Mar 31, 2014
We have audited the accompanying financial statements of BLUE CHIP
INDIA LIMITED ("the Company"), which comprise the Balance Sheet as
at March 31,2014, 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
The Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act") read with the General
Circular 15/2013 dated 13 September2013 ofthe Ministry of Corporate
Affairs in respect of Section 133 of the Companies Act 2013. This
responsibility includes the design, implementation and maintenance of
internal control relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor''s Responsibility
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''sjudgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31,2014;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003
("the Order") issued by the Central
Government of India in terms of sub-section (4A) of section 227 of the
Act, we give in the
Annexure a statement on the matters specified in paragraphs 4 and 5
ofthe 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 complywith the Accounting Standards referred to in
subsection (3C) ofsection 211 ofthe Companies Act, 1956 read with the
General Circular 15/2013 dated 13 September2013 of the Ministry of
Corporate Affairs in respect of Section 133 of the Companies Act 2013;
and
e) on the basis ofwritten representations received from the directors
as on March 31,2014, and taken on record bythe Board of Directors, none
ofthe 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.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Blue Chip India Limited, on the accounts of the
company for the year ended 31st March, 2014.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a) The company has maintained proper records showing full
particulars including quantitative
details and situation of its fixed assets.
(b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
(c) In our opinion and according to the information and explanations
given to us, the Company has not disposed off a substantial part of its
fixed asset during the year and therefore does not affect the going
concern assumption.
2. (a) As explained to us, inventories have been physically verified
during the year by the management
at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and on the basis of our examination of the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3. (a) According to the information and explanations given to us and on
the basis of our examination
of the books of accounts, the Company has not granted any loans,
secured or unsecured, to companies, firms or other parties listed in
the register maintained under Section 301 of the Companies Act, 1956,
Consequently, the provisions of clause 3(b), 3 (c), and 3 (d) of the
order are not applicable to the Company.
(e) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses (f) & (g) are not applicable to the Company.
4. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control system
commensurate with the size ofthe company and the nature of its
business, for the purchase of inventories & fixed assets and payment
for expenses & for sale of goods. During the course of our audit, no
major instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
5. a) In our opinion and according to the information and explanations
provided by the management,
the particulars of contracts or arrangements referred to in section 301
ofthe Act have been entered in the register required to be maintained
under that section.
b) In our opinion and according to the information and explanations
provided by the management, the transactions made in pursuance of
contracts and arrangements referred to in (5)(a) above and exceeding
the value of Rs. 5 lakh with any party during the year have been made
at prices which are reasonable having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
7. In our opinion and according to the information and explanations
given to us, the Company has an internal audit system commensurate with
its size and the nature of its business.
8. According to the information and explanations provided by the
management, the Company is not engaged in production, processing,
manufacturing or mining activities. Hence the provision of Section
209(1)(d) does not apply to the Company. Hence in my opinion, no
comment is required on maintenance of cost record.
9. (a) According to the records of the company, undisputed statutory
dues including Provident
Fund, Investor Education and Protection Fund, Employees'' State
Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty,
Excise Duty, cess to the extent applicable and any other statutory dues
have generally been regularly deposited with the appropriate
authorities. According to the information and explanations given to us
there were no outstanding statutory dues as on 31st of March, 2014for a
period of more than six months from the date they became payable.
(b) According to the information and explanations given to us, there is
no amounts payable in respect of income tax, wealth tax, service tax,
sales tax, customs duty and excise duty which have not been deposited
on account of any disputes.
10. The Company have accumulated loss of Rs. 141384660.67/- at the end
ofthefinancial yearwhich is more than fifty percent of the Net Worth of
the company and has not incurred cash loss during the financial year
covered by our audit and in the immediately preceding financial year.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
12. 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.
13. The Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
14. According to information and explanations given to us, the Company
is trading in Shares, Mutual funds & other Investments. Proper records
& timely entries have been maintained in this regard & further
investments specified are held in their own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution
16. To the best of our knowledge and belief and according to the
information and explanations given to us, term loans were applied for
the purpose for which these were obtained.
17. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet ofthe Company as at 31st
March, 2014, we report that no funds raised on short- term basis have
been used for long-term investment by the Company.
18. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Act during the year.
19. The Company did not have any outstanding debentures during the
year.
20. The Company has not raised any money by public issue during the
year.
21. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For Agrawal S Kumar & Associates
Chartered Accountants
Firm Regn No. 322324E
Hitesh Lilha
Place: Kolkata (Partner)
Date: 30th Day of May 2014 M. No. 069536
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of BLUE CHIP
INDIA LIMITED ("the Company"), which comprise the Balance Sheet as
at March 31,2013, and the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment
of the risks of material misstatement of the financial statements,
whether due to fraud or error. In making those risk assessments, the
auditor considers internal control relevant to the Company''s
preparation and fair presentation of the financial statements in order
to design audit procedures that are appropriate in the circumstances.
An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of the accounting estimates made
by management, as well as evaluating the overall presentation of the
financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our '' audit opinion.
Opinion .
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at. March 31, 2013;
b) in the case of the Statement of Profit and Loss, of the profit 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.
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.
1. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956;
e) on the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31,2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
f) Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a) The company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
(c) In our opinion and according to the information and explanations
given to us, no fixed asset has been disposed during the year and
therefore does not affect the going concern assumption.
2. (a) As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and on the basis of our examination of the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3. (a) According to the information and explanations given to us and
on the basis of our examination of the books of account, the Company
has not granted any loans, secured or unsecured, to companies, firms or
other parties listed in the register maintained under Section 301 of
the Companies Act, 1956. Consequently, the provisions of clauses 3
(b), 3 (c) and 3 (d) of the order are not applicable to the Company. .
(e) According to the information and explanations given to us and on
the*basis of our examination of the books of account, the Company has
not taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses (f) & (g) are not applicable to the company.
4. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories & fixed assets and payment
for expenses & for sale of goods. During the course of our audit, no
major instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
5. (a) Based on the audit procedures applied by us and according to
the information and explanations provided by the management, there were
no contracts or arrangements referred to in section 301 of the Act
entered during the financial year.
(b) Since there were no transaction so this clause does not apply.
6. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
7. As per information & explanations given by the management, the
Company has an internal audit system commensurate with its size and the
nature of its business.
8. To the best of our knowledge the Central Government has not
prescribed the maintenance of cost records under Section 209(1 )(d) of
the Companies Act, 1956 for any of the products of the Company.
9. (a) According to the records of the company, undisputed statutory
dues including Provident Fund,
Investor Education and Protection Fund, Employees'' State Insurance,
Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise
Duty, cess to the extent applicable and any other statutory dues have
generally been regularly deposited with the appropriate authorities.
According to the information and explanations given to us there were no
Statutory dues outstanding as on 31.03.2013 for a period of more than
six months from the date they became payable.
(b) According to the information and explanations given to us, there is
no Income Tax, wealth tax, service tax, sales tax, customs duty and
excise duty which have not been deposited on account of any disputes.
10. The Company have accumulated loss more than 50% of its Net Worth.
However the Company has not incurred cash loss during the financial
year covered by our audit and in the immediately preceding financial
year.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
14. According to information and explanations given to us, the Company
is trading in Shares, Mutual funds & other Investments. Proper records
& timely entries have been maintained in this regard & further
investments specified are held in their own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
16. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
17. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2013, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
19.- The Company has no outstanding debentures during the period under
audit.
20. The Company has not raised any money by public issue during the
year.
21. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For Agrawal S. Kumar & Associates
Chartered Accountants
Firm Regn No. 322324E
Place : Kolkata Hitesh Lilha
Partner
Dated : 30th day of May, 2013 Membership No. 069536
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s. BLUE CHIP INDIA
LIMITED as at 31st March, 2012 and also the Statement of Profit & Loss
and Cash Flow Statemerft of the Company 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.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those standards require us to plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free from material misstatements. An audit
includes examining on test check basis, evidence supporting the amounts
and disclosures of the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by the management, as well as evaluating the overall financial
statements presentation. We believe that our audit provides a
reasonable basis for our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003, (as
amended) issued by the Central Government in terms of Section 227 (4A)
of the Companies Act, 1956, we annex hereto a statement on the matters
specified in paragraphs 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to in paragraph
(1) above :
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 & Loss and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account as submitted to us.
d) In our opinion, the Balance Sheet, the Statement of Profit & 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 representation received from the directors
of the company as at 31st March, 2012 and taken on records by the Board
of Directors, we report that no director is disqualified from being
appointed as Director of the company under clause (g) of sub section
(1) of Section 274 of the Companies Act, 1956.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said statements of account read 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 :
i. In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012 and
ii. In the case of the Statement of Profit & Loss, of the profit for
the year ended on the date.
iii. In the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
Annexure to the Auditor's Report referred to in paragraph 3 of our
report of even date
As required by the Companies (Auditors' Report) Order, 2003, (as
amended) issued by the Central Government in terms of Section 227 (4A)
of the Companies Act, 1956 and on the basis of such checks as were
considered appropriate and according to the information and
explanations given to us, we report that :
1. (a) The company is maintaining proper records to show full
particulars including quantitative details and situation of fixed
Assets.
(b) The fixed Assets of the company are physically verified by the
management at reasonable intervals, which in our opinion, is reasonable
having regard to the size of the company and the nature of its assets,
a physical verification was carried out during the year and this
revealed no material discrepancies.
(c) In our opinion and according to the information and explanations
given to us, a substantial part of fixed assets has not been disposed
off by the company during the year.
2. The company is dealing in shares and has maintained proper records
in respect thereof and has made timely entries therein of the
transactions and contracts entered in to during the year. The company
is holding the shares in its own name. The procedures of physical
verification of inventory followed by the management are reasonable and
adequate in relation to the size of the company and the nature of its
business. The company is maintaining proper records of inventory and no
material discrepancies were noticed on such physical verification.
3. (a) The Company has not given any loan to parties covered in the
register maintained under Section 301 of the Companies Act, 1956.
(b) The Company has not taken any loan from parties covered in the
register maintained under Section 301 of the Companies Act, 1956.
4. In our opinion and according to explanation given to us, there is
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 sale of inventory. During the course of our
audit no major weakness has been noticed in the internal control.
5. Based on the audit procedures applied by us and according to the
information and explanation provided by the management, wa are of the
opinion that there were no transactions that need to be entered into
the register maintained under section 301 of the Companies Act, 1956.
6. Based on our scrutiny of the Company's records and according to the
information and explanation provided by the management, in our opinion,
the Company has not accepted any public deposits so far up to 31st
March, 2012.
7. In our opinion and according to the information and explanations
given to us, the company has an adequate Internal Audit System
commensurate with the size and nature of its business.
8. According to the information and explanations provided by the
management, the Company is not engaged in production, processing,
manufacturing or mining activities. Hence the provision of Section
209(1 )(d) does not apply to the Company. Hence in our opinion, no
comment is required on maintenance of cost record.
9. According to the record of the Company, the Company is regular in
depositing with the appropriate authorities undisputed statutory dues
including Income Tax, Wealth Tax, Sales Tax, Service Tax, Cess and
other statutory dues applicable to the Company.
10. The Company has not incurred cash losses during the financial year
covered by our audit. Hence no comment is required.
11. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that the
company has not defaulted in repayment of dues to bank.
12. According to the records, the Company has not granted any loans on
the basis of security or pledge of shares, debentures or other
securities.
13. As the Company is neither a Chit fund or a nidhi mutual benefit
society. Hence the requirement under Para 4(xiii) is not applicable.
14. According to informations and explanations provided by the
management, the Company deals in share and securities and proper
records have been maintained by the company for the transactions and
contracts and the investments made are held in the name of the company
itself.
15. According to the information and explanations provided by the
management, the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. According to the records of the Company, the Company has not
obtained any term loans.
17. We have been informed by the management that the fund raised on
short term basis have not been used for long term investment.
18. According to the records of the Company, the Company has not made
any preferential allotment of shares to parties and companies covered
in the register maintained under Section 301 of the Act.
19. According to the records of the Company, the Company has not
issued any debentures.
20. The Company has not raised any public issues during the period
covered by our audit report.
21. Based on the audit procedures applied by us and according to the
information and explanation provided by the management, we report that
no frauds on or by the Company has been noticed or reported during the
course of our audit.
For Agrawal S. Kumar & Associates
Chartered Accountants
Firm Regn No. 322324E
Place : Kolkata M K JDh*war
Partner
Dated : The 28th day of May, 2012 Membership No. 061308
Mar 31, 2010
1. We have audited the attached Balance Sheet of M/s. BLUE CHIP INDIA
LIMITED as at 31st March, 2010 and also the Profit & Loss Account and
Cash Flow Statement of the Company 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.
2. We conducted our audit in accordance with the Auditing Standards
generally accepted In India. Those standards require us to plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free from material misstatements. An audit
includes examining on teat check basis, evidence supporting the amounts
and disclosures of the financial statements, An audit also includes
assessing the accounting principles used and significant estimates mads
by management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003. (a$
amended) issued by the Central Government in terms of Section 227 (4A)
of the Compenies Act, 1956, we annex hereto a statement on the matters
specified in paragraphs 4 and 5 of the said order.
4. Further to our comments In the Annexure referred to in paragraph
(1) above :
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief, were necessary for the purpose of
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, tha Profit & Loss Account and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account as submitted to us.
d) In our opinion, the Balance Sheet, the Profit & Loss account and the
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 representation received Emm The directors of
the company as at 31st March, 2010 and taken on records by the Board of
Directors, we report that no director Is disqualified from being
appointed as Director of the company under clause (g) of sub- section
(1) of Section 274 of the Companies Act, 1956.
f) in our opinion and to the best of our information and according to
the explanations given to us, the said statements of account read 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 :
I. in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010 and
ii. in the case of the Profit & Loss Account, of the loss for the year
ended on the date,
iii. in the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
Referred to in paragraph 3 of our report of even date
1 As required by the Companies (Auditors Report) Order, 2003, (as
amended) issued by the Central Government In terms of Section 227 (4A)
of the Companies Act, 1956 and on the basis of such checks as were
considered appropriate and according to the information and
explanations given to us, we report that;
1. {a) The company is maintaining proper records to show full
particulars Including quantitative details and situation of fixed
Assets,
(b) The fixed Assets of the company are physically verified by the
management at reasonable Intervals, which in our opinion, is reasonable
having regard to the size of the company and the nature of its assets,
a physical verification was carried out during the year and this
revealed no material discrepancies,
(c) In our opinion and according to the information and explanations
given to us, a substantial part of fixed assets has not been disposed
off by the company during the year.
2, The company Is dealing In shares and has maintained proper records
in respect thereof and has æ made timely entries therein of the
transactions and contracts entered In to during the year. The company
Is holding the shares in its own name. The procedures of physical
verification of inventory followed by the management are reasonable and
adequate in relation to the size of the company and the nature of its
business. The company Is maintaining proper records of Inventory and no
material discrepancies were noticed on such physical verification.
3 (a) The Company has not given any loan to parties covered in the
register maintained under Section 301 of the Companies Act, 1956.
(b) The Company has not taken any loan from partes covered in the
register maintained under Section 301 of the Companies Act, 1956.
4. in our opinion and according to explanation given to us, there Is
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 sate of inventory. During the course of our
audit no major weakness has been noticed in the internal control,
5. Based on the audit procedures applied by us and according to the
information and explanation provided by the management, we are of the
opinion that there were np transactions that need to be entered Into
the register maintained under section 301 of the Companies Act, 1956.
6. Based on our scrutiny of the Companys records and according to the
information and explanation provided by the management, In our opinion,
the Company has not accepted any public deposits so far up to 31st
March, 2010.
7. In our opinion and according to the Information and explanations
given to us, the company have adequate internal audit system
commensurate with the size and nature of its business
8. According to the information and explanations provided by the
management, the Company is not engaged in production, processing,
manufacturing or mining activities. Hence the provision of Section
209(1 )(d) does not apply to the Company. Hence in our opinion, no
comment is required on maintenance of cost record,
9. According to the records of the Company, the Company has not yet
deducted TDS amounting to fie. 3,16,949/- with the appropriate
authorities. Else the company is regular in depositing with the
appropriate authorities undisputed statutory dues including Income Tax,
Wealth Tax, Sales Tax, Service Tax, Cess and other statutory dues
applicable to the Company,
10. The Company has not Incurred cash losses during the financial year
covered by our audit. Hence no comments-is required.
11. Based on our audit procedures and on the Information and
explanations given by the management, we are of the opinion that the
company has not defaulted in repayment of dues to bank.
12. According to the records, the Company has not granted any loans on
the basis of security or pledge of shares, debentures or other
securities.
13. As the Company is neither a Chit fund or a nldhi mutual benefit
society. Hence the requirement under Para 4fxiii} is not applicable.
14. According to Informations and explanations provided by the
management, the Company deals in share and securities and proper
records have been maintained by the company for the transactions and
contracts and the investments made are held in the name of the company
itself,
15. According to the information and explanations provided by the
management, the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. According to the records of the Company, the Company has not
obtained any term bans,
17. We have been Informed by the management that tie fund raised on
short term basis have not been used for long-term investment.
18 According to the records of the Company, the Company has not made
any preferential allotment of shares to parties and companies covered
In the register maintained under Section 301 of the Act.
19. According to the records of the Company, the Company has not
issued any debentures.
20. The Company has not raised any public issues during the period
covered by our audit report.
21. Based on the audit procedures applied by us and according to the
information and explanation provided by the management, we report that
no frauds on or by the Company has been noticed or reported during the
course of our audit,
For Agrawal S. Kumar & Associates
Chartered Accountants
M. K, Jhawar
Place : Kolkata Partner
Membership No. 061308
Dated ; The 27th day of May, 2010 Firm Registration No. 322324E