Mar 31, 2015
We have audited the accompanying financial statement of SM Energy
Teknik& Electronics Ltd. ("the Company") which comprises the Balance
Sheet as at March 31,2015, the statement of Profit and Loss and Cash
flow statement for the period 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 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)
Rule,2014 (as amended). This responsibility also includes maintenance
of adequate accounting records in accordance with the provisions of the
Act for safeguarding of the assets of the Company, preventing and
detecting frauds and other irregularities; selection and application of
appropriate accounting policies; making judgements 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 require to be included in the Audit Report under the
provisions of the Act and Rules made there under. We conducted our
audit in accordance with the standards on Auditing specified under
section 143 (10) of the Act. Those standards require that we comply
with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedure to obtain audit evidence about
the amounts and disclosures in the financial statement. The procedures
selected depend on the auditors judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal financial control relevant to the Company's
preparation of the financial statements that give true and fair view in
order to design audit procedures that are appropriate in the
circumstances but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial control
system over financial reporting and the operating effectiveness of such
control . An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by the Company's Director, as well as evaluating the
overall presentation of the financial statement.
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 31,2015,
(b) In the case of the statement of Profit and Loss, of the Loss for
the period ended on that date; and © In the case of the Cash Flow
statement, of the cash flows for the period ended on that date.
Emphasis of Matter
We draw attention to Note no. 2.17 of the Financial Statements
regarding the losses incurred by the Company resulting in liability
exceeding the assets of the Company and regarding the preparation of
financial statements on a going concern basis for reasons stated
therein. Our opinion is not qualified in respect of this matter.
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, to the extent
applicable, 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 specified
under Section 133 of the Act read with Rules 7 of the Companies
(Accounts) Rules, 2014;
(e) on the basis of written representations received from the directors
as on March 31,2015, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31,2015, from being
appointed as a director in terms of Section 164 (2) of the Act; and
(f) with respect to the other matter to be included in Auditor 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 explanation given to us,
(i) The company has disclosed the impact of pending litigationon its
financial position in its financial statements- Refer Note no. 2.23.;
(ii) The Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses;
(iii) There were no amounts which were required to be transferred to
the Investor Education and Protection Fund by the Company.
ANNEXURE TO AUDITORS' REPORT
Referred to in Paragraph 1 under "Reports on Other Legal and Regulatory
Requirements" in the Independent Auditors' Report of even date to the
members of SM Energy Teknik& Electronics Limited, ('the Company') on
the Balance Sheet for the period ended as on March 31,2015 we report
that:
(i)(a) The Company has maintained proper records, showing full
particulars including quantitative details and situation of
its fixed assets.
(b) We are informed that most of the fixed assets have been physically
verified by the management during the period and that no material
discrepancies were noticed on such physical verification. In our
opinion, the frequency of such verification is reasonable having
regards to the size of the Company and nature of its assets.
(ii) The company does not have any inventory hence clause (ii) is not
applicable.
(iii) During the period the Company has not granted any
unsecured/secured loans to companies, firms or other parties covered
in the register maintained under section 189 of the Act. Therefore the
provisions of Clause 3(iii)(a) and (iii)(b) of the Order are not
applicable to the Company
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory and fixed assets and for
the sale of goods and services. During the course of our audit, No
major instance of continuing failure to correct any weakness in the
internal controls.
(v) The Company has not accepted any deposits from the public within
the meaning of Section 73, 74, 75 and 76 of the Act and the rules
framed there under to the extent notified.
(vi) We are informed that the Central Government has not prescribed
maintenance of cost records under sub-section (1) of Section 148 of the
Act for any of the products of the company.
(vii) (a) The Company is regular in depositing with appropriate
authorities undisputed statutory dues in respect of Provident
Fund, Employees' State Insurance, Income Tax, Sales Tax, Excise Duty,
Cess and any other statutory dues except the service tax.
According to the information and explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were
outstanding as at March 31,2015 for a period of more than six months
from the date of becoming payable except an amount of Rs. 289 thousand
towards Service Tax.
(b) As informed by the Management, the Company is confident for
securing relief as per explanation provided under Note No. 2.23 (a) in
case of Income Tax liability. As regards to demand in relation to
Central Excise the Company has made the application for set-off as per
applicable Foreign Trade Regulations as per explanation provided under
Note No. 2.23 (b).
(c) As per the records of the company and according to the information
and explanations given to us, no amount is required to be transferred
to Investor Education and Protection Fund(IEPF). In accourdance with
the provision of Section 205C of the Companies Act,1956 read with the
IEPF (Awareness and Protection of Investors) Rules,2001.
(viii) The accumulated losses of the Company are more than fifty
percent of its net worth. The company has not incurred cash losses
during the financial period covered by our audit and also not incurred
cash losses in the immediately preceding financial period.
(ix) According to the information and explanations given to us, the
Company has not defaulted in repayment of dues to financial institution
or banks or debenture holders.
(x) As per information and explanation given to us, the Company has not
issued any guarantees for loan taken by others from banks/financial
institutions.
(xi) No term loans were raised by the Company during the period.
(xii) In our opinion and according to the information and explanations
given to us, We have not come across any instance of fraud on or by the
company, and no fraud was noticed or reported during the year by the
management.
For Koshal & Associates
Chartered Accountants
Firm Registration No.121233W
Koshal Maheshwari
Place : Mumbai Proprietor
Dated : 27th May, 2015 Membership No. 43746
Mar 31, 2014
We have audited the accompanying financial statement of SM Energy
Teknik& Electronics Ltd. ("the Company") which comprises the Balance
Sheet as at March 31, 2014, the statement of Profit and Loss and Cash
flow statement for the year then ended and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statement 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 13th September,2013 of the Ministry of Corporate Affairs
in respect of section 133 of the CompaniesAct,2013and 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 presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whetherduetofraudor 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 materiatmisstatement.
An aud it involves perfo rm i ng proced u re to obta i n a ud it evi
den ce a bout the a mou n ts and d isclosu res in the financial
statement. The procedures selected depend on the auditors judgment,
including the assessment of the risks of material misstatement of the
financial statements, whether due to fraud or error. In making those
risk assessments, the 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 but not for the purpose of expressing an opinion on
the effectiveness of the Company''s internal control. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial statement.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion,
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India.
(a) In the case of the Balance Sheet, of the state of affairs of the
company as at March 31,2014,
(b) In the case of the statement of Profit and Loss, of the Loss for
the period ended on that date;
and
(c) Inthecaseofthe Cash Flow statement, of the cash flows for th e pe
riod ended on that date.
Emphasis of Matter
We draw attention to Note no. 2.20 of the Financial Statements
regarding the losses incurred by the Company resulting in liability
exceeding the assets of the Company and regarding the preparation
of financial statements on a going concern basis for reasons
stated therein. Our opinion is not qualified in respect of this
matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors'' Report) Order 2003, ("the
Order") issued by the Central Government of India in terms of sub-
section (4 A) 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 bythisreportareinAgreementwiththe books of acco u
nt;
(d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards notified under
the Act read with the General Circular 15/2013 dated 13th September,
2013 of the Ministry of Corporate Affairs in respect of Section 133 of
the Companies Act, 2013.
(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 Director is disqualified as on March 31,2014
from being appointed as a Director in terms of Clause (g) of sub-
section (1) of Section 274 of the Companies Act 1956.
ANNEXURE TO AUDITORS'' REPORT
Referred to in Paragraph 1 under "Reports on Other Legal and Regulatory
Requirements" in the Independent Auditors'' Report of even date to the
members of SM Energy Teknik& Electronics Limited, (the Company'') on the
Balance Sheet for the period ended as on March 31,2014 we report that;
(I) In respect of its fixed assets:-
(a) The Company has maintained proper records, showing full particulars
including quantitative details and situation of its fixed assets.
(b) We are informed that most of the fixed assets have been physically
verified by the management during the period and that no material
discrepancies were noticed on such physical verification. In our
opinion, the frequency of such verification is reasonable having
regards to the size of the Company and the nature of its assets.
(c) The Company has not disposed off a substantial part of fixed assets
during the period, (ii) In respect of inventories: -
(a) The company does not have stock of finished goods, stores, spares
and raw materials hence clause (a),(b) and (c) is not applicable. ''
iii) According to the information and explanations given to us, the
Company has neither granted nor taken any loan secured/unsecured to/
from companies, firms or other parties covered in the register
maintained under section 301 of the Companies Act, 1956. Accordingly, provisions of clauses (iii) (a) to (iii)(g) of paragraph 4 of the
Order are not applicable to the Company.
(iv) In ouropinion 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 stores, raw materials including
components, plant and machinery, equipment and other assets and for toe
sale of goods. During the course of our aud it, we have not observed
any major weaknesses in internal controls.
(v) In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of toe Companies Act, 1956 that needed to be entered in toe
register required to be maintained under that section. Accordingly
clause (v) of the Order is not applicable to the Company.
(vi) The Company has not accepted any deposits from the public within
the meaning of Section 58A and 58AA or any other relevant provisions of
the Companies Act, 1956 and toe rules framed thereunder.
(vii) In our opinion, toe Company has an internal audit system that
commensurate with the size and nature of its business.
(viii) We are informed that toe Central Government has not prescribed
maintenance of cost records under Section 209(1) (d) of the Companies
Act, 1956 for any of the products of the Company.
(ix) (a) The Company is regular in depositing with appropriate
authorities undisputed statutory dues in respect of Provident Fund,
Employees'' State Insurance, Income Tax, Sales Tax, Excise Duty, Cess
and any other statutory dues except the service tax and profession tax.
According to toe information and explanations given to us, no
undisputed amounts payable in respect of the aforesaid dues were
outstanding as at March 31,2014 for a period of more than six
months from the date of becoming payable except an amount of Rs. 315
thousand towards Service Tax and Rs. 3 thousand towards Profession Tax.
(b) As informed by toe management, toe company is confident for
securing relief as per expla n ation pro vid ed u nd er note 2.27 (a) i
n case of i ncome tax I la b il ity. As regard s to dema nd in relation
to Central Excise the company has made the application for set off as
per applicable Foreign Trade Regulation as per explanation provided
under note 2.27 (b).
(x) The accumulated losses of the Company are more than fifty percent
of its net worth. The Company has incurred cash losses during the
financial period covered by our audit and also incurred cash losses in
the immediately preceding financial period.
(xi) The Company has not defaulted in repayment of dues to financial
institution or banks or debenture holders.
(xii) In our opinion and according to the information and explanation
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/ society. Therefore, clause 4 (xiii) of the Companies
(Auditor''s Report) Order 2003, is not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4 (xiv) of the Companies (Auditor''s Report) Order
2003 are not applicable to the Company.
(xv) The Company has not given any guarantees for loans taken by others
from banks or financial institutions.
(xvi) No term loans were raised by the Company during the period.
(xvii) The Company has incurred substantial losses and all its long
term liabilities have been overdue leaving no long term resources with
the Company. Consequently the Company''s shortterm funds have been
utilized for long term purposes.
(xviii) During the period, the Company has not made any preferential
allotment of Equity shares.
(xix) The Company has not issued any debentures, so the question of
creation of securities in respect of debentures issued is not ari
se.
(xx) No public issue was made by the Company during the period.
(xxi) In ouropinion and according to toe information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the period that can have a material bearing on the financial
position of the Company.
For Koshal & Associates
Chartered Accountants
Firm Registration No. 121233W
Koshal Maheshwari
Proprietor
Membership No. 43746
Place : Mumbai
Dated : 30th May, 2014
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statement of SM Energy
Teknik & Electronics Ltd. ("the Company") which comprises the Balance
Sheet as at March 31, 2013, the statement of Profit and Loss and Cash
flow statement for the period then ended and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statement 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 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 procedure to obtain audit evidence about
the amounts and disclosures in the financial statement. The procedures
selected depend on the auditors judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures thai are appropriate in the circumstances. An ajdit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial statement
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis forourauditopinion.
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 statement of Profit and Loss, of the loss for
the period ended on that date; and
(c) In the case of the Cash Flow statement, of tne cash flows for the
period ended on that date.
Emphasis of Matter
We draw attention to Note No. 2.22 of the Financial Statements
regarding the losses incurred by the I
Company resulting it''s liability exceeding it assets and Note No. 2.21
regarding the preparation of financial statements on a going concern
basis for reasons stated therein. Our opinion is not qualified in
respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors'' Report) OTOer 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
subsection (3C) of Section 211 oftheCompaniesAct, 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 Director is disqualified as on March 31,2013
from being
Referred to in Paragraph 1 under "Reports on Gther Legal and Regulatory
Requirements" in the Independent Auditors'' Report of even date to the
members of SM Energy Teknik & Electronics Limited, (''the Company'') on
the Balance Sheet for the perioa ended as on March 31, 2013 we report
that:
(i) In respect of its fixed assets:-
(a) The Company has maintained proper records, showing full particulars
including quantitative details and situation of its fixed assets.
(b) We are informed that most of the fixed assets have been physically
verified by the management during the period and that no material
discrepancies were noticed on such physical verification. In our
opinion, the frequency of such verification is reasonable having
regards to the size of the Company and the nature of its assets.
(c) The Company has not disposed off a substantial part of fixed assets
during the period.
(ii) In respect of inventories: -
(a) The stock of finished goods, stores, spares and raw materials have
been physically verified during the year by the management. In our
opinion, the frequency of such verification is reasonable.
(b) The procedures of physical verification of stocks 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. As
explained to us, the discrepancies noticed on verification between the
physical stocks and book records were not material in relation to the
operations of the Company and the same have been properly dealt with in
the books of account.
(iii) According to the information and explanations given to us, the
Company has neither granted nor taken any loan secured/unsecured
to/from companies, firms or other parties covered in the register
maintained under section 301 of the Companies Act, 1956. Accordingly,
provisions of clauses (iii) (a) to (iii) (g) of paragraph 4 of the
Order are not applicable to the Company.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of stores, raw materials including
components, plant ana machinery, equipment and other assets and for the
sale of goods. During the course of our audit, we have not observed any
major weaknesses in internal controls.
(v) In our opinion and according to the information and explanation
given to us, there are no contracts or arrangements referred to in
section 301 of the Companies Act, 1956 that needed to be entered in the
register required to be maintained under that section. Accordingly
clause (v) of the Order is not applicable to the Company.
(vi) The Company has not accepted any deposits from the public within
the meaning of Section 58A and 58AA or any other relevant provisions of
the Companies Act. 1956 and the rules framed there under.
(Vii) The Company has an internal audit system. In our opinion the
scape of audit needs to be widened to make it commensurate with the
size of the Company and the nature of its business (Viii) We are
informed that the Central Government has not preschDed maintenance of
cost records under Section 209(1) (d) of the Companies Act, 1956 for
any of the products of the Company. (Ix) (a) The Company is not
regular in depositing wiih appropriate authorities undisputed statutory
dues in respect of Provident Fund, Employees'' State Insurance, Income
Tax, Sales Tax, Service Tax, Excise Duty, Cess and any other statutory
dues.
According to the information and explanations given to us, no
undisputed amounts payable in respect of tne aforesaid dues were
outstanding as at March 31, 2013 for a period of more than six months
from the date of becoming payable except an amount a'' Rs. 72 thousands
towards Service Tax and Rs. 3 thousands towards Professional
(b) The disputed statutory'' dues aggregating io Rs, 12,959 thousands,
that have not oner, deposited on account of matters pending before
appropriate authorities as under:-
Amount of
Dispute Period to which Forum where
Name of the Nature of (Net) (Rs
in the amounts dispute is
statute the Dues thousands) relates pending
1993 - 94 Income Tax
Appellate
Income Tax 1994 - 95 Tribunal,
Act,1961 Income Tax 10,018 1995 - 96 Mumbai
2003 - 04 CIT(A), Mumbai
Central Central
Excise 2,941 1996 - 97 Central Excise
Excise 1997 - 98 Appallate
Act, 1944 Authorities
(x) The accumulated losses of the Company are more than fifty percent
of its net worth. The Company has incurred cash losses during the
financial period covered by our audit and also incurred cash losses in
the immediately preceding financial period.
(xi) The Company has not defaulted in repayment of dues to financial
institution or banks or debenture holders.
(xii) in our opinion and according to the information and expianation
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/ society. Therefore, clause 4 (xiii) of the Companies
(Auditor''s Report) Order 2003, is not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4
(xiv) of the Companies (Auditor''s Report) Order 2003 are not applicable
to the Company. (xv) The Company has not given any guarantees for
loans taken by others from
banks orfinancial institutions.
(xvi) No term loans were raised by the Company during the year.
(xvii) The Company has incurred substantial losses and ail its long
term liabilities have been overdue leaving no long term resources with
the Company.
Consequently the Company''s short term funds have been utilized for long
term purposes.
(xviii) During the period, the Company has made preferential allotment
of 57,32,000 Equity shares to promoters and its associates.
(xix) The Company has not issued any debentures, so the question of
creation of securities in respect of debentures issued is notarise.
(xx) No public issue was made by the Company during the period.
(xxi) In our opinion and according to the information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the period that can have a material bearing on the financial
position of the Company.
For Koshal & Associates
Chartered Accountants
Firm Registration No.121233W
Koshal Maheshwari
Proprietor
Membership No. 43476
Place : Mumbai
Dated : 30th May 2013
Mar 31, 2010
Not Available