Mar 31, 2018
Report on the Financial Statements
We have audited the accompanying Ind AS financial statements of NATURITE AGRO PRODUCTS LIMITED (the "Company"), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss, including Other Comprehensive Income, the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information (together hereinafter referred to as "Ind AS financial statements").
Management''s Responsibility for the Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under section 133 of the Act., read with Rule 7 of the Companies (Accounts) Rules, 2014 and the Companies (Indian Accounting Standards) Rules, 2015, as amended. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate 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 Ind AS 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 Ind AS 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 of the Ind AS financial statements in accordance with the Standards on Auditing, issued by the Institute of Chartered Accountants of India, as 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 Ind AS 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 Ind AS financial statements that give a 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 the Company''s Directors, as well as evaluating the overall presentation of the Ind AS 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 Ind AS financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the Ind AS 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, of the state of affairs of the Company as at March 31, 2018, its Profit including other comprehensive income, its cash flows and the changes in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s report) Order, 2016 ("the Order") issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the "Annexure 1" a statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by section 143 (3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our Knowledge and belief were necessary for the purpose of our audit;
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
(c) The Balance Sheet, Statement of Profit and Loss including Other Comprehensive Income, the Cash Flow Statement and Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;
(d) In our opinion, the aforesaid Ind AS financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts)Rules, 2014 and the Companies (Indian Accounting Standards) Rules, 2015, as amended;
(e) On the basis of written representations received from the directors as on March 31, 2018, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2018, from being appointed as a director in terms of section 164 (2) of the Act;
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure 2" to this report;
(g) With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financial position.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
Annexure-A to the Auditors'' Report (referred to in paragraph 1 of our Report of even date to the Members of "NATURITE AGRO PRODUCTS LTD" for the year ended March 31, 2018)
On the basis of such checks as we considered appropriate and according to the information and explanation given to us during the course of our audit, we report that;
i. (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 by the management in a phased manner, designed to cover all the items over a period of three years, which in our opinion, is reasonable having regard to the size of the company and nature of its business. Pursuant to the program, a portion of the fixed asset has been physically verified by the management during the year and no material discrepancies between the books records and the physical fixed assets have been noticed.
(c) The title deeds of immovable properties are held in the name of the company.
ii. The Company has conducted physical verification of the inventory at regular intervals and no material discrepancies were noticed during such verification.
iii. The Company has not granted any loans, secured or unsecured to companies, firms, Limited Liability partnerships or other parties covered in the Register maintained under section 189 of the Act. Accordingly, the provisions of clause 3 (iii) (a) to (c) of the Order are not applicable to the Company and hence not commented upon.
iv. The Company has neither granted loans nor made any investment. Hence provisions of sec 185 & 186 of Companies Act, 2013 are not applicable.
v. The Company has not accepted any deposits from the public and hence the directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the Companies (Acceptance of Deposit) Rules, 2015 with regard to the deposits accepted from the public are not applicable.
vi. As informed to us, the maintenance of Cost Records has not been specified by the Central Government under sub-section (1) of Section 148 of the Act, in respect of the activities carried on by the company.
vii. (a) According to information and explanations given to us and on the basis of our examination of the books of account, and records, the Company has been generally regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income-Tax, Sales tax, Service Tax, Duty of Customs, Duty of Excise, Value added Tax, Cess and any other statutory dues with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of the above were in arrears as at March 31, 2017 for a period of more than six months from the date on when they become payable.
(b) According to the information and explanation given to us, there are no dues of income tax, sales tax, service tax, duty of customs, duty of excise, value added tax outstanding on account of any dispute.
viii. In our opinion and according to the information and explanations given to us, the Company has not defaulted in the repayment of dues to banks. The Company has not taken loan from financial institutions.
ix. Based upon the audit procedures performed and the information and explanations given by the management, the company has not raised moneys by way of initial public offer or further public offer including debt instruments and term Loans. Accordingly, the provisions of clause 3 (ix) of the Order are not applicable to the Company and hence not commented upon.
x. Based upon the audit procedures performed and the information and explanations given by the management, we report that no fraud by the Company or on the company by its officers or employees has been noticed or reported during the year.
xi. Based upon the audit procedures performed and the information and explanations given by the management, the provisions of section 197 read with Schedule V to the Companies Act are complied.
xii. In our opinion, the Company is not a Nidhi Company. Therefore, the provisions of clause 4 (xii) of the Order are not applicable to the Company.
xiii. In our opinion, all transactions with the related parties are in compliance with section 188 of Companies Act, 2013 and the details have been disclosed in the Financial Statements as required by the applicable accounting standards.
xiv. Based upon the audit procedures performed and the information and explanations given by the management, the company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review. Accordingly, the provisions of clause 3 (xiv) of the Order are not applicable to the Company and hence not commented upon.
xv. Based upon the audit procedures performed and the information and explanations given by the management, the company has not entered into any non-cash transactions with directors or persons connected with him. Accordingly, the provisions of clause 3 (xv) of the Order are not applicable to the Company and hence not commented upon.
xvi. In our opinion, the company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934 .Thus paragraph 3(iv) of the order is not applicable to the company.
ANNEXURE 2 TO THE INDEPENDENT AUDITOR''S REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTS OF NATURITE AGRO PRODUCTS LIMITED
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")
To the Members of NATURITE AGRO PRODUCTS LIMITED
We have audited the internal financial controls over financial reporting of NATURITE AGRO PRODUCTS LIMITED ("the Company") as of March 31, 2018 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s Management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the Company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditor''s Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note") and the Standards on Auditing as specified under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls and, both issued by the Institute of Chartered Accountants of India.
Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. 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. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that
(1) Pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company;
(2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and
(3) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For Ramasamy Koteswara Rao and Co LLP
Chartered Accountants
Firm Registration Number: 010396S/S200084
Sd/-
(C.V.Koteswara Rao)
Date : 30.05.2018 Proprietor
Place : Hyderabad Membership No.028353
Mar 31, 2016
To the Members,
NATURITE AGRO PRODUCTS LTD,
Report on the Financial Statements
We have audited the accompanying financial statements of M/s. NATURITE AGRO PRODUCTS LTD ("the Company") which comprise the Balance Sheet as at March 31, 2016, the Statement of Profit and Loss, Cash Flow Statement for the year then ended and 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 stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial 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, of the state of affairs of the Company as at March 31, 2016, and its Profit and its Cash Flow for the year ended on that date.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2016 ("the Order"), as amended, issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by section 143 (3) of the Act, we report that:
a. we have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;
b. in our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
c. the Balance Sheet, the Statement of Profit and Loss and the Cash Flow Statement dealt with by this Report are in agreement with the books of account
d. in our opinion, the aforesaid financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
e. on the basis of written representations received from the directors as on March 31, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
f. with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B".
g. with respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financial position.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
Annexure-A to the Auditors'' Report (referred to in paragraph 1 of our Report of even date to the Members of "NATURITE AGRO PRODUCTS LTD" for the year ended March 31, 2016)
On the basis of such checks as we considered appropriate and according to the information and explanation given to us during the course of our audit, we report that;
i. (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 by the management in a phased manner, designed to cover all the items over a period of three years, which in our opinion, is reasonable having regard to the size of the company and nature of its business. Pursuant to the program, a portion of the fixed asset has been physically verified by the management during the year and no material discrepancies between the books records and the physical fixed assets have been noticed.
(c) The title deeds of immovable properties are held in the name of the company.
ii. The Company has conducted physical verification of the inventory at regular intervals and no material discrepancies were noticed during such verification.
iii. The Company has not granted any loans, secured or unsecured to companies, firms, Limited Liability partnerships or other parties covered in the Register maintained under section 189 of the Act. Accordingly, the provisions of clause 3 (iii) (a) to (c) of the Order are not applicable to the Company and hence not commented upon.
iv. The Company has not granted any loans or provided any guarantees or security to the parties covered under Section 185 of the Act. The Company has complied with the provisions of Section 186 of the Act in respect of investments made or loans or guarantee or security provided to the parties covered under Section 186.
v. The Company has not accepted any deposits from the public and hence the directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the Companies (Acceptance of Deposit) Rules, 2015 with regard to the deposits accepted from the public are not applicable.
vi. As informed to us, the maintenance of Cost Records has not been specified by the Central Government under sub-section (1) of Section 148 of the Act, in respect of the activities carried on by the company.
vii. (a) According to information and explanations given to us and on the basis of our examination of the books of account, and records, the Company has been generally regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income-Tax, Sales tax, Service Tax, Duty of Customs, Duty of Excise, Value added Tax, Cess and any other statutory dues with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of the above were in arrears as at March 31, 2016 for a period of more than six months from the date on when they become payable.
(b) According to the information and explanation given to us, there are no dues of income tax, sales tax, service tax, duty of customs, duty of excise, value added tax outstanding on account of any dispute.
viii. In our opinion and according to the information and explanations given to us, the Company has not defaulted in the repayment of dues to banks. The Company has nottaken loan from financial institutions.
ix. Based upon the audit procedures performed and the information and explanations given by the management, the company has not raised moneys by way of initial public offer or further public offer including debt instruments and term Loans. Accordingly, the provisions of clause 3 (ix) of the Order are not applicable to the Company and hence not commented upon.
x. Based upon the audit procedures performed and the information and explanations given by the management, we report that no fraud by the Company or on the company by its officers or employees has been noticed or reported during the year.
xi. Based upon the audit procedures performed and the information and explanations given by the management, the provisions of section 197 read with Schedule V to the Companies Act are complied.
xii. In our opinion, the Company is not a Nidhi Company. Therefore, the provisions of clause 4 (xii) of the Order are not applicable to the Company.
xiii. In our opinion, all transactions with the related parties are in compliance with section 188 of Companies Act, 2013 and the details have been disclosed in the Financial Statements as required by the applicable accounting standards.
xiv. Based upon the audit procedures performed and the information and explanations given by the management, the company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review. Accordingly, the provisions of clause 3 (xiv) of the Order are not applicable to the Company and hence not commented upon.
xv. Based upon the audit procedures performed and the information and explanations given by the management, the company has not entered into any non-cash transactions with directors or persons connected with him. Accordingly, the provisions of clause 3 (xv) of the Order are not applicable to the Company and hence not commented upon.
xvi. In our opinion, the company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934 .Thus paragraph 3(iv) of the order is not applicable to the company.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")
We have audited the internal financial controls over financial reporting of NATURITE AGRO PRODUCTS LTD ("the Company") as of March 31, 2016 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note") and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. 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.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting. Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2016, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For Ramasamy Koteswara Rao & Co,
Chartered Accountants
(Firm Reg No: 010396S)
Sd/-
(C.V.Koteswara Rao)
Date : 30.05.2016 Proprietor
Place : Hyderabad M. No. 028353
Mar 31, 2015
Report on the Financial Statements
We have audited the accompanying financial statements of NATURITE AGRO
PRODUCTS LIMITED ("the Company"), which comprises the Balance Sheet as
at March 31, 2015, the Statement of Profit and Loss and Cash Flow
statement for the year ended and summary of significant accounting
policies and other explanatory information.
Management Responsibility for the Financial Statements
The company's board of Directors is responsible for the matters stated
in section 134(5) of the Companies Act 2013, ("the Act") with respect
to the preparation of these financial statements that give a true and
fair view of the financial position, financial performance and cash
flows of the Company in accordance with 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 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 controls, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the Accounting and Auditing standards and
matters which are required to be included in 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 sec 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 a true and fair view
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on
whether the company has in place an adequate internal financial control
over financial reporting and the operating effectiveness of such
controls. 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, of the state of affairs of the company as
at 31st March, 2015, and its Profit and its cash flows for the year
ended on the date.
Report on Other Legal and Regulatory Requirements:
1. As required by the Companies(Auditor's Report) Order, 2015 (the
Order) issued by the Central Government of India in terms of
sub-section(11) of section 143 of the Act, we give in the annexure a
statement on the matters specified in the paragraph 3 and 4 of the
Order, to the extent applicable.
2. As required by section 143(3) of the Act, we report that:
a. We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purpose of our audit;
b. In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c. The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
d. In our opinion, the Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting standards
specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
e. On the basis of written representations received from the directors
as on 31st March 2015 and 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.
f. With respect to the other matters included in the Auditor's Report
in accordance with Rule 11 of the companies (Audit and Auditors )
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us:
i. The Company does not have any pending litigations which would
impact its financial position.
ii. The Company does not have any long term contracts including
derivatives contracts for which there were any material foreseeable
losses.
iii. There were no amounts which required to be transferred to the
Investor Education and protection fund by the company
The Annexure referred to in our Independent Auditor's Report to the
members of the Company on the financial statements for the year ended
March 31, 2015, we report that:
i) (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 by the management
during the year in accordance with a phased program of verification and
no material discrepancies have been noticed on such verification.
ii) (a) As explained to us, inventories have been physically verified
by the Management at regular intervals during the year.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification of inventory
followed by the management is reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion, the company has maintained proper records of
inventories and as explained to us there was no material discrepancy
noticed on physical verification.
iii) In our opinion and according to the information and explanations
given to us, 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. Therefore,
requirements of clauses (a), (b), of paragraph 3(iii) of the order are
not applicable.
iv) 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 fixed assets and the sale of services. During the
course of the audit we have not observed any major weaknesses in the
internal control system.
v) In our opinion and according to the explanations given to us, the
company has not accepted any deposits from Public.
vi) The Central Government has not prescribed the maintenance of cost
records under section 148(1) of the Companies Act 2013.
vii) a) According to the records of the company and explanations given
to us and on the basis of our examination of the records of the
company, undisputed statutory dues including provident fund, Income -
tax, Value Added Tax, and other material statutory dues applicable to
it have been regularly deposited with the appropriate authorities.
Further, as explained to us, no undisputed statutory dues were in
arrears as at 31st March 2015 for a period of more than 6 months from
the date they become payable.
(b) According to the information and explanation given to us, there are
no dues of income-tax, sales-tax and cess which have not been deposited
on account of any dispute.
(c) According to the information and explanation given to us there were
no amount transferred to investor education and protection fund.
viii) The company has accumulated losses as at the end of the financial
year and it accumulated losses are not less than fifty percent of its
net worth and the company has not incurred cash losses during the
current financial year covered by our audit and in the immediately
preceding financial year.
ix) Based on our audit procedures and on the information and
explanation given to us, we are of the opinion the company has not
taken any loans from bank or financial institutions. Accordingly clause
3(ix) of the order is not applicable to the company.
x) According to the information and explanations given to us, the
company has not given any guarantees for loans taken by others from
banks or financial institutions.
xi) According to the information and explanations given to us, no term
loans were raised during the year.
xii) Based on the audit procedures performed and information and
explanations given to us by the management, we report that no fraud on
or by the company has been noticed or reported during the course of our
audit.
For Ramasamy Koteswara Rao & Co,
Chartered Accountants
(Firm Reg No:010396S)
Sd/-
(C.V.Koteswara Rao)
Date : 30.05.2014 Proprietor
Place : Hyderabad M. No. 028353
Mar 31, 2014
Report on the Financial Statements
We have audited the accompanying financial statements of NATURITE AGRO
PRODUCTS LTD ("the Company"), which comprises the Balance Sheet as at
March 31, 2014, and the Statement of Profit and Loss and Cash Flow
statement for the year ended, and summary of significant accounting
policies and other explanatory information.
Management 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 of the Company in accordance with Accounting
Standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956 ("the Act") read with the General Circular 15/2013
dated 13th September, 2013 of the Ministry of Corporate Affairs in
respect of Section 133 of the Companies Act, 2013 and in accordance
with the accounting principles generally accepted in India. This
responsibility includes the design, implementation and maintenance of
internal controls 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 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 Balance Sheet, of the state affairs of the Company
as at March 31, 2014
(b) In the case of the Statement of Profit and Loss, of the Profit for
the year ended on that date; and
(c) In the case of Cash Flow statement, 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 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 sub-section (3c) of section 211 of the Companies Act, 1956 read
with the General Circular 15/2013 dated 13th September, 2013 of the
Ministry of Corporate Affairs in respect of Section 133 of the
Companies Act, 2013.
e. On the basis of written representations received from the directors
as on 31st March 2014 and taken on record by the Board of Directors,
none of the directors is disqualified as on 31st March 2014 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 cess is to be paid under section 441A of 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 to the Auditors'' Report (referred to in paragraph 1 of our
Report of even date to the Members of "NATURITE AGRO PRODUCTS LTD" for
the year ended March 31, 2014)
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that,
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) The fixed assets of the company have been physically verified by
the Management during the year and no material discrepancies have been
noticed on such verification. In our opinion, the periodicity of
physical verification is reasonable having regard to the size of the
company and the nature of its assets.
(c) In our opinion, and according to the information and explanation
given to us, the company has not disposed off any fixed asset during
the year.
(ii) (a) As explained to us, inventories have been physically verified
by the Management at regular intervals during the year.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification of inventory
followed by the management is reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion, the company has maintained proper records of
inventories and as explained to us there was no material discrepancies
were noticed on physical verification.
(iii) (a) In our opinion and according to the information and
explanations given to us, the company didn''t grant any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under Section 301 of the Companies Act, 1956.
Therefore, requirements of clauses (b), (c), (d), of paragraph 4(iii)
of the order are not applicable.
(e) According to the information and explanations given to us, during
the current year the company has not taken loan from parties covered in
the register maintained under Section 301 of the Companies Act, 1956.
Therefore, requirements of clauses (f), (g) of paragraph 4(iii) of the
order are not applicable.
(iv) On the basis of checks carried out during the course of the audit
and as per the explanations given to us, we are of the opinion that
there are adequate internal control systems commensurate with the size
of the company and the nature of its business, with regard to payment
of expenses. During the course of audit no major weaknesses in the
internal controls are noticed.
(v) According to the information and explanations given to us, the
particulars of contracts or arrangements during the year that need to
be entered into a register in pursuance of section 301 of the Companies
Act. 1956 have been so entered.
(vi) In our opinion and according to the explanations given to us, the
company has not accepted any deposits within the meaning of Sections
58A and 58AA of the Companies Act and Companies (Acceptance of
Deposits) Rules, 1975.
(vii) As per information and explanations given by the management, the
company has an internal audit system commensurate with its size and
nature of its business.
(viii) According to the information and explanations given to us,
maintenance of cost records has not been prescribed by the central
government under the clause (d) of sub-section (1) to Section 209 of
the Act.
(ix) (a) According to the information and explanation given to us, the
company is regular in depositing undisputed statutory dues including
income-tax, cess and other statutory dues with the appropriate
authorities. According to the information and explanation given to us,
there were no arrears of undisputed statutory dues as at 31st March
2014, which were outstanding for a period of more than six months from
the date they become payable.
(b) According to the information and explanation given to us, there are
no dues of income-tax, wealth- tax, sales-tax and cess which have not
been deposited on account of any dispute.
(x) The company has accumulated losses as at the end of the financial
year and it accumulated losses are not less than fifty percent of its
net worth and the company has not incurred any cash losses during the
current financial year covered by our audit and in the immediately
preceding financial year.
(xi) According to the records of the company and as per the
explanations given to us the company has not taken any loans from a
financial institution or bank and the company was not raised any
debentures during the year. Accordingly, clause 4 (xi) of the order is
not applicable.
(xii) According to the information and explanations given to us, the
company has not granted any loans and advances on the basis of security
by way pledge of shares, debentures and other securities.
(xiii) The company is not a chit fund or nidhi / mutual benefit fund /
society. Therefore, the provisions of clause 4 (xiii) of the said Order
are not applicable to the company.
(xiv) According to the information given to us, the company is not
dealing in or trading in shares, securities, debentures and other
instruments, accordingly the provisions of clause 4 (xiv) of the order
is not applicable.
(xv) According to the information and explanations given to us, the
company has not given guarantees for loans taken by others from banks
or financial institutions.
(xvi) According to the information and explanations given to us, no
term loans were raised during the year.
(xvii) According to the information and explanation given to us, and on
an overall examination of the balance sheet, we report that the company
was not raised any funds on short term basis during the year.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the register maintained under
section 301 of the Act during the year.
(xix) The company has not issued any debentures during the year.
Accordingly, question of creating securities or charge does not arise.
(xx) The company has not raised any money by public issue during the
year.
(xxi) Based on the audit procedures performed and information and
explanations given to us by the management, we report that no fraud on
or by the company has been noticed or reported during the course of our
audit.
For Ramasamy Koteswara Rao & Co,
Chartered Accountants
(Firm Reg No: 010396S)
Sd/-
(C.V.Koteswara Rao)
Date : 30.05.2014 Proprietor
Place : Hyderabad M. No. 028353
Mar 31, 2013
1. We have audited the attached Balance Sheet of M/s NATURITE AGRO
PRODUCTS LIMITED as at 31st March 2013, the Profit and Loss Account for
the year ended on that date annexed thereto. These financial statements
are the responsibility of the Company''s Management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether financial
statements are free from material misstatements. An audit also includes
assessing the accounting principles used and significant estimates made
by the management, as well as evaluating the overall financial statement
position. We believe that our audit provides a reasonable basis for our
opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003, as
amended by the companies (Auditor''s Report)(Amended) order, 2004 issued
by Central Government of India in terms of Section 227 (4-A) of the
Companies Act, 1956 of India (the Act) and on the basis of such checks
of the books and records of the company as we considered appropriate
and according to the information and explanations given to us, we give
in the Annexure of the statement on the matters specifes in the
paragraphs 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
I. We have obtained all the information and explanations, which to the
best our knowledge and belief were necessary for the purpose of our
audit.
II. In our opinion, proper books of accounts as referred by law have
been kept by the Company so far as it appears from examinations of such
books.
III. the Balance Sheet and Profit and Loss account referred to in the
report are in agreement with the books of accounts.
IV. in our opinion, the Balance Sheet and Profit and Loss account
comply with the Accounting Standards referred in Sub-Section (3C) of
Section 211 of the Companies Act, 1956.
V. On the basis of written representation received from the directors
as on 31st March 2013 and taken on record by the board of directors,
none of the directors are disqualified as on 31st March, 2013 from being
appointed as director in terms of clause (g) of sub section (1) of
section 274 of the Act
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
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 the company as
at 31st March 2013
(b). In the case of the Profit and Loss Account of the Profit for the
year ended on that date.
i a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
b) In our opinion. The fixed assets of the company have been physically
verifed by the management according to a phased programme designed to
cover all the items, which in our opinion is reasonable, having regard
to the size of the Company and nature of its assets.persuant to the
programme, a portion of the fixed asset of the company has been
physically verifed by the management during the year and no material
discrepancies between the book records and the physical inventory have
been noticed.
c) In our opinion, and according to the information and explanations
given to us, the substantial part of fixed assets has not been disposed
off by the company during the year.
ii.
a) The Inventories of the company has been physically verifed by the
management during the year according to the phased programme normally
so designed that each material item is physically verifed at least once
in a year and at more frequent intervals in appropriate cases. in. In
our opinion, the frequency of verifcation is reasonable.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verifcation of the inventory
followed by the Management were found reasonable and adequate in
relation to the size of the company and nature of its business..
c) On the basis of our examinination of records of inventory in our
opinion the Company has maintained proper records of inventory and the
discrepancies noticed on physical verifcation between the physical
stock and the book records were not material in relation to the
operation of the company.
iii.
a) The company has not granted any loans, secured or unsecured, to the
companies, firm or other parties listed in the register maintained under
section 301 of the Companies Act, 1956. As The Company has not granted
any loans, secured or unsecured to parties listed in the register
maintained under section 301 of the companies Act, 1956 paragraphs iii
(b) (c) and (d) of the order, are not applicable.
b) The company has not taken any loans, secured or unsecured, from
companies, firm or other parties listed in the Register maintained under
section 301 of the Companies Act, 1956. As The Company has not taken
any loans, secured or unsecured, to parties listed in the Register
maintained under section 301 of the companies Act, 1956 paragraphs
(iii)(f) and (g) of the order, are not applicable.
iv. In our opinion and the according to the information and
explanations given to us, there are adequate internal control
procedures commensurate with the size of the Company and the nature of
its business for the purchase of inventory, fixed assets and for the
sale of goods and service. Further, on the basis of our examination
and according to the information and explanation given to us. We
neither come across nor have been informed of any instance of major
weakness in the aforesaid internal control system.
v.
a) In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements that need to be
entered into the register maintained under section 301 of the companies
Act, 1956
b) In our opinion and according to the information and explanations
given to us, there are no contracts or arrangements that need to be
entered in the register maintained under section 301 of the companies
Act,1956, paragraph (v)(b) of the order is not applicable.
Vi. in our opinion and according to the information and explanations
given to us the company has not accepted any deposits from the Public.
VII. In our opinion, the company has an adequate internal audit system
commensurate with the size and the nature of its business.
VIII. To the best of our knowledge the Central Government has not
prescribed the maintenance of cost record under section 209 (1)(d) of
the Companies Act, 1956, for any of the products of the company.
IX.
a) According to the information and explanation given to us and
according to the books and records as produced and examined by us, in
our opinion, The Company is regular in depositing undisputed statutory
dues including provident fund, employee''s state insurance, Income Tax,
Wealth Tax, Sales Tax, Customs Duty, cess and other material statutory
dues applicable with appropriate authorities.
b) As on 31st March,2013, according to the records of the company and
the information and explanation given to us, there are no disputed dues
on accounts of income-tax, sales-tax, wealth tax, service tax, custom
duty, excise duty and cess matters etc.,
X. The company does not have accumulated losses as at 31st March, 2013
has not incurred cash losses during the financial year ended on that
date or in the immediately preceding financial year.
XI. According to the information and explanation given to us, the
company has not defaulted in repayment of dues of any financial
institution, bank or to debenture and other securities.
XII. According to the information and explanations 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 provisions of any special statute as specified under
paragraph (Xii) of the order are not applicable to the company.
XIV. In our opinion and according to the information and explanation
given to us, the company is not dealer or trader in securities,
debentures and other investments.
XV. According to the information and explanation given to us, the
company has not given any guarantees for loans taken by other from
banks or financial institutions.
XVI. According to the information and explanation given to us The
Company obtained has not any term loans other than vehicles loans cash
credits etc.
XVII. Based on the information and explanation given to us and on
overall examination of balance sheet of the company, in our opinion,
there are no funds raised on short term basis which have been used for
long term investment.
XVIII. The company has not made any preferential allotment of shares
to the parties and companies covered in the Register maintained under
section 301 of the companies Act, 1956 during the year
XIX. As the company has not issued any debentures, paragraph (xix) of
the order is not applicable to the company.
XX. The Company has not raised any money by Public Issue during the
year.
XXI. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such case by the management.
XXII. The other clauses (xi) and (xix) of the paragraph 4 of the
Companies (Auditors Report) Order, 2003, as amended by the companies
(Auditor''s report) order 2004, are not applicable in the case of the
company for the current year, since in our opinion there is no matter
which arises to be reported in the aforesaid order.
for VVS & ASSOCIATES
Chartered Accountants
(Firm Reg No: 008194S)
Sd/-
(CA V V SUBRAMANYAM)
Date : 23.08.2013. Proprietor
Place : Hyderabad M. No. 023264
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s NATURITE AGRO
PRODUCTS LIMITED as at 31st March 2012, the Profit and Loss Account for
the year ended on that date annexed thereto. These financial statements
are the responsibility of the Company''s Management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. These Standards require that we plan and
perform the audit to obtain reasonable assurance about whether financial
statements are free from material misstatements. An audit also includes
assessing the accounting principles used and signifcant estimates made
by the management, as well as evaluating the overall financial statement
position. We believe that our audit provides a reasonable basis for our
opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003, as
amended by the companies (Auditor''s Report)(Amended) order, 2004 issued
by Central Government of India in terms of Section 227 (4-A) of the
Companies Act, 1956 of India (the Act) and on the basis of such checks
of the books and records of the company as we considered appropriate
and according to the information and explanations given to us, we give
in the Annexure of the statement on the matters specifes in the
paragraphs 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
I. We have obtained all the information and explanations, which to the
best our knowledge and belief were necessary for the purpose of our
audit.
II. In our opinion, proper books of accounts as referred by law have
been kept by the Company so far as it appears from examinations of such
books.
III. the Balance Sheet and Profit and Loss account referred to in the
report are in agreement with the books of accounts.
IV. in our opinion, the Balance Sheet and Profit and Loss account
comply with the Accounting Standards referred in Sub-Section (3C) of
Section 211 of the Companies Act, 1956.
V. On the basis of written representation received from the directors
as on 31st March 2012 and taken on record by the board of directors,
none of the directors are disqualified as on 31st March, 2012 from being
appointed as director in terms of clause (g) of sub section (1) of
section 274 of the Act
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
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 the company as
at 31st March 2012
(b). In the case of the Profit and Loss Account of the Profit for the
year ended on that date.
a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) In our opinion. The fixed assets of the company have been physically
verifed by the management according to a phased programme designed to
cover all the items, which in our opinion is reasonable, having regard
to the size of the Company and nature of its assets.persuant to the
programme, a portion of the fixed asset of the company has been
physically verifed by the management during the year and no material
discrepancies between the book records and the physical inventory have
been noticed.
c) In our opinion, and according to the information and explanations
given to us, the substantial part of fixed assets has not been disposed
off by the company during the year.
ii.
a) The Inventories of the company has been physically verifed by the
management during the year according to the phased programme normally
so designed that each material item is physically verifed at least once
in a year and at more frequent intervals in appropriate cases. in. In
our opinion, the frequency of verifcation is reasonable.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verifcation of the inventory
followed by the Management were found reasonable and adequate in
relation to the size of the company and nature of its business..
c) On the basis of our examinination of records of inventory in our
opinion the Company has maintained proper records of inventory and the
discrepancies noticed on physical verifcation between the physical
stock and the book records were not material in relation to the
operation of the company.
iii.
a) The company has not granted any loans, secured or unsecured, to the
companies, frm or other parties listed in the register maintained under
section 301 of the Companies Act, 1956. As The Company has not granted
any loans, secured or unsecured to parties listed in the register
maintained under section 301 of the companies Act, 1956 paragraphs iii
(b) (c) and (d) of the order, are not applicable.
b) The company has not taken any loans, secured or unsecured, from
companies, frm or other parties listed in the Register maintained under
section 301 of the Companies Act, 1956. As The Company has not taken
any loans, secured or unsecured, to parties listed in the Register
maintained under section 301 of the companies Act, 1956 paragraphs
(iii)(f) and (g) of the order, are not applicable.
iv. In our opinion and the according to the information and
explanations given to us, there are adequate internal control
procedures commensurate with the size of the Company and the nature of
its business for the purchase of inventory, fixed assets and for the
sale of goods and service. Further, on the basis of our examination
and according to the information and explanation given to us. We
neither come across nor have been informed of any instance of major
weakness in the aforesaid internal control system.
v.
a) In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements that need to be
entered into the register maintained under section 301 of the companies
Act, 1956
b) In our opinion and according to the information and explanations
given to us, there are no contracts or arrangements that need to be
entered in the register maintained under section 301 of the companies
Act,1956, paragraph (v)(b) of the order is not applicable.
Vi. in our opinion and according to the information and explanations
given to us the company has not accepted any deposits from the Public.
VII. In our opinion, the company has an adequate internal audit system
commensurate with the size and the nature of its business.
VIII. To the best of our knowledge the Central Government has not
prescribed the maintenance of cost record under section 209 (1)(d) of
the Companies Act, 1956, for any of the products of the company.
IX.
a) According to the information and explanation given to us and
according to the books and records as produced and examined by us, in
our opinion, The Company is regular in depositing undisputed statutory
dues including provident fund, employee''s state insurance, Income Tax,
Wealth Tax, Sales Tax, Customs Duty, cess and other material statutory
dues applicable with appropriate authorities.
b) As on 31st March,2012, according to the records of the company and
the information and explanation given to us, there are no disputed dues
on accounts of income-tax, sales-tax, wealth tax, service tax, custom
duty, excise duty and cess matters etc.,
X. The company does not have accumulated losses as at 31st March, 2012
has not incurred cash losses during the financial year ended on that
date or in the immediately preceding financial year.
XI. According to the information and explanation given to us, the
company has not defaulted in repayment of dues of any financial
institution, bank or to debenture and other securities.
XII. According to the information and explanations 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 provisions of any special statute as specifed under
paragraph (Xii) of the order are not applicable to the company.
XIV. In our opinion and according to the information and explanation
given to us, the company is not dealer or trader in securities,
debentures and other investments.
XV. According to the information and explanation given to us, the
company has not given any guarantees for loans taken by other from
banks or financial institutions.
XVI. According to the information and explanation given to us The
Company obtained has not any term loans other than vehicles loans cash
credits etc.
XVII. Based on the information and explanation given to us and on
overall examination of balance sheet of the company, in our opinion,
there are no funds raised on short term basis which have been used for
long term investment.
XVIII. The company has not made any preferential allotment of shares to
the parties and companies covered in the Register maintained under
section 301 of the companies Act, 1956 during the year
XIX. As the company has not issued any debentures, paragraph (xix) of
the order is not applicable to the company.
XX. The Company has not raised any money by Public Issue during the
year.
XXI. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of such case by the management.
XXII. The other clauses (xi) and (xix) of the paragraph 4 of the
Companies (Auditors Report) Order, 2003, as amended by the companies
(Auditor''s report) order 2004, are not applicable in the case of the
company for the current year, since in our opinion there is no matter
which arises to be reported in the aforesaid order.
for VVS & ASSOCIATES
Chartered Accountants
Sd/-
(CA V V SUBRAMANYAM)
Date : 01.09.2012. Proprietor
Place : Hyderabad M. No. 023264
ICAI FRN: 010948S
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