Home  »  Company
Enter the first few characters of Company and click 'Go'
Sorry, unable to find the company details of Maharaja shree umaid mills

Search NSE/BSE Listed Company Details By Alphabets

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

Auditor Report of Maharaja Shree Umaid Mills Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of MAHARAJA SHREE UMAID MILLS LIMITED ("the company"), which comprise the Balance Sheet as at March 31 2015, the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters 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 the maintenance of adequate accounting records in accordance with the provision of the Act for safeguarding of the assets of the Company and for preventing and detecting the 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 internal financial control, 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 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 true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by Company's Directors, as well as evaluating the overall presentation of the financial statements.

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

Opinion

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

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 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 as 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 explanation 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 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 those books (and proper returns adequate for the purposes of our audit have been received from the branches not visited by us)

c) The Balance Sheet, the Statement of Profit and Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of account and the returns received from the branches not visited by us

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) There are no financial transactions or matters, in our opinion, may have an adverse effect on the functioning of the Company.

f) On the basis of 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) of the Act.

g) With respect to the other matters included in the Auditor's Report and to our 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 - Refer Note 30(i) to the financial statements.

ii.) The Company has made provision, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long term contracts including derivative contracts - Refer Note 30(ii)(c) to the financial statements.

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

THE ANNEXURE REFERRED TO IN PARAGRAPH 1 OF THE OUR REPORT OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE ACCOUNTS OF THE COMPANY FOR THE YEAR ENDED ON 31st MARCH, 2015.

1. In respect of its Fixed Assets:

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

b) The fixed assets have been physically verified wherever practicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of its fixed assets. As informed to us, no material discrepancies between book records and physical inventory were noticed.

2. In respect of its Inventories:

a) As explained to us, the management has conducted physical verification of inventory at reasonable intervals during the year.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to book records.

3. The Company has not granted any loans, secured or unsecured to companies, firms or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013 during the year.

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 with regard to purchase of inventory and fixed assets and for the sale of goods and service. During the course of our audit, no major weakness has been noticed in internal control system.

5. According to the information and explanations given to us, the Company has not accepted any deposit from the public. Therefore, the provisions of clause (v) of paragraph 3 of the Order are not applicable to the Company.

6. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for the maintenance of cost records under section 148(1) of the Companies Act, 2013 and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have, however, not made a detailed examination of the same with a view to determine whether they are accurate or complete.

7. In respect of statutory dues:

a) According to the records of company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees' State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of aforesaid dues were outstanding at the year end for a period of more than six months from the date they became payable.

b) The disputed statutory dues aggregating Rs. 2559.49 Lacs that have not been deposited on account of disputed matters pending before appropriate authorities are given hereunder :

S. Name of the Nature Forum Amount No. statute of the where (Rs. in Dues dispute Lacs) is pending

Taxation :

i. Income Tax Income- High 161.32 Act, 1961 Tax Court

ii. Income Tax Income- CIT(App- 1175.98 Act, 1961 Tax eals)

iii. Central Excise Excise High 89.79 Act, 1944 Duty Court

iv. Finance Act, Service High 68.09 1994 Tax Court

v. The Rajasthan Entry High 53.32 Tax on Entry of Tax Court Goods into Local Areas Act, 1999

vi. RVAT, 2003 VAT Raj. 16.30 Tax Board

vii. RVAT, 2003 VAT D.C. 228.11 (Apeeal) (To be Field)

Others :

i. Payment of Wages Relevant 0.05 Wages Act, 1936 Authority

ii. Payment of Gratuity Relevant 1.48 Gratuity Act, 1972 Authority

iii. ESI Act, 1948 ESI High 1.29 Court

iv. Payment of Bonus Bonus Relevant 0.06 Act, 1965 Authority

v. Industrial Dispute Wages High 7.78 Act, 1947 Court

vi. The Rajasthan Electricity High 755.92 Electricity Duty Duty Court Act, 2003 & Other cess

TOTAL : 2559.49

c) The amount of Rs. 41,981/- is required to be transferred to Investor Education and Protection Fund in accordance with the relevant provisions of the Companies Act, 2013 and rules, made thereunder, has been transferred to such fund within time.

8. Based on our audit procedures and according to the information and explanations given to us, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions, banks. There are no debenture holders.

9. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks and financial Institutions.

10. Based on information and explanations given to us by the management, the term loans were applied for the purpose for which the loans were obtained.

11. In our opinion 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.

For BD Gargieya & Co.

Chartered Accountants

(FRN : 001072C)

Naresh Kumar Gupta

Kolkata Partner

May 16, 2015 Membership No. 72326


Mar 31, 2014

We have audited the accompanying financial statements of MAHARAJA SHREE UMAID MILLS LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2014, and the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

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

Auditors'' Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial

statements in order to design audit procedures that are appropriate in the circumstances. 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.

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 March 31, 2014;

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

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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 as amended by ''the Companies (Auditor''s Report) (Amendment) Order,2004, issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act (hereinafter referred to as 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 explanation given to us ,we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

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

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

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

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

d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement dealt with by this report comply with the Accounting Standards notified under the

Companies Act,1956 read with the General Circular 15/2013 dated September 13,2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act,2013.

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

THE ANNEXURE REFERRED TO IN PARAGRAPH 1 OF THE OUR REPORT OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE ACCOUNTS OF THE COMPANY FOR THE YEAR ENDED ON 31st MARCH, 2014.

1. In respect of its Fixed Assets:

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

b) The fixed assets have been physically verified wherever practicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of its fixed assets. As informed to us, no material discrepancies between book records and physical inventory were noticed.

c) In our opinion there was no substantial disposal of fixed assets, during the year and the going concern status of the company is not affected.

2. In respect of its Inventories:

a) As explained to us, the management has conducted physical verification of inventory at reasonable intervals during the year.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to book records.

3. In respect of the loans, secured or unsecured, granted or taken by the Company to/from companies, firms or other parties covered in the

Register maintained under Section 301 of the Companies Act, 1956:

a) The Company has not given any unsecured loan to any party covered in the register maintained under Section 301 of the Companies Act, 1956 during the year and the amount outstanding at the end of the year was Nil and the maximum amount outstanding at any time during the year was Nil

b) The company has taken unsecured loan of Rs.500.24 Lacs from two parties covered in the Register maintained under section 301 of the Companies Act. The amount outstanding at the end of the year Rs.5559.80 Lacs (including Rs. 5059.56 Lacs taken in the last financial Year) and the maximum amount outstanding at any time during the year was Rs.5559.80 Lacs.

f) In our opinion and according to the information and explanation given to us, the rate of interest and other terms and conditions of the loan taken by the Company, are not prima-facie prejudicial to the interest of the Company.

g) The payment of principal and interest in respect of the said loan is regular.

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 with regard to purchase of inventory and fixed assets and for the sale of goods and service. During the course of our audit, no major weakness has been noticed in internal control system.

5. In respect of the contracts or arrangements referred to in Section 301 of the Companies Act, 1956:

a) According to the information and explanations given to us, we are of the opinion that contracts or arrangements referred to in section 301 of the Act have been entered in the register maintained under that section.

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of such contracts or arrangements and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices, which are reasonable, having regard to the prevailing market prices at the relevant time.

6. According to the information and explanations given to us, the Company has not accepted any deposit from the public. Therefore, the provisions of clause (vi) of paragraph 4 of the Order are not applicable to the Company.

7. In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

8. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have, however, not made a detailed examination of the same with a view to determine whether they are accurate or complete.

9. In respect of statutory dues:

a) According to the records of company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of aforesaid dues were outstanding at the year end for a period of more than six months from the date they became payable. b) The disputed statutory dues aggregating Rs.1674.42 Lacs that have not been deposited on account of disputed matters pending before appropriate authorities are given hereunder :

S. Name of the Nature Forum Amount No. statute of the where (Rs. in Dues dispute Lacs) is pending

Taxation :

i. Income Tax Income- High 161.32 Act, 1961 Tax Court

ii. Income Tax Income- CIT(App- 1132.83 Act, 1961 Tax eals)

iii. Central Excise Excise High 89.79 Act, 1944 Duty Court

iv. Finance Act, Service High 68.09 1994 Tax Court

v. The Rajasthan Entry Deputy 16.26 Tax on Entry of Tax Commi- Goods into Local ssioner Areas Act, 1999 High 140.05 Court

vi. RVAT, 2003 VAT Raj. 16.30 Tax Board

Others :

i. Payment of Wages Relevant 0.05 Wages Act, 1936 Authority

ii. Payment of Gratuity Relevant 1.48 Gratuity Act, 1972 Authority

iii. ESI Act, 1948 ESI High 1.29 Court

iv. Payment of Bonus Bonus Relevant 0.06 Act, 1965 Authority

v. EPF Act, 1952 EPF Relevant 39.12 Authority

vi. Industrial Dispute Wages High 7.78 Act, 1947 Court

TOTAL : 1674.42

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

11. Based on our audit procedures and according to the information and explanations given to us, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions, banks. There are no debenture holders.

12. According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted 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 or a nidhi / mutual benefit fund/society. Therefore, the provisions of clause (xiii) of paragraph 4 of the Order are not applicable to the Company.

14. According to the information and explanations given to us, the Company is not dealing or trading in shares, securities, debentures and other investments.

15. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks and financial Institutions.

16. Based on information and explanations given to us by the management, the term loans were applied for the purpose for which the loans were obtained.

17. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the company, we are of the opinion that the company has not utilized the funds raised on short-term basis for long term investment.

18. During the year, the company has not made any preferential allotment of shares to parties or companies covered in the register maintained under section 301 of the Companies Act, 1956.

19. The provisions of clause (xix) of paragraph 4 of the Order are not applicable to the Company.

20. The company has not raised any money by way of public issues during the year.

21. In our opinion 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.

For BD Gargieya & Co.

Chartered Accountants

(FRN : 001072C)

NK Gupta Partner

M. No. 72326

Kolkata

May 29, 2014


Mar 31, 2013

Report on the Financial Statements

We have audited the accompanying financial statements of MAHARAJA SHREE UMAID MILLS LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2013, and the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

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

Auditors'' Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. 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.

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 March 31, 2013;

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

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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 ("the Order") issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

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

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

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

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

d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956;

e) on the basis of written representations received from the Directors as on March 31, 2013, and taken on record by the Board of Directors, none of the Directors is disqualified as on March 31, 2013, from being appointed as a Director in terms of clause (g) of sub- section (1) of section 274 of the Companies Act, 1956.

f) Since the Central Government has not issued any notification as to the rate at which the cess is to be paid under section 441A of the Companies Act, 1956 nor has it issued any Rules under the said section prescribing the manner in which such cess is to be paid, no cess is due and payable by the Company.

ANNEXURE REFERRED TO IN PARAGRAPH 1 OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE ACCOUNTS OF THE COMPANY FOR THE YEAR ENDED ON 31st MARCH, 2013.

1. In respect of its Fixed Assets:

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

b) The fixed assets have been physically verified wherever practicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of its fixed assets. As informed to us, no material discrepancies between book records and physical inventory were noticed.

c) In our opinion there was no substantial disposal of fixed assets, during the year and the going concern status of the company is not affected.

2. In respect of its Inventories:

a) As explained to us, the management has conducted physical verification of inventory at reasonable intervals during the year.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to book records.

3. In respect of the loans, secured or unsecured, granted or taken by the Company to/from companies, firms or other parties covered in the Register maintained under Section 301 of the Companies Act, 1956:

a) The Company has given unsecured loans of Rs. 7650 Lacs to four parties covered in the register maintained under Section 301 of the Companies Act, 1956 during the year. The amount outstanding at the end of the year Rs.29110 Lacs (including interest free loan of Rs.28710 Lacs given to one of the wholly owned subsidiary during the year 2011-12) and the maximum amount outstanding at any time during the year was Rs.33710 Lacs.

b) In our opinion and according to the information and explanation given to us, the rate of interest and other terms and conditions of the deposit given by the Company, are not prima-facie prejudicial to the interest of the Company.

c) The payment of principal and interest in respect of the said deposit is regular.

d) In respect of the said deposit given, there is no overdue amount outstanding at the balance sheet date.

e) The company has taken unsecured loan of Rs. 2500 Lacs from a party covered in the Register maintained under section 301 of the Companies Act. The amount outstanding at the end of the year Rs. Nil and the maximum amount outstanding at any time during the year was Rs.2500 Lacs.

f) In our opinion and according to the information and explanation given to us, the rate of interest and other terms and conditions of the loan taken by the Company, are not prima-facie prejudicial to the interest of the Company.

g) The payment of principal and interest in respect of the said loan is regular.

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 with regard to purchase of inventory and fixed assets and for the sale of goods and service.

During the course of our audit, no major weakness has been noticed in internal control system.

5. In respect of the contracts or arrangements referred to in Section 301 of the Companies Act, 1956:

a) According to the information and explanations given to us, we are of the opinion that contracts or arrangements referred to in section 301 of the Act have been entered in the register maintained under that section.

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of such contracts or arrangements and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices, which are reasonable, having regard to the prevailing market prices at the relevant time.

6. According to the information and explanations given to us, the Company has not accepted any deposit from the public. Therefore, the provisions of clause (vi) of paragraph 4 of the Order are not applicable to the Company.

7. In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

8. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have, however, not made a detailed examination of the same with a view to determine whether they are accurate of complete

9. In respect of statutory dues:

a) According to the records of company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom

Duty, Excise Duty, Cess and other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of aforesaid dues were outstanding at the year end for a period of more than six months from the date they became payable,

b) The disputed statutory dues aggregating Rs.499.55 Lacs that have not been deposited on account of disputed matters pending before appropriate authorities are given hereunder :

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

11. Based on our audit procedures and according to the information and explanations given to us, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions, banks. There are no debenture holders.

12. According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted 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 or a nidhi / mutual benefit fund/society. Therefore, the provisions of clause (xiii) of paragraph 4 of the Order are not applicable to the Company.

14. According to the information and explanations given to us, the Company is not dealing or trading in shares, securities, debentures and other investments.

15. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks and financial Institutions.

16. Based on information and explanations given to us by the management, the term loans were applied for the purpose for which the loans were obtained.

17. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the company, we are of the opinion that the company has not utilized the funds raised on short-term basis for long term investment.

18. During the year, the company has not made any preferential allotment of shares to parties or companies covered in the register maintained under section 301 of the Companies Act, 1956.

19. The provisions of clause (xix) of paragraph 4 of the Order are not applicable to the Company.

20. The company has not raised any money by way of public issues during the year.

21. In our opinion 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.

For B.D. GARGIEYA & CO.

Chartered Accountants

(FRN : 001072C) NK Gupta

Kolkata Partner

May 27, 2013 M. No. 72326


Mar 31, 2012

1. We have audited the attached Balance Sheet of MAHARAJA SHREE UMAID MILLS LIMITED as at 31st March, 2012 and the Statement of Profit & Loss for the year ended on that date annexed thereto and Cash Flow Statement for the year ended on that date. 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 from material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosure in financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

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

4. Further to our comments in the annexure referred to in para 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 accounts, as required by law, have been kept by the Company, so far as appears from our examination of those books;

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

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

e) In our opinion and based on information and explanations given to us, none of the Directors of the Company are prima-facie, as at 31st March, 2012, disqualified from being appointed as Directors of the Company in terms of Section 274(1)(g) of the Companies Act, 1956 ;

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

i) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2012;

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

iii) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE ACCOUNTS AS AT AND FOR THE YEAR ENDED ON 31st MARCH, 2012

1. In respect of its Fixed Assets:

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

b) The fixed assets have been physically verified wherever practicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of its fixed assets. As informed to us, no material discrepancies were notices on such physical verification.

c) In our opinion there was no substantial disposal of fixed assets, during the year and the going concern status of the company is not affected.

2. In respect of its Inventories:

a) As explained to us, the management has conducted physical verification of inventory at reasonable intervals during the year.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to the book records.

3. In respect of the loans, secured or unsecured, granted or taken by the Company to/from companies, firms or other parties covered in the Register maintained under Section 301 of the Companies Act, 1956:

a) The Company has given deposit to a party covered in the register maintained under Section 301 of the Companies Act, 1956. The amount outstanding at the end of the year Rs. Nil and the maximum amount outstanding at any time during the year was Rs. 2950 lacs. The Company has also given interest free loan to one of its wholly-owned subsidiaries. In respect of the said loan, the maximum amount outstanding at any time during the year was Rs. 28710 lacs, and the year-end balance is Rs. 28710 lacs.

b) In our opinion and according to the information and explanation given to us, the rate of interest and other terms and conditions of the loan and deposit given by the Company, are not prima-facie prejudicial to the interest of the Company.

c) The payment of principal and interest in respect of the said loan and deposit is regular.

d) In respect of the said loan and deposit given, there is no overdue amount outstanding at the balance sheet date.

e) The company has not taken any loan during the year from companies, firms or other parties covered in the Register maintained under Section 301 of the Companies Act. Consequently, the requirements of clauses (iii) (f) and (iii) (g) of paragraph 4 of the Order are not applicable to the Company.

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 with regard to purchase of inventory and fixed assets and for the sale of goods. During the course of our audit, no major weakness has been noticed in internal control system.

5. In respect of the contracts or arrangements referred to in Section 301 of the Companies Act, 1956:

a) According to the information and explanations given to us, we are of the opinion that contracts or arrangements referred to in Section 301 of the Act have been entered in the register maintained under that section.

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of such contracts/ arrangements entered in the Register maintained under Section 301 of the Companies Act, 1956 and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices, which are reasonable, having regard to the prevailing market prices at the relevant time.

6. According to the information and explanations given to us, the Company has not accepted any deposit from the public. Therefore, the provisions of clause (vi) of paragraph 4 of the Order are not applicable to the Company.

7. In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

8. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have, however, not made a detailed examination of the same with a view to determine whether they are accurate or complete.

9. In respect of statutory dues:

a) According to the records of company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees' State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of aforesaid dues were outstanding at the year end for a period of more than six months from the date they became payable.

b) The disputed statutory dues aggregating Rs.488.49 Lacs that have not been deposited on account of disputed matters pending before appropriate authorities are given hereunder :

S. Name of the Nature Forum Amount No. statute of the where (Rs. in Dues dispute Lacs) is pending

Taxation :

i. Income Tax Income- High 161.32 Act, 1961 Tax Court

ii. Central Excise Excise High 89.79 Act, 1944 Duty Court

iii. Central Excise Excise Supreme 11.50 Act, 1944 Duty Court

iv. Finance Act, Service High 68.09 1994 Tax Court

v. The Rajasthan Entry Deputy 16.26 Tax on Entry of Tax Commissioner Goods into Local Areas Act, 1999 High 107.79 Court

vi. RVAT, 2003 VAT Raj. 23.71 Tax Board

Others :

i. Payment of Wages Relevant 0.07 Wages Act, 1936 Authority

ii. Payment of Gratuity Relevant 1.35 Gratuity Act, 1972 Authority

iii.Industrial Dispute Wages High 7.78 Act, 1947 Court

iv. ESI Act, 1948 ESI High 0.83 Court

TOTAL : 488.49

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

11. Based on our audit procedures and according to the information and explanations given to us, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions, banks. There are no debenture holders.

12. According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted 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 or a nidhi / mutual benefit fund/society. Therefore, the provisions of clause (xiii) of paragraph 4 of the Order are not applicable to the Company.

14. According to the information and explanations given to us, the Company is not dealing or trading in shares, securities, debentures and other investments.

15. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks and financial Institutions.

16. Based on information and explanations given to us by the management, the term loans have been applied for the purpose for which they were raised.

17. According to the information and explanations given to us and on an overall examination of the Balance sheet of the Company, we are of the opinion that the company has not utilized the funds raised on short-term basis for long term investment.

18. During the year, the company has not made any preferential allotment of shares to parties or companies covered in the register maintained under Section 301 of the Companies Act, 1956.

19. The provisions of clause (xix) of paragraph 4 of the Order are not applicable to the Company.

20. The company has not raised any money by way of public issues during the year.

21. In our opinion 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.

For B.D. GARGIEYA & CO.

Chartered Accountants

(FRN : 001072C)

NK Gupta

Kolkata Partner

May 29, 2012 M. No. 72326


Mar 31, 2011

We have audited the attached Balance Sheet of MAHARAJA SHREE UMAID MILLS LIMITED as at 31s March, 2011 and the profit & Loss Account for the year ended on that date annexed hereo and Cash Flow statement for the year ended on ha date. These financial statements are the responsibiliy of the Company's management. Our responsibiliy is to express an opinion on these financial statements based on our audit.

1. We conduced our audit in accordance with auditing standards generally acceped in India. Those standards require that we plan and perform the audit to obain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a es basis, evidence supporting the amounts and disclosure in financial statements. An audit also includes assesttsing the Accounting principles used and significan esimaes made by the management, as well as evaluaing the overall financial statement presenation. We believe that our audit provides a reasonable basis for our opinion.

2. As required by the Companies (Auditors' report) Order, 2003 issued by the Cenral Government in terms of Section 227(4A) of the Companies Act, 1956, we enclose in the annexure a statement on the maers specified in paragraphs 4 & 5 of the said Order.

3. Further to our comments in the annexure referred to in para 2 above, we report t hat:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessaryfor the purposes of our audit;

b) In our opinion, proper books of Accounts, as required by law, have been kept by the Company, so far as i appears from our examination of hose books;

c) The Balance Sheet and profit & Loss Account deal with by his report are in agreement with the books of Account;

d) In our opinion, the Balance Sheet and the profit and Loss Account deal with by his report comply with the mandatory Accounting standards referred in Section 211(3C) of the Companies Act, 1956;

e) In our opinion and based on information and explanations given to us, none of the directors of the Company are primatfacie, as a 31s March, 2011, disqualified from being appointed as directors of the Company in terms of Section 274(1 )(g) of the Companies Act, 1956 ;

f) In our opinion and to the best of our information and according to the explanations given to us, the said financial statements read together with the notes thereon and schedule 19, give the information as required by the Companies Act, 1956, in the manner so required and give a rue and fair view in conformiy with the Accounting principles generally accepted in India ;

i) in the case of the Balance Sheet, of the state of affairs of the Company as a 31s March, 2011; and

ii) in the case of 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 OUR report OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE AccountS AS AT AND FOR THE YEAR ENDED ON 31stMARCH, 2011

1. i) The company has maintained proper records showing full particulars, including quantitaive details and siuation of fixed assets.

ii) The fixed assestt have been physically verified wherever pracicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of is fixed assestt. As informed to us, no material discrepancies between book records and physical inventory were noticed.

ill) In our opinion here was no subsanial disposal of fixed assestt, during the year and the going concern status of the company is not affected.

2. i) As explained to us the management has conduced physical verification of inventory at reasonable intervals during the year.

ii) In our opinion and according to the information and explanations given o us the procedures of physical verification of inventory followed by the management are, in our opinion and according to information and explanations given to us, reasonable and adequate in relation to the size of the Company and the nature of its business.

iii) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to book records.

3. i) The Company has given deposits to a party covered in the regiser maintained under Section 301 of the Companies Act, 1956. The amount outstanding at the end of the year Rs. 450 lacs and the maximum amount outstanding during the year Rs. 3750 lacs.

ii) In our opinion and according to the information and explanation given o us, in respect of above deposis, the rateof inerest and other terms and conditions are not primatfacie prejudicial to the inerest of the company.

iii) The payment of inerest on above deposi is regular. The payment of principal is also regular.

iv) There is no overdue amount outsanding at the balance Sheet date.

v) The company has no taken any loan, secured or unsecured from Companies, Firms and other paries covered in regiser under Section 301 of the Act maintained by the company.

4. In our opinion and according to the information and explanations given to us, there are adequate inernal control sysem commentsurae with the size of the company and the nature of is business with regard to purchase of inventory and fixed assestt and for the sale of goods and service. During the course of our audit, no major weakness has been noticed in internal control system.

5. i) According to the information and explanations given to us, we are of the opinion that conracs or arrangements referred to in Section 301 of the Ac have been entered in the regiser maintained under that Section. ii) In our opinion and according to the information and explanations given to us, the ransacions made in pursuance of such conracs or arrangements and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices, which are reasonable, having regard to the prevailing market prices a the relevant time.

6. In our opinion and according to the information and explanations given o us, the company has complied with the provisions of Section 58A and 58AA or any other relevan provision of the Act and rules framed here under, and the directives issued by the Reserve Bank of India.

7. In our opinion, the company has an inernal audit sysem commensurae with the size and nature of its business.

8. We have broadly reviewed the books of Account maintained by the company pursuan to the rules made by the Cenral Government for the maintenance of cost records under Section 209(1) (d) of the Companies Act, 1956 and are of the opinion that prima facie, the prescribed Accounts and records have been made and maintained. We have no, however, made a detailed examination of the same.

9. i) According to the records of company, undispued sauory dues including Provident Fund, Invesor Education and Proecion Fund, Employees' state Insurance, Income Tax, Sales Tax, Wealh Tax, Service Tax, Cusom Duy, Excise Duy, Cess and other sauory dues have been generally regularly deposied with the appropriate auhoriies. According o the information and explanations given to us, no undispued amounts payable in respect of aforesaid dues were outsanding a the year end for a period of more han six months from the date they became payable. ii. According o the records of the Company and information given to us, the particulars of sauory dues of the Sales Tax, Income Tax, Service Tax, Cusom Duy, Wealh Tax, Excise Duy, Cess and any other sauory dues which have no been deposied on Account of dispues and the forum wthere the dispue is pending are given hereunder:

S. Name of the Nature Forum amount No. statute of the where (Rs. in Dues dispue Lacs) is pending

Taxation :

i. Income Tax Income- High 23.75

Act, 1961 Tax Court

ii. Income Tax Income- High 137.57

Act, 1961 Tax Court

iii. Central Excise Excise High 169.58

Act, 1944 Duty Court

iv. Central Excise Excise Supreme 11.50

Act, 1944 Duty Court

v. Finance Act, 1994 Service CES- 90.78

Tax TAT

vi. The Rajasthan Entry Deputy 16.26

Tax on Entry of Tax Commi-

Goods into Local ssioner

Areas Act, 1999 High 104.96

Court

vii. RVAT, 2003 VAT Deputy 23.71

Commi- ssioner (Appeals)

Others :

i. Payment of Wages Relevant 0.63

Wages Act, 1936 Authority

ii. Payment of Gratuity Relevant 1.33

Gratuity Act, 1972 Authority

iii. Industrial Dispute Wages High 3.23

Act, 1947 Court

iv. ESI Act, 1948 ESI High Court 0.83

CJM Court 3.92

10. The Company has no accumulaed losses a the end of the year and i has no incurred any cash losses in the current and immediaely preceding financial year.

11. Based on our audit procedures and as per the information and explanations given by the management, we are of the opinion that the Company has no defauled in repayment of dues to financial insiuions, banks. There are no debenture holders.

12. According to the information and explanations given to us and based on the documents and records produced to us, the Company has not graned loans and advances on the basis of securiy by way of pledge of shares, debtenures and other securities.

13. In our opinion, the Company is no a chi fund or a nidhi/muualbenefifund/sociey.Therefore,clause 4 (xiii) of the Companies (Auditor's report) Order, 2003 is not applicable to the Company.

14. In our opinion and according to the information and explanations given o us, the provisions of clause 4 (xiv) of the Companies (Auditor's report) Order, 2003 are not applicable to the Company.

15. In our opinion and according to the information and explanations given o us, the Company has not given any guaranees for loans taken by others from banks and financial Institutions.

16. Based on information and explanations given to us by the management, the term loans were applied for the purpose for which the loans were obtained.

17. On the basis of an overall examination of the balance Sheet and cash flows of the company and the information and explanations given to us, we report that the company has no uilized the funds raised on shorterm basis for long term investment.

18. During the year, the Company has no made any preferenial alloment of shares to paries or companies covered in the regiser maintained under section 301 of the Companies Act, 1956.

19. The Company did no issue any debtenures during the year.

20. The Company has no raised any money hrough a public issue during the year.

21. In our opinion and according to the information and explanations given o us, no fraud on or by the company has been noticed or reported during the year.

For BD Gargieya & Co.

Chartered Accountants

NK Gupta

Partner

M. No. 72326

Firm Regn. No. 001072C

Kolkata

May 26, 2011












Mar 31, 2010

1. 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 disclosure in financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

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

3. Further to our comments in the annexure referred to in para 2 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 accounts, as required by law, have been kept by the Company, so far as it appears from our examination of those books;

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

d) In our opinion, the Balance Sheet and the Profit and Loss Account dealt with by this report comply with the mandatory Accounting Standards referred in Section 211 (3C) of the Companies Act, 1956;

e) In our opinion and based on information and explanations given to us, none of the Directors of the Company are prima-facie, as at 31st March, 2010, disqualified from being appointed as Directors of the Company in terms of Section 274(1 )(g) of the Companies Act, 1956 ;

f) In our opinion and to the best of our information and according to the explanations given to us, the said financial statements read together with the notes thereon and schedule 18, give the information as required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India ;

i) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2010; and

ii) in the case of 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 OUR REPORT OF EVEN DATE TO THE MEMBERS OF MAHARAJA SHREE UMAID MILLS LIMITED ON THE ACCOUNTS AS AT AND FOR THE YEAR ENDED 31s MARCH, 2010

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

ii) The fixed assets have been physically verified wherever practicable on a phased manner by the management, which in our opinion is reasonable having regard to the size of the company and the nature of its fixed assets. As informed to us, no material discrepancies between book records and physical inventory were noticed.

iii) In our opinion there was no substantial disposal of fixed assets, during the year and the going concern status of the company is not affected.

2. i) As explained to us the management has conducted physical verification of inventory at reasonable intervals during the year.

ii) In our opinion and according to the information and explanations given to us the procedures of physical verification of inventory followed by the management are, in our opinion and according to information and explanations given to us, reasonable and adequate in relation to the size of the Company and the nature of its business.

iii) The Company is maintaining proper records of inventory and as explained to us no material discrepancies were noticed on physical verification of inventory as compared to book records.

3. The Company has neither granted nor taken, during the year, any loan, secured or unsecured, to or from Companies, Firms, or other parties covered in the register maintained under section 301 of the Companies Act, 1956.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control system commensurate with the size of the company and the nature of its business with regard to purchase of inventory and fixed assets and for the sale of goods and service.

During the course of our audit, no major weakness has been noticed in internal control system.

5. In our opinion and according to the information and explanations given to us, there are no contracts or arrangements, the particulars of which need to be entered into the Register maintained under section 301 of the Companies Act, 1956.

6. In our opinion and according to the information and explanations given to us, the company has complied with the provisions of section 58A and 58AA or any other relevant provision of the Act and rules framed there under, and the directives issued by the Reserve Bank of India.

7. In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

8. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the same.

9. i) According to the records of company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of aforesaid dues were outstanding at the year end for a period of more than six months from the date they became payable.

ii. According to the records of the Company and information given to us, the particulars of statutory dues of the Sales Tax, Income Tax, Service Tax, Custom Duty, Wealth Tax, Excise Duty, Cess and any other statutory dues which have not been deposited on account of disputes and the forum where the dispute is pending are given hereunder:

S. Name of the Nature Forum Amount No. statute of the where (Rs. in Dues dispute Lacs) is pending Taxation :

i. Income Tax Income- High 23.75 Act, 1961 Tax Court

ii. Income Tax Income- High 137.57 Act, 1961 Tax Court

iii. Central Excise Excise High 169.58 Act, 1944 Duty Court

iv. Central Excise Excise Supreme 11.50 Act, 1944 Duty Court

v. Finance Act, 1994 Service Commi- 90.78 Tax ssioner (Appeals)

vi.The Rajasthan Entry Deputy 16.26 Tax on Entry of Tax Commi- Goods into Local ssioner Areas Act, 1999 High 147.41 Court

Others :

i. Payment of Wages Relevant 1.75 Wages Act, 1936 Authority

ii. Payment of Gratuity Relevant 0.43 Gratuity Act, 1972 Authority

iii. Industrial Dispute Wages High 3.23 Act, 1947 Court

iv. ESI Act, 1948 ESI High 4.75 Court

10. The Company has no accumulated losses at the end of the financial year and it has not incurred any cash losses in the current and immediately preceding financial year.

11. Based on our audit procedures and as per 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, banks. There are no debenture holders.

12. According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted 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 or a nidhi / mutual benefit fund/society. Therefore, clause 4 (xiii) of the Companies (Auditors Report) Order, 2003 is not applicable to the company.

14. In our opinion and according to the information and explanations given to us, the provisions of clause 4 (xiv) of the Companies (Auditors Report) Order, 2003 are not applicable to the company.

15. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks and financial Institutions..

16. Based on information and explanations given to us by the management, the term loans were applied for the purpose for which the loans were obtained.

17. On the basis of an overall examination of the balance sheet and cash flows of the company and the information and explanations given to us, we report that the company has not utilized the funds raised on short-term basis for long term investment.

18. During the year the company has not made any preferential allotment of shares to parties or companies covered in the register maintained under section 301 of the Companies Act, 1956.

19. The company did not issue any debentures during the year.

20. The company has not raised any money through a public issue during the year.

21. In our opinion 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.

For B.D. GARGIEYA & CO. Chartered Accountants

NK Gupta

Partner

M. No. 72326

Firm Regn. No. : 001072C

Kolkata

May 22, 2010

 
Subscribe now to get personal finance updates in your inbox!