Mar 31, 2015
We have audited the accompanying financial statements of Veerhealth
Care Limited (Formerly Known as Niyati Industries Limited) ("the
Company"), which comprise the Balance Sheet as at March 31, 2015, and
the Statement of Profit and Loss and the Cash Flow Statement for the
year then ended, and a summary of significant accounting policies and
other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors' is responsible for the matters 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 Companies Act, 2013 read with Rule
7 of the Companies (Accounts) Rules 2014. This responsibility also
includes the maintenance of adequate accounting records in accordance
with the provisions 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 in to 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 but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and operating
effectiveness of such control. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by 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
statement.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial
statements, give the information required by the Act in the manner so
required and give a true and fair view in conformity with the
accounting principles generally accepted in India: of the state of
affairs of the Company as at 31st March, 2015, and its profit and its
cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section(11) of Section 143 of the Companies Act, 2013, we give in
the Annexure a statement on the matters specified in paragraphs 3 and
4 of the Order to the extent applicable.
2. As required by section 143(3) of the Act, we report 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
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, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account;
d. in our opinion, the Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting Standards
specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014;
e. on the basis of written representations received from the directors
as on March 31, 2015, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2015, from being
appointed as a director in terms of section 164(2) of the Act.
f. with respect to the other matters included in the Auditor's Report
in accordance with Rule 11 of the Company (Audit and Auditors) Rules,
2014 in our opinion and to best of our information and according to
the explanation given to us;
i. The company does not have any pending litigations which would
impact its financial position.
ii. The Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses.
iii. There were no amount which required to be transferred to the
Investor Education and Protection Fund by the Company.
Annexure referred to in paragraph (1) under "Report on Other Legal and
Regulatory Requirements" of Independent Auditors Report of even date.
1) (i) The company has maintained proper records showing full
particulars including quantitative details and situations of fixed
assets on the basis of available information.
(ii) According to the information and explanation, the fixed assets
have been physically verified by the management once in a year which
in our opinion is reasonable, having regards to the size of the
Company and nature of its business. No material discrepancies have
been noticed on such verifications.
2) (i) As per the information furnished, the inventories have been
physically verified by the management during the year at reasonable
intervals, having regard to the nature of stocks, the frequency of the
physical verification is reasonable.
(ii) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of the
inventories followed by the management are reasonable and adequate in
relation to the size of the Company and nature of its business.
(iii) The Company has maintained proper records of inventories. As
explain to us, no material discrepancies have been noticed on physical
verification of inventories as compared to book records, the
discrepancies noticed have been dealt with properly in books of
accounts.
3) As per the information furnished, the Company has not granted any
loans secured or unsecured to companies, firms or other parties
covered in the Register, maintained under Section 189 of the Companies
Act, 2013; hence clause (i) and (ii) is not applicable.
(i) In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(ii) In respect of such loans given by the Company, there are no
overdue amounts more than Rs. 1,00,000/-.
4) In our opinion and according to the information and explanation
given to us, there is an adequate internal control system commensurate
with the size of the Company and nature of its business with regard to
purchase of inventories, fixed assets and for sale of goods &
services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanation given to
us, we have neither come across nor have been informed of any
continuing failure to correct major weakness in the aforesaid internal
control system.
5) According to the information and explanation given to us, the
Company has not accepted any deposits during the year from the public
within the meaning of the provisions of Sections 73 to 76 or any other
relevant provisions of the Companies Act, 2013 and the rules framed
there under.
6) As per the information provided, the Company is not covered under
Section 148(1) of the Companies Act, 2013, hence not required to
maintain cost records.
7) (i) According to the information and explanation given to us and
the records examined by us, the Company is generally regular in
depositing undisputed statutory dues including Provident Fund,
Employees' State Insurance Fund, Income-tax, Sales-tax, wealth tax,
service tax, Custom Duty, Excise Duty, Cess and other statutory dues
with appropriate authorities. According to the records of the Company
and the information and explanations given to us, there are no
undisputed amounts payable in respect of Income Tax, Wealth Tax,
Service Tax, Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any
other statutory dues which have remained outstanding as at 31st March,
2015 for a period of more than six months from the date they become
payable.
(ii) According to the records of the Company and information and
explanation given to us and record verified by us there are no
outstanding dues of Sales-tax, Custom Duty, Excise Duty, Income tax,
wealth tax, service tax, cess which have not been deposited, with the
appropriate authorities on account of disputes.
(iii) According to information and explanation given by the management
and on verification of the records, the Company does not have any
amount which requires to be transfer to the Investor Education and
Protection Fund in accordance with the relevant provisions of the
Companies Act, 1956 (1 of 1956) and rules made there under.
8) The accumulated losses of the Company is Rs. 7046865/-. The Company
has not incurred cash losses during the financial year covered by the
audit and in the immediate preceding financial year.
9) Based on our audit procedures and the information and explanations
given by the management, we are of the opinion that the Company has
not defaulted in repayment of its dues to any banks or financial
institutes and debenture holders.
10) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
11) According to the records verified us, we are of the opinion that
the Company has applied the term loans for the purpose for which it
was obtained.
12) On the basis of our examination and according to the information
and explanations given to us, no material fraud, on or by the Company,
has been noticed or reported during the year under audit.
For Jayesh R. Shah & Co
Chartered Accountants
Firm Registration No. 104182W
Sd/-
Jayesh Shah
Proprietor
Membership No. 033864
Place: Mumbai
Date: 29th May, 2015
Mar 31, 2014
We have audited the accompanying financial statements of Veerhealth
Care Limited ("the Company"), 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 ("the Act") read with
the General Circular 15/2013 dated 13th September, 2013 of the Ministry
of Corporate Affairs in respect of Section 133 of the Companies Act,
2013 and in accordance with the accounting principles generally
accepted in India. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, 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 but not for the purpose of expressing an opinion on the
effectiveness of the Company''s internal control An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of the accounting estimates made by management, as well
as evaluating the overall presentation of the financial statements. We
believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(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.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 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, The Statement of Profit and Loss, and The Cash
Flow Statement dealt with by this Report are in agreement with the
books of account
(d) In our opinion, the Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting Standards
referred to in subsection (3C) of section 211 of the Companies Act,
1956; read with the General Circular 15/2013 dated 13th September, 2013
of the Ministry of Corporate Affairs in respect of Section 133 of the
Companies Act, 2013.
(e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the 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.
(f) Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
Annexure referred to in paragraph (1) under "Report on Other Legal and
Regulatory Requirements" of Independent Auditors Report of even date.
(i)(a) The company has maintained proper records showing full
particulars including quantitative details and situations of fixed
assets on the basis of available information.
(b) According to the information and explanation, the fixed assets have
been physically verified by the management once in a year which in our
opinion is reasonable, having regards to the size of the Company and
nature of its business. No material discrepancies have been noticed on
such verifications.
(c) In our opinion, the Company has not disposed off a substantial part
during the year and the going concern status of the Company is not
affected.
(ii).a) As per the information furnished, the inventories have been
physically verified by the management during the year at reasonable
intervals, having regard to the nature of stocks, the frequency of the
physical verification is reasonable.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of the inventories
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business;
(c) The Company has maintained proper records of inventories. As
explain to us, no material discrepancies have been noticed on physical
verification of inventories as compared to book records.
(iii).(a) As per the information furnished, the Company has not granted
any loans secured or unsecured to companies, firms or other parties
covered in the Register, maintained under Section 301 of the Companies
Act,1956;
(b) The rate of interest and other terms and conditions in respect of
the unsecured loans given by the Company to its employees and others,
are in our opinion, prima facie not prejudicial to the interest of the
Company;
(c) In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(d) In respect of such loans given by the Company, there are no overdue
amounts more than Rs. 1,00,000/-.
(e) As per the information furnished, the Company has not taken any
loans secured or unsecured to companies, firms or other parties covered
in the Register, maintained under Section 301 of the Companies
Act,1956; Consequently, the requirements of Clauses (iii) (f & g) of
paragraph 4 of the Order are not applicable.
(iv) In our opinion and according to the information and explanation
given to us, there is an adequate internal control system commensurate
with the size of the Company and nature of its business with regard to
purchase of inventories, fixed assets and for sale of goods & services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanation given to
us, we have neither come across nor have been informed of any
continuing failure to correct major weakness in the aforesaid internal
control system.
(v).(a) Based on the procedures applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the transactions made in pursuance of contracts or
arrangements, that need to be entered in to 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 explanation
given to us, the transactions made in pursuance of
contract/arrangements entered in the Register maintained under section
301 of the Companies Act, 1956 and exceeding the value of Rs.
5,00,000/- or more in respect of each party during the year have been
made at price s which appear reasonable as per information available
with the Company.
(vi) According to the information and explanation given to us, the
Company has not accepted any deposits during the year from the public
within the meaning of the provisions of Sections 58A and 58AA of the
Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules,
1975. Hence, Clause (vi) of the order is not applicable to the Company.
(vii) In our opinion, the Company has an adequate internal audit system
commensurate with its size and nature of its business.
(viii) As per the information provided, the Company is not covered
under Section 209(1)(d) of the Companies Act, 1956, hence not required
to maintain cost records.
(ix).(a) According to the information and explanation given to us and
the records examined by us, the Company is generally regular in
depositing undisputed statutory dues including Provident Fund,
Employees'' State Insurance Fund, Income-tax, Sales-tax, wealth tax,
service tax, Custom Duty, Excise Duty, Cess and other statutory dues
with appropriate authorities. According to the records of the Company
and the information and explanations given to us, there are no
undisputed amounts payable in respect of Income Tax, Wealth Tax,
Service Tax, Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any
other statutory dues which have remained outstanding as at 31st March,
2014. for a period of more than six months from the date they become
payable.
(b) According to the records of the Company and information and
explanation given to us and record verified by us there are no
outstanding dues of Sales-tax, Custom Duty, Excise Duty, Income tax,
wealth tax, service tax , cess which have not been deposited, with the
appropriate authorities on account of disputes.
(x) The accumulated losses of the Company is Rs. 7615261/-. The Company
has not incurred cash losses during the financial year covered by the
audit and in the immediate preceding financial year.
(xi) Based on our audit procedures and the information and explanations
given by the management, we are of the opinion that the Company has not
defaulted in repayment of its dues to any banks or financial institutes
and debenture holders.
(xii) In our opinion and according to the explanations given to us and
based on our examination of the records, the Company has not granted
loans or advances on the basis of security by way of pledge of shares,
debentures or other securities.
(xiii) In our opinion, the Company is not a chit fund/nidhi/ mutual
benefit fund/ society. Therefore the provisions of clause (xiii) of
paragraph 4 of the Order are not applicable to the Company.
(xiv) The Company has maintained proper records of transactions in
respect of dealing and trading in shares, securities, debentures and
other investments and timely entries have generally been made therein.
All shares, debentures, and other securities have been held by the
Company in its own name.
(xv) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
(xvi) According to the records verified us, we are of the opinion that
the Company has not obtained any term loan during the year.
(xvii) On the basis of our examination of the Balance Sheet and Cash
Flow statement, we are of the opinion that the fund raised on short
term basis have not been used for long term investments,. The Company
has not raised long term funds during the year and hence, the use of
such funds for short-term investments does not arise.
(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 during the year.
(xix) The Company has not issued any debentures during the year.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) On the basis of our examination and according to the information
and explanations given to us, no material fraud, on or by the Company,
has been noticed or reported during the year under audit.
For Jayesh R. Shah & Co.
Chartered Accountants
Firm Registration No.104182W
Sd/-
Jayesh Shah
Proprietor
Membership No. 033864
Place : - Mumbai
Date : - 30thMay, 2014
Mar 31, 2013
We have audited the accompanying financial statements of NIYATI INDUSTRIES LIMITED ("the Company"), 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
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
(b) In the case of the Statement of Profit and Loss, 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 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a. we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b. in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books.
c. the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d. in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 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.
f. Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
Annexure referred to in paragraph (1) under "Report on Other Legal and
Regulatory Requirements" of Independent Auditors Report of even date.
(i) (a)The company has maintained proper records showing full
particulars including quantitative details and situations of fixed
assets. (b)According to the information and explanation, the fixed
assets have been physically verified by the management once in a year
and no material discrepancies have been noticed on such verifications.
(c)No fixed assets have been disposed off during the year under report.
(ii) (a) As per the information furnished, the inventories have been
physically verified by the management during the year atreasonable
intervals, having regard to the nature of stocks, the frequency of the
physical verification is reasonable.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of theinventories
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business;
(c)The Company has maintained proper records of inventories. In our
opinion, no discrepancies have been noticed on physicalverification of
inventories as compared to book records.
(iii) (a)As per the information furnished, the Company has not granted
or taken any loans secured or unsecured to/from companies,firms or
other parties covered in the Register, maintained under Section 301 of
the Companies Act,1956;
(b)The rate of interest and other terms and conditions in respect of
the unsecured loans given by the Company to its employeesand others,
are in our opinion, prima facie not prejudicial to the interest of the
Company;
(c)In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(d)In respect of such loans given by the Company, there are no overdue
amounts more than Rs. 1,00,000/-. (iv) In our opinion and according to
the information and explanation given to us, there are adequate
internal control procedurescommensurate with the size of the Company
and the nature of its business with regard to purchase of inventories,
fixed assetsand for sale of goods & services. Further, on the basis of
our examination of the books and records of the Company, andaccording
to the information and explanation given to us, we have neither come
across nor have been informed of anycontinuing failure to correct major
weakness in the aforesaid internal control system.
(v)(a)Based on the procedures applied by us and according to the
information and explanation provided by the management, weare of the
opinion that the transactions made in pursuance of contracts or
arrangements, that need to be entered in to theregister maintained
under Section 301 of the Companies Act,1956 have been recorded in the
register;
(b)In our opinion and according to the information and explanation
given to us, there are no transactions of purchase and sale of goods,
materials and services made in pursuance of contracts or arrangements
entered in the register maintained underSection 301 of the Companies
Act, 1956 aggregating during the year to Rs.5,00,000/- or more in
respect of each party.
(vi)The Company has not accepted any deposits during the year from the
public within the meaning of the provisions of Sections58A and 58AA of
the Companies Act, 1956 and the Companies (Acceptance of Deposits)
Rules, 1975. Hence, Clause (vi) ofthe order is not applicable.
(vii)In our opinion, the Company has an adequate internal audit system
commensurate with its size and nature of its business.
(viii)The Company is not covered under Section 209(1)(d) of the
Companies Act, 1956, hence not required to maintain costrecords.
(ix)(a) According to the information and explanation given to us and
the records examined by us, the Company is generally regularin
depositing undisputed statutory dues including Provident Fund,
Employees'' State Insurance Fund, Income-tax, Sales-tax, wealth tax,
service tax, Custom Duty, Excise Duty, Cess and other statutory dues
with appropriate authorities. According to the records of the Company
and the information and explanations given to us, there are no
undisputed amounts payable in respectof Income Tax, Wealth Tax, Service
Tax, Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any other
statutory dues whichhave remained outstanding as at 31st March, 2012.
For a period of more than six months from the date they become payable.
There are no matter pending with the Income Tax authorities except for
the A.Y. 1999-2000 where the Income Tax department has filed an appeal
in to the high court against the order of the Income Tax tribunal in
favour of the Company.
(b)According to the records of the Company and information and
explanation given to us and record verified by us there are
nooutstanding dues of Sales-tax, Custom Duty, Excise Duty, Income tax,
wealth tax, service tax , cess which have not beendeposited, with the
appropriate authorities on account of disputes. (x)The accumulated
losses of the Company on account of sale of assets is Rs.
1,38,06,716/-.
(xi)Based on our audit procedures and the information and explanations
given by the management, Company has not defaulted inrepayment of its
dues to any banks or financial institutes or debenture holders.
(xii)Based on our examination of the records and the information and
explanations given to us, the Company has not granted loansor advances
on the basis of security by way of pledge of shares, debentures or
other securities. (xiii)The provisions of any Special Statute
applicable to Chit Fund, Nidhi or Mutual Benefit Fund/Societies are not
applicable to theCompany.
(xiv)The Company has maintained proper records of transactions in
respect of dealing and trading in shares, securities, debentures and
other investments and timely entries have generally been made therein.
All shares, debentures, and other securities have been held by the
Company in its own name except to the extent of the exemption granted
under Section 49 of the CompaniesAct, 1956 and save for certain shares
which are either lodged for transfer or held with valid transfer form.
(xv)According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions. (xvi)The Company has not obtained
any term loan during the year.
(xvii)On the basis of our examination of the Cash Flow statement, the
fund raised on short term basis have not been used for longterm
investments,. The Company has not raised long term funds during the
year and hence, the use of such funds for short-term investments does
not arise.
(xviii)The Company has made preferential allotment of shares to parties
and companies covered in the register maintained under Section 301 of
the Companies Act, 1956 during the year. According to information and
explanation, we are of the opinion that the price at which shares have
been issued are not prejudicial to the interest of the Company.
(xix)The Company has not issued any debentures during the year. (xx)
The Company has not raised any money by way of public issue during the
year.
(xxi)On the basis of our examination and according to the information
and explanations given to us, no fraud, on or by theCompany, has been
noticed or reported during the course of our audit.
For Jayesh R. Shah & Co.
Chartered Accountants
Firm Registration No.104182W
SD/-
Jayesh Shah
Proprietor
Membership No. 033864
Place: Mumbai
Date: 22nd May, 2013.
Mar 31, 2012
We have audited the Balance Sheet of NIYATI INDUSTRIES LIMITED as on
31st March 2012 and also the Statement of Profit and Loss 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 our opinion on these financial statements based on our audit:
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatements .An audit includes
examination, 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
statements presentation. We believe that our audit provides a
reasonable basis for our opinion.
In accordance with provision of Section 227 of the Companies Act, 1956,
we report as under:
1. We have obtained all the information & explanations, which to the
best of our Knowledge & belief were necessary for the purpose of our
audit.
2. In our opinion, proper books of accounts as required by the law,
have been kept by the company so far as it appears from our examination
of the books.
3. The Balance Sheet & Profit & Loss Account dealt by this report are
in agreement with the books of account.
4. In our opinion, the Balance Sheet, the Profit & Loss Account and
the Cash Flow Statement dealt with by this report, comply with the
accounting standards referred in sub section 3 (C) of section 211 of
the Companies Act, 1956, to the extent applicable,
5. On the basis of the written representation received from the
Directors and taken on record by the Board of Directors, we report that
none of the Directors of the Company, i.e. Niyati Industries Ltd. As on
31st March, 2012 is disqualified for appointment as a director in the
aforementioned company in terms of clause (g) of sub section (1) of
Section 274 of the Companies Act, 1956 on the said date.
6. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts together with the notes
and Schedule thereon 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 case of Balance Sheet, of the state of affairs of the Company as
at 31st March, 2012.
ii) In the case of Statement of Profit & Loss, of the profit for the
year ended on that date.
iii) In the case of cash flow statement, of the cash flows for the year
ended on that date.
7. As required by the Companies' (Auditor's Report) Order, 2003 and
according to the information and explanation given to us during the
course of the audit and on the basis of such checks as were considered
appropriate, We further report that:
(i) (a)The company has maintained proper records showing full
particulars including quantitative details and situations of fixed
assets
(b)According to the information and explanation, the fixed assets have
been physically verified by the management once in a year and no
material discrepancies have been noticed on such verifications.
(c)No fixed assets have been disposed off during the year under report.
(ii). a) As per the information furnished, the inventories have been
physically verified by the management during the year at reasonable
intervals, having regard to the nature of stocks, the frequency of the
physical verification is reasonable.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of the inventories
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business;
(c) The Company has maintained proper records of inventories. In our
opinion, no discrepancies have been noticed on physical verification of
inventories as compared to book records.
(iii). (a) As per the information furnished, the Company has not
granted or taken any loans secured or unsecured to/from companies,
firms or other parties covered in the Register, maintained under
Section 301 of the Companies Act,1956;
(b) The rate of interest and other terms and conditions in respect of
the unsecured loans given by the Company to its employees and others,
are in our opinion, prima facie not prejudicial to the interest of the
Company;
(c) In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(d) In respect of such loans given by the Company, there are no overdue
amounts more than Rs. 1,00,000/-.
(iv). In our opinion and according to the information and explanation
given to us, there are adequate internal inventories, fixed assets and
for sale of goods & services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanation given to
us, we have neither come across nor have been informed of any
continuing failure to correct major weakness in the aforesaid internal
control system.
(v). (a) Based on the procedures applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the transactions made in pursuance of contracts or
arrangements, that need to be entered in to the register maintained
under Section 301 of the Companies Act,1956 have been recorded in the
register ;
(b) In our opinion and according to the information and explanation
given to us, there are no transactions of purchase and sale of goods,
materials and services made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Companies
Act, 1956 aggregating during the year to Rs.5,00,000/- or more in
respect of each party.
(vi). The Company has not accepted any deposits during the year from
the public within the meaning of the provisions of Sections 58A and
58AA of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975. Hence, Clause (vi) of the order is not
applicable.
(vii). In our opinion, the Company has an adequate internal audit
system commensurate with its size and nature of its business.
(viii). The Company is not covered under Section 209(1)(d) of the
Companies Act, 1956, hence not required to maintain cost records.
(ix). (a) According to the information and explanation given to us and
the records examined by us, the Company is generally regular in
depositing undisputed statutory dues including Provident Fund,
Employees' State Insurance Fund, Income-tax, Sales-tax, wealth tax,
service tax, Custom Duty, Excise Duty, Cess and other statutory dues
with appropriate authorities. According to the records of the Company
and the information and explanations given to us, there are no
undisputed amounts payable in respect of Income Tax, Wealth Tax,
Service Tax, Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any
other statutory dues which have remained outstanding as at 31st March,
2012. for a period of more than six months from the date they become
payable. There are no matter pending with the Income Tax authorities
except for the A.Y. 1999-2000 where the Income Tax department has filed
an appeal in to the high court against the order of the Income Tax
tribunal in favour of the Company.
(b)According to the records of the Company and information and
explanation given to us and record verified by us there are no
outstanding dues of Sales-tax, Custom Duty, Excise Duty, Income tax,
wealth tax, service tax , cess which have not been deposited, with the
appropriate authorities on account of disputes .
(x). The accumulated losses of the Company on account of sale of assets
is Rs. 1,38,06,716/-
(xi) Based on our audit procedures and the information and explanations
given by the management, Company has not defaulted in repayment of its
dues to any banks or financial institutes or debenture holders.
(xii) Based on our examination of the records and the information and
explanations given to us, the Company has not granted loans or advances
on the basis of security by way of pledge of shares, debentures or
other securities.
(xiii) The provisions of any Special Statute applicable to Chit Fund,
Nidhi or Mutual Benefit Fund/Societies are not applicable to the
Company.
(xiv) The Company has maintained proper records of transactions in
respect of dealing and trading in shares, securities, debentures and
other investments and timely entries have generally been made therein.
All shares, debentures, and other securities have been held by the
Company in its own name except to the extent of the exemption granted
under Section 49 of the Companies Act, 1956 and save for certain shares
which are either lodged for transfer or held with valid transfer form..
(xv) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
(xvi) The Company has not obtained any term loan during the year.
(xvii) On the basis of our examination of the Cash Flow statement, the
fund raised on short term basis have not been used for long term
investments,. The Company has not raised long term funds during the
year and hence, the use of such funds for short-term investments does
not arise.
(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 during the year.
(xix) The Company has not issued any debentures during the year.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) On the basis of our examination and 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 Jayesh R. Shah & Co.
Chartered Accountants
Firm Registration No. 104182W
Sd/-
Jayesh Shah
Proprietor
Membership No. 033864
Place: Mumbai
Date: 16th July, 2012.
Mar 31, 2011
We have audited the Balance Sheet of NIYATI INDUSTRIES LIMITED as on
31st March 2011 and also the Profit and Loss Account 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 our opinion on these financial statements based on our audit:
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatements .An audit includes
examination, 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
statements presentation. We believe that our audit provides a
reasonable basis for our opinion.
In accordance with provision of Section 227 of the Companies Act, 1956,
we report as under:
1. We have obtained all the information & explanations, which to the
best of our Knowledge & belief were necessary for the purpose of our
audit.
2. In our opinion, proper books of accounts as required by the law,
have been kept by the company so far as it appears from our examination
of the books.
3. The Balance Sheet & Profit & Loss Account dealt by this report are
in agreement with the books of account.
4. In our opinion, the Balance Sheet, the Profit & Loss Account and
the Cash Flow Statement dealt with by this report, comply with the
accounting standards referred in sub section 3 (C) of section 211 of
the Companies Act, 1956, to the extent applicable, Subject to the
following :
Note No.8 of Notes to the accounts regarding non compliance of
Accounting Standard-15 "Accounting for retirement benefit in the
financial statements of employer" in respect of Gratuity accounting on
cash basis.
5. On the basis of the written representation received from the
Directors and taken on record by the Board of Directors, we report that
none of the Directors of the Company, i.e. Niyati Industries Ltd. As on
31st March, 2011 is disqualified for appointment as a director in the
aforementioned company in terms of clause (g) of sub section (1) of
Section 274 of the Companies Act, 1956 on the said date.
6. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts together with the notes
and Schedule thereon 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.
a) In case of Balance Sheet, of the state of affairs of the Company as
at 31st March, 2011.
b) In the case of Profit & Loss accounts, of the profit for the year
ended on that date.
c) In the case of cash flow statement, of the cash flows for the year
ended on that date.
7. As required by the Companies' (Auditor's Report) Order, 2003 and
according to the information and explanation given to us during the
course of the audit and on the basis of such checks as were considered
appropriate, We further report that:
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situations of fixed
assets
(b) explained to us by the management, it is not possible to verify the
existence of the leased assets as everyone has stopped paying lease
rent since many years and legal proceedings are initiated by the
Company against them. As regards own assets, the Wind Turbine
Generator, which was installed at Bhatiya, Dist. Porbandar, Gujarat,
which had fell down due to mechanical fault. The machine was kept at
the site only to claim the Insurance. The claim is still pending in the
court and the management has not done any verification of the machine
at the open site whether it is lying there or not. As explained to us,
it is not possible to keep a track at the site as it is situated at
very remote place. Therefore it is not possible for the management to
say about the discrepancies if any.
(c) As informed to us and according to the explanation given to us by
the management, the Company has written off the leased assets totally
for which the legal proceedings were going on for many years and
nothing was recoverable as per the opinion of the management. The own
assets, which was destroyed in cyclone before many years and a legal
suit filed against the insurance company, was finalized by the court
and as per the court order, after making provision for the amount
receivable from the insurance company, the balance amount has been
written off by the Company during the year. The amount of total assets
written off is Rs.21099112/-
(ii). a) as per the information furnished, the inventories have been
physically verified by the management during the year at reasonable
intervals, having regard to the nature of stocks, the frequency of the
physical verification is reasonable.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of the inventories
followed by the management are reasonable and adequate in relation to
the size of the Company and nature of its business;
(c) The Company has maintained proper records of inventories. In our
opinion, no discrepancies have been noticed on physical verification of
inventories as compared to book records.
(iii). (a) As per the information furnished, the Company has not
granted or taken any loans secured or unsecured to/from companies,
firms or other parties covered in the Register, maintained under
Section 301 of the Companies Act,1956;
(b) The rate of interest and other terms and conditions in respect of
the unsecured loans given by the Company to its employees and others,
are in our opinion, prima facie not prejudicial to the interest of the
Company;
(c) In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(d) In respect of such loans given by the Company, there are no overdue
amounts more than Rs. 1,00,000/-.
(iv). In our opinion and according to the information and explanation
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 inventories, fixed assets and for
sale of goods & services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanation given to
us, we have neither come across nor have been informed of any
continuing failure to correct major weakness in the aforesaid internal
control system.
(v). (a) Based on the procedures applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the transactions made in pursuance of contracts or
arrangements, that need to be entered in to the register maintained
under Section 301 of the Companies Act,1956 have been recorded in the
register ;
(b) In our opinion and according to the information and explanation
given to us, there are no transactions of purchase and sale of goods,
materials and services made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Companies
Act, 1956 aggregating during the year to Rs.5,00,000/- or more in
respect of each party.
(vi). The Company has not accepted any deposits during the year from
the public within the meaning of the provisions of Sections 58A and
58AA of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975. Hence, Clause (vi) of the order is not
applicable.
(vii). In our opinion, the Company has an adequate internal audit
system commensurate with its size and nature of its business.
(viii). The Company is not covered under Section 209(1)(d) of the
Companies Act, 1956, hence not required to maintain cost records.
(ix). (a) According to the information and explanation given to us and
the records examined by us, the Company is generally regular in
depositing undisputed statutory dues including Provident Fund,
Employees' State Insurance Fund, Income-tax, Sales-tax, wealth tax,
service tax, Custom Duty, Excise Duty, Cess and other statutory dues
with appropriate authorities. According to the records of the Company
and the information and explanations given to us, there are no
undisputed amounts payable in respect of Income Tax, Wealth Tax,
Service Tax, Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any
other statutory dues which have remained outstanding as at 31st March,
2011. for a period of more than six months from the date they become
payable.
There are no matter pending with the Income Tax authorities except for
the A.Y. 1999-2000 where the Income Tax department has filed an appeal
in to the high court against the order of the Income Tax tribunal in
favor of the Company.
(b)According to the records of the Company and information and
explanation given to us and record verified by us there are no
outstanding dues of Sales-tax, Custom Duty, Excise Duty, Income tax,
wealth tax, service tax , cess which have not been deposited, with the
appropriate authorities on account of disputes . (x). The accumulated
losses of the Company on account of sale of assets is Rs. 1,38,87,314/-
(xi) Based on our audit procedures and the information and explanations
given by the management, Company has not defaulted in repayment of its
dues to any banks or financial institutes or debenture holders.
(xii) Based on our examination of the records and the information and
explanations given to us, the Company has not granted loans or advances
on the basis of security by way of pledge of shares, debentures or
other securities.
(xiii) The provisions of any Special Statute applicable to Chit Fund,
Nidhi or Mutual Benefit Fund/Societies are not applicable to the
Company.
(xiv) The Company has maintained proper records of transactions in
respect of dealing and trading in shares, securities, debentures and
other investments and timely entries have generally been made therein.
All shares, debentures, and other securities have been held by the
Company in its own name except to the extent of the exemption granted
under Section 49 of the Companies Act, 1956 and save for certain shares
which are either lodged for transfer or held with valid transfer form..
(xv) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
(xvi) The Company has not obtained any term loan during the year.
(xvii) On the basis of our examination of the Cash Flow statement, the
fund raised on short term basis have not been used for long term
investments,. The Company has not raised long term funds during the
year and hence, the use of such funds for short-term investments does
not arise.
(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 during the year.
(xix) The Company has not issued any debentures during the year.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) On the basis of our examination and 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 Jayesh R. Shah & Co.
Chartered Accountants
Firm Registration No. 104182W
Jayesh Shah
Proprietor
Membership No. 033864
Place: Mumbai
Date : 23rd July, 2011.
Mar 31, 2010
We have audited the Balance Sheet of NIYATI INDUSTRIES LIMITED as on
31st March 2010 and also the Profit and Loss Account for the year ended
on that date annexed thereto. These financial statements are the
responsibility of the CompanyÃs management our responsibility is to
express our opinion on these financial statements based on our audit:
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatements .An audit includes
examination, 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
statements presentation. We believe that our audit provides a
reasonable basis for our opinion.
In accordance with provision of Section 227 of the Companies Act, 1956,
we report as under:
1) We have obtained all the information & explanations, which to the
best of our Knowledge & belief were necessary for the purpose of our
audit.
2) In our opinion, proper books of accounts as required by the law,
have been kept by the company so far as it appears from our examination
of the books.
3) The Balance Sheet & Profit & Loss Account dealt by this report are
in agreement with the books of account.
4) In our opinion, the Balance Sheet, the Profit & Loss Account and the
Cash Flow Statement dealt with by this report, comply with the
accounting standards referred in sub section 3 (C) of section 211 of
the Companies Act, 1956, to the extent applicable, Subject to the
following : Note No.8 of Notes to the accounts regarding non compliance
of Accounting Standard-15 Ã Accounting for retirement benefit in the
financial statements of employerà in respect of Gratuity accounting on
cash basis. Note No.9 of Notes to the accounts regarding non compliance
of Accounting Standard-28 ÃImpairment of AssetsÃ
5) On the basis of the written representation received from the
Directors and taken on record by the Board of Directors, we report that
none of the Directors of the Company, i.e. Niyati Industries Ltd. As on
31st March, 2010 is disqualified for appointment as a director in the
aforementioned company in terms of clause (g) of sub section (1) of
Section 274 of the Companies Act, 1956 on the said date.
6) In our opinion and to the best of our information and according to
the explanation given to us, the said accounts together with the notes
and Schedule thereon 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.
a. In case of Balance Sheet, of the state of affairs of the Company as
at 31st March, 2010.
b. In the case of Profit & Loss accounts, of the profit for the year
ended on that date.
c. In the case of cash flow statement, of the cash flows for the year
ended on that date.
7) As required by the Companiesà (AuditorÃs Report) Order, 2003 and
according to the information and explanation given to us during the
course of the audit and on the basis of such checks as were considered
appropriate, We further report that: (i) (a) The company has maintained
proper records showing full particulars including quantitative details
and situations of fixed assets
(b)As explained to us by the management, it is not possible to verify
the existence of the leased assets as every one has stopped paying
lease rent since many years and legal proceedings are initiated by the
Company against them. As regards own assets, the Wind Turbine
Generator, which was installed at Bhatiya, Dist. Porbandar, Gujarat.,
which had fell down due to mechanical fault. The machine was kept at
the site only to claim the Insurance. The claim is still pending in the
court and the management has not done any verification of the machine
at the open site whether it is lying there or not. As explained to us,
it is not possible to keep a track at the site as it is situated at
very remote place. Therefore it is not possible for the management to
say about the discrepancies if any.
(c)During the year, the Company has not disposed off any substantial
part of fixed assets. (ii) (a) As per the information furnished, the
inventories have been physically verified by the management during the
year at reasonable intervals, having regard to the nature of stocks,
the frequency of the physical verification is reasonable. (b) In our
opinion and according to the information and explanation given to us,
the procedures of physical verification of the inventories followed by
the management are reasonable and adequate in relation to the size of
the Company and nature of its business;
(c) The Company has maintained proper records of inventories. In our
opinion, no discrepancies have been noticed on physical verification of
inventories as compared to book records.
(iii) (a) As per the information furnished, the Company has not granted
or taken any loans secured or unsecured to/from companies, firms or
other parties covered in the Register, maintained under Section 301 of
the Companies Act,1956;
(b) The rate of interest and other terms and conditions in respect of
the unsecured loans given by the Company to its employees and others,
are in our opinion, prima facie not prejudicial to the interest of the
Company;
(c) In respect of such loans given by the Company, where stipulations
have been made, they have generally repaid the principal amounts as
stipulated and have been regular in payment of interest, where
applicable;
(d) In respect of such loans given by the Company, there are no overdue
amounts more than Rs. 1, 00,000/-.
(iv) In our opinion and according to the information and explanation
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 inventories, fixed assets and for
sale of goods & services.
Further, on the basis of our examination of the books and records of
the Company, and according to the information and explanation given to
us, we have neither come across nor have been informed of any
continuing failure to correct major weakness in the aforesaid internal
control system.
(v) (a) Based on the procedures applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the transactions made in pursuance of contracts or
arrangements, that need to be entered in to the register maintained
under Section 301 of the Companies Act,1956 have been recorded in the
register ;
(b) In our opinion and according to the information and explanation
given to us, there are no transactions of purchase and sale of goods,
materials and services made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Companies
Act, 1956 aggregating during the year to Rs.5, 00,000/- or more in
respect of each party.
(vi) The Company has not accepted any deposits during the year from the
public within the meaning of the provisions of Sections 58A and 58AA of
the Companies Act, 1956 and the Companies (Acceptance of Deposits)
Rules, 1975. Hence, Clause (vi) of the order is not applicable.
(vii) In our opinion, the Company has an adequate internal audit system
commensurate with its size and nature of its business.
(viii) The Company is not covered under Section 209(1)(d) of the
Companies Act, 1956, hence not required to maintain cost records.
(ix) (a) According to the information and explanation given to us and
the records examined by us, the Company is regular in depositing
undisputed statutory dues including Provident Fund, Employeesà State
Insurance Fund, Income-tax, Sales- tax, wealth tax, service tax, Custom
Duty, Excise Duty, Cess and other statutory dues with appropriate
authorities. According to the records of the Company and the
information and explanations given to us, there are no undisputed
amounts payable in respect of Income Tax, Wealth Tax, Service Tax,
Custom Duty, Sales Tax, Excise Duty, PF, ESIC and any other statutory
dues which have remained outstanding as at 31st March, 2010 for a
period of more than six months from the date they become payable.
(b)According to the records of the Company and information and
explanation given to us, the dues of Sales-tax, Custom Duty, Excise
Duty, Income tax, wealth tax, cess which have not deposited, on account
of disputes and the forum where the dispute is pending are as under.
The following matters of Income Tax are pending for various reasons.
A.Y. 1997-98 As per Appeal order disallowance of Rs. 19, 18,043/- A.Y.
1999-2000 As per appeal order disallowance of Rs. 2, 83,770/- A.Y.
2000-01 As per appeal order disallowance of Rs. 6, 94,992/- A.y.
2001-02 As per order disallowance of Rs. 2, 90,405/- A.Y. 2003-04 As
per order disallowance of Rs. 6, 80,000/- The only demand raised by the
Income Tax department is for A.Y. 2000-01 of Rs.28,99,780/- for which
effect of appeal order is not given by the department. For all other
years disallowances are adjusted against c/fd. Losses. There are many
claims of TDS also are pending and hence no liabilities are expected.
The Company has asked for the rectification for all the years giving
actual effects of all orders and TDS claims. The Company had carried
forward loses hence do not expect any further liability on account of
Income Tax.
(x) The accumulated losses of the Company on account of unabsorbed
depreciation as per Income Tax are Rs.17, 49,137/- (xi) Based on our
audit procedures and the information and explanations given by the
management, Company has defaulted in repayment of its dues to Gujarat
State Financial Corporation for Rs. 64,72,258/-, the management
explained that the Company has made a settlement with GSFC and are
paying the installments in time as agreed in the settlement scheme.
(xii) Based on our examination of the records and the information and
explanations given to us, the Company has not granted loans or advances
on the basis of security by way of pledge of shares, debentures or
other securities.
(xiii) The provisions of any Special Statute applicable to Chit Fund,
Nidhi or Mutual Benefit Fund/Societies are not applicable to the
Company.
(xiv) The Company has maintained proper records of transactions in
respect of dealing and trading in shares, securities, debentures and
other investments and timely entries have generally been made therein.
All shares, debentures, and other securities have been held by the
Company in its own name except to the extent of the exemption granted
under Section 49 of the Companies Act, 1956 and save for certain shares
which are either lodged for transfer or held with valid transfer form.
(xv) According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks and financial institutions.
(xvi) The Company has not obtained any term loan during the year.
(xvii) On the basis of our examination of the Cash Flow statement, the
fund raised on short term basis have not been used for long term
investments,. The Company has not raised long term funds during the
year and hence, the use of such funds for short-term investments does
not arise.
(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 during the year.
(xix) The Company has not issued any debentures during the year.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) On the basis of our examination and 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 Jayesh R. Shah & Co
Chartered Accountants
Firm Reg. No. 104182W
SD/-
Jayesh Shah
Proprietor
Membership No. 033864
Place: Mumbai
Date : 24th August, 2010.
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