Mar 31, 2015
We have audited the accompanying financial statements of PRISM FINANCE
LIMITED ("the company"), which comprise the Balance Sheet as at 31st
March, 2015, the Statement of Profit and Loss, the Cash Flow Statement
for the year then ended, and a summary of the 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 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 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
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material 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. 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 31st March 2015, and its profit and its 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 paragraphs 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
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 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 representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
(f) 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 for eseeable
losses.
iii. There were no amounts required to be transferred to the Investor
Education and Protection Fund by the company.
ANNEXURE REFERRED TO IN PARAGRAPH 1 OF THE AUDITORS' REPORT ON ACCOUNTS
FOR THE YEAR ENDED 31ST MARCH, 2015
1. a) The company is maintaining proper records showing full
particulars, including quantitative details and
situation of fixed assets.
b) As explained to us, all the fixed assets have been physically
verified by the management in a phased periodical manner, 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.
2. During the year under review, the company does not hold any
inventories. Hence, paragraph 4(ii) of the Order, is not applicable.
3. As informed to us the company has not granted loans, secured or
unsecured, to companies, firms or other parties covered in the register
maintained under section 189 of the Companies Act, 2013.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of our
audit, we have not observed any continuing failure to correct major
weakness in internal controls.
5. According to the information and explanations given to us the
company has not accepted any deposits, in terms of the directives
issued by the Reserve Bank of India and the provisions of sections 73
to 76 or any other relevant provisions of the Companies Act, 2013 and
the rules framed there under.
6. We are informed that the Central Government has not prescribed
maintenance of cost records under clause (d) of sub section (1) of
section 209 of the Companies Act, 1956.
7. a) As per information and explanations given to us, the company is
regular in depositing undisputed statutory dues including provident
fund, employees' state insurance, income tax, sales-tax, wealth tax,
service tax, duty of customs, duty of excise, value added tax, cess and
any other statutory dues with the appropriate authorities. There are no
outstanding statutory dues as at the last day of the financial year
under audit for a period of more than six months 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, custom duty, wealth tax, service tax,
excise duty and cess which have not been deposited on account of any
dispute.
c) In our opinion, and according to the information and explanations
given to us, there is no amounts required to be transferred to Investor
Education and Protection Fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made
thereunder.
8. There are no accumulated losses of the company as at the end of the
year. The company has incurred cash losses during the financial year
covered by our audit however, had not incurred cash losses in the
immediately preceding financial year.
9. Based on our audit procedures and on the basis of information and
explanations given to us by the management, we are of the opinion that
there is no default in repayment of dues to the banks as at the year
end.
10. According to information and explanations given to us, the company
has not given any guarantee for loan taken by others from banks or
financial institutions.
11. In our opinion, no term loan has been obtained by the company from
any bank/financial institution during the year under review.
12. Based upon the audit procedures performed and information and
explanations given 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 the year ended 31.03.2015.
For SHAH & SHAH ASSOCIATES
Chartered Accountants
Firm Reg. No. 113742W
Place : Ahmedabad (Sunil K. Dave)
Dated : 30th May, 2015 Partner
Membership No. 047236
Mar 31, 2014
We have audited the accompanying financial statements of PRISM FINANCE
LIMITED ("the Company"), which comprise the Balance Sheet as at 31st
March, 2014, and the Statement of Profit and Loss and Cash Flow
Statement for the year ended on that date, and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements :
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act") read with the General Circular
15/2013 dated 13.09.2013 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 control relevant to the preparation and fair presentation of
the financial statements that 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 accounts read with and subject to notes
thereon as per Note no: R i.e. " Significant Accounting Policies and
Other Notes to Accounts"; more particularly, note no: 3 regarding
pending balance confirmation, the Balance Sheet and Statement of Profit
& Loss together with significant accounting policies and notes to
Accounts give in the prescribed manner the information required by the
Act and also give respectively, a true and fair view in conformity with
the accounting principles generally accepted in India;
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
b) in the case of Statement of Profit and Loss, of the profit for year
ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements :
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the accounting standards referred to in
sub-section (3C) of section 211 of the Act read with the General
Circular 15/2013 dated 13.09.2013 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 Act.
ANNEXURE TO THE INDEPENDENT AUDITOR''S REPORT Referred to in paragraph 1
of our report of even date to the members of (PRISM FINANCE LIMIED)
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.
b) As informed to us, the fixed assets have been physically verified by
the management during the year and according to information and
explanations given to us no discrepancies were noticed on such
verification.
c) In our opinion and according to the information and explanations
given to us, the company has not made any substantial disposal during
the year.
2. During the year under review, the company does not hold any
inventories. Hence, paragraph 4(ii) of the Order, is not applicable.
3. According to information and explanations given to us, the company
has not granted or taken secured/unsecured loan to or from any parties
covered in the register maintained under section 301 of the Companies
Act, 1956.Consequently, the provisions of paragraph 4(iii)(g) of the
order are not applicable.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of our
audit, we have not observed any continuing failure to correct major
weakness in internal controls.
5. a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under 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 have been no transactions made in pursuance of such
contracts or arrangements and exceeding the value of rupees five lacs
in respect of any party during the year.
6. The company has not accepted deposits from public during the year.
7. The company did not have any formal internal audit system during
the year under review. In the opinion of the management, the existing
internal control procedures are adequate and hence separate internal
audit is not called for.
8. We are informed that the Central Government has not prescribed
maintenance of cost records under clause (d) of sub section (1) of
section 209 of the Companies Act, 1956.
9. According to the information and explanations given to us in
respect of statutory and other dues:
a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund, income
tax, sales tax, Wealth Tax, Service Tax, Excise duty, custom duty and
other material statutory dues applicable to it.
b) According to the information and explanation given to us and based
on records examined by us, no undisputed amounts payable in respect of
Provident Fund, Employee State Insurance, Income Tax, sales tax, wealth
tax, custom duty, excise duty and Service Tax were outstanding as at
31st March,2014 for a period of more than six months from the date they
became payable.
c) According to the information and explanations given to us, there are
no statutory dues, which have not been deposited on account of any
dispute.
10. The company does not have any accumulated losses as at 31-03-2014.
Further, the company has not incurred cash losses during the financial
year covered by our audit as well as in the immediately preceding
financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
company has not defaulted in the repayment of dues to banks.
12. According to information and explanations given to us, the company
has not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
13. The provisions of special statute applicable to chit fund are not
applicable to this company.
14. In respect of dealing in shares and other investments, the company
has generally maintained proper records of the transactions and
contracts for purchase and sale thereof and timely entries for the same
have been made therein. The company has generally held all the
investment in shares and other investments 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
banks or financial institutions.
16. The company has not taken any term loans and therefore clause
(xvi) of para 4 of the Order is not applicable.
17. According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that funds raised on short term basis have been used for long term
investment. The short term fund amounting to Rs. 445.71 lacs has been
used for long term investments i.e. in NonÂcurrent investments in
shares.
18. During the year under review, the company has not made any
preferential allotment of shares to any parties covered in the Register
maintained under section 301 of the Companies Act,1956.
19. The company has not issued any debentures during the year.
20. During the year under review, the company has not raised money by
public issue.
21. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
was noticed or reported during the year.
For SHAH & SHAH ASSOCIATES
Chartered Accountants
Firm Reg. No. 113742W
Place : Ahmedabad (Sunil K. Dave)
Dated :28th May, 2014 Partner
Membership No. 047236
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s. PRISM FINANCE
LIMITED, as at 31st March, 2012 and also the Statement of Profit & Loss
for the year ended on that date annexed thereto and the Cash Flow
Statement for the year ended on that date. These financial statements
are the responsibility of the Company's management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We have conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall presentation of the
financial statement. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors' Report) Order, 2003 issued
by the Central Government of India in terms of section 227(4A) 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 further report that:
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 these
books
c) The Balance sheet and Statement of Profit & Loss dealt with by this
report are in agreement with the books of account.
d) In our opinion, these financial statements have been prepared in
compliance with the applicable accounting standards referred to in
sub-section (3C) of section 211 of the Companies Act, 1956.
e) According to the information and explanation given to us and on the
basis of the written representations received from the Directors, none
of the Directors of the company are prima-facie, as at 31st March,
2012, disqualified from being appointed as directors of the Company in
terms of clause (g) of sub-section (1) of section 274 of the Companies
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
significant accounting policies and other 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 principles generally accepted in India;
i) in the case of Balance Sheet, of the state of affairs of the Company
as at 31st March, 2011,
ii) in the case of Statement of Profit & Loss, of the Profit for the
year ended on that date and
iii) in the case of Cash Flow statement, of the Cash Flow for the year
ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 3 of our report of event date)
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.
b) As informed to us, the fixed assets have been physically verified by
the management during the year and according to information and
explanations given to us no discrepancies were noticed on such
verification.
c) In our opinion and according to the information and explanations
given to us, the company has not made any substantial disposal during
the year.
2. During the year under review, the company does not hold any
inventories. Hence, paragraph 4(ii) of the Order, is not applicable.
3. According to information and explanations given to us, the company
has not granted or taken secured/unsecured loan to or from any parties
covered in the register maintained under section 301 of the Companies
Act, 1956.Consequently, the provisions of paragraph 4(iii)(g) of the
order are not applicable.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of our
audit, we have not observed any continuing failure to correct major
weakness in internal controls.
5. a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under 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 have been no transactions made in pursuance of such
contracts or arrangements and exceeding the value of rupees five lacs
in respect of any party during the year.
6. The company has not accepted deposits from public during the year.
7. The company did not have any formal internal audit system during
the year under review. In the opinion of the management, the existing
internal control procedures are adequate and hence separate internal
audit is not called for.
8. We are informed that the Central Government has not prescribed
maintenance of cost records under clause (d) of sub section (1) of
section 209 of the Companies Act, 1956.
9. According to the information and explanations given to us in
respect of statutory and other dues:
a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund, income
tax, sales tax, Wealth Tax, Service Tax, Excise duty, custom duty and
other material statutory dues applicable to it. We are informed by the
company that Employees' State Insurance Act, 1948 is applicable only at
Kadi plant of the company and contributions in respect of which have
been regularly deposited during the year with appropriate authorities.
b) According to the information and explanation given to us and based
on records examined by us, no undisputed amounts payable in respect of
Provident Fund, Employee State Insurance, Income Tax, sales tax, wealth
tax, custom duty, excise duty and Service Ta x were outstanding as at
31st March,2012 for a period of more than six months from the date they
became payable.
c) According to the information and explanations given to us, there are
no statutory dues, which have not been deposited on account of any
dispute.
10. The company does not have any accumulated losses as at 31-03-2012.
Further, the company has not incurred cash losses during the financial
year covered by our audit as well as in the immediately preceding
financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
company has not defaulted in the repayment of dues to banks.
12. According to information and explanations given to us, the company
has not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
13. The provisions of special statute applicable to chit fund are not
applicable to this company.
14. In respect of dealing in shares and other investments, the company
has generally maintained proper records of the transactions and
contracts for purchase and sale thereof and timely entries for the same
have been made therein. The company has generally held all the
investment in shares and other investments 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
banks or financial institutions.
16. The company has not taken any term loans and therefore clause
(xvi) of para 4 of the Order is not applicable.
17. According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that no funds raised on short term basis have been used for long term
investment.
18. During the year under review, the company has not made any
preferential allotment of shares to any parties covered in the Register
maintained under section 301 of the Companies Act,1956.
19. The company has not issued any debentures during the year.
20. During the year under review, the company has not raised money by
public issue.
21. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
was noticed or reported during the year.
For Shah & Shah Associates
Firm Reg. No. 113742W
Chartered Accountants
(Sunil K. Dave)
Partner
Membership No. 047236
Place : Ahmedabad
Dated : 16th July, 2012
Mar 31, 2011
1. We have audited the attached Balance Sheet of M/S. PRISM FINANCE
LIMITED, as at 31st March, 2011 and the Profit & Loss Account for the
year ended on that date annexed thereto and the Cash Flow Statement for
the year ended on that date. These financial statements are the
responsibility of the Company's management. Our responsibility is to
express an opinion on these financial statement based on our audit.
2. We have conducted our audit in accordance with auditing statandards
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 presentation of the
financial statement. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by Companies (Auditor's Report) order, 2003 issued by
the Central Government of India in terms of section 227 (4A) 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 further report that :
We report that :
(i) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
(ii) In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
(iii) The Balance Sheet and Profit & Loss Account dealt with by this
report are in agreement with the books of account.
(iv) In our opinion, these financial statements have been prepared in
compliance with the applicable accounting standards referred to in
sub-section (3C) of Section 211 of the Companies Act, 1956.
(v) According to the information and explanations given to us and on
the basis of the written representations received from the Directors,
none of the Directors of the company are, prima-facie, as at 31st
March, 2011, disqualified from being appointed as directors of the
Company in terms of clause (g) of sub-section (1) of Section 274 of the
Companies Act, 1956.
(vi) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read with the
significant accounting policies and other 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 principles generally accepted in India.
(a) in the case of Balance Sheet, of the state of affairs of the
Company as at 31st March, 2011.
(b) In the case of Profit & Loss Account, of the Profit for the year
ended on that date and
(c) In the case of Cash Flow Statement, of the Cash Flow for the year
ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 3 of our report of event date)
1. In respect of its fixed assets :
(a) The Company has generally maintained proper records showing full
particulars, including quantitative detais and situation of fixed
assets.
(b) As information to us, the fixed assets have been physically
verified by the management during the year and according to information
and explanations given to us no discrepancies were noticed on such
verification.
(c) In our opinion and according to the information and explanations
given to us, the company has not made any substantial disposal during
the year.
2. In respect of its inventories :
(a) As explained to us, the inventory has been physically verified
during the year by the management at reasonable interval. In our
opinion, the frequency of verification is reasonable. In respect of
materials lying with third parties, we relied upon the information/
data provided by the management.
(b) The procedures of phyiscal 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 is generally maintaining proper records of inventory.
As explained to us, no discrepancies were noticed on such verifications
between the physical stocks and the book records.
3. According to information and explanations given to us, the company
has not granted or taken secured/unsecured loan to or from any parties
covered in the register maintained under Section 301 of the Companies
Act, 1956. Consequently, the provisions of paragraph 4(iii)(g) of the
order are not applicable.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of audit,
we have not observed any continuing failure to correct major weaknesses
in internal controls.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under 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, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 have been made at prices which are reasonable
having regard to the prevailing market price at the relevant time.
6. The Company has not accepted any deposits from the public during
the year.
7. The company did not have any formal internal audit system during
the year under review. In the opinion of the management, the existing
internal control procedures are adequate and hence separate internal
audit is not called for.
8. We are informed that the Central Government has not prescribed
maintenance of cost records under clause (d) of sub section (1) of
section 209 of the Companies Act, 1956.
9. According to the information and explanations given to us in
respect of statutory and other dues :
(a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund, Income
Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty and
other material statutory dues applicable to it. We are informed by the
company that Employees' State Insurance Act, 1948 is applicable only at
Kadi plant of the company and contributions in respect of which have
been regularly deposited during the year with appropriate authorities.
(b) According to the information and explanations given to us and based
on records examined by us, no undisputed amounts payable in respect of
Provident Fund, Employee State Insurance, Income Tax, Sales Tax, Wealth
Tax, Custom Duty, Excise Duty and Service Tax were outstanding as at
31st March, 2011 for a period of more than six months from the date
they became payable.
(c) According to the information and explanations given to us, there
are no statutory dues, which have not been deposited on account of any
dispute.
10. The company's accumulated losses are not more than 50% of its net
worth as at 31-03-2011. Further, the company has incurred any cash
losses during the financial year covered by our audit however there was
no cash losses in the immediately preceding financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
company has not defaulted in the repayment of dues to banks.
12. According to 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.
13. The provisions of special statute applicable to chit fund are not
applicable to this company.
14. In respect of dealing in shares and other investments, the company
has generally maintained proper records of the transactions and
contracts for purchase and sale thereof and timely entries for the same
have been made therein. The company has held all the investment in
shares and other investments in its own name.
15. The company has given guarantees for loans taken by others from
banks. According to the information and explanations given to us, we
are of the opinion that the terms and conditions thereof are not prima
facie prejudicial to the interest of the company.
16. To the best of our knowledge and belief and according to the
information and explanations given to us, the term loans have been
applied for the purposes for which the loans were obtained.
17. According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the Company, we report
that no funds raised on short term basis have been used for long term
investments.
18. During the year under review, the company has not made any
preferential allotment of shares to any parties covered in the Register
maintained under section 301 of the Companies Act, 1956.
19. The company has not issued any debentures during the year.
20. During the year under review, the company has not raised money by
public issue.
21. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
was noticed or reported during the year.
For Shah & Shah Associates
Firm Reg. No. 113742W
Chartered Accountants
(Sunil K. Dave)
Partner
Membership No. 047236
Place : Ahmedabad
Dated : 27th July, 2011
Mar 31, 2010
1. We have audited the attached Balance Sheet of M/S. PRISM FINANCE
LIMITED, as at 31st March, 2010 and the Profit & Loss Account for the
year ended on that date annexed thereto and the Cash Flow Statement for
the year ended on that date. These financial statements are the
responsibility of the Companys management. Our responsibility is to
express an opinion on these financial statement based on our audit.
2. We have conducted our audit in accordance with auditing statandards
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 presentation of the
financial statement. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by Companies (Auditors Report) order, 2003 issued by
the Central Government of India in terms of section 227 (4A) 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 further report that :
We report that :
(i) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
(ii) In our opinion, proper books of account as required by law have
been kept by the Company so fat as appears from our examination of
these books.
(iii) The Balance Sheet and Profit & Loss Account dealt with by this
report are in agreement with the books of account.
(iv) In our opinion, these financial statements have been prepared in
compliance with the applicable accounting standards referred to in
sub-section (3C) of Section 211 of the Companies Act, 1956.
(v) According to the information and explanations given to us and on
the basis of the written representations received from the Directors,
none of the Directors of the company are, prima-facie, as at 31st
March, 2010, disqualified from being appointed as directors of the
Company in terms of clause (g) of sub-section (1) of Section 274 of the
Companies Act, 1956.
(vi) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read with the
significant accounting policies and other 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 principles generally accepted in India.
(a) in the case of Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010.
(b) In the case of Profit & Loss Account, of the Profit for the year
ended on that date and
(c) In the case of Cash Flow Statement, of the Cash Flow for the year
ended on that date.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 3 of our report of event date)
1. In respect of its fixed assets :
(a) The Company has generally maintained proper records showing full
particulars, including quantitative detais and situation of fixed
assets.
(b) As information to us, the fixed assets have been physically
verified by the management during the year and according to information
and explanations given to us no discrepancies were noticed on such
verification.
(c) In our opinion and according to the information and explanations
given to us, the company has not made any substantial disposal during
the year,
2. In respect of its inventories :
(a) As explained to us. the inventory has been physically verified
during the year by the management at reasonable interval. In our
opinion, the frequency of verification is reasonable. In respect of
materials lying with third parties, we relied upon the information/
data provided by the management.
(b) The procedures of phyiscal 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 is generally maintaining proper records of inventory As
explained to us, no discrepancies were noticed on such verifications
between the physical stocks and the book records.
3. According to information and explanations given to us. the company
has not granted or taken secured/unsecured loan to or from any parties
covered in the register maintained under Section 301 of the Companies
Act, 1956. Consequently, the provisions of paragraph 4(iii](g) of the
order are not applicable,
4. In our opinion and according to the information and explanations
given to us. there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of audit,
we have not observed any continuing tailure to correct ma}or weaknesses
in internal controls,
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under 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, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 have been made at prices which are reasonable
having regard to the prevailing market price at the relevant time,
6. The Company has not accepted any deposits from the public during
the year.
7. The company did not have any formal internal audit system during
the year under review In the opinion of the management, the existing
internal control procedures are adequate and hence separate internal
audit is not called for.
8. We are informed that the Central Government has not prescribed
maintenance of cost records under clause (d) of sub section (1) of
section 209 of the Companies Act, 1956.
9. According to the information and explanations given to us in
respect of statutory and other dues :
(a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund. Income
Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty. Excise Duty and
other material statutory dues applicable to it. We are informed by the
company that Employees State Insurance Act. 1948 is applicable only at
Kadi plant of the company and contributions in respect of which have
beer, regularly deposited during the year with appropriate authorities.
(b) According to the information and explanations given to us and based
on records examined by us, no undisputed amounts payable in respect of
Provident Fund, Employee State Insurance. Income Tax, Sales Tax, Wealth
Tax, Custom Duty, Excise Duty and Service Tax were outstanding as at
31st March, 2010 for a period of more than six months from the date
they became payable.
(c) According to the information and explanations given to us, there
are no statutory dues, which have not been deposited on account of any
dispute.
10. The companys accumulated losses are not more than 50% of its net
worth as at 31-03-2009. Further, the company has incurred any cash
losses during the financial year covered by our audit however there was
no cash losses in the immediately preceding financial year,
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion thai the
company has not defaulted in the repayment of dues to banks.
12. According to 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.
13. The provisions of special statute applicable to chit fund are not
applicable to this company.
14. In respect of dealing in shares and other investments, the company
has generally maintained proper records of the transactions and
contracts for purchase and sale thereof and timely entries for the same
have been made therein. The company has held all the investment in
shares and other investments in its own name.
15. The company has given guarantees for loans taken by others from
banks. According to the information and explanations given to us, we
are of the opinion that the terms and conditions thereof are not prima
facie prejudicial to the interest of the company.
16. To the best of our knowledge and belief and according to the
information and explanations given to us, the term loans have been
applied for the purposes tor which the loans were obtained.
17. According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the Company, we report
that no funds raised on short term basis have been used for long term
investments.
18. During the year under review, the company has not made any
preferential allotment of shares to any parties covered in the Register
maintained under section 301 of the Companies Act, 1956.
19. The company has not issued any debentures during the year.
20. During the year under review, the company has not raised money by
public issue.
21 To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
was noticed or reported during the year.
For Shah & Shah Associates
Firm Reg. No. 113742W
Chartered Accountants
Place : Ahmedabad (Sunil K. Dave)
Dated : 29th May, 2010 Partner
Membership No. 047236