Home  »  Company  »  SMS Techsoft (India)  »  Quotes  »  Auditor Report
Enter the first few characters of Company and click 'Go'

Auditor Report of SMS Techsoft (India) Ltd.

Mar 31, 2014

We have audited the accompanying financial statements of M/s. SMS Techsoft (India) 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

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 have 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 tte Act in the manner so refiUired and give 2 true and fair view m 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 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 Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 as amended by the companies ("Auditor''s Report) (Amendment) order, 2004 (together 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 Balan^jSSpirK^tatement 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 read together 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.

Annexure to the Auditor''s Report

(Referred to in paragraph (1) of our report of even date)

1. (a) Fixed Assets register is under compilation.

(b) We are informed by the management that they have verified the fixed assets during the year. However, in absence of proper fixed assets register, material discrepancies if any, could not be noticed between physical verification and book records. Hence, the fixed assets as appearing in

books of account are carried in financial statements,

(c) The Company has not disposed off any major part of the fixed assets during the year and as such the going concern concept is not affected.

2. (a) As explained to us, the inventory have been physically verified during the

year by the management. 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 inventory 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 according to the information and explanations given to us, the company has maintained proper records of inventory and the discrepancies noticed on such physical verification between physical stocks and book records were not material and have been adequately dealt with in the books of account respect of loans, secured or unsecured, granted or taken by the company to or ygp" fro mCompanies, firms or other parties covered in the register maintained under c/ of the Companies Act, 1956:

(a) The company has not granted loans to any party hence paragraphs 4(iii) (a), (b),

(c), and (d) of Company (Auditors'' Report) Order, 2003 are not applicable to the company.

(b) The company has taken unsecured loan which are repayable on demand and therefore the question of overdue does not arise.

(c) In our opinion, the rate of interest and other terms and conditions of such loans taken by the company, are prima facie not prejudicial to the interest of the company. The principal amount is repayable / repaid by the company as agreed in contract

4. in our opinion and according to the information and explanations given to US, there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchase of inventory, fixed assets and for the sale of goods. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

5. In respect of contracts or arrangements referred to in Section 301 of the Companies Act, 1956:

(a) On the basis of audit procedure performed by us, and according to the information and explanation given to us, we are of the opinion that there were no transaction in which directors were interested as contemplated under Section 297 and sub section (6) of Section 299 of the companies act 1956 and so question of making entries in the register maintained under section301 of the said act, does not arise.

(h) There were no transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956 and aggregating during the year to Rupees five lakhs or more in respect of each party, so the question of making entries in the register maintained u/s 301 does not arise.

6. The company has not accepted any deposits under section 58A of the companies act, 1956 read along with the companies (Acceptance of deposits) Rules, 1973 and the directive issued by the Reserve Bank of India.

7. The company had an internal audit system during the year.

8. The 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.

9. According to the information and explanations given to us no disputed amounts payable in respect of Income Tax, Sales tax, Custom duty and Excise duty were outstanding as at 31st March, 2014.

10. The Company has accumulated losses but incurred profit both at the end Of the financial year and in the immediately proceding year

11. In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to banks. The company has not obtained any borrowings from financial institutions or by way of debentures.

12. The Company has not granted loans & advances on the basis of security by way of pledge of shares and debentures and other securities.

13. The Company is not a chit fund / Nidhi / Mutual benefit fund / society to which the^ provisions of special statute relating to chit fund are applicable and hence paragraph 4(xiii) of the Order is not applicable.

14. The Company is not dealing in or trading in shares, securities, debentures, and other investments and hence paragraph 4(xiv) of the order is not applicable.

15. The Company has not given guarantee for loans taken by others from bank or financial institutions.

16. The company has not obtained any term loan during the year.

17. According to the information and explanation given to us and on overall examination of the financial statements of the company and after placing reliance on the reasonable assumption made by the company for classification of long term and short term usage''s of funds, we are of the opinion that, prima-facie, long term funds have not been utilized for short term.

18. During the year, the company has not made preferential allotment of shares to parties and companies covered in register maintained under section 301 of the companies Act 1956.

10. During the year, the company has not issued any debentures and hence paragraph A (xix) of the order is not applicable,

20. During the year, the company has not raised any money by way of public issue and hence paragraph 4(xx) of the Order is not applicable.

21. To the best of our knowledge and belief and according to the information and explanation given to us, no fraud on or by the company was noticed or reported during the year.

PLACE: Ahmedabad For, M/s. K R Shah & Associates DATE: 29/05/2014 Chartered Accountants

Mr.K R Shah (Proprietor) Membership No.034632


Mar 31, 2013

Report on the Financial Statements

We have audited the accompanying financial statements of M/s SMS Techsoft (India) Limited which comprise the Balance Sheet as at March and the statement of profit and loss and cash flow statement for the year then ended and a summary of signification 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 position financial position financial performance and flows of the company in accordance with the Accounting standers referred to in-section (3c) of section 211 of the companies Act,1956 This responsibility includes the design implementation and maintenance of internal 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.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements The procedures selected depend on the auditors judgment including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the company preparation and fair presentation of the financial statements in order to design audit evaluating the appropriateness of accounting policies used and the reasonable 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 principle 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 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;

Report on other legal and Regulatory Requirements

1. As required by the companies (Auditor''s Report) order 2003 as amended by the companies ("Auditor''s Report) Amendment order 2004 (together 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 read together 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) do sub-section (1) of section 274 companies Act,1956.

On the basis of such checks as we considered appropriate and the terms of the information and explanations given to us we state that;

1. (a) the company has maintained proper records showing full particulars including quantitative and situation of fixed assets.

(b) As explained to us fixed assets are not physically verified by the management at reasonable intervals in a phased verification program which in our opinion is not reasonable looking to the size of the company and the nature of its business.

(c) In our opinion the company has not disposed off any substantial part of its fixed assets so as to effect in it going concern.

2. The company does not hold any stocks of finished goods stores spare parts work in progress or raw materials Hence the question of physical verification reconciliation maintenance or records discrepancies or valuation does not arise.

3. In respect of loans secured or unsecured granted or taken by the company to from chamomiles firms or other parties covered in the register maintained under section 301 of the companies Act,1956.

(a) The company has not granted or taken any loans secured or unsecured to companies firms or other parties cover in the register maintained under section 301 of the companies Act,1956 during the year.

(b) In our opinion and according to the information and given to us the rate of interest whenever applicable and other terms and conditions in respect of loans given taken by the company are not prima facial prejudicial to the interest of the company.

(c) In respect of loans taken by the company these are repayable on demand and therefore the question of overdue amounts does not arise.

4. In our opinion and according to the information and given to us there are adequate internal control procedures commeasure with the size of company and the nature of its business with regard to purchase to inventory fixed assets and for goods during the course of audit no major weakness in internal control had come to notice.

5. (a) On the basis of the audit procedure performed by us and according to the information and explanations given and representations given to us we are of the opinion that there were no transfer in which directors were interested as companies Act,1956 and so question of making entries in the register maintained under section 301 of the said Act, does not arise.

(b) In our opinion and according to the information and explanations given to us there were no transactions made in pursuance of contracts or arrangements exceeding the value of rupees five lacs during the year so the question of making entries in the Register maintained u/s 301 do not arise.

6. The company has not accepted any deposit from public cover u/s 58A of the companies Act. 1956 read along with companies (Acceptance of deposits) rules 1973 and the directors issued by the Reserve Bank of India.

7. The company has on internal audit system commensurate with the size and nature of its business.

8. The 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.

9. According to the information and explanations given to us no disputed amounts payable in respect in income Tax sales tax custom duty and excise duty were outstanding as at 31st March 2013 except the following.

10. The company has accumulated losses but incurred profit both at the end of the financial year and in the immediately preceding year.

11. On the basis of the records examined by us the information and explanation given to us the company has not defaulted in payment of dues to financial institutions banks or debenture holders.

12. As examined to us the company has not granted any loans or advances on the basis of security by way of pledge of shares debentures or any other.

13. In our opinion the company is not a chit fund or a nidhi fund mutual benefit fund/society Therefore clause 4 (iii) of the companies (Auditor''s) Report order 2003 is not applicable.

14. In our opinion and according to the information and explanation given to us the company is not dealing in or trading is report of shares securities debentures and other investments According to the provision of clause 4 (xiv) of the companies (Auditor Report) order 2003 are not applicable to the company.

15. According to the information and explanation given to us and the representations made by the management the company has not given any guarantee for loans taken by others from any bank or financial institution.

16. The company has not raised any term loan during the year under review.

17. According to the information and explanation given to us and on overall examination of the financial statement of the company and after placing reliance on the reasonable assumption made by the company that prima-facie ling term funds have not been utilized for short term purposes.

18. The companies have not made preferential allotment during the year.

19. The company has not issued any debentures.

20. The company has not issued any money by way of public issue during the year.

21.According to the information and explanation given to us and to the best of our knowledge and benefit no fraud on or by the company has been notice or by the company during the year that clause the financial statements to be materially misstated.

PLACE: AHMEDABAD For K R Shah & Associates

DATE : 30/05/2013 Chartered Accountants

sd/-

Mr,K R Shah

(Proprietor)

Membership No.34612


Mar 31, 2012

We have audited the attached Balance Sheet of SMS TECHSOFT (INDIA) LIMITED [Formerly known as AKL Soft & Infosys (India) Limited], as at 31st March, 2012 together with the Profit & Loss Account and 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.

We conducted out 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 check 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.

As required by the Companies (Auditor's Report) Order, 2003, issued by the Central Government of India in terms of the Section 227 (4A) of the Companies Act, 1956, we give in the annexure a statement on the matters specified in paragraph 4 & 5 of the said order.

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 so far as it appears from our examination of books of accounts.

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, Profit & Loss Account and Cash Flow statement dealt with this report are in compliance with the accounting standards referred to in Section 211 (3C) of the companies Act, 1956.

e. On the basis of written representations received from the directors as on 31st March, 2012 and taken on records by the Board of Directors, we report that none of the directors of the company are disqualified from being appointed as directors of the company under clause (g] of sub-section (1] of section 274 of the companies Act, 1956.

f. In our opinion and to the best of our information and according to the explanation given to us, the said accounts read together with the Significant Accounting Policy and Notes thereto give the information required by the Companies Act, 1956, in the manner so required and give a true & 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 on 31st March, 2012;

(ii) In the case of the statement of Profit & Loss, Accounts 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 REFERRED TO IN PARAGRAPH 3 OF OUR AUDITORS REPORT OF EVEN DATE OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st MARCH. 2012

On the basis of such checks as we considered appropriate and the terms of the information and explanations given to us, we state that:

1. (a) The Company has maintained proper records showing full particulars including quantitative and situation of fixed assets.

(b) As explained to us fixed assets are not physically verified by the management at reasonable intervals in a phased verification program, which in our opinion is not reasonable looking to the size of the company and the nature of its business.

(c) In our opinion, the company has not disposed off any substantial part of its fixed assets so as to effect in it going concern.

2. The Company does not hold any stocks of finished goods, stores, spare parts, work-in-progress or raw materials. Hence the question of physical verification, reconciliation, maintenance or records, discrepancies or valuation does not arise.

3. In respect of loans, secured or unsecured, granted or taken by the company to from companies, firms, or other parties covered in the register maintained under Section 301 of the Companies Act, 1956.

(a) The company has not granted or taken any loans secured or unsecured to companies, firms or other parties cover in the register maintained under Section 301 of the Companies Act, 1956 during the year.

(b) In our opinion and according to the information and given to us, the rate of interest, whenever applicable and other terms and conditions in respect of loans given taken by the company are not prima facie prejudicial to the interest of the company.

(c) In respect of loans taken by the company, these are repayable on demand and therefore the question of overdue amounts does not arise.

4. In our opinion and according to the information and given to us, there are adequate internal control procedures commensurate with the size of company and the nature of its business with regard to purchase of inventory, fixed assets and for sale of goods. During the course of audit, no major weakness in internal control had come to notice.

5. (a) On the basis of the audit procedure performed by us, and according to the information and explanations given and representations given to us, we are of the opinion that, there were no transactions in which directors were interested as contemplated under Section 297 and sub- section (6) of Section 299 of the Companies Act, 1956 and so question of making entries in the register maintained under Section 301 of the said Act, does not arise.

(b) In our opinion and according to the information and explanations given to us, there were no transactions made in pursuance of contracts or arrangements exceeding the value of rupees five lacs during the year, so the question of making entries in the Register maintained u/s 301, do not arise.

6. The company has not accepted any deposit from public cover u/s 58A of the Companies Act 1956 read along with companies (Acceptance of deposits) rules 1973 and the directive issued by the Reserve Bank of India.

7. The Company has an internal audit system commensurate with the size and nature of its business.

8. The 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.

9. According to the- information and explanations given to us no disputed amounts payable in respect of Income Tax, Sales tax, Custom duty and Excise duty were outstanding as at 31st March, 2012 except the following:

10. The Company has accumulated losses but incurred profit both at the end of the financial year and in the immediately preceding year.

11. On the basis of the records examined by us and the information and explanation given to us, the company has not defaulted in payment of dues to financial institutions, banks or debenture holders.

12. As examined to us, the Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures, or any other securities.

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

14. In our opinion and according to the information and explanation given to us, the Company is not dealing in or trading is respect of shares, securities debentures and other investments. According to the provision of clause 4 (xiv) of the companies (Auditor Report) order 2003 are not applicable to the company.

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

16. The company has not raised any term loan during the year under review.

17. According to the information and explanation given to us and on overall examination of the financial statements of the company and after placing reliance on the reasonable assumption made by the company for classification of long term and short term usage's of funds, we are of the opinion that, prima-facie, long term funds have not been utilized for short term purposes.

18. The companies have made preferential allotment of 3,00,00,000 shares of parties and companies covered in the register maintained u/s 301 of the ' Companies Act, 1956.

19. The Company has not issued any debentures.

20. The Company has not issued any money by way of public issue, during the year.

21. According to the i'nformation and explanation given to us, and to the best of our knowledge and benefit, no fraud on or by the Company, has been noticed or by the company, during the year that clauses the financial statements to be materially misstated.

For Ashit T. Macwan

Chartered Accountants

Place: Ahmedabad (Ashit T. Macwan)

Date: 01/09/2012 Proprietor

Mem No. 107891


Mar 31, 2010

We have audited the attached Balance Sheet of AKL Soft & Infosys (India) Limited. Coimbtore as at 31st March, 2010 together with the Profit & Loss Account for the year ended on that date annexed there to and report that :

We conducted out 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 check basis, evidence supporting the amounts and disclosures made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

1. As required by the Manufacturing and other Companies (Auditors Report) Order. 1988, issued by the Central Government in terms of the Section 227 (4A) of the Companies Act, 1956, we give in the annexure a statement on the matters specified in paragraph 4 & 5 of the said order.

2. Further to our comments in the annexure referred to in paragraph 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 it appears from our examination of books of accounts.

c. In our opinion the Balance Sheet and Profit & Loss Account are drawn up in accordance with the accounting standards referred to in Section 211 (3C) of the companies Act, 1956.

d. The Balance Sheet and Profit & Loss Account dealt with by this report are in agreement with the books of accounts subject to recoverability of loans and advances amounting to Rs. 76.24.830/- and Sundry Debtors amounting to Rs. 14,19.972 - which in our opinion not recoverable, the loss is unders'ated to the extent of Rs. 90,44,802'- and the said accounts together with Accounting Policies and not give the information required by the Companies Act, 1956 in the manner so required and the Balance Sheet gives a true and fair of the state of the Company's affairs as to 31st March, 2010 and the Profit & Loss Account gives a true and fair view of the loss for the year ended on that date.

e. On the basis of written representations received from the directors and taken on records by the Board of Directors we report that none of the directors of the company are disqualified from being appointed as directors of the company under clause (g) of sub-section (I) of section 274 of the companies Act. 1956.

f. In our opinion and to the best of our information and according to the explanation given to us the said accounts subject to the notes thereon gives the information required and gives a true & fair view.

(i) In the case of Balance Sheet of the state of affairs of the company as on 31st March, 2010. AND

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

ANNEXURE TO THE AUDITORS' REPORT

Annexure to the Auditors' Report referred to in paragraph 1 of our report of even date on the accounts for the year ended on 31st March. 2010 of AKL Soft& Infosys India Limited.

1. The Company has maintained proper records to show full particulars including quantitative details and situation of its Fixed Assets. Fixed Assets of the company have been phvsicallv verified bv the management and no discrepancy was noticed.

2. None of the Fixed Assets has been revalued during the year.

3. In our opinion the terms and conditions on which loans have been taken from the firms & other parties listed m the register maintained under section 301 are not prima facie, prejudicial to the interest of the company.

4. The company has given loans to the companies under the same management which is prima facie prejudicial to the interest of the company.

5. The company has not given loan to its employees therefore the question of reporting it does not arise.

6. In our opinion & according to the information & explanations given to us there arc adequate internal control procedure to commensurate with the size of the company & nature of its business with regard to purchase of stores, raw materials, items traded including components, plant & machinery equipment & other assets with regard to the sales of goods.

7. In our opinion & according to the information & explanations given to us the transaction for purchase of raw material made in pursuance of contracts of agreements entered in the register & aggregating during the year to Rs. 50,000/- or more in respect of each party have been made at a price which are reasonable in regard to the prevailing market price.

8. As explained to us, the company has regular procedure for determining of unserviceable & damaged stores, raw materials & finished goods & the same has been properly dealt with in the accounts.

9. Directives issued by the Reserve Bank of India and the provision of section 58-A of the Companies Act. 1936 and rules framed there under are not applicable as the company has not accepted anv public deposits.

10. As the paid up Share Capital of the company and the average annual turnover of the company does not exceed the prescribed limit, the company did not require to have Internal Audit.

11. According to the Central Government has not made order under Section 209( 1 )(d) of the Companies Act. 1956 for the industry in which the company is operating.

12. According to the information and explanations given to us no undisputed amount pavable in respect of Income Tax. Sales Tax. Custom Duty and excise duty were out standing as at 31st March. 2010 except the following.

13. According to the information and explanations given to us and as per the records made available to us Provident Fund Scheme is introduced by the company and companv has deposited both employers' contribution & employees' contribution within specified time.

14. According to the information and explanations given to us no personal expenses of the employees or directors have been charged to revenue accounts, other than those payable under contractual obligation or in accordance with business practice.

15.The company is not sick industrial company within the meaning of clause(O) of sub section(1) of section 3 of the Sick Industrial companies (Special Provisions)Act.1985.

16.In respect of the trading & manufucturing activity of the company we were informed that there were no damaged goods hence the question of providing for loss on in books does not arise.

For Ashit I. Macwan Chartered Accountants



(Ashit T. Macwan) Proprietor Mem No. 10789

Place : Ahmedabad Date : 03.06.2010


Mar 31, 2009

We have audited the attached Balanced Sheet of AKL SOFT AND INFOSYS (INDIA) LIMITED as at 31st March 2009and the annexed Profit and loss Account for the year ended on that date.

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

2. (i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the proposals of our audit.

(ii) In our opinion proper books of accounts, as required by law have been kept by the company so far as appears form our examination of those books.

(iii) The Balance Sheet and the Profit and Loss Account referred to in this report are in agreement with the books of accounts.

(iv) In our opinion the Balance Sheet and Profit and Loss Account dealt with by the report are in compliance with the accounting standards referred to in Section 211 (3C) of the Companies Act 1956.

(v) Based on the information and explanation furnished to us, we are of the opinion that none of the directors are disqualifies for appointment as a Director of the company in terms of Section 274(1) (g) of the Companies Act 1956.

(vi) In our opinion and to the best of our information and according to the explanations given to us, subject to recoverability of loans and advances amounting to Rs.76,24,830 and Sundry debtors amounting to Rs. 14,19,972 which in our opinion are not recoverable, the loss is understated to the extent of Rs.90,44,802 and the said accounts together with Accounting policies and not give the information required by the Companies Act, 1956 in the manner so required and the Balance Sheet gives a true and fair views of state of the Companys affair as to 31st March 2002 and the Profit and Loss Account gives a true and fair view of the loss for the year ended on that date.

3. As required by the Manufacturing and other Companies (Auditors report) order 1988 issued by the Company Law Board in terms of Section 227 (4A) of the Companies Act 1956 and on the basis of information and explanation given to us and books and records examined by us in the normal course of our audit and to the best of our knowledge and belief, we further state that

3.(i). The company has maintained proper records showing full particulars including the quantitative details and situation of fixed assets. As per the information and explanations given to us the fixed assets have been physically verified by the management during the period and no material discrepancies have been noticed on such verification except that certain fixed assets are yet to be transferred in the name of the company.

(i) None of the fixed assets have been revalued during the year.

(ii) The company has not taken loan from the parties listed in the registers maintained under Section 30 -1 of the Companies Act, 1956 and from companies under the same management as defined under Section 370 (IB) of the Companies Act, 1956.

(iii) The company has made advances in the nature of loans to some parties and the same was yet to be repaid. We were informed by the company the same is no recoverable.

(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 nature of its business, for the purchase of stores, raw materials including components, plant and machinery, equipments and other assets and for sale of goods.

(v) The company has not accepted any deposits within the meaning of section 58A of the Companies Act, 1956 and the rules framed there under.

(vi) In our opinion, the company has adequate internal audit system, commensurate with the size and nature of the business.

(i) We were informed that the company is not required to maintain the cost records prescribed by the Central Government under Section 209(1) (D) of the Companies Act, 1956.

(ii) According to the information given to us the company is not covered under Provident Fund Act and Employee State Insurance Act.

(iii) According to the information and explanations given to us, there are undisputed amounts, payable in respect of Income Tax, Sales Tax and Excise Duty outstanding for a period exceeding six months as on the balance sheet date.

(iv) According to the information and explanations given to us no personal expenses of employees or directors have been charged to the revenue account other that those payable under contractual obligations or in accordance with generally accepted business practices.

(v) The company is not a sick industrial company within the meaning of Clause (O) of Section 3(1) of the sick industrial companies (special provisions) Act 1985.

(vi) In our opinion rest of the clauses of the said order are not applicable to the company.

Place : Ahmedabad For, Apaji Admin & Co.

Date : Chartered Accountants

(T.B. Sethna) Partner



 
Subscribe now to get personal finance updates in your inbox!