Mar 31, 2015
We have audited the accompanying financial statements of WESTERN INDIA
SHIPYARD LIMITED ("the Company"), which comprise the Balance Sheet as
at 31st March, 2015, the Statement of Profit and Loss, the Cash Flow
Statement for the year then ended, and a summary of the significant
accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation of these financial statements that give a true and
fair view of the financial position, financial performance and cash
flows of the Company in accordance with the accounting principles
generally accepted in India, including the Accounting Standards
specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
This responsibility also includes maintenance of adequate accounting
records in accordance with the provisions of the Act for safeguarding
the assets of the Company and for preventing and detecting 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 adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder.
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 the 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 a
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 the operating
effectiveness of such controls.
An audit also includes evaluating the appropriateness of the accounting
policies used and the reasonableness of the accounting estimates made
by the Company's Directors, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31stMarch, 2015, and its profit/loss and its cash flows for the year
ended on that date.
Emphasis of Matter
We draw attention to the following matters in the Notes to the
financial statements
1. Note No-29 (h) to the financial statements which describes the
uncertainty related to the outcome of the lawsuits filed against the
Company.
2. Note No-36 to the financial statements regarding the financial
statements is prepared on a going concern basis notwithstanding the
fact that its net worth is completely eroded. The appropriateness of
the said basis is inter-alia dependent on the Company's ability to
infuse requisite funds for meeting its obligations for payment of debt
and generate more business.
Our opinion is qualified in respect of the above matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 (the
Order) issued by the Central Government in terms of sub-section 11 of
section 143 of the Act, we give in the Annexure a statement on the
matters specified in paragraphs 3 and 4 of the Order.
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
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 it 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 aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014.
(e) On the basis of the written representations received from the
directors as on 31stMarch, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
(f) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us, the Company has not
disclosed the impact, if any, pending litigations on its financial
position in its financial statements
ANNEXURE TO INDEPENDENT AUDITORS' REPORT
(Referred to in Paragraph (1) under the heading of "Report on Other
Legal and Regulatory Requirements" of our report of even date)
The Annexure referred to in our report to the members of WESTERN INDIA
SHIPYARD LIMITED (the Company') for the year ended on 31st March, 2015.
We report that:
(i) (a) The Company is maintaining proper records showing full
particulars, including quantitative details and situation of
fixed assets;
(b) As explained to us, major fixed assets have been physically
verified by the management in a phased &reasonable manner, which in our
opinion is reasonable, as considered appropriate by the management. We
have been explained that no material discrepancies were noticed on such
verification as compared to book records.
(ii) (a) It has been explained to us that the inventory lying with the
Company has been physically verified by the management at the year end.
(b) The procedure of physical verification of inventory followed by the
Management is in our opinion, reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanation
given to us, the Company is maintaining proper records of inventory. As
per information and explanations given to us, the Company had
undertaken extensive stock verification during the year. Discrepancies
observed during physical verification of inventory have been properly
accounted for.
(iii) 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.
(iv) According to the information and explanations given to us, there
is an adequate internal control system commensurate with the size of
the Company and the nature of its business, for the purchase of
inventory and fixed assets and for the sale of goods and services.
(v) The Company has not accepted any deposits from the public thus the
provisions of Paragraph 3(v) of Order are not applicable.
(vi) We have been informed that the Central Government has not
prescribed maintenance of cost records for the Company under
sub-section (1) of section 148 of the Companies Act.
(vii) In respect of Statutory Dues :-
(a) According to the records of the Company, there have been delays in
depositing Provident Fund, Employees State Insurance and other
undisputed statutory dues with the appropriate authorities
According to the information and explanations given to us, no
undisputed amounts payable in respect of Income Tax, Wealth Tax, Sales
Tax including VAT, Service Tax, Customs duty, Excise duty, cess and
other statutory dues were outstanding, as at the last day of financial
year for a period of more than six months from the date they became
payable other than mentioned below:-
Nature of dues Name of the Statute Amount Payable
(Rs. in lacs)
TDS The Income Tax Act, 1961 213.52
Value Added Tax The Goa Value Added Tax Act, 2005 228.18
(b) The disputed statutory dues aggregating Rs. 2990.17 lacs that
have not been deposited on account of disputed matters are
given below:-
Nature of dues Name of the Statute Financial
Year
Sales Tax The Goa Sales Tax 1995-96 to
Act 2004-05
Value Added Tax The Goa Value 2005-06 to
(VAT) Added Tax Act, 2005 2007-08
Value Added Tax The Goa Value 2010-11
(VAT) Added Tax Act, 2005
Service Tax The Finance Act, 2001-02 to
1994 2004-05
Income Tax The Income Tax Act, 2005-06
Demand 1961
Custom Duty Customs Act, 1962 2012-13
Nature of dues Amount Forum where dispute is
Payable pending
(Rs. in lacs)
Sales Tax 837.91 Commissioner-(Sales Tax)
Value Added Tax 515.78 Commissioner -VAT
(VAT)
Value Added Tax 39.84 Appeal is still to be filed
(VAT)
Service Tax 712.18 Bombay High Court
Income Tax 15.95 Commissioner of Income
Demand Tax (Appeals)
Custom Duty 868.51 CESTAT
(c) No amount is required to be transferred to investor education and
protection fund and thus, provisions of Paragraph 3(vii)(c) of the
Order are not applicable.
(viii) As per records of the Company, the accumulated losses of the
Company exceed its net worth. The Company has incurred cash losses
amounting to Rs. 2240.71 lacs during the current financial year and Rs.
1375.74 lacs in the immediately preceding financial year.
(ix) As per records of the Company, the Company has not defaulted in
repayment of dues to financial institutions or banks or debenture
holders.
(x) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from bank or financial institutions.
(xi) In our opinion and according to the information and explanations
given to us, term loans are applied for the purpose for which the loans
were obtained.
(xii) As informed to us, no fraud on or by the Company has been noticed
of reported during the year.
For V. V. Kale & Co.
Chartered Accountants
Firm Regd No- 000897N
Sd/-
Vijay V. Kale
Place : Mumbai Partner
Date : June 30, 2015 M. No- 080821
Mar 31, 2014
We have audited the accompanying financial statements of Western India
Shipyard Ltd. ("the Company"), which comprise the Balance Sheet as at
31st March, 2014, the Statement of Profit and Loss and Cash Flow
Statement for the year then ended and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
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
Accounting Standards referred to in Section 211(3C) of the Companies
Act, 1956 ("the Act") read with the General Circular 15/2013 dated 13
September 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.
Auditors'' 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 aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India.
a) In the case of the Balance Sheet, of the state of the affairs of
Company as at 31st March, 2014;
b) In the case of Statement of Profit & Loss, of the loss of the
Company for the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Emphasis of Matter
We draw attention to :-
Note No-36 to the financial statements regarding the financial
statements prepared on a going concern basis notwithstanding the fact
that its net worth is completely eroded. The appropriateness of the
said basis is interalia dependent on the Company''s ability to infuse
requisite funds for meeting its obligations for payment of debt and
generate more business.
Our opinion is qualified in respect of the above matter.
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 Section
227(4A) 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 section 211(3C) of the Act, 1956 read with the General
Circular 15/2013 dated 13 September 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, 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 Section 274(1)(g) of the
Act.
ANNEXURE TO INDEPENDENT AUDITORS'' REPORT
(Referred to in Paragraph (1) under the heading of "Report on Other
Legal and Regulatory Requirements" of our report of even date)
1. In respect of fixed assets:
a. As informed to us, the Company has maintained proper records showing
full particulars including quantitative details and situation of fixed
assets and it needs to be updated.
b. As informed to us, all the assets have not been physically verified
by the management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its business. No material
discrepancies were noticed on such verification.
c. As explained to us, no substantial part of the fixed assets has been
disposed off during the year.
2. In respect of inventories
a. As informed to us, the Management has physically verified the
inventory during the year. In our opinion, the frequency of
verification is reasonable.
b. As explained to us, the procedure of physical verification of
inventories followed by the Management is reasonable and adequate in
relation to the size of the Company and the nature of its business.
c. On the basis of our examination of the records of inventory, we are
of the opinion that the Company is maintaining proper records of
inventory. The discrepancies noticed on verification between the
physical stocks and the book stocks were not material.
3. In respect of the loans, secured or unsecured, granted or taken by
the Company to/from companies, firms or other parties covered in the
register maintained under Section 301 of the Companies Act, 1956.
a. The Company has not granted any loan during the year 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)(b), (iii)(c) and (iii)(d) of paragraph 4 of the Order are
not applicable.
b. The Company has not taken any loan during the year from 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) and (iii)(g) of paragraph 4 of the Order are not
applicable.
4. In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the 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. During the course of our audit, no major weakness has been
noticed in the internal control system.
5. In respect of the contracts or arrangements referred to in Section
301 of the Companies Act, 1956.
a. In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements referred that need to be entered in 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 transactions made in pursuance of such contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rs. 500,000/- 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.
6. According to the information and explanations given to us, the
Company has not accepted any deposits from the public under the
provisions of Sections 58A and 58AA of the Companies Act, 1956 or any
other relevant provisions of the Act. Therefore, the provision of
Clause (vi) of paragraph 4 of the Order is not applicable to the
Company
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size and nature of its business.
8. As explained to us, the Central Government has not prescribed for
the maintenance of cost records under Section 209 (1) (d) of the
Companies Act, 1956 in respect of Company''s product and activity.
9. In respect of statutory dues:
a. According to the records of the Company, there has been delays in
depositing Provident Fund, Employees State Insurance and other
undisputed statutory dues with the appropriate authorities.
b. The disputed statutory dues aggregating Rs. 2871.50 Lac that have
not been deposited on account of disputed matters as given below
Nature of Dues Name of the Statute Financial Year
Sales Tax The Goa Sales Tax Act 1995-96 to 2004-05
Value Added Tax The Goa Value 2005-06 to 2007-08
(VAT) Added Tax Act, 2005
Value Added Tax The Goa Value 2010-11
(VAT) Added Tax Act, 2005
Service Tax Finance Act, 1994 2001-02 to 2004-05
Income Tax Demand The Income Tax Act, 1961 2005-06
Custom Duty Customs Act, 1962 2012-13
Nature of Dues Amount Forum where dispute is
(Rs. in lacs) pending
Sales Tax 837.91 Commissioner - (Sales Tax)
Value Added Tax 515.78 Commissioner-VAT
(VAT)
Valu Added Tax 39.84 Appeal is still to be filed
(VAT)
Service Tax 712.18 Bombay High Court
Income Tex Demand 5.67 Income Tax Appellate Tribunal
Custom Duty 760.12 CESTAT
10. As per records of the Company, the accumulated losses of the
Company exceed its net worth. The Company has incurred cash losses
amounting to Rs. 1775.74 lacs during the current financial year and Nil
in the immediately preceding financial year.
11. Based on the examination of the books of account, related records
and according to the information and explanations given to us, 60
instances of delays were noted in repayment of dues to the bank ranging
from 1 to 90 days with amounts varying from Rs. 1.38 lacs to Rs. 126.82
lacs and in case of financial institution, the Company has paid Rs.
2785.18 lacs against recall of loan amounting to Rs. 3575.00 lacs which
was due on December, 2012.
12. In our opinion and according to the explanations given to us and
based on the information available, no loans and advances have been
granted by the Company on the basis of security by way of pledge of
shares, debentures and other securities.
13. In our opinion, the Company is not a chit fund/ nidhi/ mutual
fund/society. Therefore, the provisions of Clause (xiii) of paragraph 4
of the Order is not applicable to the Company
14. During the audit under review, the Company has made any investment
in mutual fund or in Shares.
15. As informed to us, the Company has not given any guarantee for
loans taken by others from Bank or Financial Institutions.
16. As per records of the Company, no term loans were applied for.
Therefore, the provisions of Clause (xvi) of paragraph 4 of the Order
is not applicable to the Company.
17. In our opinion and according to the explanations given to us and
based on the information available, we are of the opinion that there
are no funds raised on short-term basis that have been used for
long-term investment.
18. As per the records, the Company has not made any preferential
allotment of shares to parties and companies mentioned in the register
maintained under Section 301 of the Companies Act, 1956 during the
year.
19. The Company does not have any debentures. Therefore, the provision
of Clause (xix) of paragraph 4 of the Order is not applicable to the
Company.
20. As per the records of the Company, the Company has not raised any
money by way of public issues during the year under audit.
21. As per information and explanations given by the Management, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For V. V. Kale & Co.
Chartered Accountants
Firm Regd No- 000897N
Sd/
Vijay V. Kale
Place : Mumbai Partner
Date : May 22, 2014 M. No - 080821
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Western India
Shipyard Ltd. ("the Company"), which comprise the Balance Sheet as at
31st March, 2013, 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 principles generally accepted in India including
Accounting Standards referred to in Section 211(3C) 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.
Auditors'' 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 aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
a) In the case of the Balance Sheet, of the state of the affairs of
Company as at 31st March, 2013;
b) In the case of Statement of Profit & Loss, of the loss of the
Company 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 Section
227(4A) 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 section 211(3C) of the Act;
e) On the basis of the written representations received from the
directors as on March 31, 2013, 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 Section 274(1)(g) of the
Act. provisions of the Act. Therefore, the provision of Clause (vi) of
paragraph 4 of the Order is not applicable to the Company
7. In our opinion, the Company has an adequate internal audit system
commensurate with the size and nature of its business.
8. As explained to us, the Central Government has not prescribed for
the maintenance of cost records under Section 209 (1) (d) of the
Companies Act, 1956 in respect of Company''s product and activity.
9. In respect of statutory dues:
a. According to the records of the Company, there has been delays in
depositing Provident Fund, Employees State Insurance and other
undisputed statutory dues with the appropriate authorities.
According to the information and explanations given to us, no
undisputed amounts payable in respect of Income Tax, Wealth Tax, Sales
Tax including VAT, Service Tax, Customs duty, Excise duty, cess and
other statutory dues were outstanding, as at the last day of financial
year for a period of more than six months from the date they became
payable other than mentioned below:- Nature of dues Name of the Statute
Amount Payable
(Rs. in lacs)
Income Tax The Income Tax Act, 1961 87.91
TDS The Income Tax Act, 1961 29.09
Service Tax The Finance Act, 1994 48.55
Value Added Tax The Goa Value Added
Tax Act, 2005 190.16
b. The disputed statutory dues aggregating Rs. 2751.41 lacs that have
not been deposited on account of disputed matters are given below:-
Nature of Dues Name of the Statute Financial Year
Sales Tax The Goa Sales Tax Act 1995-96 to
2004-05
Value Added Tax The Goa Value Added Tax 2005-06 &
(VAT) Act, 2005 2006-07
Service Tax Finance Act, 1994 2001-02 to
2003-04
Income Tax Demand The Income Tax Act, 1961 2005-06
Custom Duty Customs Act, 1962 2012-13
Name Amount Forum where
(Rs. in lacs) dispute is pending
Sales Tax 837.91 Commissioner -
(Sales Tax)
Sales Tax 436.57 Commissioner -VAT
711.14 Bombay High Court
Sales Tax 5.67 Income Tax Appellate
Tribunal
Sales Tax 760.12 Appeal is yet to be filed
10. As per records of the Company, the accumulated losses of the
Company exceed fifty percent of its net worth. However, the Company
has not incurred cash losses during the current financial year and in
the immediately preceding financial year.
11. Based on the examination of the books of account, related records
and according to the information and explanations given to us, 31
instances of delays were noted in repayment of dues to the bank ranging
from 1 to 98 days with amounts varying from Rs. 15.01 lacs to Rs.
126.82 lacs and 14 instances of delays were noted in repayment of dues
to the financial institution ranging from 1 to 201 days with amounts
varying from Rs. 7.95 lacs to Rs. 3162.50 lacs, out of these dues to
financial institution Rs. 1106.74 lacs remain outstanding as on the
date of signing of balance sheet.
12. In our opinion and according to the explanations given to us and
based on the information available, no loans and advances have been
granted by the Company on the basis of security by way of pledge of
shares, debentures and other securities.
13. In our opinion, the Company is not a chit fund/ nidhi/ mutual
fund/society. Therefore, the provisions of Clause (xiii) of paragraph 4
of the Order is not applicable to the Company
14. During the audit under review, the Company has made investment in
mutual fund. The Company has maintained proper records of the
transactions and contracts in respect of such investment. All
investments have been held by the Company in its own name.
15. As informed to us, the Company has not given any guarantee for
loans taken by others from Bank or Financial Institutions.
16. As per records of the Company, no term loans were applied for.
Therefore, the provisions of Clause (xvi) of paragraph 4 of the Order
is not applicable to the Company.
17. In our opinion and according to the explanations given to us and
based on the information available, we are of the opinion that there
are no funds raised on short-term basis that have been used for
long-term investment.
18. As per the records, the Company has not made any preferential
allotment of shares to parties and companies mentioned in the register
maintained under Section 301 of the Companies Act, 1956 during the
year.
19. The Company does not have any debentures. Therefore, the provision
of Clause (xix) of paragraph 4 of the Order is not applicable to the
Company.
20. As per the records of the Company, the Company has not raised any
money by way of public issues during the year under audit.
21. As per information and explanations given by the Management, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For V. V. Kale & Co.
Chartered Accountants
Firm Regd No- 000897N
Sd/-
Vijay V. Kale
Place : Mumbai Partner
Date : 24th May, 2013 M. No- 080821
Mar 31, 2012
1. We have audited the attached Balance Sheet of Western India
Shipyard Ltd. as at 31st March, 2012, the Profit and Loss Account for
the year ended on that date and the Cash Flow Statement for the year
ended on that date, both annexed thereto. These financial statements
are the responsibility of the Company's Management.
2. We conducted our audit in accordance with Auditing Standards
generally accepted in India. These standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our report.
3. As required by the Companies (Auditor's Report) Amendment Order,
2004 issued by the Central Government of India in terms of Section 227
(4A) of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 & 5 of the said Order.
4. Further to our comments in the Annexure referred to in para (1)
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 the
books.
(c) The Balance Sheet, Profit & 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 & Loss Account and Cash
Flow Statement materially comply with the Mandatory Accounting
Standards referred to in Sub-section (3C) of Section 211 of the
Companies Act, 1956.
(e) On the basis of written representation received from the Directors
as on 31st March, 2012 and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31st March,
2012 from being appointed as Directors in terms of clause (g) of
Sub-section (1) of Section 274 of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
notes to accounts give the information required by the Companies Act,
1956, in the manner so required subject to the comments in paragraph
(f) above , 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 the affairs of
Company as at 31st March, 2012.
ii) in the case of Profit & Loss Account, of the profit of the Company
for the year ended on that date.
iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITOR'S REPORT
(Referred to in Paragraph (1) of our Report of even date)
1. i) As informed to us, the Company has maintained proper records
showing full particulars including quantitative details and situation
of fixed assets and it needs to be updated.
ii) As informed to us, all the assets have not been physically verified
by the management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its business. No material
discrepancies were noticed on such verification.
(iii) As explained to us, no substantial part of the fixed assets have
not been disposed off during the year.
2. i) As informed to us, the Management has physically verified the
inventory during the year. In our opinion, the frequency of
verification is reasonable.
ii) As explained to us, the procedure 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.
(iii) On the basis of our examination of the records of inventory, we
are of the opinion that the Company is maintaining proper records of
inventory. The discrepancies noticed on verification between the
physical stocks and the book stocks were not material.
3. a. According to the information and explanation provided to us the
Company had taken loans from the companies covered in the register
maintained under Section 301 of the Companies Act, 1956.
b. In our opinion the rate of interest and other terms and conditions
of loans taken by the Company are prima- facie not prejudicial to the
interest of the Company.
c. According to the information and explanation given to us, the
payment of principal amount and interest are regular wherever
applicable.
d. According to the information and explanation given to us, there is
no over due amount pending for repayment.
4. According to the information and explanation given to us the
Company has not granted any loans to companies/ parties etc. covered
under register maintained under Section 301 of the Companies Act, 1956.
5. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, no major
weakness has been noticed in the internal controls.
6. Transactions that need to be entered in the register maintained
under Section 301 of the Companies Act, 1956:
a) Based upon the audit procedures applied by us and according to the
information and explanations given to us, we are of the opinion that
the particulars of contracts or arrangements referred to in Section 301
of the Companies Act, 1956, have been entered in the register required
to be maintained under that section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rs. 500,000/- 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.
7. According to the information and explanations given to us, the
Company has not accepted any deposits from the public under the
provisions of Sections 58A and 58AA of the Companies Act, 1956 or any
other relevant provisions of the Act.
8. In our opinion, the Company has an adequate internal audit system
commensurate with the size and nature of its business.
9. As explained to us, the Central Government has not prescribed for
the maintenance of cost records under Section 209 (1) (d) of the
Companies Act, 1956 in respect of Company's product and activity.
10. a) According to the records of the Company, the Company has
deposited Provident Fund, Employees State Insurance and other
undisputed statutory dues with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income Tax, Wealth Tax, Sales
Tax including VAT, Service Tax, Customs duty, Excise duty, cess and
other statutory dues were outstanding, as at the last day of financial
year for a period of more than six months from the date they became
payable other than TDS and VAT amounting to Rs. 2,05,89,448/-. However,
Rs. 12,38,478/- has been paid subsequently.
c) Dues against the Company as per Sales Tax and Service Tax assessment
are contested by the Company. Details are as under;
Nature of Name of the Financial Amount Forum where
Dues Statute Year (Rs) dispute is
pending
1. Sales The Goa Sales 1995-96 1,43,821 Commissioner
Tax Tax Act 1996-97 41,26,399 (Sales Tax)
1997-98 62,07,881
1998-99 64,99,976
1999-00 8,14,406
2000-01 89,49,596
2001-02 54,11,182
2002-03 2,31,00,478
2003-04 2,11,58,350
2004-05 73,79,288
2. Value The Goa Value 2005-06 2,20,77,259
Added Added Tax Act Commissioner
Tax 2006-07 2,15,79,204 VAT
(VAT)
3. Service Central Excise 2001-02 1,88,11,550 Bombay High
Tax and Customs Act 2002-03 2,53,09,680 Court
2003-04 2,69,92,343
4. Income The Income Tax 2005-06 5,67,138 ITAT
Tax
Demand
11. As per records of the Company, the accumulated losses of the
Company exceed fifty percent of its net worth. However, the Company
has not incurred cash losses during the current financial year.
12. The Company has been regular in repayment of dues to Bank &
Financial Institutions other than the delay in quarter ending March,
2012 to ICICI Bank Ltd. for Rs.1,92,85,714/- and IFCI Ltd. for Rs.
2,75,00,000/-.
13. As informed to us, the Company had given Rs. 575.63 lacs to
certain companies under escrow agreements against which the original
share certificates of the face value of Rs. 169.39 lacs (Market Value
on the Balance Sheet date is Rs. 569.16 lacs) had been deposited with
the Company.
14. As informed to us, the Company has not given any guarantee for
loans taken by others from Bank or Financial Institutions.
15. As informed to us, the term loans have been applied forthe purpose
For which they were raised.
16. As per the records, the Company has not made any preferential
allotment of shares to parties and companies mentioned in the register
maintained under Section 301 of the Companies Act, 1956 during the
year.
17. As per the records of the Company, the Company has not raised any
money by way of public issues during the year under audit.
18. As per information and explanations given by the Management, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
19. Other clauses to the said Order are considered to be not
applicable to the Company.
For V.V. Kale & Co.
Chartered Accountants
Firm Regd No-000897N
Sd /-
Vijay V. Kale
Place: Mumbai Partner
Date : May 25, 2012 M. No- 080821
Mar 31, 2011
1. We have audited the attached Balance Sheet of Western India
Shipyard Ltd. as at 31st March, 2011 and Profit & Loss Account for the
year ended on that date and the Cash Flow Statement for the year ended
on that date, both annexed thereto. These financial statements are the
responsibility of the Company's Management.
2. We conducted our audit in accordance with Auditing Standards
generally accepted in India. These standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our report.
3. As required by the Companies (Auditor's Report) Amendment Order,
2004 issued by the Central Government of India in terms of Section 227
(4A) of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 & 5 of the said Order.
4. Further to our comments in the Annexure referred to in para (1)
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 the
books.
(c) The Balance Sheet, Profit & 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 & Loss Account and Cash
Flow Statement materially comply with the Mandatory Accounting
Standards referred to in Sub-section (3C) of Section 211 of the
Companies Act, 1956.
(e) On the basis of written representation received from the Directors
as on 31st March, 2011 and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31st March,
2011 from being appointed as Directors in terms of clause (g) of
Sub-section (1) of Section 274 of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
notes to accounts give the information required by the Companies Act,
1956, in the manner so required subject to the comments in paragraph
(f) above , 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 the affairs of
Company as at 31st March, 2011.
ii) in the case of Profit & Loss Account, of the profit of the Company
for the year ended on that date.
iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITOR'S REPORT
(Referred to in Paragraph (1) of our Report of even date)
1. i) As informed to us, the Company has maintained proper records
showing full particulars including quantitative details and situation
of fixed assets and it needs to be updated.
ii) As informed to us, all the assets have not been physically verified
by the management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its business. No material
discrepancies were noticed on such verification.
iii) As explained to us, no substantial part of the fixed assets have
not been disposed off during the year.
2. i) As informed to us, the Management has physically verified the
inventory during the year. In our opinion, the frequency of verification
is reasonable.
ii) As explained to us, the procedure 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.
iii) On the basis of our examination of the records of inventory, we
are of the opinion that the Company is maintaining proper records of
inventory. The discrepancies noticed on verification between the
physical stocks and the book stocks were not material.
3. a. According to the information and explanation provided to us the
Company had taken loans from the companies covered in the register
maintained under Section 301 of the Companies Act, 1956.
b. In our opinion the rate of interest and other terms and conditions
of loans taken by the Company are prima- facie not prejudicial to the
interest of the Company.
c. According to the information and explanation given to us, the
payment of principal amount and interest are regular wherever
applicable..
d. According to the information and explanation given to us, there is
no over due amount pending for repayment.
4. According to the information and explanation given to us the Company
has not granted any loans to companies/ parties etc. covered under
register maintained under Section 301 of the Companies Act, 1956.
5. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, no major
weakness has been noticed in the internal controls.
6. Transactions that need to be entered in the register maintained
under Section 301 of the Companies Act, 1956:
a) Based upon the audit procedures applied by us and according to the
information and explanations given to us, we are of the opinion that
the particulars of contracts or arrangements referred to in Section 301
of the Companies Act, 1956, have been entered in the register required
to be maintained under that section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rs. 500,000/- 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.
7. According to the information and explanations given to us, the
Company has not accepted any deposits from the public under the
provisions of Sections 58A and 58AA of the Companies Act, 1956 or any
other relevant provisions of the Act.
8. In our opinion, the Company has an adequate internal audit system
commensurate with the size and nature of its business.
9. As explained to us, the Central Government has not prescribed for
the maintenance of cost records under Section 209 (1) (d) of the
Companies Act, 1956 in respect of Company's product and activity.
10. a) According to the records of the Company, the Company has
deposited Provident Fund, Employees State Insurance and other
undisputed statutory dues with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income Tax, Wealth Tax, Sales
Tax including VAT, Service Tax, Customs duty, Excise duty, cess and
other statutory dues were outstanding, as at the last day of financial
year for a period of more than six months from the date they became
payable.
c) Dues against the Company as per Sales Tax and Service Tax assessment
are contested by the Company. Details are as under :-
Nature of
dues Name of the
Statute Financial Amount (Rs.) Forum where
year dispute is pending
1. Sales
Tax The Goa Sales
Tax 1995-96 1,43,821 Commissioner
Act 1996-97 41,26,399 (Sales Tax)
1997-98 62,07,881
1998-99 64,99,976
1999-00 8,14,406
2000-01 89,49,596
2001-02 54,11,182
2002-03 2,31,00,478
2003-04 2,11,58,350
2004-05 73,79,288
2. Value
Added Tax
(VAT) The Goa Value 2005-06 2,20,77,259 VAT Officer
Added Tax Act 2006-07 2,15,79,204
3. Service
Tax Central Excise
and 2001-02 1,88,11,550 Customs, Central
Customs Act 2002-03 2,53,09,680 Excise & Service
2003-04 2,69,92,343 Tax Appellate
Tribunal
4. Income
Tax Demand The Income
Tax Act 2005-06 5,67,138 CIT(Appeals)
11. As per records of the Company, the accumulated losses of the
Company exceed ffty percent of its net worth. However, the Company has
not incurred cash losses during the current financial year.
12. According to the information and explanations given to us and
based on the documents and records produced to us, the Company has not
defaulted in repayment of dues to a financial institution, bank or
debenture holders.
13. As informed to us, the Company had given Rs. 575.63 lacs to
certain companies under escrow agreements against which the original
share certificates of the face value of Rs.169.39 lacs (Market Value on
the Balance Sheet date is Rs. 859.68 lacs) had been deposited with the
Company.
14. As informed to us, the Company has not given any guarantee for
loans taken by others from Bank or Financial Institutions.
15. As informed to us, the term loans have been applied for the
purpose for which they were raised.
16. As per the records, the Company has not made any preferential
allotment of shares to parties and companies mentioned in the register
maintained under Section 301 of the Companies Act, 1956 during the
year.
17. As per the records of the Company, the Company has not raised any
money by way of public issues during the year under audit.
18. As per information and explanations given by the Management, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
19. Other clauses to the said Order are considered to be not
applicable to the Company.
For V. V. Kale & Co.
Chartered Accountants
Firm Regd No- 000897N
Sd/-
Vijay V. Kale
Place : Mumbai Partner
Date : May 30,2011 M. No- 80821
Mar 31, 2010
1. We have audited the attached Balance Sheet of Western India
Shipyard Ltd. as at 31st March, 2010 and Profit & Loss Account for the
year ended on that date annexed thereto. These financial statements are
the responsibility of the Companys Management.
2. We conducted our audit in accordance with Auditing Standards
generally accepted in India. These standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free 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 management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis
for our report.
3. As required by the Companies (Auditors Report) Amendment Order,
2004 issued by the Central Government of India in terms of Section 227
(4A) of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 & 5 of the said Order.
4. Further to our comments in the Annexure referred to in para (1)
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 the
books.
(c) The Balance Sheet, Profit & 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 & Loss Account and Cash
Flow Statement materially comply with the Mandatory Accounting
Standards referred to in Sub-section (3C) of Section 211 of the
Companies Act, 1956.
(e) On the basis of written representation received from the Directors
as on 31st March, 2010 and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31st March,
2010 from being appointed as Directors in terms of clause (g) of
Sub-section (1) of Section 274 of the Companies Act, 1956.
(f) We further report that :-
(i) Provision in respect of work done on sub-contracts is made on an
estimated basis in respect of Jobs in progress.
(ii) The Company has a policy of recognizing revenue on proportionate
completion method as referred to in Significant Accounting Policies, on
the basis of estimates and percentage of completion arrived at by the
Company. We have relied upon the same being technical in nature.
(g) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
notes to accounts give the information required by the Companies Act,
1956, in the manner so required subject to the comments in paragraph
(f) above, 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 the affairs of Company as at 31st March, 2010.
ii) in the case of Profit & Loss Account, of the profit of the Company
for the year ended on that date. 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
(Referred to in Paragraph (1) of our Report of even date)
1. i) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed assets.
ii) As informed to us, all the assets have not been physically verified
by the management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its business. No material
discrepancies were noticed on such verification.
(iii) As explained to us, substantial part of the fixed assets have not
been disposed off during the year. However, "Impairment of Assets" has
not been considered as per Accounting Standard - 28 issued by The
Institute of Chartered Accountants of India.
2. i) As informed to us, the Management has physically verified the
inventory during the year. In our
opinion, the frequency of verification is reasonable.
ii) As explained to us, the procedure 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.
(iii) On the basis of our examination of the records of inventory, we
are of the opinion that the Company is maintaining proper records of
inventory. The discrepancies noticed on verification between the
physical stocks and the book stocks were not material.
3. a. According to the information and explanation provided to us the
Company had taken loans from
the companies covered in the register maintained under Section 301 of
the Companies Act, 1956.
b. In our opinion the rate of interest and other terms and conditions
of loans taken by the Company are prima-facie not prejudicial to the
interest of the Company.
c. According to the information and explanation given to us, the
payment of principal amount and interest are regular.
d. According to the information and explanation given to us, there is
no over due amount pending for repayment.
4. According to the information and explanation given to us the
Company has not granted any loans to companies/ parties etc. covered
under register maintained under Section 301 of the Companies Act, 1956.
5. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, no major
weakness has been noticed in the internal controls.
6. Transactions that need to be entered in the register maintained
under Section 301 of the Companies Act, 1956:
a) Based upon the audit procedures applied by us and according to the
information and explanations given to us, we are of the opinion that
the particulars of contracts or arrangements referred to in Section 301
of the Companies Act, 1956, have been entered in the register required
to be maintained under that section and needs to be updated.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rs. 500,000 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.
7. According to the information and explanations given to us, the
Company has not accepted any deposits from the public under the
provisions of Sections 58A and 58AA of the Companies Act, 1956 or any
other relevant provisions of the Act.
8. In our opinion, the Company has an adequate internal audit system
commensurate with the size and nature of its business.
9. As explained to us, the Central Government has not prescribed for
the maintenance of cost records under Section 209 (1) (d) of the
Companies Act, 1956 in respect of Companys product and activity.
a) According to the records of the Company, the Company has deposited
Provident Fund, Employees State Insurance and other undisputed
statutory dues with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income Tax, Wealth Tax, Sales
Tax including VAT, Service Tax, Customs duty, Excise duty, cess and
other statutory dues were outstanding, as at the last day of financial
year for a period of more than six months from the date they became
payable amounting to Rs. 2,83,42,531/-. However, Rs. 86,66,128/- has
been deposited subsequently.
c) Dues against the Company as per Sales Tax and Service Tax assessment
are contested by the Company. Details are as under :-
Nature
of dues Name
of the
Statute Financial year Amount (Rs.) Forum
where
dispute is
pending
1. Sales
Tax The Goa
Sales 1995-96 1,43,821 Commissioner
Tax Act 1996-97 41,26,399 (Sales Tax)
1997-98 62,07,881
1998-99 64,99,976
1999-00 8,14,406
2000-01 89,49,596
2001-02 54,11,182
2002-03 2,31,00,478
2003-04 2,11,58,350
2004-05 73,79,288
2.Value
Added The Goa Value 2005-06 2,20,77,259 Commissioner
Tax
(VAT) Added Tax Act 2006-07 2,15,79,204 (VAT)
3.Ser-
vice Tax Central Excise
and 2001-02 1,88,11,550 High Court of
Customs Act 2002-03 2,53,09,080 Bombay at Goa
2003-04 2,69,92,343
4.Income
Tax The Income
Tax Act 2005-06 5,67,138 CIT (Appeals)
Demand
11. As per records of the Company, the accumulated losses of the
Company exceed fifty percent of its net worth. However, the Company has
not incurred cash losses during the current financial year.
12. According to the information and explanations given to us and
based on the documents and records produced to us, the Company has not
defaulted in repayment of dues to a financial institution, bank or
debenture holders.
13. As informed to us, the Company had given Rs. 575.63 lacs to
certain companies under escrow agreements against which the original
share certificates of the face value of Rs. 169.39 lacs (Market Value
on the Balance Sheet date is Rs. 1200.16 lacs) had been deposited with
the Company.
14. As informed to us, the Company has not given any guarantee for
loans taken by others from Bank or Financial Institutions.
15. As informed to us, the term loans have been applied for the
purpose for which they were raised.
16. As per the records, the Company has not made any preferential
allotment of shares to parties and companies mentioned in the register
maintained under Section 301 of the Companies Act, 1956 during the
year.
17. As per the records of the Company, the Company has not raised any
money by way of public issues during the year under audit.
18. As per information and explanations given by the Management, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
19. Other clauses to the said Order are considered to be not
applicable to the Company.
For V. V. Kale & Co.
Chartered Accountants
Sd/-
Vijay V. Kale
Partner
Place : Mumbai
Date : 29/05/2010