Mar 31, 2014
1. We have audited the accompanying Financial Statements of Tirupati
Inks Ltd. (The " Company" ) which comprise the Balance Sheet as at
March 31,2014, the statement of Profit & Loss & Cash Flow Statement for
the year then ended, and a summary of Significant Accounting Polices
and other explanatory information which we have signed under reference
to this report.
Management''s Responsibility for the Financial Statements
2. 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 Flow of the Company in
accordance with the Accounting Standards notified under the Companies
Act, 1956 of India (the "Act ") read with the General Circular Number
15/2013 dated September 13, 2013 of the ministry of Corporate Affairs
in respect of Section 133 of the Companies Act 2013. 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
3. Our responsibility is to express an opinion on these financial
statements based on our audit. We have conducted 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.
4. 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.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the accompanying 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; and
b) in the case of the Profit and Loss Account, of the profit for the
year ended on that date.
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other legal & Regularity Requirements
7. As required by the Companies (Auditor''s Report) Order, 2003 as
amended by the Companies (Auditor''s Report) (Amendment) Order, 2004,
issued by the Central Government of India in terms of Sub Section (4A)
of Section 227 of the Act, ( hereinafter referred to as the ''Order''),
and on the basis of such checks of the books and records of the Company
as we considered appropriate and according to the information and
explanations given to us, we set out in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
8. 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 Account 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
Account and Cash Flow Statement dealt with by the report comply with
the accounting Standards notified under the Act read with the General
Circular No. 15/2013 dated September,13,2013 of the ministry of
Corporate Affairs in respect of Section 133 of the Companies Act, 2013.
e) On the basis of the written representations received from the
Directors as on March 31,2014, and taken on record by the Board of
Directors of the Company, 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 Act;
ANNEXURE TO THE AUDITORS REPORT
i (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets
(b) As informed to us a portion of these fixed assets have been
physically verified by the management during the period. The
discrepancies noticed, if any, from the book records and physical
inventory of Fixed Assets Register were not material.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute substantial part of the fixed assets of the company and
such disposal has, in our opinion, not affected the going concern
status of the company.
ii (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The company is maintaining proper records of inventory. In our
opinion and according to the information and explanation given to us no
material discrepancies were noticed on physical verification.
iii (a) The company has not granted any loans secured or unsecured to
the companies, firms or other parties covered under section 301 of the
Act. Accordingly clauses iii(b) to iii (d) of the paragraph 4 of the
order are not applicable to company for the current year.
(b) The company obtained an unsecured loan from a company listed in the
register maintained under section 301 of the Companies Act, 1956 in
earlier year against which the outstanding balance is Rs. 5.00 Crores.
The terms & conditions are not prima facie prejudicial to the interest
of the company.
iv In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with size of the company and the nature of its business
with regard to purchase of inventory, fixed assets and with regard to
the sale of goods and services. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
v. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
(c) Arrangements entered in the register maintained under section 301
of the Companies Act, 1956 and exceeding the value of Rs. 5.00 lacs in
respect of each party, during the year have been made at prices which
appear reasonable as per the information available with the company.
vi. As per the information and explanations given to us and as per our
examination of books of accounts, the company has not taken any
deposit, hence there is no contravention of the provisions of Section
58A, 58AA or any other relevant provisions of the Companies Act, 1956.
vii. In our opinion, the company has an internal audit system
commensurate with the size and nature of its business. In view of the
increased size and nature of the transactions, it is advisable to
strengthen it more, in the ensuing year.
viii. We have broadly reviewed the cost records maintained by the
company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209 (1) (d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate or complete.
ix (a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
employees state insurance, income tax, service tax, custom duty, excise
duty, cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax, sales
tax, service tax, custom duty, excise duty and cess were in arrears, as
at 31st March 2014 for a period of more than six months from the date
they became payable.
x. The company has no accumulated losses, hence this clause is not
applicable.
xi. In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to
banks.
xii. The company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
xiii. In our opinion, the company is not a chit fund or a nidhi /
mutual benefit fund/society. Therefore, the provisions of clause
4(xiii) of the companies (Auditors Report) order, 2003 are not
applicable to the company.
xiv. In our opinion, the company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the Companies (Auditor''s Report) order,
2003 are not applicable to the company.
xv. As per the explanations and as per the records of the company, no
guarantee has been given by the company for loans taken by the others
from banks or financial institutions.
xvi. The Company has obtained Term Loan amounting to Rs. 8.00 lacs
during the year. The said Term Loan has been applied, for the purposes
for which it was raised.
xvii. According to the information and explanations given to us, and on
an overall examination of the balance sheet of the company, we are of
the opinion that there are no funds raised on short-term basis that
have been used for long-term investment. No long-term fund have been
used to finance short-term assets except permanent working capital.
xviii. During the FY 2013-14 the company has made Preferential
Allotment of 2500000 equity shares at a face value of Rs. 10/- each, at
an issue price of Rs. 20/- each to a company covered in the Register
maintained under Section 301 of the Companies Act, 1956 and in
accordance with the Security & Exchange Board Of India ( Issue of
Capital & Disclosure Requirements) Regulations, 2009 and other
applicable provisions. The terms and issue price are not prejudicial to
the interest of the company.
xix Since the company has not issued debentures this clause is not
applicable.
xx. The Company has not raised any monies by way of public issue during
the year.
xxi. In our opinion and according to the information and explanations
given to us, no fraud on or by the company has been noticed or reported
during the year.
For SHASHI DINESH & CO.
Chartered Accountants
Firm''s Regn No. 004975 C
(CA Sudhir Kapoor)
Partner
Place : Delhi Membership No. 073456
Dated : 30.05.2014
Mar 31, 2013
We have audited the attached Balance Sheet of Tirupati Inks Limited
("the Company") as at 31st March, 2013, the related Profit & Loss
Account and Cash Flow Statement for the year ended on that date annexed
thereto, which we have signed under reference to this report. These
financial statements are the responsibility of the Management of the
Company. Our responsibility is to express an opinion on these financial
statements based on our audit. 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 misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles
used and significant estimates made by the 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 as amended
by the Companies (Auditor''s Report) ( Amendment) Order, 2004 (together,
''the Order'') issued by the Central Government of India in terms of
Section 227 (4A) of the Companies Act, 1956, of India (the Act), and on
the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we set out in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to in Paragraph 3
above, we report that :
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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, Profit and Loss Account 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 and Loss Account and the
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of Section 211 of
the Act;
(e) On the basis of the written representations received from the
Directors as on March 31, 2013, and taken on record by the Board of
Directors of the Company, 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 Act;
(f) In our opinion and to the best of our information and according to
the explanation given to us, the Balance Sheet, Profit and Loss Account
and the Cash Flow Statement, together with the Notes thereon and
annexed thereto, give in the prescribed manner the information required
by the Act and give a true and fair view in conformity with the
accounting principles generally accepted in India :
i. in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013; ii. in the case of the Profit and Loss
Account, of the profit for the year ended on that date; and iii. in
the case of the Cash Flow Statement, of the cash flows for the year
ended on that date.
ANNEXURE TO THE AUDITORS REPORT
i (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets
(b) As informed to us a portion of these fixed assets have been
physically verified by the management during the period. The
discrepancies noticed, if any, from the book records and physical
inventory of Fixed Assets Register were not material.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute substantial part of the fixed assets of the company and
such disposal has, in our opinion, not affected the going concern
status of the company.
ii (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The company is maintaining proper records of inventory. In our
opinion and according to the information and explanation given to us no
material discrepancies were noticed on physical verification.
iii (a) The company has not granted any loans secured or unsecured to
the companies, firms or other parties covered under section 301 of the
Act. Accordingly clauses iii(b) to iii (d) of the paragraph 4 of the
order are not applicable to company for the current year.
(b) The company has obtained unsecured, interest free loan from a
company covered in the register maintained under section 301 of the
Companies Act, 1956. The amount is Rs. 700.00 lacs. The terms and
conditions of the loan so obtained are not prejudicial to the interest
of the company.
iv In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with size of the company and the nature of its business
with regard to purchase of inventory, fixed assets and with regard to
the sale of goods and services. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
v. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
(c) Arrangements entered in the register maintained under section 301
of the Companies Act, 1956 and exceeding the value of Rs. 5.00 lacs in
respect of each party, during the year have been made at prices which
appear reasonable as per the information available with the company.
vi. As per the information and explanations given to us and as per our
examination of books of accounts, the company has not taken any
deposit, hence there is no contravention of the provisions of Section
58A, 58AA or any other relevant provisions of the Companies Act, 1956.
vii. In our opinion, the company has an internal audit system
commensurate with the size and nature of its business. In view of the
increased size and nature of the transactions, it is advisable to
strengthen it more, in the ensuing year.
viii. We have broadly reviewed the cost records maintained by the
company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209 (1) (d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate or complete.
ix (a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
employees state insurance, income tax, service tax, custom duty, excise
duty, cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax, sales
tax, service tax, custom duty, excise duty and cess were in arrears, as
at 31st March 2013 for a period of more than six months from the date
they became payable.
x. The company has no accumulated losses, hence this clause is not
applicable.
xi. In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to
financial institution, bank or debenture holders.
xii. The company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
xiii. In our opinion, the company is not a chit fund or a nidhi /
mutual benefit fund/society. Therefore, the provisions of clause
4(xiii) of the companies (Auditors Report) order, 2003 are not
applicable to the company.
xiv. In our opinion, the company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the Companies (Auditor''s Report) order,
2003 are not applicable to the company.
xv. As per the explanations and as per the records of the company, no
guarantee has been given by the company for loans taken by the others
from banks or financial institutions.
xvi. The Company has not raised any Term Loan during the year. The Term
Loans outstanding at the beginning of the year had been applied, on an
overall basis for the purposes for which they were raised.
xvii. According to the information and explanations given to us, and on
an overall examination of the balance sheet of the company, we are of
the opinion that there are no funds raised on short-term basis that
have been used for long-term investment. No long-term fund have been
used to finance short-term assets except permanent working capital.
xviii. The Company has not made any Preferential Allotment of shares to
parties and companies covered in the Register maintained under Section
301 of the Companies Act, 1956.
xix Since the company has not issued debentures this clause is not
applicable.
xx. The Company has not raised any monies by way of public issues
during the year.
xxi. In our opinion and according to the information and explanations
given to us, no fraud on or by the company has been noticed or reported
during the year.
For SHASHI DINESH & CO.
Chartered Accountants
Firm''s Regn No. 004975 C
(CA Sudhir Kapoor)
Partner
Place : Delhi Membership No. 073456
Dated : 30.05.2013
Mar 31, 2012
We have audited the attached Balance Sheet of Tirupati Inks Limited
("the Company") as at March 31, 2012, the related Profit & Loss Account
and Cash Flow Statement for the year ended on that date annexed
thereto, which we have signed under reference to this report. These
financial statements are the responsibility of the Management of the
Company. Our responsibility is to express an opinion on these financial
statements based on our audit.
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 misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by the 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 as amended
by the Companies (Auditor's Report) (Amendment) Order, 2004 (together,
'the Order') issued by the Central Government of India in terms of
Section 227 (4A) of the Companies Act, 1956, of India (the Act), and on
the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we set out in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to in Paragraph 3
above, we report that :
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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, Profit and Loss Account 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 and Loss Account and the
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of Section 211 of
the Act;
(e) On the basis of the written representations received from the
Directors as on March 31, 2012, and taken on record by the Board of
Directors of the Company, none of the Directors is disqualified as on
March 31, 2012 from being appointed as a Director in terms of clause
(g) of sub-section (1) of Section 274 of the Act;
(f) In our opinion and to the best of our information and according to
the explanation given to us, the Balance Sheet, Profit and Loss Account
and the Cash Flow Statement, together with the Notes thereon and
annexed thereto, give in the prescribed manner the information required
by the Act and give a true and fair view in conformity with the
accounting principles generally accepted in India :
i. in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2012;
ii. in the case of the Profit and Loss Account, of the profit 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.
i (a) The Fixed Assets register of the company was destroyed in the
fire at Kanpur Unit. However, the management has compiled and prepared
the said register since the Financial Year 2009-10 till date, to the
extent of availability of figures thereat.
The Company has maintained proper records showing full particulars
including quantitative details and situation of Fixed Assets of its
Greater Noida & Jammu Units.
(b) As informed to us a portion of these fixed assets have been
physically verified by the management during the period. The
discrepancies noticed, if any, from the book records and physical
inventory of Fixed Assets register were not material.
(c) In our opinion and according to the information and explanation
given to us no substantial part of the Fixed Assets has been disposed
off during the year.
ii (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The company is maintaining proper records of inventory. In our
opinion and according to the information and explanation given to us no
material discrepancies were noticed on physical verification.
iii (a) The company has not granted any loans secured or unsecured to
the companies, firms or other parties covered under section 301 of the
Act. Accordingly clauses iii(b) to iii (d) of the paragraph 4 of the
order are not applicable to company for the current year.
(b) The company obtained an unsecured, interest free loan from one of
the director of the company in earlier years, which was repaid during
the year. The amount valued was Rs.40.65 Lacs. The terms and conditions
are not prima facie prejudicial to the interest of the company.
iv In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with size of the company and the nature of its business
with regard to purchase of inventory, fixed assets and with regard to
the sale of goods and services. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
v. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 in respect of any party, during the year have
been made at prices which are reasonable having regard to prevailing
market prices at the relevant time.
vi. As per the information and explanations given to us and as per our
examination of books of accounts, the company has not taken any
deposit, hence there is no contravention of the provisions of Section
58A, 58AA or any other relevant provisions of the Companies Act, 1956.
vii. In our opinion, the company has an internal audit system
commensurate with the size and nature of its business. In view of the
increased size and nature of the transactions, it is advisable to
strength it more, in the ensuing year.
viii. During the year the maintenance of cost accounting records has
been prescribed by the Central Government under section 209 (1) ( d )
of the Companies Act, 1956, w.e.f 30th June, 2011 , by virtue of the
order no. 52/26/ CAB/2010 dated 30.06.2011, as confirmed by the
management. We have reviewed the cost accounting records as maintained
by the company and are of the opinion that prima facie, the prescribed
accounts and records have been maintained. We have not however, made a
detailed examination of the records with a view to determine whether
they are accurate and complete.
ix (a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
employees state insurance, income tax, service tax, custom duty, excise
duty, cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax, sales
tax, service tax, custom duty, excise duty and cess were in arrears, as
at 31st March 2012 for a period of more than six months from the date
they became payable.
x. The company has no accumulated losses, hence this clause is not
applicable .
xi. In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to
financial institution, bank or debenture holders.
xii. The company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
xiii. In our opinion, the company is not a chit fund or a nidhi/mutual
benefit fund/society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditors Report) Order, 2003 are not applicable to the
company.
xiv. In our opinion, the company is not dealing in or trading in
shares, securities debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the Companies (Auditor's Report)
Order, 2003 are not applicable to the company.
xv. As per the explanation and as per the records of the company, no
guarantee has been given by the company for loans taken by the others
from Banks or Financial Institutions.
xvi. The Company has raised new Vehicle Loan during the year. The Term
Loans outstanding at the beginning of the year and those raised during
the year have been applied, on an overall basis for the purposes for
which they were raised.
xvii. According to the information and explanations given to us, and
on an overall examination of the balance sheet of the company, we are
of the opinion that there are no funds raised on short-term basis that
have been used for long-term investment. No long-term fund have been
used to finance short-term assets except permanent working capital.
xviii. The Company has not made any Preferential Allotment of shares
to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956.
xix Since the company has not issued debentures this clause is not
applicable.
xx. The Company has not raised any monies by way of public issues
during the year.
xxi. In our opinion and according to the information and explanations
given to us, no fraud on or by the company has been noticed or reported
during the year.
For SHASHI DINESH & CO.
Chartered Accountants
(CA Sudhir Kapoor)
Partner
Place : Delhi Membership No. 073456
Dated : 30.05.2012 Firm's Regn No. 004975 C
Mar 31, 2010
We have audited the attached Balance Sheet of Tirupati Inks Limited
("the Company") as at March 31, 2010, the related Profit & Loss Account
and Cash Flow Statement for the year ended on that date annexed
thereto, which we have signed under reference to this report. These
financial statements are the responsibility of the Management of the
Company. Our responsibility is to express an opinion on these financial
statements based on our audit.
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 misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by the 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 (Auditors Report) Order, 2003 as amended
by the Companies (Auditors Report) (Amendment) Order, 2004 (together,
Ãthe Order) issued by the Central Government of India in terms of
Section 227 (4A) of the Companies Act, 1956, of India (the Act), and on
the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we set out in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to in Paragraph 3
above, we report that :
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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, Profit and Loss Account 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 and Loss Account and the
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of Section 211 of
the Act;
(e) On the basis of the written representations received from the
Directors as on March 31, 2010, and taken on record by the Board of
Directors of the Company, none of the Directors is disqualified as on
March 31, 2010 from being appointed as a Director in terms of clause
(g) of sub-section (1) of Section 274 of the Act;
(f) In our opinion and to the best of our information and according to
the explanation given to us, the Balance Sheet, Profit and Loss Account
and the Cash Flow Statement, together with the Notes thereon and
annexed thereto, give in the prescribed manner the information required
by the Act and give a true and fair view in conformity with the
accounting principles generally accepted in India :
i. in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2010; ii. in the case of the Profit and Loss
Account, of the profit for the year ended on that date; and iii. in
the case of the Cash Flow Statement, of the cash flows for the year
ended on that date.
ANNEXURE TO THE AUDITORS REPORT
i (a) The company has maintained proper records showing full
particularsincluding quantitative details and situation of fixed
assets.
(b) As informed to us these fixed assets have been physically verified
by the management during the period and no discrepancies between the
book records and physical inventory have been noticed on such
verification.
(c) According to the information and explanations and on examination of
Books of Accounts, the company has not disposed off substantial part of
fixed assets during the Year.
ii (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The company is maintaining proper records of inventory. The
discrepancies noticed on verification between the physical stock and
the book records were not material.
iii (a) The company has not granted any loans secured or unsecured to
the companies, firms or other parties covered under section 301 of the
Act. Accordingly clauses iii(b) to iii (d) of the paragraph 4 of the
order are not applicable to company for the current year.
(b) The company has obtained an unsecured, interest free loan from one
of the director of the company. The amount valued is Rs.15.65 lacs. The
terms and conditions are not prima facie prejudicial to the interest of
the company. In respect of the aforesaid loan no repayment schedule has
been fixed by the company and hence there in no overdue amount at the
end of the financial year.
iv In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with size of the company and the nature of its business
with regard to purchase of inventory, fixed assets and with regard to
the sale of goods and services. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
v. (a) According to the information and explanations given to us, we
are of the opinion that the transaction that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 in respect of any party, during the year have
been made at prices which are reasonable having regard to prevailing
market prices at the relevant time.
vi. As per the information and explanations given to us and as per our
examination of books of accounts, the company has not taken any
deposit, hence there is no contravention of the provisions of Section
58A, 58AA or any other relevant provisions of the Companies Act, 1956.
vii. In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
viii. The Central Government has not prescribed the maintenance of cost
records in respect of the Company under section 209 (1) (d) of the
Companies Act, 1956, as confirmed by the management.
ix (a) The company is generally regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
employees state insurance, income tax, service tax, custom duty, excise
duty, cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax, sales
tax, service tax, custom duty, excise duty and cess were in arrears, as
at 31st March 2010 for a period of more than six months from the date
they became payable.
x. The company has no accumulated losses, hence this clause is not
applicable .
xi. In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to
financial institution, bank or debenture holders.
xii. The company has not granted any loans and advances on the basis of
security by way of pledge of share, debentures and other securities.
xiii. In our opinion, the company is not a chit fund or a nidhi/mutual
benefit fund/society. Therefore, the provisions of clause 4(xiii) of
the companies (Auditors Report) order, 2003 are not applicable to the
company.
xiv. In our opinion, the company is not dealing in or trading in
shares, securities debentures and other investments.Accordingly,the
provisions of clause 4(xiv) of the Companies (Auditors Report) order,
2003 are not applicable to the company.
xv. As per the explanation and as per the records of the company , no
guarantee has been given by the company for loans taken by the others
from banks or financial institutions.
xvi. As per the explanation and as per the records of the company, no
term loan has been obtained during the year except vehicle loan.
xvii. According to the information and explanations given to us, and on
an overall examination of the balance sheet of the company, we report
that no funds raised on short-term basis have been used for long-term
investment. No long-term fund have been used to finance short-term
assets except permanent working capital.
xviii. According to the information and explanations given to us and as
per the records of the company, no allotment of preferential shares
have been made during the year to the parties and companies covered in
the register maintained under section 301 of the Companies Act,1956.
xix Since the company has not issued debentures this clause is not
applicable.
xx. The company has not raised money from public, hence this clause is
not applicable.
xxi. According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
For SHASHI DINESH & CO.
Chartered Accountants
Sudhir Kapoor
(Partner)
Place :Kanpur Membership No.073456
Dated:29.05.2010 Firms Regn No. 004975 C