Auditor Report of Natura Hue Chem Ltd.

Mar 31, 2014

Report on the Financial Statements

We have audited the accompanying financial statements of M/S NATURA HUE CHEM LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2014, and the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information, which we have signed under reference to this report.

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 ''the Companies Act, 1956'' of India (the "Act") 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,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.

Auditor''s Responsibility

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

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. 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, subject to note given below, 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 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, 2003 including companies (Auditors Report) (Amendment) order 2004 issued by the Central Government of India in terms of Sub-section (4A) of section 227 of the companies Act, 1956, we enclose in the Annexure a Statement on the matters specified in paragraphs 4 & 5 of the said order.

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

a. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit.

b. In our opinion, proper books of account as required by law have been kept by the company so far as 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, subject to point no. 3 given below the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the companies Act, 1956 read with general circular 15/2013 dated 13 September2013 of Ministry of Corporate Affairs in respect of section 133 of the Companies Act 2013 and

e. On the basis of written representations received from all 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.

3. Attention of the members is drawn to the following Notes:-

Note No. 11 of Notes on financial statements regarding certain disclosure relating to Micro / Small / Medium Enterprises.

ANNEXURE TO THE AUDITOR''S REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE

I. a. The company has maintained proper records to show its full particulars including quantitative details and situation of fixed assets.

b. As explained to us, all the fixed assets have been physical verified by the management with a phased programme over the year, which in our opinion is reasonable having regard to the size of the company and the nature of its assets. No serious discrepancies were noticed on such verification conducted during the year as compared with the books records.

c. The Company has not disposed off any fixed assets of the Company during the year under audit.

II. The Company is a service company, primarily rendering Cargo Handling services; Accordingly Clause 4(ii) (a) to (c) of CARO 2003 is not applicable to the Company.

III. As informed by us, the Company has neither granted nor taken any loans, secured or unsecured to/from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Since the Company has neither granted nor taken any loans, secured or unsecured to/from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956, clauses 4(iii) (a) to (g) of CARO 2003 are not applicable to the Company.

IV. In our opinion and according to the information and explanations there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to supply of services. Further, on the basis of our examination, and according to the information and explanations given to us, we have neither come across nor have been informed of any instance of major weaknesses in the aforesaid internal control procedures.

V. a) According to the information and explanations given to us, Company has not entered into any contract or arrangement referred to in section 301 of the act.

b) As the Company has not entered into any transaction, no comments have been given in respect of Clause 4(v) of the CARO, 2003.

VI. In our opinion according to the information and explanations provided by the management, in our opinion, the company has not accepted any public deposits. Hence no comments have been given in respect of Clause 4(vi) of the CARO, 2003.

VII. The Company does not have a formal internal audit system. However, in our opinion, there are adequate internal control procedures commensurate with the size and nature of the business.

VIII. The Central Government of India has not prescribed the maintenance of cost records under section 209(1 )(d) of the Companies Act, 1956, for any of the services rendered by the Company.

IX. a) According to the information and explanations given to us and according to the books and records as produced and examined by us, in our opinion, undisputed statutory dues including provident fund, employee''s state insurance, income tax, sales tax, wealth tax, service tax, customs duty, excise duty, cess and other material statutory dues applicable to the Company have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, sales tax, wealth tax, service tax, customs duty, excise duty and cess were in arrears, as at 31st March 2014 for a period of more than six months from the date they became payable.

b) As on 31st March 2014, according to the records of the Company, there are no dues of sales tax, income-tax, customs tax / wealth tax, excise duty, Service Tax / cess on account of any dispute.

X. The Company''s accumulated losses at the end of the financial year are less than fifty per cent of its net worth. However, it has incurred cash losses both in current year as well as in the immediately preceding financial year.

XI. Since there is no borrowing from Bank / Financial Institution, Hence no comments have been given in respect of Clause 4(XI) of the CARO, 2003.

XII. According to the information and explanations given to us and based on the documents and records produced before us, the Company has not granted any loans and advances on the basis of pledge of shares, debentures and other securities.

XIII. In our opinion and to the best of our knowledge and according to the explanations provided by the management, that the company is neither a Chit Fund nor a Nidhi/mutual benefit society. Hence, the requirements of Clause 4(xiii) of CARO, 2003 do not apply to the Company.

XIV. In our opinion, the company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provision of clause 4 (xiv) of CARO 2003 is not applicable to the company.

XV. The Company has not given guarantees for loans taken by others from bank or financial institutions. Accordingly, the provision of clause 4 (XV) of CARO 2003 is not applicable to the company.

XVI. The Company has neither raised any term loans during the year nor was any unutilized amount left on this account, as at the beginning of the year. Therefore, the provision of clause 4 (XVI) of CARO 2003 is not applicable to the company.

XVII. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

XVIII. The Company has not made any fresh allotment of shares during the year.

XIX. The Company did not issued debentures during the year.

XX. The Company has not raised any money by public issue during the period covered by our audit report.

XXI. To the best of our knowledge and belief, and according to the information and explanations given to us, and the records of the Company examined by us, no material fraud on or by the Company was noticed or reported during the course of our audit.

FOR, MADHURESH GUPTA AND CO CHARTERED ACCOUNTANTS FIRM REGN/N0.005910C

(MADHURESH GUPTA) PROPRIETOR M.NO.07436

PLACE: RAIPUR DATE: 01.09.2014

---

Mar 31, 2013

Report on the Financial Statement

We have audited the accompanying financial statement of M/s NATURA HUE CHEM LIMITED (“the Company"), which comprise Balance Sheet as at 31st March'' 2013, the Statement of Profit & Loss & Cash Flow Statement for the year ended and a summary of accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statement Management is responsible for the preparation of these financial statement that give a true and fair view of the financial position, financial performance of the company in accordance with the Accounting Standard referred to sub-section (3C) of Section 211 of the Companies Act 1956 (“the Act"). The responsibilities includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statement that gives 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 the financial statement 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 night - reasonable assurance about whether the financial statements are free of material misstatement.

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

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

Opinion

In our opinion and to the best of our knowledge 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 the conformity with the accounting principles generally acceptance in India:

1. In the case of Balance Sheet, of the state of affairs of the Company as at march 31, 2013;

2. In the case of Statement of Profit and Loss, of the profit for the year ended on that date.

3. In the case of cash flow statement, of the cash flow for the year ended on that date.

Report on Other Legal and Regulatory Requirements

a. As required by Companies (Auditor''s Report) Order 2003 including companies (auditor''s report) (amendment) Order ''2004 issued by the Central Government of India in term of sub-section (4A) of section 227 of the Act, we given in annexure. a statement on matter specified in Para 4 and 5. of the said order.

b. As required by the Section 227(3) of the Act, we report that

1. We have obtained all information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;

2. In our opinion proper books of account as required by law have been kept by the Company so far as appear from our examination of those books;

3. The balance Sheet and Statement of Profit and Loss dealt by this Report are in agreement with the books of accounts;

4. In our opinion, the Balance Sheet and Statement of Profit and Loss comply with Accounting Standard referred in sub-section (3C) of Section 211 of the Companies Act 1956; and

5. On the basis of written representation received from the directors as on March 31, 2013, and taken on record by 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

ANNEXURE TO THE AUDITORS''S REPORT

The annexure to refer to in our report to the members of Natural Hue Chem Limited (“The Company") for the year ended March 31, 2013. We report that

I. a. The Fixed Assets register is being maintained by the Company showing full particulars including quantitative details and situation of Fixed Assets.

b. We are informed that the Fixed Assets were physically verified at reasonable intervals during the year. No serious discrepancies were noticed on such verification.

c. None of the fixed assets of the company have been disposed off during the year so the question of affecting the going concern does not arises at all.

II. The Company has not carry over business during the year, hence this clause is not applicable.

III. a. The Company has granted unsecured loans to companies, firms or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 The total no. of Party are 1 and maxim% amount outstanding during the year aggregates to Rs. 565.40 Jobs '' and year end balances was Rs. 565.40 Lacs.

b. In our opinion & according to the information given to us the rate of interest & terms & condition of the loan given by the company are not prejudicial to the interest of the company.

c. As explained to us there is no Stipulation regarding principal amount & interest thereon.

d. As stated above, since there is no stipulation regarding repayment of principal amount. Hence the question of overdue amount is more than 1 lacs does not arises.

e. The Company has not taken any loans, secured or unsecured from companies, firms or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 (1 of 1956). Hence the other information is not given here.

IV. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of stores, raw materials including components, plant and machinery, equipment and other assets and for the sale of goods. There is no such major weakness, which requires any corrective steps.

V. As explained to us, no transactions have been carried out during the year, which is required to be entered in the register maintained U/s 301 of the Act.

VI. The company has not accepted any public deposit hence this clause is not applicable.

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

VIII. Central Government has not prescribed maintenance of cost records U/s 209 (l)(d) in respect of the any of the products and hence Para 4(viii) of CARO'' 2003 is not applicable. ''

IX. a. According to the information and explanations given to us and according to the books and records as produced and examined by us,

In our opinion, undisputed statutory dues including provided employee''s state insurance, income tax, sales tax, wealth customs duty, excise duty, cess and other material statutory dues applicable to the Company have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect o income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31st March 2013 for a period of more than six months from the date they became payable.

b. As informed by the management, there is no disputed amount pending under the sales tax, income tax, customs, and wealth tax excise duty cess hence the question relating to the forum where the dispute is pending does not arise at all.

X. The company does not have accumulated losses of more than 50% of its net worth as at 31st March'' 2013 but it incurred cash losses during the finials year also.

Xl. The company has not taken any loan from financial institution hence this clause is not applicable.

XII. In our opinion and according to the information and explanation given to us, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

XIII. The provision of any special status as specified under Clause (xiii) of Order is not applicable to the Company.

XIV. In our opinion and according to the information and explanations given to us, the company is not a dealer or trader in securities.

XV. The company has not given guarantees for loans taken by others or financial institution.

XVI. No term loans have been taken by the company hence the question of application of tern loan for required purpose is not arises.

XVII. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

XVIII. During the year under audit the company has not made any allotment of shares so the question of preferential allotment and pricing of the share whether it is prejudiced are does not arise.

XIX. The company has not issued debentures; hence question of creation of securities does not arise.

XX. The company has not raised any money through the public issue during the year so the question of end use of money & the issue is not comes.

XXL According to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported.

FOR, MADHURESH GUPTA & CO.

CHARTERED ACCOUNTANT

(FIRM REG. NO. 005910G

PLACE: RAIPUR

DATE: 30.08.2013

(MARHURESH GUPTA)

PROP.

M.N0.074636

---

Mar 31, 2012

To,

The Members of Natura Hue Chem Limited.

Report on the Financial Statement

We have audited the accompanying financial statement of M/s NATURA HUE CHEM LIMITED ("the Company"), which comprise Balance Sheet as at 31st March'' 2012 and the Statement of Profit & Loss for the year ended and a summary of accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statement

Management is responsible for the preparation of these financial statement that give a true and fair view of the financial position, financial performance of the company in accordance with the Accounting Standard referred to sub-section (3C) of Section 211 of the Companies Act 1956 ("the Act"). The responsibilities includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statement that gives 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 the financial statement 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 Wfc comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.

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

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

Opinion

In our opinion and to the best of our knowledge 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 the conformity with the accounting principles generally acceptance in India:

1. In the case of Balance Sheet, of the state of affairs of the Company as at march 31, 2012;

2. In the case of Statement of Profit and Loss, of the profit for the year ended on that date.

3. In the case of cash flow statement, of the cash flow for the year ended on that date.

Report on Other Legal and Regulatory Requirements

a. As required by Companies (Auditor''s Report) Order 2003 including companies (auditor''s report) (amendment) Order ''2004 issued by the Central Government of India in term of sub-section (4A) of section 227 of the Act, we given in annexure a statement on matter specified in Para 4 and 5 of the said order.

b. As required by the Section 227(3) of the Act, we report that

1. We have obtained all information and explanations which to the Best of our knowledge and belief were necessary for the purpose of our audit

2. In our opinion proper books of account as required by law have been kept by the Company so far as appear from our examination of those books;

3. The balance Sheet and Statement of Profit and Loss dealt by this Report are in agreement with the books of accounts;

4. In our opinion, the Balance Sheet and Statement of Profit and Loss comply with Accounting Standard referred in sub-section (3C) of Section 211 of the Companies Act 1956; and

5. On the basis of written representation received from the directors as on March 31, 2012, and taken on record by Board of Directors, none of the directors is disqualified as on march 31, 2012 from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274 of the companies act 1956

ANNEXURE TO THE AUDITORS''S REPORT

The annexure to refer to in our report to the members of Natural Hue Chem Limited ("The Company") for the year ended March 31, 2012.

We report that

I. a. The Fixed Assets register is being maintained by the Company showing full particulars including quantitative details and situation of Fixed Assets.

b. We are informed that the Fixed Assets were physically verified at reasonable intervals during the year. No serious discrepancies were noticed on such verification.

c. None of the fixed assets of the company have been disposed off during the year so the question of affecting the going concern does not arises at all.

II. The Company has not carried over business during the year, hence this clause is not applicable.

III. a. The Company has granted unsecured loans to companies, firms or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 The total no. of Party are 1 and maximum amount outstanding during the year aggregates to Rs.385.40 Lacs and year end balances was Rs.385.40 Lacs.

b. In our opinion & according to the information given to us the rate of interest & terms & condition of the loan given by the company are not prejudicial to the interest of the company.

c. As explained to us there is no Stipulation repayment of principal amount & interest thereon.

d. As stated above, since there is no stipulation regarding repayment of principal amount. Hence the question of overdue amount is more than 1 lacs does not arises.

e. The Company has not taken any loans, secured or unsecured from _ companies, firms or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 (1 of 1956). Hence the other information is not given here.

IV. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of stores, raw materials including components, plant and machinery, equipment and other assets and for the Sale of goods. There is no such major weakness, which requires any corrective steps.

V. As explained to us, no transactions have been carried out during the year, which is required to be entered in the register maintained U/s 301 of the Act.

VI. The company has not accepted any public deposit hence this clause is not applicable. *

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

VIII. Central Government has not prescribed maintenance of cost records U/s 209 (l)(d) in respect of the any of the products and hence Para 4(viii) of CARO'' 2003 is not applicable.

IX. a. According to the information and explanations given to us and according to the books and records as produced and examined us.

In our opinion, undisputed statutory dues including provident fund employee''s state insurance, income tax, sales tax, weakth tax customs duty, excise duty, cess and other material statutory dues applicable to the Company have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31st March 2012 for a period of more than six months from the date they became payable except Service Tax Rs. 1131576.64, Listing Fees Payable Rs. 69963.00,

b. As informed by the management, there is no disputed amount pending under the sales tax, income tax, customs, and wealth tax, excise duty cess hence the question relating to the forum where the - dispute is pending does not arise at all.

X. The company does not have accumulated losses of more than 50% of its net worth as at 31st March'' 2012 and have not incurred cash losses during the financial year ended on the date and cash losses in the immediately preceding financial year.

XI. The company has not taken any loan from financial institution; hence this clause is not applicable.

XII. In our opinion and according to the information and explanation given to us, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

XIII. The provision of any special status as specified under Clause (xiii) of the Order is not applicable to the Company.

XIV. In our opinion and according to the information and explanations given to us, the company is not a dealer or trader in securities.

XV. The company has not given guarantees for loans taken by other financial institution.

XVI. No term loans have been taken by the company hence the question of application of term loan for required purpose is not arises.

XVII. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

XVIII. During the year under audit the company has not made any allotment of shares so the question of preferential allotment and pricing of the share whether it is prejudiced are does not arise.

XIX. The company has not issued debentures; hence question of creation of securities does not arise.

XX. The company has not raised any money through the public issue during the -year so the question of end use of money & the issue is not comes.

XXI. According to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported.

FOR, MADHURESH GUPTA & CO.

CHARTERED ACCOUNTANTS

(FIRM REG NO.005910C)

PLACE: RAIPUR

DATE : 30.08.2012 (MADHURESH GUPTA)

prop.

M.NO.074636

---

Mar 31, 2011

We have audited the attached Balance Sheet of M/s Nature Hue Chem. Limited as at 31st March, 2011 and also the Profit & Loss A/c 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.

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.

As required by the companies (Auditor's Report) order, 2003 including Companies (Auditor's Report) (Amendment) Order' 2004 issued by the Central Government of India in terms of Sub-section (4A) of section 227 of the companies Act, 1956, we enclose in the Annexure, a Statement on the matters specified in paragraphs 4 & 5 of the said order.

Further to our comments in the Annexure referred to above, we report that:-

i. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purpose of our audit.

ii. In our opinion, proper books of account as required by law have been kept by the company so far as appears from our examination of those books.

iii. The Balance Sheet and Profit & Loss A/c dealt and cash flow statement with by this report are in agreement with the books of account.

iv. In our opinion, the Balance Sheet and Profit & Loss A/c deal with by this report comply with the accounting standards referred to in Sub-section (3C) of section 211 of the Companies Act, 1956.

v. On the basis of written representations received from the Directors, as on 31st March, 2011, and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2011 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

vi. In our opinion and to the best of our information and according to the explanations given to us, the said accounts give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

a. In the case of Balance Sheet, of the state of affairs of the company as at 31st March' 2011; and

b. In the case of the Profit & Loss A/c, of the Profit for the year ended on that date.

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

I. a. The Fixed Assets register is being maintained by the Company showing full particulars including quantitative details and situation of Fixed Assets.

b. We are informed that the Fixed Assets were physically verified at reasonable intervals during the year. No serious discrepancies were noticed on such verification.

c. None of the fixed assets of the company have been disposed off during the year so the question of affecting the going concern does not arises at all.

II. a. We are; informed that the stock of finished goods, stores, spare parts and raw material have been physically verified by the management on quarterly basis during the period.

b. The procedure of the physical verification of the stock followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business. .

c. Company is maintaining proper records of inventory. No material discrepancy was found during the physical verification. However the normal wastage of raw material into the process of finished goods have been reported during the year also but that is not material having regard to the nature of industry as it is normal loss.

III. The Company has granted unsecured loans to companies, firms or Other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 The total no. of Party are 1 and maximum amount outstanding during the year ' aggregates to Rs. 166. Lacs and year end balances was Rs.0.93 Lacs.

b. In our opinion & according to the information given to us the rate of interest & terms & condition of the loan given by the company are not prejudicial to the interest of the company.

c. As explained to us there is no Stipulation regarding repayment of principal ' amount & interest thereon.

d. As stated above, since there is no stipulation regarding repayment of principal amount. Hence the question of over due amount is more than lacs does not arises.

e. The Company has not taken any loans, secured or unsecured from companies, firms- or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 (1 of 1956). Hence the other information is not given here.

IV. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its -business for the purchase of stores, raw materials including components, plant and machinery, equipment and other assets and for the sale of goods. There is no such major weakness, which requires any corrective steps.

V. As explained to us, no transactions have been carried out during the year, which is required to be entered in the register maintained U/s 3 01 of the Act. '

VI. The company has not accepted any public deposit hence this clause is not applicable. '

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

VIII. Central Government has not prescribed maintenance of cost records U/s 209 (l)(d) in respect of the any of the products and hence Para 4(viii) of CARO' 2003 is not applicable.

IX. a. According to the information and explanations given to us and according to the books and records as produced and examined by us. In our opinion, undisputed statutory dues including provident fund, employee's state insurance, income tax, sales tax, wealth tax, customs duty, excise duty, cess and other material statutory dues applicable to the Company have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31st March 2011 for a period of more than six months from the date they became payable.

b. As informed by the management, there is no disputed amount pending under the sales tax, , income tax, customs, and wealth tax, excise duty cess hence the question relating to the forum where the dispute is pending does not arise at all.

X. The company does not have accumulated losses of more than 50% of its net worth as at 31st March 2011 and have not incurred cash losses during the financial year ended on the date and cash losses in the immediately preceding financial year.

XI. The company has not taken any loan from financial institution; hence this clause is not applicable. -

XII. In our opinion and according to the information and explanation given to us, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

XIII. The provision of any special status as specified under Clause (xiii) of the Order are not applicable to the Company. '

XIV. In our opinion and according to the information and explanations given to us, the company is not a dealer or trader in securities.

XV. The company has not given guarantees for loans taken by others from bank or financial institution.

XVI. Company has. taken vehicle loan from ICICI Bank and application of Fund has been utilized for the required purpose.

XVII. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

XVIII. During the year under audit the company has not made any allotment of shares so the question of preferential allotment and pricing of the share whether it is prejudiced are does not arise.

XIX. The company has not issued debentures; hence question of creation of securities does not arise.

XX. The company has not raised any money through the public issue during the year so the question of end use of money & the issue is not comes.

XXI. According to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported.

FOR, MADHURESH GUPTA & CO. CHARTERED ACCOUNTANTS (FIRM REG. NO. 005910C)

PLACE: RAIPUR

DATE : 10-08-2011

(MADHURESH GUPTA) PROP.

M.N0.074636

---

Mar 31, 2010

We have audited the attached Balance Sheet of M/s Natura Hue Chem Ltd., as at 31st March, 2010 and also the Profit & Loss A/c 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.

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-

As required by the companies (Auditor's Report) order, 2003 including Companies (Auditor's Report) (Amendment) Order' 2004 issued by the Central Government of India in terms of Sub-section (4 A) of section 227 of the companies Act, 1956, we enclose in the Annexure, a Statement on the matters specified in paragraphs 4 & 5 of the said order.

Further to our comments in the Annexure referred to above, we report that :-

i. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purpose of our audit.

ii. In our opinion, proper books of account as required by law have been kept by the company so far as appears from our examination of those books.

iii. The Balance Sheet and Profit & Loss A/c dealt and cash flow statement with by this report are in agreement with the books of account.

iv. In our opinion, the Balance Sheet and Profit & Loss A/c deal with by this report comply with the accounting standards referred to in Sub-section (3C) of section 211 of the Companies Act, 1956.

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

vi. In our opinion and to the best of our information and according to the explanations given to us, the said accounts give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

a. In the case of Balance Sheet, of the state of affairs of the company as at 31st March 2010; and

b. In the case of the Profit & Loss A/c, of the Profit for the year ended on that date.

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

ANNEXURE TO THE AUDITORS'S REPORT REFERED TO IN PARAGRAPH (1) OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF NATURA HUE-CHEM LTD. - 2009 - 2010

I. a. The Fixed Assets register is being maintained by the Company showing full particulars including quantitative details and situation of Fixed Assets.

b. We are informed that the Fixed Assets were physically verified at reasonable intervals during the year. No serious discrepancies were noticed on such verification.

c. None of the fixed assets of the company have been disposed off during the year so the question of affecting the going concern does not arises at all.

II. a. We are informed that the stock of finished goods, stores, spare parts and raw material have been physically verified by the management on quarterly basis during the period.

b. The procedure of the physical verification of the stock followed by the management are reasonable and adequate in relation to the size of the Company and the nature of its business.

c. Company is maintaining proper records, of inventory. No material discrepancy was found during the physical verification. However the normal wastage of raw material into the process of finished goods have been reported during the year also but that is not material having regard to the nature of industry as it is normal loss.

III. The Company has not granted/taken any loans, secured or unsecured to companies, firms or other parties listed in the Registers maintained U/S 301 of the Companies Act 1956 (1 of 1956). Hence the other information is not given here.

IV. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of stores, raw materials including components, plant and machinery, equipment and other assets and for the sale of goods. There is no such major weakness, which requires any corrective steps.

V. As explained to us, no transactions have been carried out during the year, which is required to be entered in the register maintained U/s 301 of the Act.

VI. The company has not accepted any public deposit hence this clause is not applicable.

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

VIII. Central Government has not prescribed maintenance of cost records U/s 209 (0(d) in respect of the any of the products and hence Para 4(viii) of CARO' 2003 is not applicable.

IX. a. According to the information and explanations given to us and according to the books and records as produced and examined by us. In our opinion, undisputed statutory dues including provident fund, employee's state insurance, income tax, sales tax, wealth tax, customs duty, excise duty, cess and other material statutory dues applicable to the Company have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31st March 2010 for a period of more than six months from the date they became payable.

b. As informed by the management, there is no disputed amount pending under the sales tax, income tax, customs, and wealth tax, excise duty cess hence the question relating to the forum where the dispute is pending does not arise at all.

X. The company does not have accumulated losses of more than 50% of its net worth as at 31st March' 2010 and have not incurred cash losses during the financial year ended on the date and cash losses in the immediately preceding financial year.

XI. The company has not taken any loan from financial institution; hence this clause is not applicable.

XII. In our opinion and according to the information and explanation given to us, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

XIII. The provision of any special status as specified under Clause (xiii) of the Order are not applicable to the Company.

XIV. In our opinion and according to the information and explanations given to us, the company is not a dealer or trader in securities.

XV. The company has not given guarantees for loans taken by others from bank or financial institution.

XVI. During the year company has taken vehicle loan from ICICI Bank and application of Fund has been utilized for the required purpose.

XVII. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

XVIII. During the year under audit the company has not made any allotment of shares so the question of preferential allotment and pricing of the share whether it is prejudiced are does not arise.

XIX. The company has not issued debentures; hence question of creation of securities does not arise.

XX. The company has not raised" any money through the public issue during the year so the question of end use of money & the issue is not comes.

XXI. According to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported.

FOR, MADHURESH GUPTA & CO.

CHARTERED ACCOUNTANTS

PLACE : RAIPUR

DATE : 14-08-2010 sd/-

(MADHURESH GUPTA)

PROP.

M.N0.074636