Home  »  Company  »  Popular Estate Manag  »  Quotes  »  Auditor Report
Enter the first few characters of Company and click 'Go'

Auditor Report of Popular Estate Management Ltd.

Mar 31, 2015

We have audited the accompanying standalone financial statements of Popular Estate Management Limited ('the Company'), which compose the balance sheet as at 31st March 2015, the statement of profit and loss and the cash flow statement for the year then ended, and a summary of signficant accounting policies and other explanatory information,

Management's Responsibility for the Standalone 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 and presentation of these standalone 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 Section133 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 anti detecting frauds and other irregularibles; 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 cm the standalone 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 cm 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 standalone financial statements.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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, 2015;

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

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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order, 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 ail the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

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

(c) The balance sheet, the statement of profit and loss and the cash flow statement dealt with by this Report are In agreement with the books of account;

(d) In our opinion, the aforesaid standalone 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 the written representation received from the directors as on March 31, 2015 taken on record by the Board of Directors, none of the Directors are disqualified as on March 31, 2015 from being appointed as a Director In terms of Sub-section 2 of Section 164 of the Act.

(f) With respect to the other matters to be included in the Auditors Report in accordance with Rule11 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 has disclosed the Impact of pending litigations on its financial position in Its financial statements - Refer Point No. 7 of Notes to Financial Statements.



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 that were nequined to be transferred to the Investor Education and Protection Fund by the company during the year.

ANNEXURE TO THE INDEPENDENT AUDITOR'S REPORT

Referred to in Paragraph 1 of our report on Other Legal and Regularity Requirements of even date on the accounts of Popular Estate Management Limited for the year ended on March 31, 2015.

1) In respect of its fixed assets;

(a) The company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

(b) As explained to us, the fixed assets have been physically verified by the management at reasonable Intervals during the year, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

(c) In our opinion, the company has not disposed off substantial part of fixed assets during the year and the going concern status of the Company is not affected.

2} In respect of its Inventories:

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

(b) In our opinion and according to the information and explanations given to us the procedures of the physical verification of Inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of Its business.

(c) The company has maintained proper records of mventory. As explained to us, there was no material discrepancies notices on physical verification of inventory as com pored to the book records,

3) The Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered In the register maintained under section 189 of the Companies Act.

4) in our opinion and according to the information and explanations given to us, the company has an adequate internal control system commensurate with its size and the nature of its business with regards to purchase of fixed assets and sale of services, The activities of the Company do not Involve purchase of Inventory and the sale of goods. We have not observed any major weakness In the 'internal control system during the course of the audit.

5) The Company has not accepted any deposits From the public in accordance with the provisions of section 73 to 76 of the Act and the rules framed there under.

No order has been passed by the Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal,

6) As informed to us, the Central Government has not prescribed the maintenance of cost records under section 148 (1) of the Companies Act, 2013.

7) In respect of statutory dues:

(a) According to the Information and explanations given to us and on the basis of our examinations of the books of account, the Company has been regular In depositing undisputed amounts with the appropriate authorities In respect of Statutory duos Including Provident Fund, Investor Education and Protection Fund, Employees' State Insurance, Income tax, Sales tax, Wealth Tax, Service tax, Custom Duty, Excise Duty, Cess and any other statutory dues, wherever applicable to it.

(b) Further as Informed to us, there are no undisputed dues payable for a period of more than six months as at 31st March 2015, from the date they became payable.

(c) According to the Information and explanation given to us, there are no dues of sales fax, customs duty, wealth tax, Service tax, excise duty and cess, which have hot been deposited on account of any dispute except Income Tax as per details given hereunder:

Nature Nature Disputed Amt, of of dues Amount deposited Statutes (Rs. In under lacs) dispute (Rs. In lacs)

Income Income 227.84 NIL Tax Act Tax

Income Income 115.94 36.15 Tax Act Tax

Income Income 132.00 NIL Tax Act Tax Penalty

Income Income 4.98 Nil Tax Act Tax

Income Income 782.14 NIL Tex Act Tex

Nature Period to Forum where of which the dispute Is Statutes amount pending relates Financial year)

Income 2007-08 CJT (APPEALS) Tax Act

Income 2008-09 STAT Tax Act

Income 2008-09 CIT (APPEALS) Tax Act

Income 2010-11 CIT (APPEALS) Tax Act

Income 201 I-12 CIT (APPEALS) Tex Act

8) The company does not have any accumulated losses at the end of the financial year. The Company has not incurred cash losses in the financial year and In the immediately preceding financial year.

9) According to the Information and explanations given to us, the company is generally regular in repayment of dues to a financial institution and bank. The company has not issued any debentures.

10) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from any bank or financial institution.

11) The Company did not raise any term loan during the year. The term loans which wore raised in earlier years and are outstanding as at year end were used in earlier year for the purpose for which they were taken.

12) In our opinion and according to the Information end explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated.

Date: 27-05-2015 For Patel &Jesalpura Place: Ahmedabad Chartered Accountants FRNo: 120802W

CA. Ashok P. Patel Partner M. No. 040482


Mar 31, 2014

We have audited the accompanying financial statements of Popular Estate Management Limited, which comprise the Balance Sheet as at March 31, 2014, the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements :

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

Auditors'' Responsibility :

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

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors'' 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 auditors considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

Opinion :

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

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

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

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

Report on Other Legal and Regulatory Requirements :

1. As required by the Companies (Auditor''s Report) Order, 2003 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 subject to Para 2

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

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

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

ANNEXURE TO AUDITORS'' REPORT

Referred to in Paragraph 1 under the heading of Report on Other Legal and Regulatory Requirements

1) In respect of its fixed assets:

(a) The company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information

(b) As explained to us, the fixed assets have been physically verified by the management at reasonable intervals during the year, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification

(c) In our opinion, the company has not disposed off substantial part of fixed assets during the year and the going concern status of the Company is not affected.

2) In respect of its inventories :

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

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

(c) The company has maintained proper records of inventory. As explained to us, there were no material discrepancies noticed on physical verification of inventory as compared to the book records.

3) (a) The company has granted interest free loans, secured or unsecured to Six parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs. 136.75 lacs and the year end balance of loans granted to such parties was Rs. 124.90 lacs.

(b) These loans are granted at NIL Rate of Interest. Further in absence of stipulation of terms of repayment, we are unable to comment whether the same is prejudicial to the interest of the company or not.

(c) In view of above we are not able to give comment on para (3) (c) and (d) of the Companies (Auditor''s Report) Order, 2003.

(d) The company has taken unsecured loans from Four parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs..31.10 lacs and the year end balance of loans taken from them was Rs. NIL

(e) In absence of stipulated terms for repayment of loans, we are not able to give comment on para 3

(f) and (g) of the Companies (Auditor''s Report) Order, 2003.

4) As informed 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 the purchase of inventory, investments and fixed assets. During the course of our audit, no major weaknesses in internal control had come to our notice.

5) (a) As informed to us, the particulars of contracts or arrangement that need to be entered into the

registers in pursuance of Section 301 of the Companies Act, 1956 have been so entered.

(b) In our opinion and according to the information given to us, there are no transactions of purchase and sale of goods, materials and services made in pursuance of contracts entered in the register maintained under section 301 of the companies Act, 1956 aggregating during the year to Rs. 500000/- or more in respect of each party.

6) The Company has not accepted any deposits from the public within the meaning of Section 58A of Companies Act, 1956.

7) In our opinion and according to the information given to us, the company has internal audit system commensurate with the size and nature of the business.

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

9) In respect of statutory dues:

(a) According to the information and explanations given to us and on the basis of our examinations of the books of account, the Company has been regular in depositing undisputed amounts with the

appropriate authorities in respect of Statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income tax, Sales tax, Wealth Tax, Service tax, Custom Duty, Excise Duty, Cess and any other statutory dues, wherever applicable to it.

(b) Further as informed to us, there are no undisputed dues payable for a period of more than six months as at 31st March 2014, from the date they became payable.

(c) According to the information and explanation given to us, there are no dues of sales tax, customs duty, wealth tax, Service tax, excise duty and cess, which have not been deposited on account of any dispute except Income Tax as per details given here under

No. Nature of Due Amount Remarks

1 Income Tax for 11,85,177/- The company has filed an appeal before A Y 2011-12 Honorable CIT(A) (Commissioner of Income Tax - Appeals), Ahmedabad against the order of Ld. Assessing Officer

2 Income Tax for 3,50,89,660/- The company has filed an appeal before A Y 2010-11 Honorable ITAT ( Income Tax Appellate Tribunal), Ahmedabad against the order of CIT(A)

confirming the order of Income Tax Officer.

10) The company does not have any accumulated losses at the end of the financial year however has incurred cash losses during the year immediately preceding current financial year. Further no cash Loss is incurred in the Current financial year.

11) According to the information and explanations given to us, the company is generally regular in repayment of dues to a financial institution and bank. The company has not issued any debentures.

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

13) In our opinion, the company is not a chit fund or a Nidhi/mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor''s Report) Order 2003 is not applicable to the Company.

14) The company has maintained proper records showing full particulars of its investments. The investments are held by the company in its own name.

15) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from any bank or financial institution.

16) The Company has availed term loan from Banks and Financial Institutions during the year and is generally regular in re-payment of dues to financial Institutions.

17) According to the information and explanations given to us, the Company has not raised any short-term borrowings during the year, and nor are there any borrowings of earlier years which have been utilized during the year. As such the question of commenting on their utilization does not arise

18) According to the information and explanations given to us, the Company has not made any preferential allotment of shares during the year to parties and companies covered in the Register maintained under Section 301 of the Companies Act, 1956.

19) The Company has no debentures issued and outstanding during the year.

20) During the year, the Company has not raised money by Public issue and hence the question of disclosure and verification of end use of such monies does not arise.

21) In our opinion and according to the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated.

Date : 21-05-2014 For Patel & Jesalpura Place : Ahmedabad Chartered Accountants FR No.: 120802W Ashok P. Patel Partner M No.: 040482


Mar 31, 2013

Report on The Financial Statements

We have audited the accompanying financial statements of Popular Estate Management Limited, which comprise the Balance Sheet as at March 31, 2013, the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements :

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

Auditors'' Responsibility :

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

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors'' 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 auditors considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

Opinion :

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

a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2013;

b) In the case of the Profit and Loss Account, of the 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 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. The Company has not made provision for Wealth Tax and hence to that extent the Loss is understated and Current Liabilities are understated. In absence of necessary details the amount is not quantifiable

3. 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 subject to Para 2

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

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

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

ANNEXURE TO AUDITORS'' REPORT

Referred to in Paragraph 1 under the heading of Report on Other Legal and Regulatory Requirements

1) In respect of its fixed assets :

(a) The company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information

(b) As explained to us, the fixed assets have been physically verified by the management at reasonable intervals during the year, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification

(c) In our opinion, the company has not disposed off substantial part of fixed assets during the year and the going concern status of the Company is not affected.

2) The Company does not have any inventories and hence this clause of the order is not applicable to the company.

3) (a) The company has granted interest free loans, secured or unsecured to Seven parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs. 1391.38 lacs and the year end balance of loans granted to such parties was Rs. 1037.16 lacs.

(b) These loans are granted at NIL Rate of Interest. Further in absence of stipulation of terms repayment of company we are unable to comment as regards whether the same is prejudicial to the interest of the company or not.

(c) In view of above we are not able to give comment on para (3) (c) and (d) of the Companies (Auditor''s Report) Order, 2003.

(d) The company has taken unsecured loans from Five parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs..102. 15 lacs and the year end balance of loans taken from them was Rs. 23.89 lacs.

(e) In absence of stipulated terms for repayment of loans, we are not able to give comment on para 3 (f) and (g) of the Companies (Auditor''s Report) Order, 2003.

4) As informed 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 the purchase of investments and fixed assets. During the course of our audit, no major weaknesses in internal control had come to our notice.

5) (a) As informed to us, the particulars of contracts or arrangement that need to be entered into the registers in pursuance of Section 301 of the Companies Act, 1956 have been so entered.

(b) In our opinion and according to the information given to us, there are no transactions of purchase and sale of goods, materials and services made in pursuance of contracts entered in the register maintained under section 301 of the companies Act, 1956 aggregating during the year to Rs. 500000/- or more in respect of each party.

6) The Company has not accepted any deposits from the public within the meaning of Section 58A of Companies Act, 1956.

7) In our opinion and according to the information given to us, the company has internal audit system commensurate with the size and nature of the business.

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

9) In respect of statutory dues:

(a) According to the information and explanations given to us and on the basis of our examinations of the books of account, the Company has been regular in depositing undisputed amounts with the appropriate authorities in respect of Statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income tax, Sales tax, Wealth Tax, Service tax, Custom Duty, Excise Duty, Cess and any other statutory dues, wherever applicable to it.

(b) Further as informed to us, there are no undisputed dues payable for a period of more than six months as at 31st March 2013, from the date they became payable.

(c) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, Service tax, excise duty and cess, which have not been deposited on account of any dispute.

10) The company does not have any accumulated losses at the end of the financial year however has incurred cash losses during the current financial year. Further no cash Loss is incurred in the immediately preceding financial year.

11) According to the information and explanations given to us, the company is generally regular in repayment of dues to a financial institution, and bank. The company has not issued any debentures.

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

13) In our opinion, the company is not a chit fund or a Nidhi/mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor''s Report) Order 2003 is not applicable to the Company.

14) The company has maintained proper records showing full particulars of its investments. The investments are held by the company in its own name.

15) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from any bank or financial institution.

16) The Company has not availed of any term loans during the year, nor is there any amount outstanding in respect of term loans taken in earlier years.

17) According to the information and explanations given to us, the Company has not raised any short-term borrowings during the year, and nor are there any borrowings of earlier years which have been utilized during the year. As such the question of commenting on their utilization does not arise.

18) According to the information and explanations given to us, the Company has not made any preferential allotment of shares during the year to parties and companies covered in the Register maintained under Section 301 of the Companies Act, 1956.

19) The Company has no debentures issued and outstanding during the year.

20) During the year, the Company has not raised money by Public issue and hence the question of disclosure and verification of end use of such monies does not arise.

21) In our opinion and according to the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated.

Date : 27th May, 2013 For Patel & Jesalpura

Place : Ahmedabad Chartered Accountants

FR No.: 120802W

Sd/-

Ashok P. Patel

Partner

M No.: 040482


Mar 31, 2012

1. We have audited the attached Balance Sheet of POPULAR ESTATE MANAGEMENT LIMITED as at 31st March, 2012, Profit and Loss Statement and Cash Flow Statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with Standards of Auditing generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

3. As required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub section (4A) of the section 227 of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order to the extent applicable to the Company.

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

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

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

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

(d) In our opinion and to the best of our information and according to the explanation given to us, the said accounts comply with the Accounting Standards as referred to in section 211(3C) of the Companies Act, 1956.

(e) As informed to us, none of the directors is disqualified as at 31st March, 2012 from being appointed as a director in terms of Clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

(f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts, read with the notes thereon, 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 principle generally accepted in India.

i. In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2012; and

ii. In case of the Profit and Loss statement, of the Profit for the year ending on the said date; and

iii. In case of the Cash Flow Statement, of Cash Flow for the year ending on the said date.

ANNEXURE TO AUDITORS' REPORT

Referred to in Paragraph 3 of our report of even date on the accounts of Popular Estate Management Limited for the year ended on March 31, 2012

1) In respect of its fixed assets:

(a) The company has generally maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

(b) As explained to us, the fixed assets have been physically verified by the management at reasonable intervals during the year, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

(c) In our opinion, the company has not disposed off substantial part of fixed assets during the year and the going concern status of the Company is not affected.

2) In respect of its inventories:

The Company does not have any inventories.

3) (a) The company has granted interest free loans, secured or unsecured to company, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs. 1754.87 lacs and the year end balance of loans granted to such parties was Rs. 1391.38 lacs.

(b) In our opinion and according to the information and explanation given to us, the rate of interest wherever applicable, and other terms and conditions on which loans have been granted by the company are not prima facie prejudicial to the interest of the Company.

(c) In respect of unsecured loans granted by the Company, there are no stipulated terms for repayment of loans, hence we are not able to give comment on para (3) (c) and (d) of the Companies (Auditor's Report) Order, 2003.

(d) The company has taken unsecured loans from Four parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs. 101.96 lacs and the year end balance of loans granted to such parties was Rs. 98.15 lacs.

(e) In our opinion and according to the information and explanation given to us, the rate of interest, and other terms and conditions on which loans have been taken by the company are not prejudicial to the interest of the Company.

(f) In respect of unsecured loans taken by the Company, there are no stipulated terms for repayment of loans, hence we are not able to give comment on para 3 (g) and (h) of the Companies (Auditor's Report) Order, 2003.

4) In our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business with regard to the purchase of investments and fixed assets. During the course of our audit, no major weaknesses in internal control had come to our notice.

5) (a) To the best of our knowledge and according to the information and explanations given to us, we are of the opinion that the particulars of contracts or arrangement that need to be entered into the registers in pursuance of Section 301 of the Companies Act, 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, there are no transactions of purchase and sale of goods, materials and services made in pursuance of contracts entered in the register maintained under section 301 of the companies Act, 1956 aggregating during the year to Rs. 500000/- or more in respect of each party.

6) The Company has not accepted any deposits from the public within the meaning of Section 58A of Companies Act, 1956.

7) In our opinion and according to the information and explanations given to us, the company has in general an adequate internal audit system commensurate with the size and nature of the business.

8) According to the information and explanations given to us, the Central Government has not prescribed the maintenance of cost records under section 209(1) (d) of the Companies Act. 1956.

9) In respect of statutory dues:

(a) According to the information and explanations given to us and on the basis of our examinations of the books of account, the Company has been regular in depositing undisputed amounts with the appropriate authorities in respect of Statutory dues including Provident Fund, Investor Education and Protection Fund, Employees' State Insurance, Income tax, Sales tax, Wealth Tax, Service tax, Custom Duty, Excise Duty, Cess and any other statutory dues, wherever applicable to it. There are no undisputed dues payable for a period of more than six months as at 31st March 2012, from the date they became payable

(b) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, Service tax, excise duty and cess, which have not been deposited on account of any dispute.

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

11) According to the information and explanations given to us and based on audit procedures, we are of the opinion that the company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.

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

13) In our opinion, the company is not a chit fund or a Nidhi/mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor's Report) Order 2003 is not applicable to the Company.

14) The company has maintained proper records showing full particulars of its investments. The investments are held by the company in its own name.

15) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from any bank or financial institution.

16) The Company has not availed of any term loans during the year, nor is there any amount outstanding in respect of term loans taken in earlier years.

17) According to the information and explanations given to us, the Company has not raised any short-term borrowings during the year, and nor are there any borrowings of earlier years which have been utilized during the year. As such the question of commenting on their utilization does not arise.

18) According to the information and explanations given to us, the Company has not made any preferential allotment of shares during the year to parties and companies covered in the Register maintained under Section 301 of the Companies Act, 1956.

19) The Company has no debentures issued and outstanding during the year.

20) During the year, the Company has not raised money by Public issue and hence the question of disclosure and verification of end use of such monies does not arise.

21) In our opinion and according to the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated.

Date : 27th May, 2012 For Patel & Jesalpura

Place : Ahmedabad Chartered Accountants

FR No.: 120802W

Sd/-

Ashok P. Patel

Partner

M No.: 040482


Mar 31, 2010

We have audited the attached Balance Sheet of Popular Estate Management Ltd., as at 31ST MARCH, 2010 and report that :

1. 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.

2. In our opinion proper books of accounts as required by law have been kept by the company so far as appears from our examination of such books.

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

4. In our opinion and to the best of our information and according to the explanations given to us the Balance Sheet and the Profit and Loss account together with the notes appearing thereon, given in the prescribed manner the information required by the Companies Act,1956 give a true and fair view :

(i) in the case of balance sheet of the state of affairs as at 31 ST MARCH, 2010.

(ii) in the case of Profit & Loss Account of the Loss for the year ended on that date.

(iii) in case of the cashflow statement, of the cahsflows for the year ended on that date.

5. The Balance Sheet & Profit and Loss Account comply with the mandatory accounting standard referred to by Sec.211(3c) of Companies (Amendment) Act, 1999.

6. As informed and explained to us, none of the directors is disqualified from being appointed as directors under clause (g) of subsection (1) of section .274.

7. As required by the manufacturing and other Companies (Auditors Report) order 1988, issued by the Company Law Board in terms of Section 227 (4-A) of the Companies Act, 1956 and on the basis of such checks as we considered appropriate and according to the information and explanations given to us we report as under:

(i) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets. These fixed assets have been physically verified by the management at reasonable intervals and no descrepancies have been noticed on such verification.

(ii) None of the Fixed assets have been revalued during the year.

(iii) The Company has taken/accepted interest free unsecured loans of Rs.184158000/- from companies, firms or other parties listed in the Register maintained under Section 301 of the companies Act, 1956.

(iv) The Company has granted interest free unsecured loans of Rs. 170856245/- to the companies, firms or other parties listed in the Register maintained under Section 301 of the companies Act, 1956.

(v) The parties to whom Loans or Advances in the nature of loans were given by the company, are still total outstanding including interest, wherever applicable.

(vi) In our opinion .there are adequate internal control procedures commensurate with the size of the company and the nature of its business for the purchase of materials and components, plant and machinery, equipments and other assets.

(vii) The company has entered into agreement for development of land as shown in Note No. (B) (ix) of Notes to Accounts, with parties listed U/s. 301 of Companies Act 1956.

(viii) The Company has not accepted any deposit for the public as defined in Sec. 58A of Companies Act,1956 and the companies (Acceptance of Deposits) Rules,1978 during the year except unsecured loan of Rs 255768000/- from directors relatives and friends and group companies.

(ix) The Company has an internal audit system commensurate with its size and nature of business.

(x) As explained, the requirement of maintainance of cost record under Sec. 209(1 )(d) of the Companies Act, 1956 is not applicable.

(xi) As explained the Provisions of Employees Provident Fund Act and other allied Act does not apply to the company.

(xii) No undisputed amounts payable in respect of Income - Tax.Wealth Tax, Excise Duty was outstanding as at the last day of the financial year for a period of more than six months from the date they, become payable.

(xiii) The Company is not a sick industrial company within the meaning of the the Sick Industrial Companies (special Provisions ) of Act,1985.

(xiv) According to the information and explanation given to us no personal expenses of employers or Directors have been charged to revenue account, other than those payable under contractual obligation or in accordance with generally accepted business practice.

(xv) The service activities of the company are as such that the question of allocation of man hours to the relative jobs does not arises. Consequently the authorisation and control on the allocation of labour to jobs is not applicable.

(xvi) Other Clauses of the order are not applicable to the company during the year under consideration.

Place:-Ahmedabad SURENDRA KUMAR JAIN & CO.

Date :- 27/05/2010 CHARTERED ACCOUNTANTS

Sd/-

S K JAIN

PROPRIETOR

Membership No-71318

 
Subscribe now to get personal finance updates in your inbox!