Auditor Report of B&B Realty Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of M/s. B & B Realty Ltd, ("the of Company")which comprise the Balance Sheet as at 31 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 of 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 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 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. 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 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 st principles generally accepted in India, of the state of affairs of the Company as at 31 March, 2015, and its profit/loss and its cash flows for the year ended on that date.

Emphasis of Matters

Members reference is invited to para R note no. li relating to:

a) Company not obtaining confirmation of balances from sundry debtors/creditors.

b) Company not making necessary provisions towards bad and doubtful debts which are outstanding more than five years.

However our opinion herein above, though not modified is subject to above observations.

Report on Other Legal and Regulatory Requirements

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) The going concern matter described in sub-paragraph (b) under the Emphasis of Matters paragraph above, in our opinion, may have an adverse effect on the functioning of the Company.

(f) On the basis of the written representations received from the directors as on 31 March, 2015 taken on record by the Board of Directors, none of the directors is st disqualified as on 31 March, 2015 from being appointed as a director in terms of Section 164 (2) of the Act.

(g) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure A".

(h) 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:

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 losse]

iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company

Annexure to the Auditors' Report

The Annexure referred to in our report to the members of B & B Realty Ltd. for the year Ended on 31-03-02015.

I report that:

(i) (a) whether the company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets; Yes

(b) whether these fixed assets have been physically verified by the management at reasonable intervals; whether any material discrepancies were noticed on such verification and if so, whether the same have been properly dealt with in the books of account; Company has written off the value of it fixed assets due to obsolescence and having no useful life.

(ii) (a) whether physical verification of inventory has been conducted at reasonable intervals by the management; Yes

(b) are the procedures of physical verification of inventory followed by the management reasonable and adequate in relation to the size of the company and the nature of its business. If not, the inadequacies in such procedures should be reported; Yes

(c) whether the company is maintaining proper records of inventory and whether any material discrepancies were noticed on physical verification and if so, whether the same have been properly dealt with in the books of account; Yes

(iii) (iii) whether the company has granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act. If so, Yes

(a) whether receipt ot the principal amount and interest arc also regular; and Yes

(b) if overdue amount is more than rupees one lakh, whether reasonable steps have been taken by the company for recovery of the principal and interest; Yes

(iv) is there 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. Whether there is a continuing failure to correct major weaknesses in internal control system. Yes

(v) in case the company has accepted deposits, whether the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under, where applicable, have been complied with? 11 not, the nature of contraventions should be stated; If an order has been passed by Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal, whether the same has been complied with or not? Company has not accepted any deposit during the year.

(vi) where maintenance of cost records has been specified by theCentral Government under sub- section (1) of section 148 of the Companies Act, whether such accounts and records have been made and maintained; No

(vii) (a) is the company regular in depositing undisputed statutory dues including provident fund, employees' state insurance, income-tax, sales- tax, wealth tax, service tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues with the appropriate authorities and if not, the extent of the arrears of outstanding statutory dues as at the last day of the financial year concerned for a period of more than six months from the date they became payable, shall be indicated by the auditor. Yes

(b) in case dues of income tax or sales tax or wealth tax or service tax or duty of customs or duty of excise or value added tax or cess have not been deposited on account of any dispute, then the amounts involved and the forum where dispute is pending shall be mentioned. (A mere representation to the concerned Department shall not constitute a dispute). No

(c) whether the amount required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules made thereunder has been transferred to such fund within time. Not applicable

(viii) whether in case of a company which has been registered for a period not less than five years, its accumulated losses at the end of the financial year are not less than fifty per cent of its net worth and whether it has incurred cash losses in such financial year and in the immediately preceding financial year; Not applicable

(ix) whether the company has defaulted in repayment of dues to a financial institution or bank or debenture holders'? If yes, the period and amount of default to be reported; No

(x) whether the company has given any guarantee for loans taken by others from bank or financial institutions, the terms and conditions whereof arc prejudicial to the interest of the company; No

(xi) whether term loans were applied for the purpose for which the loans were obtained; Not applicable

(xii) whether any fraud on or by the company has been noticed or reported during the year; If yes, the nature and the amount involved is to be _ indicated. No.

T.Srinivasa & Co. C

Chartered Accountants

( Tsrinivasa)

Proprietor

M.No.024213

Date -11/05/2015

Place- Bangalore

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Mar 31, 2014

We have audited the accompanying financial statements of B & B Realty Limited ("the Company"), which comprise the balance sheet as at March 31, 2014, 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

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, 2014;

(b) In the case of the statement of profit and loss, of the 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 sub-section (3C) of section 211 of the Companies Act, 1956;

e. On the basis of written representations received from the directors as on March 31, 2014, and taken on record by the board of directors, none of the directors is disqualified as on March 31, 2014, from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

Annexure referred to in our report of even date to the members of "B & B REALTY LIMITED, BANGALORE" on the accounts for the year ended 31st March, 2014.

1. a) Records of fixed assets have not been produced before us for verification and we have not verified the existence of the fixed assets.

b) No records in respect of physical verification of fixed assets by management have been produced before us and as such we are unable to comment in this respect.

c) During the year the company has not disposed off a substantial part of its fixed assets so as to affect its going concern status

2. a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to information and explanation given 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 nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there was no material discrepancies noticed on physical verification of inventory as compared to the book records.

3. The Company has not granted any loans, secured or unsecured, to companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (b) to 4 (iii) (d) of the order are not applicable to the company.

4. The Company has not taken unsecured loans, from companies, firms or other parties as covered in the 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 systems commensurate with the size of the company and the nature of its business. Further on the basis of our examination of the books and records of the company, and according to information and explanation given to us, we have neither come across nor have been informed of any continuing failure to correct major weaknesses in the aforesaid internal control systems..

6. According to the information and explanations given to us the transactions that needed to be entered in the register maintained in pursuance of section 301 of the Companies Act, 1956 have been so entered.

7. In our opinion and according to information and explanation given to us, the company has not accepted any deposit from the public and consequently the directives issued by the Reserve Bank of India, the provisions of Section 58A and 58AA of the Companies Act, 1956 and rules framed there under are not applicable.

8. The Company has not evolved an internal audit system commensurate with its size and the nature of its business.

9. The Company has not been required by the Central Government to maintain cost records under section 209 (1) (d) of the Companies Act, 1956.

10. According to the information and explanations given to us the Company has been regular in depositing the undisputed statutory dues applicable to it with the appropriate authorities during the year, except for the under mentioned taxes which have been outstanding as at 31st March 2014 for a period of more than six months from the date they became payable.

Name of the statute Nature of the period Amount (Rs.) dues

The West Bengal State Tax on F y Professions, Trades, Callings Professional Tax 2008 09 Rs.600 and Employment Act, 1979

11. The accumulated losses of the company at the end of the financial year under audit were not more than 50% of its net worth.

12. During the year the company has not defaulted in repayment of dues to bank and the company has not issued any debentures.

13. According to the information and explanations given to us the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

14. The company is not a Chit Funds / Nidhi / Mutual Benefit Fund/Societies. Therefore the provisions of clause 4 (xiii) of the said order are not applicable to the Company.

15. According to the information and explanation given to us, the Company is not dealing in or trading in shares, securities, debentures, and other investments. Accordingly, clause 4 (xiv) of the order is not applicable.

16. As per information given to us the Company has not given any guarantee for loan taken by others from banks or financial institutions.

17. The Company has not availed any term loan during the year under audit.

18. According to the information and explanations given to us and on an overall examination of balance Sheet of the company, in our opinion, there are no funds raised on a short term basis, which have been used for long term investment.

19. The Company has not made any preferential allotment of shares during the year covered under audit. Accordingly, clause 4 (xviii) of the order is not applicable.

20. The Company has not issued any debentures during the year.

21. The Company has not raised any money by way of public issue during the year.

22. As per the information and explanations given to us no material fraud on or by the Company has been noticed or reported during the year.

For Mishra & Co., Chartered Accountants

Nilamadhab Mishra Place : Bangalore Proprietor Date :06/05/2014 M.No. 223157, FRN: 012355S

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Mar 31, 2013

Report on the financial statements

We have audited the accompanying financial statements of B & B Realty Limited ("the Company"), which comprise the balance sheet as at March 31, 2013, 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

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 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 sub-section (3C) of section 211 of the Companies Act, 1956; and

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.

Annexure referred to in our report of even date to the members of "B ft B REALTY LIMITED, BANGALORE" on the accounts for the year ended 31st March, 2013.

1. a) Records of fixed assets have not been produced before us for verification and we have not verified the existence of the fixed assets.

b) No records in respect of physical verification of fixed assets by management have been produced before us and as such we arc unable to comment in this respect.

c) During the year the company has not disposed off a substantial part of its fixed assets so as to affect its going concern status

2. a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to information and explanation given 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 nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there was no material discrepancies noticed on physical verification of inventory as compared to the book records.

3. The Company has not granted any loans, secured or unsecured, to companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (b) to 4 (iii) (d) of the order are not applicable to the company.

4. The Company has not taken unsecured loans, from companies, firms or other parties as covered in the 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 systems commensurate with the size of the company and the nature of its business. Further on the basis of our examination of the books and records of the company, and according to information and explanation given to us, we have neither come across nor have been informed of any continuing failure to correct major weaknesses in the aforesaid internal control systems..

6. According to the information and explanations given to us the transactions that needed to be entered in the register maintained in pursuance of section 301 of the Companies Act, 1956 have been so entered.

7. !n our opinion and according to information and explanation given to us, the company has not accepted any deposit from the public and consequently the directives issued by the Reserve Bank of India, the provisions of Section 58A and 58AA of the Companies Act, 1956 and rules framed there under are not applicable.

8. The Company has not evcAvcc an internal audit system commensurate with its size and the nature of Ts business.

9. the Company has not been required by the Central Government to maintain cost records under section 209 (1) id) of the Companies Act, 1956.

10.According to the information and explanations given to us the Company has been regular in depositing the undisputed statutory dues applicable to it with the appropriate authorities during the vear, except for the under mentioned taxes which have been outstanding as at 31st March 2013

11. The accumulated losses of the company at the end of the financial year under audit were not more than 50% of its net worth. The Company has incurred cash losses in the financial year under audit and has not incurred cash loss in the immediately preceding financial year.

12. During the year the company has not defaulted in repayment of dues to bank and the company has not issued any debentures.

13. According to the information and explanations given to us the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

14. The company is not a Chit Funds / Nidhi / Mutual Benefit Fund/Societies. Therefore the provisions of clause 4 (xiii) of the said order are not apply to the Company.

15. According to the information and explanation given to us, the Company is not dealing in or trading in shares, securities, debentures, and other investments. Accordingly, clause 4 (xiv) of the order is not applicable.

16. As per information given to us the Company has not given any guarantee for loan taken by others from banks or financial institutions.

17. The Company has not availed any term loan during the year under audit.

18. According to the information and explanations given to us and on an overall examination of balance Sheet of the company, in our opinion, there are no funds raised on a short term basis, which have been used for long term investment.

19. The Company has not made any preferential allotment of shares during the year covered under audit. Accordingly, clause 4 (xviii) of the order is not applicable.

20. The Company has not issued any debentures during the year.

21. The Company has not raised any money by way of public issue during the year.

22. As per the information and explanations given to us no material fraud on or by the Company has been noticed or reported during the year.

For Mishra fit Co.,

Chartered Accountants

Nilamadhab Mishra Proprietor

Place : Bangalore M-No- 223157, FRN: 012355S

Date : 29/05/2013

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Mar 31, 2012

We have audited the attached Balance Sheet of "B & B REALTY LTD." as at 31st March, 2012 and 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 an opinion on these financial statements based on our audit.

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

As required by the Companies ( Auditor's Report ) Order, 2003, as amended by the Companies (Auditor's Report) Amended order- 2004, issued by the Central Government of India in terms of section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said order.

Subject to above and further to our comments in the Annexure referred to above, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

b) In our opinion, proper books of account as required by law have been kept by the Company, so far as it appears from our examination of such books.

c) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.

d) In our opinion the attached Balance Sheet of the Company as at 31st March, 2012 and the Profit & Loss Account for the year ended on that date complies with the Accounting Standards referred to in Sub- section (3C) of Section 211 of the Companies Act, 1956.

e) On the basis of the written representations received from the Directors and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2012 from being appointed as a Director 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 Balance Sheet and Profit and Loss Account read together with the notes thereon give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view in conformity with the Accounting Principles generally accepted in India :

i) in the case of Balance Sheet, of the state of Company's affairs as at 31st March, 2012

ii) in the case of Profit and Loss Account of the Profit of the Company for the year ended on that date.

and

iii) in the case of cash flow statement, of the Cash flows for the year ended on that date.

Annexure referred to in our report of even date to the members of "B & B REALTY LIMITED, BANGALORE" on the accounts for the year ended 31st March, 2012.

1. a) Records of fixed assets have not been produced before us for verification and we have not verified the existence of the fixed assets.

b) No records in respect of physical verification of fixed assets by management have been produced before us and as such we are unable to comment in this respect.

c) During the year the company has not disposed off a substantial part of its fixed assets so as to affect its going concern status

2. a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to information and explanation given 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 nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there was no material discrepancies noticed on physical verification of inventory as compared to the book records.

3. The Company has not granted any loans, secured or unsecured, to companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (b) to 4 (iii) (d) of the order are not applicable to the company.

4. The Company has not taken unsecured loans, from companies, firms or other parties as covered in the 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 systems commensurate with the size of the company and the nature of its business. Further on the basis of our examination of the books and records of the company, and according to information and explanation given to us, we have neither come across nor have been informed of any continuing failure to correct major weaknesses in the afore said internal control systems..

6. According to the information and explanations given to us the transactions that needed to be entered in the register maintained in pursuance of section 301 of the Companies Act, 1956 have been so entered.

7. In our opinion and according to information and explanation given to us, the company has not accepted any deposit from the public and consequently the directives issued by the Reserve Bank of India, the provisions of Section 58A and 58AA of the Companies Act, 1956 and rules framed there under are not applicable.

8. The Company has not evolved an internal audit system commensurate with its size and the nature of its business.

9. The Company has not been required by the Central Government to maintain cost records under section 209 (1) (d) of the Companies Act, 1956.

10. a) According to the information and explanations given to us the Company has been regular in depositing the undisputed statutory dues applicable to it with the appropriate authorities during the year, except for the under mentioned taxes which have been outstanding as at 31st March 2012 for a period of more than six months from the date they became payable.

Name of the statute Nature of the dues Period Amount (Rs.)

The West Bengal State Tax on Professions, Trades, Callings and Professional Tax F.Y. 2008-09 Rs.600 Employment Act, 1979

11. The accumulated losses of the company at the end of the financial year under audit were not more than 50% of its net worth. The Company has not incurred cash losses in the financial year under audit and has incurred cash loss in the immediately preceding financial year.

12. During the year the company has not defaulted in repayment of dues to bank and the company has not issued any debentures.

13. According to the information and explanations given to us the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

14. The company is not a Chit Funds / Nidhi / Mutual Benefit Fund/Societies. Therefore the provisions of clause 4 (xiii) of the said order are not apply to the Company.

15. According to the information and explanation given to us, the Company is not dealing in or trading in shares, securities, debentures, and other investments. Accordingly, clause 4 (xiv) of the order is not applicable.

16. As per information given to us the Company has not given any guarantee for loan taken by others from banks or financial institutions.

17. The Company has not availed any term loan during the year under audit.

18. According to the information and explanations given to us and on an overall examination of balance Sheet of the company, in our opinion, there are no funds raised on a short term basis, which have been used for long term investment.

19. The Company has made not made any preferential allotment of shares during the year covered under audit. Accordingly, clause 4 (xviii) of the order is not applicable.

20. The Company has not issued any debentures during the year.

21. The Company has not raised any money by way of public issue during the year.

22. As per the information and explanations given to us no material fraud on or by the Company has been noticed or reported during the year.

For Mishra & Co.,

Chartered Accountants

Nilamadhab Mishra

Place : Bangalore Proprietor

Date : 01.09.2012 M.No. 223157, FRN: 012355S

---

Mar 31, 2011

We have audited the attached Balance Sheet of "B & B REALTY LTD." as at 31st March, 2011 and 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 an opinion on these financial statements based on our audit.

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

As required by the Companies ( Auditor's Report ) Order, 2003, as amended by the Companies (Auditor's Report) Amended order- 2004, issued by the Central Government of India in terms of section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said order.

Subject to above and further to our comments in the Annexure referred to above, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

b) In our opinion, proper books of account as required by law have been kept by the Company, so far as it appears from our examination of such books subject to what is stated in clause (e) below;

c) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.

d) In our opinion the attached Balance Sheet of the Company as at 31st March, 2011 and the Profit & Loss Account for the year ended on that date complies with the Accounting Standards referred to in Sub- section (3C) of Section 211 of the Companies Act, 1956 subject to what is stated in clause (e) below;

e) We could not verify the company's transactions between 01/04/2010 to 31/03/2011 entered into with following banks

I. Standard Chartered Bank - balance as per accounts as on 31st March 2011 Rs. 24,490.70

II. Allahabad Bank - balance as per accounts as on 31st March 2011 Rs 52,076.94

Due to the reason that the vouchers, documents, supporting papers, bank statement etc. were not produced before us. Further the closing bank balances with aforesaid banks are unconfirmed and not verified by us.

f) On the basis of the written representations received from the Directors and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2011 from being appointed as a Director in terms of clause(g) of sub-section(1) of section 274 of the Companies Act, 1956.

g) In our opinion and to the best of our information and according to the explanations given to us, the said Balance Sheet and Profit and Loss Account read together with the notes thereon subject to our observation mentioned above in clause (e) give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view in conformity with the Accounting Principles generally accepted in India :

i) in the case of Balance Sheet, of the state of Company's affairs as at 31st March, 2011

ii) in the case of Profit and Loss Account of the Loss of the Company for the year ended on that date.

and

iii) in the case of cash flow statement, of the Cash flows for the year ended on that date.

Annexure referred to in my report of even date to the members of "B & B REALTY LIMITED, BANGALORE" on the accounts for the year ended 31st March, 2011.

1. a) Records of fixed assets has not been produced before us for verification and we have not verified the existence of the fixed assets.

b) No records in respect of physical verification of fixed assets by management has been produced before us and as such we are unable to comment in this respect.

c) During the year the company has not disposed off a substantial part of its fixed assets so as to affect its going concern status

2. a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to information and explanation given 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 nature of its business.

c)The Company has maintained proper records of inventories. As explained to us, there was no material discrepancies noticed on physical verification of inventory as compared to the book records.

3. The Company has not granted any loans, secured or unsecured, to companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (b) to 4 (iii) (d) of the order are not applicable to the company.

4. The Company has taken unsecured loans, from companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. In our opinion and according to the information and explanation provided to us, the rate of interest and other terms and conditions of loans taken by the company, secured or unsecured, are not prejudicial to the interest of the company. As per the opinion of the Management, the amount of such loan is not material and hence repayment of the loan will be made as and when operational profits will be generated by the company.

5. In our opinion and according to the information and explanations given to us, there are adequate internal control systems commensurate with the size of the company and the nature of its business. Further on the basis of our examination of the books and records of the company, and according to information and explanation given to us, we have neither come across nor have been informed of any continuing failure to correct major weaknesses in the afore said internal control systems..

6. According to the information and explanations given to us the transactions that needed to be entered in the register maintained in pursuance of section 301 of the Companies Act, 1956 have been so entered.

7. In our opinion and according to information and explanation given to us, the company has not accepted any deposit from the public and consequently the directives issued by the Reserve Bank of India, the provisions of Section 58A and 58AA of the Companies Act, 1956 and rules framed there under are not applicable.

8. The Company has not evolved an internal audit system commensurate with its size and the nature of its business.

9. The Company has not been required by the Central Government to maintain cost records under section 209 (1) (d) of the Companies Act, 1956.

10. a) According to the information and explanations given to us the Company has been regular in depositing the undisputed statutory dues applicable to it with the appropriate authorities during the year, except for the under mentioned taxes which have been outstanding as at 31st March 2011 for a period of more than six months from the date they became payable.

Name of the Nature of statute the dues Period Amount (Rs.)

The West Bengal State Tax on Professions, Trades, Callings Professional F.Y. Rs.600 and Employment Act, 1979 Tax 2008-09

11. The accumulated losses of the company at the end of the financial year under audit were not more than 50% of its net worth. The Company has incurred cash losses in the financial year in the immediately preceding financial year.

12. During the year the company has not defaulted in repayment of dues to bank and the company has not issued any debentures.

13. According to the information and explanations given to us the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

14. The company is not a Chit Funds / Nidhi / Mutual Benefit Fund/Societies. Therefore the provisions of clause 4 (xiii) of the said order are not apply to the Company.

15. According to the information and explanation given to us, the Company is not dealing in or trading in shares, securities, debentures, and other investments. Accordingly, clause 4 (xiv) of the order is not applicable.

16. As per information given to us the Company has not given any guarantee for loan taken by others from banks or financial institutions.

17. The Company has not availed any term loan during the year under audit.

18. According to the information and explanations given to us and on an overall examination of balance Sheet of the company, in our opinion, there are no funds raised on a short term basis, which have been used for long term investment.

19. The Company has made not made any preferential allotment of shares during the year covered under audit. Accordingly, clause 4 (xviii) of the order is not applicable.

20. The Company has not issued any debentures during the year.

21. The Company has not raised any money by way of public issue during the year.

22. As per the information and explanations given to us no material fraud on or by the Company has been noticed or reported during the year.

For Mishra & Co., Chartered Accountants

Nilamadhab Mishra Place: Bangalore Proprietor

Date : 06/09/2011 M.No. 223157, FRN: 012355S

---

Mar 31, 2010

We have audited the attached Balance Sheet of "B & B REALTY LTD." as at 31st March, 2010 and the Profit and Loss Account for the year ended on that date annexed thereto. These financial statements are the responsibility of the Companys Management. Our responsibility is to express an opinion on these financial statements based on our audit.

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

As required by the Companies ( Auditors Report ) Order, 2003, as amended by the Companies (Auditors Report) Amended order- 2004, issued by the Central Government of India in terms of section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said order.

We could not verify the companys transactions between 01/04/2009 to 31/03/2010 entered into with following banks

I. Standard Chartered Bank - balance as per accounts as on 31st March 2010 Rs. 24,490.70

II. Allahabad Bank - balance as per accounts as on 31st March 2010 Rs 52,076.94

Due to the reason that the vouchers, documents, supporting papers, bank statement etc. were not produced before us. Further the closing bank balances with aforesaid banks are unconfirmed and not verified by us.

We have not physically verified the following investments:

5800 Equity Shares of S.M International Ltd. of Rs. 10/- each - Rs. 50,000

1000 Equity Shares of Rishab Exports Ltd. of Rs. 10/- each - Rs. 10,000

Subject to above and further to our comments in the Annexure referred to above, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

b) In our opinion, proper books of account as required by law have been kept by the Company, so far as it appears from our examination of such books.

c) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.

d) In our opinion the attached Balance Sheet of the Company as at 31 st March, 2010 and the Profit & Loss Account for the year ended on that date complies with the Accounting Standards referred to in Sub- section (3C) of Section 211 of the Companies Act, 1956.

e) On the basis of the written representations received from the Directors and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2010 from being appointed as a Director in terms of clause(g) of sub-section(l) 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 Balance Sheet and Profit and Loss Account read together with the notes thereon give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view in conformity with the Accounting Principles generally accepted in India :

i) in the case of Balance Sheet, of the state of Companys affairs as at 31st March, 2010

ii) in the case of Profit and Loss Account of the Loss of the Company for the year ended on that date.

and

iii) in the case of cash flow statement, of the Cash flows for the year ended on that date.

Annexure referred to in my report of even date to the members of "B & B REALTY LIMITED, BANGALORE" on the accounts for the year ended 31st March, 2010.

1. a) Records of fixed assets has not been produced before us for verification and we have not

verified the existence of the fixed assets.

b) No records in respect of physical verification of fixed assets by management has been produced before us and as such we are unable to comment in this respect.

c) During the year the company has not disposed off a substantial part of its fixed assets so as to affect its going concern status

2. a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to information and explanation given 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 nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there was no material discrepancies noticed on physical verification of inventory as compared to the book records.

3. The Company has not granted any loans, secured or unsecured, to companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (b) to 4 (iii) (d) of the order are not applicable to the company.

4. The Company has not taken any loans, secured or unsecured, from companies, firms or other parties as covered in the register maintained under Section 301 of the Companies Act, 1956. Accordingly the provisions of the clause 4 (iii) (f) to 4 (iii) (g) of the order are not applicable to the company.

5. In our opinion and according to the information and explanations given to us, there are adequate internal control systems commensurate with the size of the company and the nature of its business. Further on the basis of our examination of the books and records of the company, and according to information and explanation given to us, we have neither come across nor have been informed of any continuing failure to correct major weaknesses in the afore said internal control systems..

6. According to the information and explanations given to us the transactions that needed to be entered in the register maintained in pursuance of section 301 of the Companies Act, 1956 have been so entered.

7. In our opinion and according to information and explanation given to us, the company has not accepted any deposit from the public and consequently the directives issued by the Reserve Bank of India, the provisions of Section 58A and 58AA of the Companies Act, 1956 and rules framed there under are not applicable.

8. The Company has not evolved an internal audit system commensurate with its size and the nature of its business.

9. The Company has not been required by the Central Government to maintain cost records under section 209 (1) (d) of the Companies Act, 1956.

10. a) According to the information and explanations given to us the Company has been regular in depositing the undisputed statutory dues applicable to it with the appropriate authorities during the year, except for the under mentioned taxes which have been outstanding as at 31st March 2010 for a period of more than six months from the date they became payable.

Name of the statute Nature of the dues Period Amount (Rs.)

The West Bengal State Tax on Professions, Trades, Callings Professional Tax F.Y. 2008-09 Rs.600 and Employment Act, 1979

11. The accumulated losses of the company at the end of the financial year under audit were not more than 50% of its net worth. The Company has incurred cash losses in the financial year and it has not incurred cash loss in the immediately preceding financial year.

12. During the year the company has not defaulted in repayment of dues to bank and the company has not issued any debentures.

13. According to the information and explanations given to us the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

14. The company is not a Chit Funds / Nidhi / Mutual Benefit Fund/Societies. Therefore the provisions of clause 4 (xiii) of the said order are not apply to the Company.

15. According to the information and explanation given to us, the Company is not dealing in or trading in shares, securities, debentures, and other investments. Accordingly, clause 4 (xiv) of the order is not applicable.

16. As per information given to us the Company has not given any guarantee for loan taken by others from banks or financial institutions.

17. The Company has not availed any term loan during the year under audit.

18. According to the information and explanations given to us and on an overall examination of balance Sheet of the company, in our opinion, there are no funds raised on a short term basis, which have been used for long term investment.

19. The Company has made not made any preferential allotment of shares during the year covered under audit. Accordingly, clause 4 (xviii) of the order is not applicable.

20. The Company has not issued any debentures during the year.

21. The Company has not raised any money by way of public issue during the year.

22. As per the information and explanations given to us no material fraud on or by the Company has been noticed or reported during the year.

For NILAMADHAB MISHRA Chartered Accountant

Place : Bangalore NILAMADHAB MISHRA

Date : 07/09/2010 Membership No. 223157