Report) Order'' 2003 are not applicable to the Company.

14) In our opinion and according to the information and explanations given to us'' the Company does not deal or trade in shares'' securities'' debentures and other investments. Accordingly'' the provisions of Clause 4 (xiv) of the Companies (Auditor''s Report) Order'' 2003 are not applicable to the Company.

15) According to the information and explanations given to us'' the Company has given guarantee amounting to Rs. 25.19 crores for loans taken by others from banks.

16) To the best of our knowledge and belief and according to the information and explanations given to us'' in our opinion'' the company has raised new term loan during the current financial year and utilised the same for the purpose for which the loans were obtained.

17) According to the information & explanation given to us & the overall examination of the balance sheet of the company'' we report that no funds raised on short term basis have been used for long term investment. No long term funds have been used to finance short term assets.

18) The Company has not issued any debentures during the year nor were any debentures outstanding at the beginning of the year. Accordingly the provisions of Clause (xix) of the companies (Auditor''s Report) Order'' 2003 are not applicable to the company.

19) During the year the Company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Companies Act'' 1956.

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

21) To the best our knowledge and belief and according to the information and explanations given to us'' no fraud on or by the Company was noticed or reported during the year.

Place: AHMEDABAD For'' MEHRA ANIL & ASSOCIATES

Date : 30.05.2013 CHARTERED ACCOUNTANTS

(ANIL MEHRA)

PROPRIETOR M.NO. 033052

FRNo. 117692W


Mar 31, 2012

We have audited the accompanying financial statements of JINDAL WORLDWIDE LIMITED, which comprise the Balance Sheet as on March 31, 2012, 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. The Financial Statements of the Two Divisions of the Company have been audited and signed by M/s. B. A. Bedawala & Company, Chartered Accountants and relied upon by us for the merger of the Financial Statements.

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

Our responsibility is to express an opinion on these financial statements bases 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 requirement 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 procedure selected depends on the auditor's judgment, including the assessment of risk 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 procedure that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

In our opinion and to the best of our information and according to the explanation given to us, the financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

(a) In the case of the Balance Sheet , of the state of affairs of the Company as at 31st March, 2012 , and

(b) In the case of Statement of Profit & Loss account ,of the Profit for the year ended on 31st March,2012

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

1. As required by the Companies (Auditors' Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956, I enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said order.

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

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

b) In our opinion proper books of accounts as required by law have been kept by the company so far as it appears from my examination of the books;

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

d) In my opinion Balance Sheet and Profit & Loss A/c of the company comply with the Accounting standards referred to in sub sec. (3C) of sec. 211 of The Companies Act.,1956.

e) On the basis of written representation from directors as on 31.03.2012 and taken on record by the Board of Directors, We report that none of the directors is disqualified as on 31.03.2012 from being appointed as a directors in terms of clause (g) of sub section (1) of section 274 of the Companies Act, 1956.

ANNEXURE TO THE AUDITORS' REPORT

Referred to in paragraph of my report of even date,

1) IN RESPECT OF FIXED ASSETS

a) The company has maintained proper records showing full particulars including quantitative details and situation of Fixed Assets.

b) We have been informed that during the year these assets were physically verified by the management and no discrepancies were found on such verification.

c) None of the Fixed Assets have been revalued during the year.

2) IN RESPECT OF INVENTORIES

a) The inventory together with stock with third parties have been physically verified by the management during the year.

b) In our opinion and as per the information given to us, the procedure of physical verification of stocks, adopted by the management is reasonable and adequate in relation to the size and nature of the business carried out by the company.

c) Discrepancies noticed on physically verification of stock are not material & the effect of the same have been duly recorded in the books of accounts.

d) In our opinion the method of valuation of stock is fair and proper and in accordance with the normally accepted accounting principles and is consistent with the method adopted in preceeding year.

3) IN RESPECT OF LOANS, SECURED OR UNSECURED, GRANTED OR TAKEN BY THE COMPANY TO / FROM COMPANY, FIRM OR OTHER PARTIES COVERED IN THE REGISTER MAINTAINED UNDER SEC. 301 OF THE COMPANIES ACT, 1956

a) The Company has not taken loans from wholly owned subsidiary and other than subsidiary of the company.

b) The Company has given loans to one subsidiary. In respect of the said loans, the maximum amount outstanding at any time during the year was Rs. 1605.97 Lacs and the year-end balance is NIL

c) In our opinion, the rate of interest and other terms and conditions of such loan are prima facie not prejudicial to the interest of the company.

4) In our opinion & according to the information given to us, there is adequate internal control procedure commensurate with the size of the company and the nature of its business for the purchase of stores, raw materials, plant and machinery, equipments, other assets and for the sale of Finished goods. Further, on the basis of our examination of the books and records of the Company and according to the information and explanations given to us, we have neither come across nor have been informed of any continuing failure to correct major weakness in the aforesaid internal control procedure.

5) IN RESPECT OF CONTRACTS OR ARRANGEMENTS REFERRED TO IN SECTION 301 OF THE COMPANIES ACT, 1956

a) In our opinion and according to the information and explanations given to us, the transactions that need to be entered into the register in pursuance to Section 301 of the Companies Act, 1956 have been so entered.

b) In our opinion and according to the information and explanation given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 and exceeding the value of Rs. 5,00,000/- in respect of any party have been made at prices which are reasonable having regards to prevailing market prices at relevant time.

6) In our opinion and according to the information & explanations given to us, no deposit has been accepted by the company under the perview of the provisions of section 58A and 58AA of Companies Act, 1956 and the rules made thereunder.

7) In our opinion, the internal audit have been commensurate with the size of the Company and the nature of its business.

8) As per information & explanation given to us, the Central Government has not prescribed maintenance of cost records under section 209(1)(d) of the Companies Act 1956.

9) STATUTORY DUTIES

a) According to the records of the Company, the company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Investor Education Protection Fund, Employees' State Insurance, Income Tax, Sales-Tax, Wealth-Tax, Customs Duty, Excise Duty, Cess and other statutory dues applicable to it with the appropriate authorities.

b) According to the information & explanation given to us no undisputed amount payable in respect of income tax, wealth tax, sales tax, custom duty, excise duty & cess were in arrears as at 31.03.2012 for a period of from the period of six months from the date they became payable.

c) According to information & explanation given to us, the following represents the disputed statutory cases :

Name of the Nature of Amount (Rs.) Period to which Forum where Statue Dues In Lacs the Amt. relates dispute is pending

Income Tax Disallowance of 80HHC 36.55* 2002-03 Appeal with ITAT

Income Tax Disallowance of 80HHC 14.31* 2003-04 Appeal with ITAT

Sales Tax Tax on Sale of DEPB 13.80** 1997-98 Appeal

Sales Tax Tax on Sale of DEPB 14.79** 1998-99 Appeal

Sales Tax Tax on Sale of DEPB 13.03** 01.04.99 to 16.12.99 Appeal

* The Company has deposited part amount of Rs.42.40 Lacs with the department as against the said demand as at the Balance Sheet date.

* In the recent judgment, Supreme court decided this issue in favour of the assessee

** The Company has deposited the full amount with the department as against the said demand. The case is pending under the said Forum.

10) There are no accumulated losses & the company has not incurred cash losses during the financial year covered by our audit & the immediately preceding financial year.

11) According to the records of the Company examined by us and the information and explanations given by the management the Company has not defaulted in repayment of dues to a bank as at the Balance Sheet date.

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, the Company is not a chit fund / nidhi / mutual benefit fund / societies. Accordingly, the provisions of Clause 4 (xiii) of the Companies (Auditor's Report) Order, 2003 are not applicable to the Company.

14) In our opinion and according to the information and explanations given to us, the Company does not deal or trade in shares, securities, debentures and other investments. Accordingly, the provisions of Clause 4 (xiv) of the Companies (Auditor's Report) Order, 2003 are not applicable to the Company.

15) According to the information and explanations given to us, the Company has given guarantee amounting to Rs. 35.77 crores for loans taken by others from banks.

16) To the best of our knowledge and belief and according to the information and explanations given to us, in our opinion, the company has raised new term loan during the current financial year and utilised the same for the purpose for which the loans were obtained.

17) According to the information & explanation given to us & the overall examination of the balance sheet of the company, we report that no funds raised on short term basis have been used for long term investment. No long term funds have been used to finance short term assets except permanent working capital.

18) The Company has not issued any debentures during the year nor were any debentures outstanding at the beginning of the year. Accordingly the provisions of Clause (xix) of the companies (Auditor's Report) Order, 2003 are not applicable to the company.

19) During the year the Company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Companies Act, 1956.

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

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

PLACE : AHMEDABAD FOR, MEHRA ANIL & ASSOCIATES

DATE : 30.07.2012 CHARTERED ACOUNTANTS

(ANIL MEHRA)

PROPREITOR M.No. 033052

FRNo. 117692W

 
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