Mar 31, 2015
We have audited the accompanying financial statements of K-LIFESTYLE
AND INDUSTRIES LIMITED. ("the Company"), which comprise the Balance
Sheet as on 31st March, 2015 the Statement of Profit and Loss for the
period 1st April 2014 to 31st March 2015 and the Cash Flow Statement
for the period ending, and a summary of the significant accounting
policies and other explanatory information.
Management's Responsibility for the Financial Statements:
The management and Board of Directors of the Company are 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 Companies (Accounts) Rules, 2014.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 Ms.tatement,
whether due to fraud or error.
Auditors' Responsibility :
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder. We conducted our
audit in accordance with the Standards on Auditing specified under
Section 143(10) of the Act. Those Standards require that we comply
with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material Ms.tatement
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 Ms.tatement of the financial
statements, whether due to fraud or error. in making those risk
assessments, the auditor considers internal control relevant to the
Company's preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company's internal control.
An audit also includes evaluating the appropriateness of the accounting
policies used and the reasonableness of the accounting estimates made
by the Management, as well as evaluating the overall presentation of
the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March 2015.
(b) in the case of the Statement of Profit and Loss, of the loss of the
Company for the period ending on that date: and
(c) in the case of the Cash Flow Statement, of the Company for the
period ending on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government in terms of Sub-section (11)
of section 143 of the Act, we give in the Annexure a statement on the
matters specified in paragraphs 3 and 4 of the Order.
2. As required by Section 143(3) of the Act, we further report that:
(a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
(d) In our opinion, the Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting Standards
notified under the Act (which continue to be applicable in respect of
Section 133 of the Companies Act, 2013 in terms of General Circular
15/2013 dated 13 September 2013 of the Ministry of Corporate Affairs).
(e) On the basis of the written representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) (g) of
the Act.
For A.F.KHASGIWALA & Co
A.F. KHASGIWALA
Sd/-
Partner
Membership No.:006491
Firm Reg.No.:105114W
Place : Mumbai
Date :16/05/2015
Mar 31, 2014
1. We have audited the attached Balance Sheet of K-LIFESTYLE &
INDUSTRIES LTD As at 31st March, 2014 and also the Profit and Loss
Account of the Company for the Year ended on that date and 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003(CARO)and
the Companies (Auditor''s Report)(Amendment) order 2004 issued by the
Central Government in terms of section 227(4A) of the Companies Act,
1956, and on the basis of such checks of the books of 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 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the company.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Companies (Accounting Standard) Rules, 2006.
e) On the basis of the written representations received from the
directors as on 31st March,2014and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March,2014 from being appointed as a director of the Company in
terms of Section 274(1)(g) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Act in the manner so required and give a true and fair
view in conformity with accounting principles generally accepted in
India :
i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014,
ii) in the case of the Profit & Loss Account, of the Loss of the
Company for the year ended on that date and;
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on thatm date.
ANNEXURE REFERRED TO IN PARAGRAPH 2 OF AUDITORS'' REPORT OF EVEN DATE ON
THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st March, 2014
K-LIFESTYLE & INDUSTRIES LTD
(FORMELY KNOWN AS KRISHNA LIFESTYLE TECHNOLOGIES LIMITED.)
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
audit, we state that:
1. In respect of its Fixed Assets
(a) The Company has maintained proper records to show full particulars,
including quantitative details and situation of the Fixed Assets.
(b) The fixed assets of the Company have been physically verified by
the Management during the year and no material discrepancies between
the books records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
2. In respect of its inventories:
a) The stocks of finished goods, stores, spare parts and raw materials
of the company, at all its locations, have been physically verified by
the management at reasonable intervals during the year.
b) In our opinion, the procedures of physical verification of stocks
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
c) The discrepancies noticed on physical verification of the above
referred stocks as compared to the book records were not material and
have been properly dealt with in the books of account.
d) In our opinion, valuation of stocks is fair and proper in accordance
with the normally accepted accounting principles and is on the same
basis as in the preceding year.
3. a) The Company has not granted any loans, Secured or Unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956. b) The Company has not
taken any loans secured or unsecured, from companies, firms or parties
covered in the register maintained under 301 of the Companies
Acts,1956.
4. In our opinion and according to the information and explanations
given to us, having Regard to the explanation that certain items
purchased are of special nature for which suitable alternative sources
do not exist for obtaining comparative quotations, there are Adequate
internal control procedures commensurate with the size of the Company
and the nature of its business with regard to the purchase of stores,
raw materials including Components, plant & machinery, equipment and
similar assets & purchase of goods and for the sale of 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 has been informed of any continuing
failure to correct major weaknesses in the aforesaid internal control
system.
5. In respect of transaction covered under Section 301of the Companies
Act,1956:
According to the information and explanations given to us, purchase of
goods and materials and sale of goods, materials and services made in
pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Act and aggregating Rs. 5,00,000 or
more during the year in respect of each party have been made at prices
which are reasonable having regards to the prevailing market price for
such goods, materials or services or the prices at which the
transactions for similar goods are services have been made with other
parties, where applicable.
6. The company has not accepted any deposits from the public to which
the provisions of sections 58A and 58AA of the Companies Act, 1956 and
Rules framed there under would apply.
7. In our opinion, the internal audit system of the Company is
commensurate with the size of the company and nature of its business
8. We are of the opinion that, prima facie, the cost records and
accounts prescribed by the Central Government of India under Section
209 (1) (d) of the Act have been maintained. We have, however, not made
a detailed examination of such accounts and records.
9. In respect of statutory dues:
a) According to the information and explanations given to us, and the
records of the company examined by us, in our opinion, the company is
regular in deposited the undisputed statutory dues including provident
fund, investor education and protection fund, employees'' state
insurance, income Tax, sales tax, wealth tax, service tax, excise duty,
customs duty, cess and other material statutory dues as applicable with
the appropriate authorities.
10. According to the records of the company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank as at the
Balance Sheet date.
11. Based on our examination of the records and the information and
explanations given to us, the Company has not granted any loans and/or
advances on the basis of security by way of pledge of shares,
debentures and other securities.
12. The provisions of any special statute applicable to Chit fund &
Nidhi /Mutual benefit /Societies are not applicable to the company.
13. During the year, the Company does not have any transactions in
respect of dealing and Trading in shares, securities, debentures and
other investments. All shares, debentures and other securities held as
investments by the company have been held by the Company in its own
name.
14. According to the information and explanations given to us, the
Company has given Corporate gurantees for loan taken by others
aggregating to Rs. 33.40Crore in favour of Indian Overseas Bank,Narimon
Point Branch, Mumbai for securing loan granted to KSL and Industries
Ltd, Eskay knit India Ltd, Jaybharat Textiles & Real Estate Ltd and
Krishna Knitwear Technology Ltd, and another corporate Guarantees of
Rs.5 Crore in favour of State Bank of India, Vapi for securing the loan
Granted to Ambica Chemicals & Synthetics Pvt.Ltd.
15. According to the information and explanations given to us, the
working capital term Loans raised during the year were used for the
purpose for which they were raised.
16. According to the information and explanations given to us and on an
overall examination of the balance sheet of the Company.In our opinion
and according to the information and explanations given to us, there
are no Funds raised as a short term basis which have been used for long
term investment.
17. The Company has not made any preferential allotment of shares
during the year.
18. During the year covered by our audit report the Company has not
issued any secured Debentures.
19. The Company has not raised any money by public issues during the
year covered by our report.
20. The Company has no accumulated losses as at 31st March, 2014 as the
debit balance of Statement of Profit or Loss Rs. 37802.06 Lacs has been
adjusted against Surplus & Reserves (Refer Note No.2.2).
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
frauds on or by the company, noticed or reported during the year, nor
have been informed of such case by the management.
For A.F.KHASGIWALA & CO.
Chartered Accountants
Sd/-
(A.F.KHASGIWALA)
Partner
Place: MUMBAI Mem. No.6491
Dated: 30.05.2014 Firm Reg.No.105114W
Mar 31, 2013
1. We have audited the attached Balance Sheet of K-LIFESTYLE &
INDUSTRIES LTD (FORMELY KNOWN AS KRISHNA LIFESTYLE TECHNOLOGIES
LIMITED.) As at 31st March, 2013 and also the Profit and Loss Account
of the Company for the Year ended on that date and 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003
(CARO)and the Companies (Auditor''s Report)(Amendment) order 2004
issued by the Central Government in terms of section 227(4A) of the
Companies Act, 1956, and on the basis of such checks of the books of
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 4 and 5 of the said
Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the company.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Companies (Accounting Standard) Rules, 2006.
e) On the basis of the written representations received from the
directors as on 31st March, 2013and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2013 from being appointed as a director of the Company in
terms of Section 274(1)(g) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Act in the manner so required and give a true and fair
view in conformity with accounting principles generally accepted in
India :
i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2013,
ii) in the case of the Profit & Loss Account, of the Loss of the
Company for the year ended on that date and ;
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 2 OF AUDITORS'' REPORT OF EVEN
DATE ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST March, 2013
K-LIFESTYLE & INDUSTRIES LTD (FORMELY KNOWN AS KRISHNA LIFESTYLE
TECHNOLOGIES LIMITED.)
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
audit, we state that:
1. In respect of its Fixed Assets
a) The Company has maintained proper records to show full particulars,
including quantitative details and situation of the Fixed Assets.
b) The fixed assets of the Company have been physically verified by the
Management during the year and no material discrepancies between the
books records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
c) In our opinion, and according to the information and explanation
given to us, the Company has not disposed of substantial part of fixed
assets during the year and on going Concern status of the Company is
not affected.
2. In respect of its inventories:
a) The stocks of finished goods, stores, spare parts and raw materials
of the company, at all its locations, have been physically verified by
the management at reasonable intervals during the year.
b) In our opinion, the procedures of physical verification of stocks
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
c) The discrepancies noticed on physical verification of the above
referred stocks as compared to the book records were not material and
have been properly dealt with in the books of account.
d) In our opinion, valuation of stocks is fair and proper in accordance
with the normally accepted accounting principles and is on the same
basis as in the preceding year.
3. a) The Company has not granted any loans, Secured or Unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
b) The Company has not taken any loans secured or unsecured, from
companies, firms or parties covered in the register maintained under
301 of the Companies Acts,1956.
4. In our opinion and according to the information and explanations
given to us, having Regard to the explanation that certain items
purchased are of special nature for which Suitable alternative sources
do not exist for obtaining comparative quotations, there are Adequate
internal control procedures commensurate with the size of the Company
and The nature of its business with regard to the purchase of stores,
raw materials including Components, plant & machinery, equipment and
similar assets & purchase of goods and For the sale of 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 Weaknesses in the aforesaid internal control system.
5. In respect of transaction covered under Section 301of the Companies
Act,1956:
According to the information and explanations given to us, purchase of
goods and materials and sale of goods, materials and services made in
pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Act and aggregating Rs.5,00,000 or
more during the year in respect of each party have been made at prices
which are reasonable having regards to the prevailing market price for
such goods, materials or services or the prices at which the
transactions for similar goods are services have been made with other
parties, where applicable.
6. The company has not accepted any deposits from the public to which
the provisions of Sections 58A and 58AA of the Companies Act, 1956 and
Rules framed there under Would apply.
7. In our opinion, the internal audit system of the Company is
commensurate with the size Of the company and nature of its business
8. We are of the opinion that, prima facie, the cost records and
accounts prescribed by the Central Government of India under Section
209 (1) (d) of the Act have been maintained. We have, however, not made
a detailed examination of such accounts and records.
9. In respect of statutory dues:
a) According to the information and explanations given to us, and the
records of the company examined by us, in our opinion, the company is
regular in deposited the undisputed statutory dues including provident
fund, investor education and protection fund, employees'' state
insurance, income Tax, sales tax, wealth tax, service tax, excise duty,
customs duty, cess and other material statutory dues as applicable with
the appropriate authorities.
10 According to the records of the company examined by us and the
information and Explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank as at the
Balance Sheet date.
11. Based on our examination of the records and the information and
explanations given to Us, the Company has not granted any loans and/or
advances on the basis of security by Way of pledge of shares,
debentures and other securities.
12. The provisions of any special statute applicable to Chit fund &
Nidhi /Mutual benefit / Societies are not applicable to the company.
13. During the year, the Company does not have any transactions in
respect of dealing and Trading in shares, securities, debentures and
other investments. All shares, debentures And other securities held as
investments by the company have been held by the Company in its own
name.
14. According to the information and explanations given to us, the
Company has given Corporate gurantees for loan taken by others
aggregating to Rs.33.40 Crore In favour of Indian Overseas Bank,Narimon
Point Branch, Mumbai for securing loan granted to KSL and Industries
Ltd, Eskay knit India Ltd, Jaybharat Textiles & Real Estate Ltd and
Krishna Knitwear Technology Ltd, and another corporate Guarantees of Rs.5
Crore in favour of State Bank of India, Vapi for securing the loan
Granted to Ambica Chemicals & Synthetics Pvt.Ltd.
15. According to the information and explanations given to us, the
working capital term loans raised during the year were used for the
purpose for which they were raised.
16. According to the information and explanations given to us and on
an overall Examination of the balance sheet of the Company.In our
opinion and according to the information and explanations given to us,
there are no Funds raised as a short term basis which have been used
for long term investment.
17. The Company has not made any preferential allotment of shares
during the year.
18. During the year covered by our audit report the Company has not
issued any secured Debentures.
19. The Company has not raised any money by public issues during the
year covered by our report.
20. The Company has no accumulated losses as at 31st March, 2013 as
the debit balance of Statement of Profit or Loss Rs.13052.55 Lacs has
been adjusted against Surplus & Reserves (Refer Note No.2.2).
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
frauds on or by the company, noticed or reported during the year, nor
have been informed of such case by the management.
For A.F.KHASGIWALA & CO.
Chartered Accountants
Sd/-
(A.F.KHASGIWALA)
Place : MUMBAI Partner
Dated : 28.05.2013 Mem. No.6491
Firm Reg.No.105114W
Mar 31, 2012
1. We have audited the attached Balance Sheet of K-LIFESTYLE &
INDUSTRIES LTD as at 31st March, 2012 and also the statement of Profit
and Loss Account of the Company for the Year ended on that date and 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor's Report) Order,
2003(CARO)and the Companies (Auditor's Report)(Amendment) order 2004
issued by the Central Government in terms of section 227(4A) of the
Companies Act, 1956, and on the basis of such checks of the books of
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 4 and 5 of the said
Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that :-
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the company.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Companies (Accounting Standard) Rules, 2006.
e) On the basis of the written representations received from the
directors as on 31st March,2012 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March,2012 from being appointed as a director of the Company in
terms of Section 274(1)(g) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Act in the manner so required and give a true and fair
view in conformity with accounting principles generally accepted in
India :
i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012,
ii) in the case of the Profit & Loss Account, of the Loss of the
Company for the year ended on that date and ;
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
audit, we state that :
1. In respect of its Fixed Assets
a) The Company has maintained proper records to show full particulars,
including quantitative details and situation of the Fixed Assets.
b) The fixed assets of the Company have been physically verified by the
Management during the year and no material discrepancies between the
books records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
c) In our opinion, and according to the information and explanation
given to us, the Company has not disposed of substantial part of fixed
assets during the year and on going Concern status of the Company is
not affected.
2. In respect of its inventories :
a) The stocks of finished goods, stores, spare parts and raw materials
of the company, at all its locations, have been physically verified by
the management at reasonable intervals during the year.
b) In our opinion, the procedures of physical verification of stocks
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
c) The discrepancies noticed on physical verification of the above
referred stocks as compared to the book records were not material and
have been properly dealt with in the books of account.
d) In our opinion, valuation of stocks is fair and proper in accordance
with the normally accepted accounting principles and is on the same
basis as in the preceding year.
3. a) The Company has not granted any loans, Secured or Unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
b) The Company has not taken any loans secured or unsecured, from
companies, firms or parties covered in the register maintained under
301 of the Companies Acts,1956.
4. In our opinion and according to the information and explanations
given to us, having Regard to the explanation that certain items
purchased are of special nature for which Suitable alternative sources
do not exist for obtaining comparative quotations, there are Adequate
internal control procedures commensurate with the size of the Company
and The nature of its business with regard to the purchase of stores,
raw materials including Components, plant & machinery, equipment and
similar assets & purchase of goods and For the sale of 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 has been informed of any continuing
failure to correct major Weaknesses in the aforesaid internal control
system.
5. In respect of transaction covered under Section 301of the Companies
Act,1956 :
According to the information and explanations given to us, purchase of
goods and materials and sale of goods, materials and services made in
pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Act and aggregating Rs.5,00,000 or
more during the year in respect of each party have been made at prices
which are reasonable having regards to the prevailing market price for
such goods, materials or services or the prices at which the
transactions for similar goods are services have been made with other
parties, where applicable.
6. The company has not accepted any deposits from the public to which
the provisions of Sections 58A and 58AA of the Companies Act, 1956 and
Rules framed there under Would apply.
7. In our opinion, the internal audit system of the Company is
commensurate with the size Of the company and nature of its business
8. We are of the opinion that, prima facie, the cost records and
accounts prescribed by the Central Government of India under Section
209 (1) (d) of the Act have been maintained. We have, however, not made
a detailed examination of such accounts and records.
9. In respect of statutory dues:
a) According to the information and explanations given to us, and the
records of the company examined by us, in our opinion, the company is
regular in deposited the undisputed statutory dues including provident
fund, investor education and protection fund, employees' state
insurance, income Tax, sales tax, wealth tax, service tax, excise duty,
customs duty, cess and other material statutory dues as applicable with
the appropriate authorities.
10. According to the records of the company examined by us and the
information and Explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank as at the
Balance Sheet date.
11. Based on our examination of the records and the information and
explanations given to Us, the Company has not granted any loans and/ or
advances on the basis of security by Way of pledge of shares,
debentures and other securities.
12. The provisions of any special statute applicable to Chit fund &
Nidhi /Mutual benefit / Societies are not applicable to the company.
13. During the year, the Company does not have any transactions in
respect of dealing and Trading in shares, securities, debentures and
other investments. All shares, debentures And other securities held as
investments by the company have been held by the Company in its own
name.
14. According to the information and explanations given to us, the
Company has given Corporate gurantees for loan taken by others
aggregating to Rs.33.40Crore In favour of Indian Overseas Bank,Narimon
Point Branch, Mumbai for securing loan granted to KSL and Industries
Ltd, Eskay knit India Ltd, Jaybharat Textiles & Real Estate Ltd and
Krishna Knitwear Technology Ltd, and another corporate Guarantees of Rs
5 Crore in favour of State Bank of India, Vapi for securing the loan
Granted to Ambica Chemicals & Synthetics Pvt.Ltd.
15. According to the information and explanations given to us, the
working capital term Loans raised during the year were used for the
purpose for which they were raised.
16. According to the information and explanations given to us and on
an overall Examination of the balance sheet of the Company.In our
opinion and according to the information and explanations given to us,
there are no Funds raised as a short term basis which have been used
for long term investment.
17. The Company has not made any preferential allotment of shares
during the year.
18. During the year covered by our audit report the Company has not
issued any secured Debentures.
19. The Company has not raised any money by public issues during the
year covered by our report.
20. The Company has no accumulated losses as at 31st March, 2012 as
the debit balance of Statement of Profit or Loss Rs 4482.28 Lacs has
been adjusted against Surplus & Reserves (Refer Note No.2.2) and has
not incurred any Cash losses in the financial year ended on that date
or in the immediately preceding Financial year.
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
frauds on or by the company, noticed or reported during the year, nor
have been informed of such case by the management.
For A. F. KHASGIWALA & CO.
Chartered Accountants
sd/-
(A. F. KHASGIWALA)
Place : MUMBAI Partner
Dated : 27.04.2012 Mem. No.6491
Firm Reg.No.105114W
Mar 31, 2011
(FORMELY KNOWN AS KRISHNA LIFESTYLE TECHNOLOGIES LIMITED)
1. We have audited the attached Balance Sheet of K-LIFESTYLE &
INDUSTRIES LTD (FORMELY KNOWN AS KRISHNA LIFESTYLE TECHNOLOGIES
LIMITED) As at 31st March, 2011 and also the Profit and Loss Account of
the Company for the Year ended on that date and 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 have 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 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(CARO)and the Companies (Auditors Report)(Amendment) order 2004
issued by the Central Government in terms of section 227(4A) of the
Companies Act, 1956, and on the basis of such checks of the books of
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 4 and 5 of the said
Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the company.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Companies (Accounting Standard) Rules, 2006.
e) On the basis of the written representations received from the
directors as on 31st March,2011and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March,2011from being appointed as a director of the Company in
terms of Section 274(1)(g) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Act in the manner so required and give a true and fair
view in conformity with accounting principles generally accepted in
India :
i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2011,
ii) in the case of the Profit & Loss Account, of the Profit of the
Company for the year ended on that date and ;
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 2 OF AUDITORS REPORT OF EVEN DATE ON
THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST March, 2011
K-LIFESTYLE & INDUSTRIES LTD (FORMELY KNOWN AS KRISHNA LIFESTYLE
TECHNOLOGIES LIMITED)
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
audit, we state that:
1. In respect of its Fixed Assets
(a) The Company has maintained proper records to show full particulars,
including quantitative details and situation of the Fixed Assets.
(b) The fixed assets of the Company have been physically verified by
the Management during the year and no material discrepancies between
the books records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
(c) In our opinion, and according to the information and explanation
given to us, the Company has not disposed of substantial part of fixed
assets during the year and on going Concern status of the Company is
not affected.
2. In respect of its inventories:
a) The stocks of finished goods, stores, spare parts and raw materials
of the company, at all its locations, have been physically verified by
the management at reasonable intervals during the year.
b) In our opinion, the procedures of physical verification of stocks
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
c) The discrepancies noticed on physical verification of the above
referred stocks as compared to the book records were not material and
have been properly dealt with in the books of account.
d) In our opinion, valuation of stocks is fair and proper in accordance
with the normally accepted accounting principles and is on the same
basis as in the preceding year.
3. a) The Company has not granted any loans, Secured or Unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
b) The Company has not taken any loans secured or unsecured, from
companies, firms or parties covered in the register maintained under
301 of the Companies Acts,1956.
4. In our opinion and according to the information and explanations
given to us, having Regard to the explanation that certain items
purchased are of special nature for which Suitable alternative sources
do not exist for obtaining comparative quotations, there are Adequate
internal control procedures commensurate with the size of the Company
and The nature of its business with regard to the purchase of stores,
raw materials including Components, plant & machinery, equipment and
similar assets & purchase of goods and For the sale of 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 has been informed of any continuing
failure to correct major Weaknesses in the aforesaid internal control
system.
5. In respect of transaction covered under Section 301of the Companies
Act,1956: According to the information and explanations given to us,
purchase of goods and materials and sale of goods, materials and
services made in pursuance of contracts or arrangements entered in the
register maintained under Section 301 of the Act and aggregating
Rs5,00,000 or more during the year in respect of each party have been
made at prices which are reasonable having regards to the prevailing
market price for such goods, materials or services or the prices at
which the transactions for similar goods are services have been made
with other parties, where applicable.
6. The company has not accepted any deposits from the public to which
the provisions of Sections 58A and 58AA of the Companies Act, 1956 and
Rules framed there under Would apply.
7. In our opinion, the internal audit system of the Company is
commensurate with the size Of the company and nature of its business
8. We are of the opinion that, prima facie, the cost records and
accounts prescribed by the Central Government of India under Section
209 (1) (d) of the Act have been maintained. We have, however, not made
a detailed examination of such accounts and records.
9. In respect of statutory dues:
a) According to the information and explanations given to us, and the
records of the company examined by us, in our opinion, the company is
regular in depositing the undisputed statutory dues including provident
fund, investor education and protection fund, employees state
insurance, income Tax, sales tax, wealth tax, service tax, excise duty,
customs duty, cess and other material statutory dues as applicable with
the appropriate authorities.
10. According to the records of the company examined by us and the
information and Explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank as at the
Balance Sheet date.
11. Based on our examination of the records and the information and
explanations given to Us, the Company has not granted any loans and/or
advances on the basis of security by Way of pledge of shares,
debentures and other securities.
12. The provisions of any special statute applicable to Chit fund &
Nidhi /Mutual benefit / Societies are not applicable to the company.
13. During the year, the Company does not have any transactions in
respect of dealing and Trading in shares, securities, debentures and
other investments. All shares, debentures And other securities held as
investments by the company have been held by the Company in its own
name.
14. According to the information and explanations given to us, the
Company has given Corporate gurantees for loan taken by others
aggregating to Rs33.40Crore In favour of Indian Overseas Bank,Narimon
Point Branch, Mumbai for securing loan granted to KSL and Industries
Ltd, Eskay knit India Ltd, Jaybharat Textiles & Real Estate Ltd and
Krishna Knitwear Technology Ltd, and another corporate Guarantees of Rs5
Crore in favour of State Bank of India, Vapi for securing the loan
Granted to Ambica Chemicals & Synthetics Pvt.Ltd.
15. According to the information and explanations given to us, the
working capital term Loans raised during the year were used for the
purpose for which they were raised.
16. According to the information and explanations given to us and on
an overall Examination of the balance sheet of the Company.In our
opinion and according to the information and explanations given to us,
there are no Funds raised as a short term basis which have been used
for long term investment.
17. The Company has not made any preferential allotment of shares
during the year.
18. During the year covered by our audit report the Company has not
issued any secured Debentures.
19. The Company has not raised any money by public issues during the
year covered by our report.
20. The Company has no accumulated losses as at 31st March, 2011and
has not incurred any Cash losses in the financial year ended on that
date or in the immediately preceding Financial year
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
frauds on or by the company, noticed or reported during the year, nor
have been informed of such case by the management.
For A.F.KHASGIWALA & CO.
Chartered Accountants
Sd/-
(A.F. KHASGIWALA)
Partner
Place : Mumbai Mem. No. 6491
Date : 29.04.2011 Firm Reg.No.105114W
Mar 31, 2010
1. We have audited the attached Balance Sheet of KRISHNA LIFESTYLE
TECHNOLOGIES LIMITED as at 31st March, 2010 and also the Profit and
Loss Account of the Company for the year ended on that date and 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 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(CARO)and the Companies (Auditors Report)(Amendment) order 2004
issued by the Central Government in terms of section 227(4A) of the
Companies Act, 1956, and on the basis of such checks of the books of
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 4 and 5 of the said
Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account of
the company.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Companies (Accounting Standard) Rules, 2006.
e) On the basis of the written representations received from the
directors as on 31st March, 2010and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2010from being appointed as a director of the Company in
terms of Section 274(1 )(g) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Act in the manner so required and give a true and fair
view in conformity with accounting principles generally accepted in
India :
i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010,
ii) in the case of the Profit & Loss Account, of the Profit of the
Company for the year ended on that date and;
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF AUDITORS REPORT OF EVEN DATE ON
THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 ST MARCH, 2010 OF
KRISHNA LIFESTYLE TECHNOLOGIES LIMITED.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
audit, we state that:
1. In respect of its Fixed Assets
(a) The Company has maintained proper records to show full particulars,
including quantitative details and situation of the Fixed Assets.
(b) The fixed assets of the Company have been physically verified by
the Management during the year and no material discrepancies between
the books records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
(c) In our opinion, and according to the information and explanation
given to us, the Company has not disposed of substantial part of fixed
assets during the year and on going Concern status of the Company is
not affected.
2. In respect of its inventories:
a) The stocks of finished goods, stores, spare parts and raw materials
of the company, at all its locations, have been physically verified by
the management at reasonable intervals during the year.
b) In our opinion, the procedures of physical verification of stocks
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business.
c) The discrepancies noticed on physical verification of the above
referred stocks as compared to the book records were not material and
have been properly dealt with in the books of account.
d) In our opinion, valuation of stocks is fair and proper in accordance
with the normally accepted accounting principles and is on the same
basis as in the preceding year.
3. In respect of loans, secured or unsecured, granted or taken by the
Company to/ from Companies, firm or other parties covered in the
register maintained under 301 of the Companies Act,1956:
a) The Company has not taken any loans, Secured or Unsecured from
companies and other parties listed in the register maintained under
Section 301 of the Act and / or Companies under the same management as
defined under Section 370(1-B) which is rendered inoperative since
insertion of sub section (6) of section 370 of the Companies Act, 1956.
b) The Company has not granted any loans secured or unsecured, during
the year, to companies, firms or parties listed in the register
maintained under 301 of the Companies acts, 1956. On the basis of the
information and explanations given to us, there are no companies under
the same management within the meaning of section 370(1 -B) which is
rendered inoperative since insertion of sub section (6) of section 370
of the Companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, having regard to the explanation that certain items
purchased are of special nature for which suitable alternative sources
do not exist for obtaining comparative quotations, there are adequate
internal control procedures commensurate with the size of the Company
and the nature of its business with regard to the purchase of stores,
raw materials including components, plant & machinery, equipment and
similar assets & purchase of goods and for the sale of 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 weaknesses in the aforesaid internal control
system.
5. In respect of transaction covered under Section 301 of the
Companies Act, 1956:
According to the information and explanations given to us, purchase of
goods and materials and sale of goods, materials and services made in
pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Act and aggregating during the year
to Rs.5,00,000 or more in respect of each party have been made at
prices which are reasonable having regards to the prevailing market
price for such goods, materials or services or the prices at which the
transactions for similar goods are services have been made with other
parties, where applicable.
6. The company has not accepted any deposits from the public to which
the provisions of Sections 58A and 58AA of the Companies Act, 1956 and
Rules framed there under would apply.
7. In our opinion, the internal audit system of the Company is
commensurate with the size of the company and nature of its business
8. We have broadly reviewed the books of accounts maintained by the
Company in respect of product where, pursuant to the rules made by the
Central Government of India under Section 209 (1) (d) of the Act and
are of the opinion that prima facie, the prescribed account and records
have been made and maintained. However we are not required to and have
not carried out any detailed examination of such accounts and records
9. In respect of statutory dues:
a) According to the information and explanations given to us, and the
records of the company examined by us, in our opinion, the company is
regular in depositing the undisputed statutory dues including provident
fund, investor education and protection fund, employees state
insurance, income Tax, sales tax, wealth tax, service tax, excise duty,
customs duty, cess and other material statutory dues as applicable with
the appropriate authorities.
10. According to the records of the company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank as at the
Balance Sheet date.
11. Based on our examination of the records and the information and
explanations given to us, the Company has not granted any loans and/or
advances on the basis of security by way of pledge of shares,
debentures and other securities.
12. The provisions of any special statute applicable to Chit fund &
Nidhi /Mutual benefit / societies are not applicable to the company.
13. During the year, the Company does not have any transactions in
respect of dealing and trading in shares, securities, debentures and
other investments. All shares, debentures and other securities held as
investments by the company have been held by the Company in its own
name.
14. According to the information and explanations given to us, the
Company has not given any guarantees for loans taken by others from
bank or financial institutions.
15. According to the information and explanations given to us, the
working capital term loans raised during the year were used for the
purpose for which they were raised.
16. According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that the Company has used no funds raised on Short-term basis for
long-term investment.
17. The Company has not made any preferential allotment of shares
during the year.
18. During the year covered by our audit report the Company has not
issued any secured debentures.
19. The Company has not raised any money by public issues during the
year covered by our report.
20. The Company has no accumulated losses as at 31st March, 2010and
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
21. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
frauds on or by the company, noticed or reported during the year, nor
have been informed of such case by the management.
For A.F.KHASGIWALA & CO.
Chartered Accountants
Sd/-
(A.F. KHASGIWALA)
Place: Mumbai Partner
Date :25th May, 2010 Mem. No. 6491