Mar 31, 2015
We have audited the attached Balance Sheet of Shree Ganesh Elastoplast
Limited as at 31st March, 2015 and the Profit and Loss Account for the
period 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.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters 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 the maintenance of
adequate accounting records in accordance with the provision of the Act
for safeguarding of the assets of the Company and for preventing and
detecting the frauds and other irregularities; selection and
application of appropriate accounting policies; making judgments and
estimates that are reasonable and prudent; and design, implementation
and maintenance of internal financial control, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing
specified under section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and 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 true and fair view in
order to design audit procedures that are appropriate in the
circumstances. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by 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;
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 profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Emphasis of Matters
We draw attention to the following matters in the Notes to the
financial statements:
a) Note 2 in the financial statement which indicates that the Company
has accumulated losses and its Net worth has been substantially eroded,
the Company has incurred a net loss / net cash loss during the current
year and previous year(s) and, however, the Company current liabilities
does not exceeded its current assets as at the balance sheet date.
These conditions, along with other matters, indicate the existence of a
material uncertainty that cast significant doubt about the Company's
ability to continue as a going concern. However, the financial
statements of the Company have been prepared on a going concern basis
and there is no doubt about the company's ability to continue as going
concern.
b) Please refer to point note 9 of Note 19 forming part of financial
statements regarding non appointment of qualified secretary as defined
under section 203 of the Companies Act, 2013
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 appears from our examination of those
books.
c) the Balance Sheet, the 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 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) The going concern matter described in sub-paragraph (a) under the
Emphasis of Matters paragraph above, in our opinion, may not have an
adverse effect on the functioning of the Company.
f) On the basis of 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.
g) With respect to the other matters included in the Auditor's Report
and to our 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 has made provision, as required under the applicable
law or accounting standards, for material foreseeable losses, if any,
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. However, the same is not applicable to the company.
Annexure to the Auditors' Report
(Referred to in paragraph 3 of our Report of even date)
(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 are physically verified by the
management according to phased program which in our opinion is
reasonable having regard to the size of the company and nature of its
assets.
Pursuant to program, a physically verification of Data processing
equipment was carried out during the period by the management and no
material discrepancies between the book records and physically
inventory have been noticed.
(ii) (a) As explained to us, the inventories have been verified by the
management at reasonable intervals during the year. In our opinion, the
frequency of such verification is reasonable having regard to the size
of the company and the nature of its business. Further, Commodities
held in demate forms are duly certified by the Regulating Authority in
lieu of physical verification.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification followed by the
management is reasonable and adequate in relation to the size of the
Company and the nature of its business.
(c) In our opinion, no material discrepancies noticed on verification
of stocks, as compared to books records.
(iii) (a) As per the information and explanations given to us, the
Company does not have any outstanding loans, secured or unsecured to
any company in which, Directors are interested granted to a company
under same management and declared sick company being the parties
covered in the Register maintained under Section 189 of the Companies
Act, 2013.
(b) During the year, Company has taken any loans, secured or unsecured
from one party covered in the Register maintained under Section 189 of
the Companies Act, 2013
(iv) In our opinion and according to the information and explanations
given to us, the company does not has formal internal auditing system.
However, looking to the size of the business, the company has
sufficient internal control system.
(v) In our opinion and according to the information and explanations
given to us, no transactions the particulars of contracts or
arrangements referred to in Section 189 of the Companies Act, 2013 need
to be entered in the Register maintained under that Section;
(vi) In our opinion and according to the information and explanations
given to us, during the period under review the Company has not
accepted any deposits from the public under the meaning of Section 73
of The Companies Act, 2013 and rules framed there under.
(vii) The company has not done internal audit.
(viii) Maintenance of cost records has not been prescribed by the
Central Government under Section 148 of the Companies Act, 2013 for the
class of companies to which the Company belongs.
(ix) (a) According to the records of the Company, statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees' Insurance, Income Tax, Sales-tax, Customs Duty, Cess, and
other statutory dues are not applicable to the company.
(b) According to the information an explanations given to us, there is
no any undisputed statutory dues payable which are outstanding as at
31st March, 2015 for a period of more than six months from the date
they became payable.
Note: The above amounts are carried forward as per certification made
by previous Auditors. No records are available with the party.
(c) The particulars of dues as at the year end, with regard to said
items, which have not been paid on account of disputes, are NIL
(x) The company has accumulated losses at the end of the Financial Year
and it has incurred cash losses in the current and immediately
preceding financial years. The company has registered for the period
more than five years and accumulated losses of the company is more than
50% of company's networth.
(xi) As per the information and explanations given to us, the Company
has not obtained any financial assistance from financial institutions
or banks and hence, the clause is not applicable.
(xii) As per the information and explanations given to us, the Company
has not granted any loan or advance on the basis of security by way of
pledge of shares, debentures and other securities.
(Xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
(xiv) The company is not dealing in or trading in shares, securities,
debentures and other investments. Accordingly, this clause in not
applicable.
(xv) As per the information given to us, the Company has not taken any
term loan or given any guarantee for loans taken by others from banks
or financial institutions.
(xvi) In our opinion and according to the information and explanations
given to us, and on the basis of overall fund flow position, we report
that company has not taken any loans during the year under review.
Therefore, the comment on its application has not been made.
(xvii) In our opinion and on and overall examination, the balance sheet
of the company, we report that no long term funds aggregating have been
used for short term purposes.
(xviii) The Company has made during the financial year under review, no
preferential allotment to parties covered in the register maintained
under Section 189 of the Companies Act, 2013
(xix) The Company has not issued any debentures during the period under
review.
(xx) The Company has not raised any money by public issue during the
period under review.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
period under review.
FOR SUNIL DAD & Co.
Chartered Accountants
SD/-
SUNIL R. DAD
Partner
M. No. 120702
Date: 25/05/2015
Place: Ahmedabad
Mar 31, 2014
We have audited the accompanying financial statements of Shree Ganesh
Elastoplast Limited, which comprise the Balance Sheet as at March 31,
2014, and 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
The Company''s 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. 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 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, subject to the following: NIL
The financial statements give the information required by the Act in
the manner so required and give a true and fair view in conformity with
the accounting principles generally accepted in India:
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
b) In the case of the Profit and Loss Account, of the profit/ loss for
the year ended on that date;
And
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003, issued
by the Central Government of India in terms of sub-section (4A) of
section 227 of the Act, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
2. 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 of the Companies Act, 1956;
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.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Shree Ganesh Elastoplast Limited on the accounts 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 its 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) In our opinion and according to the information and explanations
given to us, no fixed asset has been disposed during the year and
therefore does not affect the going concern assumption.
2. (a) As explained to us, inventories have been physically verified
during the year by the 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 the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3. (a) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not given any loan to any party covered in the Register maintained
under section 301 of Companies Act, 1956. Hence this clause is not
applicable (b) According to the information and explanations given to
us and on the basis of our examination of the books of account, the
Company has taken loans from one party listed in the register
maintained under Section 301 of the Companies Act, 1956 amounting to
Rs. 138.67 Lacs. The Outstanding amount at the year end amounts to Rs.
21.75 Lacs.
4. In our opinion and according to the information and explanations
given to us, there is formal internal control procedure commensurate
with the size of the company and the nature of its business, for the
purchase of inventories & fixed assets and payment for expenses & for
sale of goods. However looking to the size of Business, the company has
sufficient Internal Control System. During the course of our audit, no
major instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
5. a) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, the
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) As per information & explanations given to us and in our opinion,
the transaction entered into by the company with parties covered u/s
301 of the Act, in case where it exceeds five lacs rupees in a
financial year, seems to be reasonable as compared to the market
comparison.
6. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
7. The company has yet not set up internal audit system.
8. As per information & explanation given by the management,
maintenance of cost records has been prescribed by the Central
Government under clause (d) of sub-section (1) of section 209 of the
Act and we are of the opinion that prima facie the prescribed accounts
and records have been made and maintained.
9. (a) According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2014 for a period of more than six months from the date they
became payable.
(b) According to the information and explanations given to us, the
undisputed statutory dues payable which are outstanding as at 31st
March, 2014 for the period more than six months from the date they
became payable.
Name of the Nature of the Amount Other particulars
statue dues (Rs.)
Central Sales Tax Sales Tax 1,92,882 Period: Earlier Years
Due date: Not
ascertainable
Date of payment: Not
paid
Central Sales Tax Sales Tax 1,23,594 Period: Earlier Years
Due date: Not
ascertainable
Date of payment: Not
paid
Note: The above amounts are carried forward as per certification made
by previous Auditors. No records are available with the party.
10. The Company has accumulated loss at the end of the Financial Year
and it has incurred cash loss during the current financial year covered
by our audit and in the immediately preceding financial year. The
company has registered for the period more than five years and
accumulated losses of the company is more than 50% of company''s
networth.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
12. According to the 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 Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
14. According to information and explanations given to us, the Company
is trading in Shares, Mutual funds & other Investments. Proper records
& timely entries have been maintained in this regard & further
investments specified are held in their own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
16. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
17. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2014, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
19. The Company has no outstanding debentures during the period under
audit.
20. The Company has not raised any money by public issue during the
year.
21. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For Sunil Dad & Co.
Chartered Accountants
SD/-
Praveen Toshniwal
(Partner)
Membership No. : 121017
Place: Ahmedabad
Date: 19th May, 2014
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Shree Ganesh
Elastoplast Limited, which comprise the Balance Sheet as at March 31,
2013, and 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
The Company''s 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. 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 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, subject to the following:
a) Information regarding outstanding liability of Small Scale
Industries, required to be disclosed as per Notification No. GSR 129(E)
dated 22nd February, 1999 issued by the department of Company Affairs,
Ministry of Law, Justice and Company Affairs, has not been disclosed
for want of details.
b) No provision has been made in books of account for Retirement
Benefit of employees as per Accounting Standard  15. Liability of the
same not determined
c) No provision has been made in books of account for deferred taxation
as per Accounting Standard  22.
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 profit/ loss for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003, issued
by the Central Government of India in terms of sub- section (4A) of
section 227 of the Act, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
2. 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 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.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Shree Ganesh Elastoplast Limited on the accounts 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 its 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) In our opinion and according to the information and explanations
given to us, no fixed asset has been disposed during the year and
therefore does not affect the going concern assumption.
2. (a) As explained to us, inventories have been physically verified
during the year by the 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 the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3. (a) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
outstanding loans, secured or unsecured, amounting to Rs. 1, 03, 99,
969/- (Including Interest Receivable on Loans as per Books) one company
in which, Directors are interested granted to a company under same
management and declared sick company being the parties covered in the
Register maintained under section 301 of Companies Act, 1956. No
interest has been charged on above said loan since 01/04/2008 as per
the accounting practice followed by the company. As the said loan has
become doubtful of recovery, the principal as well as interest charged
in the books upto 01/04/1998 has become prejudicial to the interest of
the company. The said amount has been written off as bed debt and not
recoverable. Consequently, the provisions of clauses iii (b), iii(c)
and iii (d) of the order are applicable to the Company.
(b) According to the information and explanations given to us and on
the basis of our examination of the books of account, the
Company has taken loans from companies, firms or other parties listed
in the register maintained under Section 301 of the Companies Act, 1956
amounting to Rs. 40.84 Lacs. The Outstanding amount at the year end
amounts to Rs. 11.04 Lacs.
4. In our opinion and according to the information and explanations
given to us, there is no formal internal control procedure commensurate
with the size of the company and the nature of its business, for the
purchase of inventories & fixed assets and payment for expenses & for
sale of goods. However looking to the size of Business, the company has
sufficient Internal Control System. During the course of our audit, no
major instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
5. a) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, the
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) As per information & explanations given to us and in our opinion,
the transaction entered into by the company with parties covered u/s
301 of the Act does not exceeds five lacs rupees in a financial year
therefore requirement of reasonableness of transactions does not
arises.
6. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
7. The company has yet not set up internal audit system.
8. As per information & explanation given by the management,
maintenance of cost records has been prescribed by the Central
Government under clause (d) of sub-section (1) of section 209 of the
Act and we are of the opinion that prima facie the prescribed accounts
and records have been made and maintained.
9. According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2012 for a period of more than six months from the date they
became payable.
Note: The above amounts are carried forward as per certification made
by previous Auditors. No records are available with the party.
10. The Company has accumulated loss at the end of the Financial Year
and it has incurred cash loss during the current financial year covered
by our audit and in the immediately preceding financial year. The
company has registered for the period more than five years and
accumulated losses of the company is more than 50% of companies Net
worth.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
12. According to the 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 Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
14. According to information and explanations given to us, the Company
is trading in Shares, Mutual funds & other Investments. Proper records
& timely entries have been maintained in this regard & further
investments specified are held in their own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
16. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
17. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2012, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
19. The Company has no outstanding debentures during the period under
audit.
20. The Company has not raised any money by public issue during the
year.
21. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For, Sunil Dad & Co.,
Chartered Accountants
(Praveen Toshniwal)
Partner
M. No. 121017
Place: Ahmedabad
Date: 30.05.2013
Mar 31, 2012
1. We have audited the attached Balance Sheet of Shree Ganesh
Elastoplast Limited as at 31st March, 2012 and the Profit and Loss
Account for the period 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 the 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 misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003 as
amended by the Companies (Auditor's Report) Amended order 2004, issued
by the Government of India in terms of sub-section (4A) of section 227
of the Companies Act, 1956, and on the basis of such checks as we
considered appropriate and according to the information and explanation
given to us, we enclose in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to above, we
report that :
(a) we have obtained all the information and explanations which, to the
best of our knowledge and belief, were necessary for the purposes of
our audit;
(b) in our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
(c) the Balance Sheet and the Profit and Loss Account dealt with by
this report are in agreement with the books of account;
(d) in our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by this report comply with the Accounting Standards referred
to in sub-section (3C) of Section 211 of the Companies Act, 1956;
(e) On the basis of written representations received from the directors
of the Company as on 31st March, 2012 and taken on record by the Board
of Directors, none of the Directors of the Company is disqualified from
being appointed as a Director in terms of clause (g) of sub- section
(1) of section 274 of the Companies Act, 1956;
5. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
significant accounting policies and notes to the accounts, subject to
the following:
a) Information regarding outstanding liability of Small Scale
Industries, required to be disclosed as per Notification No. GSR 129(E)
dated 22nd February, 1999 issued by the department of Company Affairs,
Ministry of Law, Justice and Company Affairs, has not been disclosed
for want of details.
b) No provision has been made for doubtful debts/loans & advances
aggregating to Rs. 1,89,60,309/-.
c) Non provision of obsolete stock of Rs. 12,30,000/-
give the information required by the Companies Act, 1956 in the manner
so required and gives 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 2012; and
(ii) in the case of the Profit and Loss Account, of the losses of the
Company for the period ended on that date.
(iii) in case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Annexure to the Auditors' Report
(Referred to in paragraph 3 of our Report of even date)
(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 are physically verified by the
management according to phased program designed to cover all the items
once in period of three years which in our opinion is reasonable having
regard to the size of the company and nature of its assets. Pursuant to
program, a physically verification of Data processing equipments and
vehicles was carried out during the period by the management and no
material discrepancies between the book records and physically
inventory have been noticed.
(c) The Company has not disposed of any substantial part of its fixed
assets during the period as would affect its going concern status.
(ii) (a) As explained to us, the inventories (also which are in
dematerialized form) have been physically verified by the management at
reasonable intervals during the year. In our opinion, the frequency of
such verification is reasonable having regard to the size of the
company and the nature of its business.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification followed by the
management is reasonable and adequate in relation to the size of the
Company and the nature of its business.
(c) In our opinion, no material discrepancies noticed on physical
verification of stocks, as compared to books records.
(iii) (a) As per the information and explanations given to us, the
Company has outstanding loans, secured or unsecured, amounting to Rs.
1,03,99,969/- (including interest receivable on loans as per books) to
one company in which, Directors are interested granted to a company
under same management and declared sick company being the parties
covered in the Register maintained under Section 301 of the Companies
Act, 1956. No interest has been charged on above said loan since
01/04/2008 as per the accounting practice followed by the company. As
the said loan has become doubtful of recovery, the principal as well as
interest charged in books upto 01/04/1998 has become prejudicial to the
interest of the company.
(b) During the year, Company has taken loans, secured or unsecured,
amounting to Rs. 24,11,845/- from one party covered in the Register
maintained under Section 301 of the Companies Act, 1956.
(iv) In our opinion and according to the information and explanations
given to us, the question of comment on internal control does not
arises in view of suspension of activities by company.
(v) In our opinion and according to the information and explanations
given to us, no transactions the particulars of contracts or
arrangements referred to in Section 301 of the Companies Act, 1956 need
to be entered in the Register maintained under that Section;
(vi) In our opinion and according to the information and explanations
given to us, during the period under review the Company has not
accepted any deposits from the public under the meaning of Section 58A
and 58AA of The Companies Act, 1956 and rules framed there under.
(vii) The company has yet not set up internal audit system. Further,
there was no activity conducted during the year under review.
(viii) Maintenance of cost records has not been prescribed by the
Central Government under clause (d) of sub-section (1) of Section 209
of the Companies Act, 1956 for the class of companies to which the
Company belongs.
(ix) (a) According to the records of the Company, statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees' Insurance, Income Tax, Sales-tax, Customs Duty, Cess, and
other statutory dues are not applicable to the company.
(b) According to the information an explanations given to us, the
undisputed statutory dues payable which are outstanding as at 31st
March, 2012 for a period of more than six months from the date they
became payable.
Name of the statue Nature of the Amount Other particulars
dues (Rs.)
Central Sales Tax Sales Tax 192882 Period: Earlier Years
Due date: Not ascertainable
Date of payment: Not paid
Central Sales Tax Sales Tax 123594 Period: Earlier Years
Due date: Not ascertainable
Date of payment: Not paid
(c) The particulars of dues as at the year end, with regard to said
items, which have not been paid on account of disputes, are NIL
(x) The company has accumulated losses at the end of the Financial Year
and it has incurred cash losses in the current and immediately
preceding financial years. However, the accumulated losses of the
company does not exceed its share capital as at the end of the
financial year.
(xi) As per the information and explanations given to us, the Company
has not obtained any financial assistance from financial institutions
or banks and hence, the clause is not applicable.
(xii) As per the information and explanations given to us, the Company
has not granted any loan or advance on the basis of security by way of
pledge of shares, debentures and other securities.
(Xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
(xiv) The company is not dealing in or trading in shares, securities,
debentures and other investments. Accordingly, this clause in not
applicable.
(xv) As per the information given to us, the Company has not taken any
term loan or given any guarantee for loans taken by others from banks
or financial institutions.
(xvi) In our opinion and according to the information and explanations
given to us, and on the basis of overall fund flow position, we report
that company has not taken any loans during the year under review.
Therefore, the comment on its application has not been made.
(xvii) In our opinion and on and overall examination, the balance sheet
of the company, we report that long term funds aggregating have been
used for short term purposes as well as financing losses.
(xviii) The Company has made during the financial year under review, no
preferential allotment 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 period under
review.
(xx) The Company has not raised any money by public issue during the
period under review.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
period under review.
FOR SUNIL DAD & Co.
Chartered Accountants
SD/-
PRAVEEN TOSHNIWAL
Partner
Mem. No. 121017
Place : Ahmedabad
Date : 16.07.2012
Mar 31, 2010
1. We have audited the attached Balance Sheet of Shree Ganesh
Elastoplast Limited as at 31st March, 2010 and the Profit and Loss
Account for the period ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with the 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 misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 as
amended by the Companies (Auditors Report) Amended order 2004, issued
by the Government of India in terms of sub-section (4A) of section 227
of the Companies Act, 1956, and on the basis of such, checks as we
considered appropriate and according to the information and explanation
given to us, we enclose in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to above, we
report that :
(a) we have obtained all the information and explanations which, to the
best of our knowledge and belief, were necessary for the purposes of
our audit;
(b) in our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
(c) the Balance Sheet and the Profit and Loss Account dealt with by
this report are in agreement with the books of account;
(d) in our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by this report comply with the Accounting Standards referred
to in sub-section (3C) of Section 211 of the Companies Act, 1956;
(e) On the basis of written representations received from the directors
of the Company as on 31st March, 2010 and taken on record by the Board
of Directors, none of the Directors of the Company is disqualified from
being appointed as a Director in terms of clause (g) of sub- section
(1) of section 274 of the Companies Act, 1956;
5. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
significant accounting policies and notes to the accounts , subject to
the following:
Information regarding outstanding liability of Small Scale Industries,
required to be disclosed as per Notification No. GSR 129(E) dated 22nd
February, 1999 issued by the department of Company Affairs, Ministry of
Law, Justice and Company Affairs, has not been disclosed for want of
details.
b) No provision has been made for doubtful debts I loans & advances
aggregating to Rs. 1,89,60309/-.
c) Acquisition of shares in earlier year of a company being sick
company under the same management for Rs. 28,30,459/-.
d) Non provision of obsolete stock of Rs. 12,30,000/- as well as
diminution in value of shares Rs. 42,46,459/-.
give the information required by the Companies Act, 1956 in the manner
so required and gives 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 losses of the
Company for the period ended on that date.
(iii) in case of the Cash Flow Statement, of the cash flows for the
yearended on that date.
Annexure to the Auditors Report
(Referred to in paragraph 3 of our Report of even date)
(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 are physically verified by the
management according to phased program designed to cover all the items
once in period of three years which in our opinion is reasonable having
regard to the size of the company and nature of its assets. Pursuant to
program, a physically verification of Data processing equipments and
vehicles was carried out during the period by the management and no
material discrepancies between the book records and physically
inventory have been noticed.
(c) The Company has not disposed of any substantial part of its fixed
assets during the period as would affect its going concern status.
(ii) (a) As explained to us, the inventories (also which are in
dematerialized form) have been physically verified by the management at
reasonable intervals during the year. In our opinion, the frequency of
such verification is reasonable having regard to the size of the
company and the nature of its business.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification followed by the
management is reasonable and adequate in relation to the size of the
Company and the nature of its business.
(c) In our opinion, no material discrepancies noticed on physical
verification of stocks, as compared to books records.
(iii) (a) As per the information and explanations given to us, the
Company has granted loans, secured or unsecured, amounting to Rs.
1,03,99,969/- (including interest receivable on loans as per books) to
one company in which, Directors are interested granted to a company
under same management and declared sick company being the parties
covered in the Register maintained under Section 301 of the Companies
Act, 1956. No interest has been charged on above said loan since
01/04/2008 as per the accounting practice followed by the company. As
the said loan has become doubtful of recovery, the principal as well as
interest charged in books upto 01/04/1998 has become prejudicial to the
interest of the company.
(b) During the year, Company has not taken loans, secured or unsecured,
from companies, firms or other parties covered in the Register
maintained under Section 301 of the Companies Act, 1956.
(iv) In our opinion and according to the information and explanations
given to us, the question of comment on internal control does not
arises in view of suspension of activities by company.
(v) In our opinion and according to the information and explanations
given to us, no transactions the particulars of contracts or
arrangements referred to in Section 301 of the Companies Act 1956 need
to be entered in the Register maintained under that Section;
(vi) In our opinion and according to the information and explanations
given to us, during the period under review the Company has not
accepted any deposits from the public under the meaning of Section 58A
and 58AA of The Companies Act, 1956 and rules framed there under.
(vii) The company has yet not set up internal audit system. Further,
there was no activity conducted during the year under review.
(viii) Maintenance of cost records has not been prescribed by the
Central Government under clause (d) of sub-section (1) of Section 209
of the Companies Act, 1956 for the class of companies to which the
Company belongs.
(ix) (a) According to the records of the Company, statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees Insurance, Income Tax, Sales-tax, Customs Duty, Cess, and
other statutory dues are not applicable to the company.
(b) According to the information an explanations given to us, the
undisputed statutory dues payable which are outstanding as at 31st
March, 2010 for a period of more than six months from the date they
became payable.
Name of the statue Nature of Amount (Rs.) Other particulars
the dues
Central Sales Tax Sales Tax 192882 Period: Earlier Years
Due date: Not
ascertainable
Date of payment: Not
paid
Central Sales Tax Sales Tax 123594 Period: Earlier Years
Due date: Not
ascertainable
Date of payment: Not
paid
(c) The particulars of dues as at the year end, with regard to said
items, which have not been paid on account of disputes, are NIL
(x) The company has accumulated losses at the end of the Financial Year
and it has incurred cash losses in the current and immediately
preceding financial years. However, the accumulated losses of the
company does not exceed its share capital as at the end of the
financial year.
(xi) As per the information and explanations given to us, the Company
has not obtained any financial assistance from financial institutions
or banks and hence, the clause is not applicable.
(xii) As per the information and explanations given to us, the Company
has not granted any loan or advance on the basis of security byway of
pledge of shares, debentures and other securities.
(Xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
(xiv) The company is not dealing in or trading in shares, securities,
debentures and other other investments. Accordingly, this clause in
not applicable.
(xv) As per the information given to us, the Company has not taken any
term loan or given any guarantee for loans taken by others from banks
or financial institutions.
(xvi) In our opinion and according to the information and explanations
given to us, and on the basis of overall fund flow position, we report
that company has not taken any loans during the year under review.
Therefore, the comment on its application has not been made.
(xvii) In our opinion and on and overall examination, the balance sheet
of the company, we report that long term funds aggregating to Rs.
4,43,77,281/- have been used for short term purposes as well as
financing losses.
(xviii) The Company has made during the financial year under review, no
preferential allotment 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 period under
review.
(xx) The Company has not raised any money by public issue during the
period under review.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
period under review.
FOR SUNIL DAD & Co.
Chartered Accountants
SUNIL R. DAD
Partner
Mem. No. 120702
Place: Ahmedabad
Date : 31.05.2010