Mar 31, 2015
We have audited the accompanying Standalone Financial Statements of
RESURGERE MINES AND MINERALS INDIA LIMITED ("the Company"), which
comprise the Balance Sheet as at March 31, 2015, and the Statement of
Profit and Loss, the Cash Flow Statement for the year then ended, and a
summary of significant accounting policies and other explanatory
information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters 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 Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding the assets of the
Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these 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 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, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the standalone
financial statements.
Qualified 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 except to Note No. 9(**), 10(****), 11 (*),
14 (Note), 15(Note and **) and 17 (*, **, ***, ****), 19 (*) in notes
on account to the Financial Statements, with regard to Trade Payable,
Creditors for Capital Goods, Capital work in progress, Inventories,
Trade Receivables, Advance to suppliers and Subsidiaries, Inter -
Corporate Deposits, Mine Deposits and Interest on Inter Corporate
Deposits, where the Company does not have any confirmation and
reconciliation with the parties. Major portion of such transactions
does not have any movement since a long time and have remained
outstanding for over one year. We are unable to comment upon the
reliability of such amount and the consequential adjustments required
to be made, if any, in this regard.
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2015;
(b) In the case of the Statement of Profit and Loss, of the Loss for
the year ended on that date.
(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 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 Standalone 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 representations received from the
directors as on 31 March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 March 2015
from being appointed as a director in terms of Section 164 (2) of the
Act; and
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 has disclosed the impact of pending litigations on its
financial position in its Standalone Financial Statements except
interest thereon. The unaccounted litigations have been duly disclosed
at note no. 26 of Notes on Accounts.
(ii) The Company has made provision, as required under the applicable
law or accounting standards, for material foreseeable losses, if any,
and as required on long-term contracts including derivative contracts.
(iii) There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
Annexure to the Auditors Report
The Annexure referred to in our Independent Auditors' Report to the
members of Resurgere Mines & Minerals India Limited on the standalone
financial statements for the year ended March 31, 2015, we report that:
1. In respect of its Fixed Assets:
a. The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b. 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 the
nature of its assets. As informed, no material discrepancies were
noticed on such verification.
2. In respect of Inventories:
a. The inventories have been physically verified by the management
during the year. In our Opinion, the frequency of verification is
reasonable.
b. In our opinion and according to the information and explanations
given to us, the procedures of 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 inventories as compared to the book records.
3. In respect of the Loans, secured or unsecured, granted, by the
company to companies, firms or other parties covered in the register
maintained under section 189 of the Companies Act, 2013 ('the Act').
a. There is no overdue amount of loan granted to said companies.
4. In our opinion and according to the information and explanations
given to us, there exists an adequate internal control system
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, no major weakness has been noticed in the internal control
system in respect of these areas. During the course of our audit, we
have not observed any continuing failure to correct major weakness in
internal control system of the company.
5. According to the information and explanations given to us, the
company has not accepted any deposits from the public.
6. The Central Government has prescribed the maintenance of cost
records under sub-section (1) of section 148 of the Companies Act 2013
for the activities carried on by the company but the company does not
fall under the prescribed norms for maintenance of cost records.
7. In respect of statutory dues:
a) According to the records of the Company, the undisputed statuary
dues including Provident Fund, Sales Tax, Wealth Tax, Services Tax,
Customs Duty, Excise Duty, Cess and Income tax have generally not been
regularly deposited with the appropriate authorities.
The details of undisputed amount of statutory dues not paid for more
than six months as on the close of financial year are us under:
Nature of tax Amount of demand Assessment Year/ Period for
(Rs in Lacs) Financial Year which due
Income Tax 378.50 AY 08-09 2007-08
1022.16 AY 09-10 2008-09
1001.59 AY 10-11 2009-10
47.67 AY 11-12 2010-11
TDS 9.37 AY 13-14 2012-13
Service Tax 17.92 FY 11-12 2011-12
6.82 FY 14-15 2014-15
Sales Tax 0.72 FY 11-12 2011-12
5.56 FY 12-13 2012-13
Provident Fund 1.89 FY 13-14 2013-14
b) The details of all disputed statutory dues is as under:
Nature of tax Amount of demand Assessment
(Rs in Lacs) Year
Income Tax 148.14 AY 08-09
1923.23 AY 09-10
26.50 AY 10-11
20.68 AY 11-12
Nature of tax Forum where Current
dispute is pending status
Income Tax CIT(A) & ITAT In process
CIT(A) & ITAT In process
CIT(A) In process
CIT(A) In process
c) According to the information and explanations given to us the
amounts which were required to be transferred to the investor education
and protection fund in accordance with the relevant provisions of the
Companies Act and rules there under has been transferred to such fund
within time.
8. The Company has no accumulated losses at the end of the financial
year. However, it has incurred losses in the current financial year
amounting to is Rs. 6438.03 lacs and in immediately preceding financial
year amounting to Rs. 5884.33 lacs
9. The Company has defaulted in repayment of its dues to banks and
financial institutions. Details of default are as follows:
Sr.No. Name of Institution Default in Repayment of
Principal Amount Interest Amount
(Rs in Lacs) (Rs in Lacs)
1. Term Loan from 826.24 591.66
Union Bank of India
2 Working Capital Loan from 10776.58 7104.21
State Bank of India,
Union Bank of India,
Bank of India, Indusland Bank
and Barclays Bank
Sr.No. Name of Institution For the Date of
month Payment
1. Term Loan from May,2011 Not Yet Paid
Union Bank of India to
March, 2014
2 Working Capital Loan from Jan, 2011 Not Yet Paid
State Bank of India, to
Union Bank of India, March, 2014
Bank of India, Indusland Bank
and Barclays Bank
10. In our opinion and according to the information and explanations
given to us and based on the documents and records produced to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
11. The Company has not taken any term loans during the year.
12. On the Basis of our examination and according to the information
and explanation given to us, no material fraud, on or by the company,
has been noticed or reported during the year.
For Ranjana Vandana & Co.
Chartered Accountants
Firm Registration No.: 008961C
CA Ranjana Rani
Partner
Membership No. 077985
Place: Mumbai
Date: 29th May, 2015
Mar 31, 2014
We have audited the accompanying financial statements of RESURGERE
MINES AND MINERALS INDIA LIMITED ("the Company"), which comprise the
Balance Sheet as at March 31, 2014, and the Statement of Profit and
Loss for the year ended, and a summary of significant accounting
policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance Forming an Opinion and
Reporting on Financial Statements of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Qualified 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 except to Note No. 9(**), 10(****), 11 (*) 14 (Note), 15(Note and
*) and 17 (*, ***, ****) in notes on account to the Financial
Statements. With regard to Trade Payable , Creditor for Capital Goods,
Capital work in progress, Inventories, Trade Receivables, Inter -
Corporate Deposits and Mine Deposits the Company does not have any
confirmation and reconciliation with the parties. Considering the past
trend that major portion of such transactions does not have any
movement since a long time and have remained outstanding for over one
year. We are unable to comment upon the reliability of such amount and
the consequential adjustments required to be made, if any, in this
regard.
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) In the case of the Profit and Loss Account, of the Loss for the
year ended on that date.
(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 & 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 and 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 and 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, except
for qualification mentioned in paragraph "Qualified Opinion".
e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
Annexure to the Auditors Report
The Annexure referred to in Paragraph 1 of Our Report of even date to
the members of M/S Resurgere Mines & Minerals India Limited on account
of the company for the year ended 31st March 2014.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1) a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) As Explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
c) The Company has not disposed off any substantial part of its fixed
assets during the year.
2) a) As explained to us, inventories have been physically verified
during the year by management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of 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) In our opinion and on the basis of our examination of our records,
the Company is generally maintaining proper records of its inventories.
No materials discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3) The Company has neither granted nor taken any loans, Secured or
Unsecured, to companies, firms, or other parties covered in the
register maintained under Section 301 of the Companies Act 1956.
Therefore, the provisions of clause 4(iii) [(b), (c), and (d)/ (f) and
(g)] of the said order is not applicable.
4) In our opinion and according to the information and explanation
given to us, there is adequate internal control system commensurate
with the size of the company and the nature of its business for the
purchase of fixed assets and inventory and for the sale of services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanations given to
us, we have neither come across, nor have been informed of, any
continuing failure to correct major weaknesses in the aforesaid
internal control system.
5) a) Based on the audit procedures performed by us, we are of the
opinion that particulars of contracts or arrangements referred to in
Section 301 of the Act have been entered in the register required to be
maintained under that section.
b) The transactions made in pursuance of such contracts or arrangements
have been made at prices which are reasonable having regard to
prevailing market prices at the relevant time.
6) The Company has not accepted any deposits from the public.
7) In our opinion and as per the information and explanation given to
us, the company has an internal audit system commensurate with the size
and nature of its business.
8) We are informed by the management that the Central Government has
not prescribed for maintenance of Cost Records under section 209(1) (d)
of the Companies Act, 1956 for the products of the company.
9) a) According to the records of the Company, the undisputed statuary
dues including Provident Fund, Sales Tax, Wealth Tax, Services Tax,
Customs Duty, Excise Duty, Cess and Income tax have generally not been
regularly deposited with the appropriate authorities. According to the
information and explanations given to us, there are no undisputed
amount payable in respect of such statutory dues, i.e. Income Tax for
Assessment Year 08-09 Rs.131.73 Lacs, for Assessment year 09-10
Rs.1,578.00 Lacs, for Assessment year 10-11 Rs.1105.72 Lacs, for the
Assessment Year 11-12 Rs.41.66 Lacs (as per ITR or Assessment order),
Tds Payable Rs.11.10 Lacs, Service Tax Rs.26.55 Lacs and Sales Tax Rs.
6.28 Lacs which have remained outstanding as at 31st March, 2014 for
the period more than six months from the date they became payable.
b) According to the information and explanations given to us, the
Company has no dues of Income Tax, Sales Tax, Wealth Tax, Services Tax,
Custom Duty, Excise Duty and Cess which have not been deposited on
account of disputes with the related authorities.
10) The Company has no accumulated losses at the end of the financial
year, whereas, company has incurred cash losses of Rs.2485.28 Lacs in
the current financial year.
11) In our opinion and according to the information and explanation
given to us the Company has defaulted in repayment of its dues to banks
and financial institutions are as follows:
Sr. No. Name of Institution Default in Repayment of
Principal Interest
Amount Amount
1 Union Bank of India Rs.826.24 Rs.410.48
Lacs Lacs
2 Working Capital Loan from Rs.10,776.58 Rs.4,932.71
State Bank of India, Lacs Lacs
Union Bank of India,
Bank of India, Induslnd
Bank and Barclays Bank
Name of Institution For the Date of
month Payment
Union Bank of India From May, 2011 Not Yet
to March, 2014 Paid
Working Capital Loan from From Jan, 2011 Not Yet
State Bank of India, Union to March, 2014 Paid
Bank of India, Bank of India,
Induslnd Bank and Barclays Bank
12) The Company has not granted any loans or advances on the basis of
security by way of pledge of Shares, Debentures or Other Securities.
13) The provisions of any Special Statute application to Chit Fund,
Nidhi or Mutual Benefit Fund/ Societies are not application to the
company.
14) According to the information and explanation given to us the
company is not dealing or trading in shares, securities, debentures or
other investments.
15) The Company has not given any guarantees for loans taken by others
from banks and financial institutions.
16) The Company has not taken any term loans during the year hence
clause (xvi) of the said order is not applicable.
17) 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) The Company has not made any preferential allotment of Equity
Shares during the year to 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) On the Basis of our examination and according to the information
and explanation given to us, no fraud, on or by the company, has been
noticed or reported during the year.
For G L Mangal & Associates
Chartered Accountants
Firm Registration No.: 131017W
CA Girdhari Lal Mangal
Place: Mumbai Proprietor
Date: 4th June, 2014 Membership No. 076305
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of RESURGERE
MINES AND MINERALS INDIA LIMITED ("the Company"), which comprise the
Balance Sheet as at March 31, 2013, and the Statement of Profit and
Loss for the year ended, and a summary of significant accounting
policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance Forming an Opinion and
Reporting on Financial Statements of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion 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.
(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 & 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 and 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 and 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 the Auditors Report
The Annexure referred to in Paragraph 1 of Our Report of even date to
the members of M/S Resurgere Mines & Minerals India Limited on account
of the company for the year ended 31st March 2013.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1) a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) As Explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
c) The Company has not disposed off any substantial part of its fixed
assets during the year.
2) a) As explained to us, inventories have been physically verified
during the year by management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of 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) In our opinion and on the basis of our examination of our records,
the Company is generally maintaining proper records of its inventories.
No materials discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3) The Company has neither granted nor taken any loans, Secured or
Unsecured, to companies, firms, or other parties covered in the
register maintained under Section 301 of the Companies Act 1956.
Therefore, the provisions of clause 4(iii) [(b), (c), and (d)/ (f) and
(g)] of the said order is not applicable.
4) In our opinion and according to the information and explanation
given to us, there is adequate internal control system commensurate
with the size of the company and the nature of its business for the
purchase of fixed assets and inventory and for the sale of services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanations given to
us, we have neither come across, nor have been informed of, any
continuing failure to correct major weaknesses in the aforesaid
internal control system.
5) a) Based on the audit procedures performed by us, we are of the
opinion that particulars of contracts or arrangements referred to in
Section 301 of the Act have been entered in the register required to be
maintained under that section.
b) The transactions made in pursuance of such contracts or arrangements
have been made at prices which are reasonable having regard to
prevailing market prices at the relevant time.
6) The Company has not accepted any deposits from the public.
7) In our opinion and as per the information and explanation given to
us, the company has an internal audit system commensurate with the size
and nature of its business.
8) We are informed by the management that the Central Government has
not prescribed for maintenance of Cost Records under section 209(1) (d)
of the Companies Act, 1956 for the products of the company.
9) a) According to the records of the Company, the undisputed statuary
dues including Provident Fund, Sales Tax, Wealth Tax, Services Tax,
Customs Duty, Excise Duty, and Cess except Income tax have generally
not been regularly deposited with the appropriate authorities.
According to the information and explanations given to us, there are no
undisputed amount payable in respect of such statutory dues, i.e.
Income Tax for Assessment Year 08-09 Rs.131.73 Lacs, for Assessment
year 09-10 Rs.1,578.00 Lacs, for Assessment year 10-11 Rs.1105.72 Lacs,
for the Assessment Year 11-12 Rs.41.66 Lacs (as per ITR or Assessment
order), Tds on Salary Rs.3.63 Lacs, Service Tax Rs.22.77 Lacs and
Provident Fund Rs.21.48 Lacs which have remained outstanding as at 31st
March, 2013 for the period more than six months from the date they
became payable.
b) According to the information and explanations given to us, the
Company has no dues of Income Tax, Sales Tax, Wealth Tax, Services Tax,
Custom Duty, Excise Duty and Cess which have not been deposited on
account of disputes with the related authorities.
10) The Company has no accumulated losses at the end of the financial
year, whereas, company has incurred cash losses of Rs.2095.14 Lacs in
the current financial year.
11) In our opinion and according to the information and explanation
given to us the Company has defaulted in repayment of its dues to banks
and financial institutions are as follows:
Sr.
No. Name of Institution Default in Repayment of
Principal Interest
Amount Amount
1 Union Bank of India Rs.826.24 Rs.252.44
Lacs Lacs
2 Working Capital Loan from Rs.10,776.58 Rs.3,003.60
State Bank of India, Union
Bank of India, Lacs Lacs
Bank of India, Indusland Bank
and Barclays Bank
Name of Institution For the Date of
month Payment
Union Bank OF india From May,2011 Not Yet
to March, 2013 Paid
Working Capital Loan from from Jan, 2011 Not Yet
State Bank of India, Union
Bank of India, to March, 2013 Paid
Bank of India, Indusland Bank and
Barclays Bank
12) The Company has not granted any loans or advances on the basis of
security by way of pledge of Shares, Debentures or Other Securities.
13) The provisions of any Special Statute application to Chit Fund,
Nidhi or Mutual Benefit Fund/ Societies are not application to the
company.
14) According to the information and explanation given to us the
company is not dealing or trading in shares, securities, debentures or
other investments.
15) The Company has not given any guarantees for loans taken by others
from banks and financial institutions.
16) The Company has not taken any term loans during the year hence
clause (xvi) of the said order is not applicable.
17) 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) The Company has not made any preferential allotment of Equity
Shares during the year to 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) On the Basis of our examination and according to the information
and explanation given to us, no fraud, on or by the company, has been
noticed or reported during the year.
For G L Mangal & Associates
Chartered Accountants
Firm Registration No.: 131017W
CA Girdhari Lal Mangal
Proprietor
Membership No. 076305
Place: Mumbai
Date: 30th May, 2013
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s. Resurgere Mines
& Minerals India Limited as at 31st March, 2012, statement of Profit
and Loss Account and also the Cash Flow Statement for the year ended on
that date annexed thereto. These financial statements are the
responsibility of the Company's Management. Our responsibility is to
express an opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosure 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
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 Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that:
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
b) In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of
those books.
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this report are in agreement with the books of
account.
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of Section 211 of
the Act.
e) On the basis of written representations received from the directors,
as on March 31, 2012 and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2012 from being
appointed as a director in terms of clause (g) of subsection (1) of
Section 274 of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said financial statements together
with the notes thereon and attached thereto give, in the prescribed
manner, the information required by the Act, and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2012;
(ii) in the case of the Statement of Profit and Loss, of the loss for
the year ended on that date; and
(iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Annexure to the Auditors Report
Annexure referred to in Paragraph 3 of Auditors Report to the members
of M/s. Resurgere Mines & Minerals India Limited for the year ended
31st March 2012.
As required by the Companies (Auditors Report) Order, 2003 and
amendments thereto and according to the information and explanation
given to us during the course of the audit and on the basis of such
checks of the books and records as were considered appropriate we
report that:
(i) a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) The fixed assets of the Company have been physically verified by the
Management during the year and no material discrepancies have been
noticed on such verification. In our opinion, the frequency of
verification is reasonable.
c) The Company has not disposed off any substantial part of its fixed
assets during the year.
(ii) a) As explained to us, management has conducted physical
verification of inventories during the year at reasonable intervals.
b) The procedures of physical verification of the 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 inventories and
discrepancies noticed on physical verification of inventories as
compared to book records were not material.
(iii) a) The Company has neither granted nor taken any loans, Secured
or Unsecured, to companies, firms, or other parties covered in the
register maintained under Section 301 of the Companies Act 1956.
Therefore, the provisions of clause 4(iii) ((b), (c), and (d)/(f) and
(g)) of the said order is not applicable.
(iv) In our opinion and according to the information and explanation
given to us, there is adequate internal control system commensurate
with the size of the company and the nature of its business for the
purchase of fixed assets and inventory and for the sale of services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanations given to
us, we have neither come across, nor have been informed of, any
continuing failure to correct major weaknesses in the aforesaid
internal control system.
(v) a) Based on the audit procedures performed by us, we are of the
opinion that particulars of contracts or arrangements referred to in
Section 301 of the Act have been entered in the register required to be
maintained under that section.
b) The transactions made in pursuance of such contracts or arrangements
have been made at prices which are reasonable having regard to
prevailing market prices at the relevant time.
(vi) The Company has not accepted any deposits from the public.
(vii) In our opinion and as per the information and explanation given
to us, the company has an internal audit system commensurate with the
size and nature of its business.
(viii) We are informed by the management that the Central Government
has not prescribed for maintenance of Cost Records under section 209(1)
(d) of the Companies Act, 1956 for the products of the company.
(ix) a) According to the records of the Company, the undisputed
statuary dues including Provident Fund, Sales Tax, Wealth Tax, Services
Tax, Customs Duty, Excise Duty, and Cess except Income tax have
generally not been regularly deposited with the appropriate
authorities. According to the information and explanations given to us,
there are no undisputed amount payable in respect of such statutory
dues, except Income Tax for Assessment Year 08-09 Rs. 131.73 Lacs, for
Assessment year 09-10 Rs. 1,308.70 Lacs, for Assessment year 10-11 Rs.
852.06 Lacs, for the Assessment Year 11-12 Rs. 41.66 Lacs (as per ITR
or Assessment order), Tds on Salary Rs. 6.78 Lacs, Service Tax Rs. 5.31
Lacs and Provident Fund Rs. 6.71 Lacs which have remained outstanding
as at 31st March, 2012 for the period more than six months from the
date they became payable.
b) According to the information and explanations given to us, the
Company has no dues of Income Tax, Sales Tax, Wealth Tax, Services Tax,
Custom Duty, Excise Duty and Cess which have not been deposited on
account of disputes with the related authorities.
(x) The Company has no accumulated losses at the end of the financial
year, whereas, company has incurred cash losses of Rs. 1511.50 Lacs in
the current financial year.
(xi) In our opinion and according to the information and explanation
given to us the Company has defaulted in repayment of its dues to banks
and financial institutions are as follows:
Sl. Name of Institution Default in Repayment of
No. Term Loan from
Principal Interest
Amount Amount
1. Union Bank of India Rs. 619.48 Rs. 112.86
Lacs Lacs
2. Working Capital Loan Rs. 10,239.37 Rs. 1,809.45
from State Bank of Lacs Lacs
India, Union Bank
of India, Bank of
India, Indusland
Bank and Barclays
Bank
Sl. Name of Institution For the month Date of Payment
No. Term Loan from
1. Union Bank of India From May,2011 Not Yet Paid
to March, 2012
2. Working Capital Loan From Jan, 2011 Not Yet Paid
from State Bank of to March, 2012
(xii) The Company has not granted any loans or advances on the basis of
security by way of pledge of Shares, Debentures or Other Securities.
(xiii) The provisions of any Special Statute application to Chit Fund,
Nidhi or Mutual Benefit Fund/Societies are not application to the
company.
(xiv) According to the information and explanation given to us the
company is not dealing or trading in shares, securities, debentures or
other investments.
(xv) The Company has not given any guarantees for loans taken by others
from banks and financial institutions.
(xvi) The Company has not taken any term loans during the year hence
clause (xvi) of the said order is not applicable.
(xvii) 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.
(xviii) The Company has not made any preferential allotment of Equity
Shares during the year to parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
(xix) The Company has not issued any debentures during the year.
(xx) On the Basis of our examination and according to the information
and explanation given to us, no fraud, on or by the company, has been
noticed or reported during the year.
For G. L. Mangal & Associates
Chartered Accountants
Firm Registration No: 131017W
CA. Girdhari Lal Mangal
Proprietor
Membership No. 076305
Place: Mumbai
Date: 30th May, 2012
Mar 31, 2010
We have audited the attached Balance Sheet of Resurgere Mines &
Minerals India Limited as at 31st March, 2010 and also the annexed
Profit and Loss Account and Cash Flow Statement for the year ended on
that date. These financial statements are the responsibility of the
CompanyÃs Management. Our responsibility is to express an opinion on
these financial statements based on our audit.
1. We conducted our audit in accordance with auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining on a test basis, evidence supporting the amounts and
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.
2. 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, we annex hereto a statement on the matters
specified in the paragraphs 4 and 5 of the said Order.
3. 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 purpose of our
audit.
b) In our opinion, proper books of accounts as required by law have
been kept by the Company as it appears from our examination of such
books.
c) The Balance Sheet, Profit & Loss Account and the Cash Flow Statement
dealt with by this report are in agreement with the books of accounts.
d) In our opinion and to the best of our information and according to
the explanations given to us, the said Balance Sheet, the Profit and
Loss Account and the Cash Flow Statement comply with the Accounting
Standards referred to in Section 211 (3C) of the Companies Act, 1956.
e) On the basis of written representation received from the Directors
as on 31st March, 2010 and taken approval by the Board, we report that
none of the Directors is disqualified as on 31st March, 2010 from being
appointed as Directors in terms of Clause (g) of Subsection (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 together with
other notes thereon give the information required by the Companies Act
in the manner so required and give a true and fair view in conformity
with the accounting principles generally accepted in India :
i) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010 and
ii) In the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date.
iii) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Annexure to Auditors Report
Annexure referred to in Paragraph 2 of the Auditors Report to the
members of Resurgere Mines & Minerals India Limited for the year ended
31st March 2010.
As required by the Companies (Auditors Report) Order, 2003 and
amendments thereto and according to the information and explanations
given to us during the course of the audit and on the basis of such
checks of the books and records as were considered appropriate we
report that:
i) a) The Company has generally maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) As explained to us, all the assets have been physically verified by
the management in accordance with a phased programme of verification,
which in our opinion is reasonable, considering the size and the nature
of business. The frequency of verification is reasonable and no
material discrepancies have been noticed on such physical verification.
c) The Company has not disposed off any substantial part of its fixed
assets during the year.
ii) a) As explained to us, the management has conducted physical
verification of inventories during the year at reasonable intervals.
b) The procedures of physical verification of the 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 inventories and
discrepancies noticed on physical verification of inventories as
compared to book records were not material.
iii) a) The Company has granted unsecured loans to one party covered in
the register maintained under Section 301 of the Companies Act 1956.
The maximum amount outstanding during the year was ` 206.41 Lacs and
the year end balance was ` 59.08 Lacs.
b) The interest rate and other terms & conditions on which the loans
have been given are prima facie, not
prejudicial to the interest of the Company.
c) The payment of the principal amount and interest are also regular of
the said loan.
d) In view of our comments in Para (iii) (c) above, clauses 4 (iii) (d)
of the said Order are not applicable to the Company.
e) The Company has not taken unsecured loans from parties covered in
the register maintained under section 301 of the Companies Act, 1956.
f) In view of our comments in para (iii) (e) above, clause 4(iii) (f)
of the said order is not applicable.
g) In view of our comments in para (iii) (e) above, clause 4(iii) (g)
of the said order is not applicable.
iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to purchases 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 control
systems.
v) a) Based on the audit procedures performed by us, we are of the
opinion that particulars of contracts or arrangements referred to in
Section 301 of the Act have been entered in the register required to be
maintained under that section.
b) The transactions made in pursuance of such contracts or arrangements
have been made at prices which are reasonable having regard to
prevailing market prices at the relevant time.
vi) The Company has not accepted any deposits from the Public.
vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
viii) We are informed by the management that the Central Government has
not prescribed for maintenance of Cost Records under section 209(1) (d)
of the Companies Act, 1956 for the products of the Company.
ix) a) Accordingly to the records of the Company, the undisputed
statutory dues including Provident Fund, Sales Tax, Wealth Tax, Service
Tax, Customs Duty, Excise Duty, and Cess except Income Tax have
generally been regularly deposited with the appropriate authorities.
According to the information and explanations given to us, there are no
undisputed amount payable in respect of such statutory dues, except
Income Tax for Assessment year 09-10 amounting to ` 821.35 Lac, which
have remained outstanding as at 31st March, 2010 for a period more than
six months from the date they became payable.
b) According to the information and explanations given to us, the
Company has no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty and Cess which have not been deposited on
account of disputes with the related authorities.
x) The Company has no accumulated losses at the end of the financial
year and has not incurred cash losses in the current financial year and
in the immediately preceding financial year.
xi) In our opinion and according to the information and explanation
given to us the Company has not defaulted in repayment of its dues to
banks and financial institutions.
xii) The Company has not granted any loans or advances on the basis of
security by way of pledge of Shares, Debentures or Other Securities.
xiii) The provisions of any Special Statute applicable to Chit
Fund, Nidhi or Mutual Benefit Fund/ Societies are not applicable to the
company.
xiv) According to the information and explanation given to us the
company is not dealing or trading in shares, securities, debentures or
other Investments.
xv) The Company has not given any guarantees for loans taken by others
from banks and financial institutions.
xvi) The Company has applied all the amounts obtained as term loans
during the year for the purpose they were obtained.
xvii) 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.
xvii) The Company has not made any preferential allotment of Equity
Shares during the year to parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
xix) The Company has not issued any debentures during the year
xx) The Company has not made an Initial Public Offer during the year.
xxi) On the basis of our examination and according to the information
and explanation given to us, no fraud, on or by the Company, has been
noticed or reported during the year.
For Churiwala & Co.
Chartered Accountants
Firm No.: 119223 W
Mahavir Jain
Place : Mumbai Partner
Date : 28th May 2010 Membership No. 121275