Mar 31, 2015
We have audited the accompanying standalone financial statements of
Chennai Meenakshi Multispeciality Hospital Limited ('the Company'),
which comprise the balance sheet as at 31 March 2015, 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.
2. Management's Responsibility for the Standalone 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 and presentation of these standalone financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding the assets of the
Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
3. Auditor's Responsibility
Our responsibility is to express an opinion on these standalone
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, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statement We
believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the standalone
financial statement.
4. Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2015;
(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.
5. Emphasis of Matter
We draw attention to Note No.3.1 the Company has suffered losses from
its operations during the year. The Net Worth of the Company has been
fully eroded as at the Balance Sheet date. The Current Liabilities as
at the year end exceeds the Current Assets by Rs.8,78,33,224/- .This
raises serious doubt about the ability of the Company to continue as a
going concern. Our opinion is not qualified in respect of the above
matters.
6. Report on Other Legal & Regulatory Requirements
1 As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we give in the Annexure a
statement on the matters specified in the paragraph 3 and 4 of the
Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, we report that:
a) we have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
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 standalone financial statements comply
with the Accounting Standards specified under Section 133 of the Act,
read with Rule 7 of the Companies (Accounts) Rules, 2014;
e) on the basis of the written representations received from the
directors as on 31 March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 March
2015from being appointed as a director in terms of Section 164 (2)of
The Act; and
(f) the matters discussed in "Emphasis of Matter" paragraph above,
In our opinion, may have an adverse impact on the functioning of
The Company.
(g) 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 has no material pending litigations for its disclosure
to show its impact on the financial position in the financial
statements.
ii. The Company does not have any long term Contracts including
Derivative Contracts as at the end of the year
iii. There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
The Annexure referred to in our Independent Auditors' Report to the
members of the Company on the standalone financial statements for the
year ended 31 March 2015, we report that:
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) As explained to us, the fixed assets have been physically verified by
the management at the end of the year, which, in our opinion is
reasonable having regard to the size of the company and the nature of
assets and that no material discrepancies have been noticed on such
verification.
(ii) (a) we are informed that the inventory has been physically
verified by the management during the year, the frequency of which, in
our opinion, is reasonable, having regard to the size of the Company
and the nature of its business;
(b) In our opinion and according to the explanations given to us, the
procedures of physical verification of inventory followed by the
management is reasonable and adequate in relation to the size of the
company and the nature of its business;
(c) The company is maintaining proper records of inventory and as
informed to us, the discrepancies noticed on verification wherever
material, between the physical stocks and book records have been
properly dealt with in the books of account;.
(iii) (a) The Company had not granted any loans or advances , secured
or unsecured to companies, firms or other parties covered in the
register maintained under section 189 of the Companies Act, 2013 ('the
Act').
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of pharmacy, consumables, and fixed assets and for the sale of
services. We have not observed any major weakness in the internal
control system during the course of the audit.
(v) The Company has not accepted any deposits from the public.
(vi) The Central Government has not prescribed the maintenance of cost
records under section 148(1) of the Act, for any of the services
rendered by the Company.
(vii) a. According to the information and explanations given to us, and
on the basis of our examination of the records of the Company, the
Company has been fairly regular in depositing the statutory dues
including provident fund, Employees State Insurance, income tax, sales
tax, wealth tax, service tax, duty of customs, excise duty, value added
tax, cess and other material statutory dues have been regularly
deposited during the year by the Company with the appropriate
authorities.
According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, income tax,
sales tax, wealth tax, service tax, duty of customs, value added tax,
cess and other material statutory dues were in arrears as at 31st
March, 2015 for a period of more than six months from the date they
became payable.
b. According to the information and explanations given to us and the
records of the Company examined by us, there were no disputed dues that
have not been deposited with appropriate authorities as at 31 st March,
2015, on account of dispute.
c. According to the information and explanations given to us there were
no amounts which were required to be transferred to the investor
education and protection fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules there
under.
(viii) The accumulated losses as at the end of the financial year under
audit are more than 50% of the Net Worth of the company as at the year
end. The company has not incurred cash losses during the
current financial year and in the immediately preceding financial year.
(ix) The Company did not have any outstanding dues to financial
institutions, banks or debenture holders during the year.
(x) In our opinion and according to the information and the
explanations given to us, the Company has not given any guarantee for
loans taken by others from banks or financial institutions.
(xi) The Company has not availed any term loan during the Year.
(xii) According to the information and explanations given to us, no
material fraud on or by the Company has been noticed or reported during
the course of our audit.
For Varma & Varma
Chartered Accountants
(FRN.004532S)
K.M Sukumaran
Place : Chennai Partner
Date : 28.05.2015 M. No. 15707
Mar 31, 2014
We have audited the accompanying financial statements of Chennai
Meenakshi Multispeciality Hospital Limited ("the Company"), which
comprise the Balance Sheet as at March 31, 2014, the Profit and Loss
Statement and the Cash Flow Statement for the year then ended, and a
summary of significant accounting policies and other explanatory
information.
Management''s Responsibility for the Financial Statements
The 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 notified under the Companies Act, 1956 ("the
Act") read with the General Circular 15/2013 dated 13th September 2013
of the Ministry of Corporate Affairs in respect of section 133 of the
Companies Act,2013. 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 judgement, 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 entity''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 Profit and Loss Statement, 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 & 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, Profit and Loss Statement, and Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
d) in our opinion, the Balance Sheet, Profit and Loss Statement, and
Cash Flow Statement comply with the notified under the Act read with
the General Circular 15/2013 dated 13th September 2013 of the Ministry
of Corporate Affairs in respect of section 133 of the Companies
Act,2013;
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 are 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 REFFERED TO IN PARA 1 OF OUR AUDIT REPORT OF EVEN DATE
1. a. The company is maintaining records showing full particulars,
including quantitative details and situation of fixed assets.
b. As per the information and explanations furnished to us, the Fixed
Assets of the company have been physically verified by the Management
as at the year end, which in our opinion is reasonable having regard to
the size of the business and nature of its assets.
c. There has not been disposal of any substantial portion of fixed
assets of the company during the year, which would affect the status of
the company as a going concern.
2. a. According to the explanation given to us, the inventories
comprising of pharmacy items and consumables have been physically
verified by the management during the year.
b. In our opinion and according to the explanations given to us, the
procedures followed by the management with regard to physical
verification of inventories are reasonable and adequate in relation to
the size of the company and nature of its business.
c. On the basis of our examination of the books of accounts of the
company, we are of the opinion that the company is maintaining proper
records of inventory in respect of pharmacy items. As per the
information and explanation furnished to us, no material discrepancies
are found on such physical verification as compared to the books and
records maintained by the company.
3. a. The Company has not granted any loans or advances, secured or
unsecured to companies, firms or other parties covered in the Register
maintained under Section 301 of the Companies Act, 1956.
b. As explained to us, the company has not taken any loans or advances
in the nature of loan from companies, firms or other parties covered in
the register maintained under Section 301 of the Companies Act, 1956
other than as given below:
No. of Parties Amount Involved Amount
(Max. Amount O/S) As on 31-03-2014
2 Rs. 17,97,81,217 Rs. 17,97,81,217
(c) In our opinion, the terms and conditions of the above loan taken
from parties listed in the register to be maintained under section 301
of the Companies Act, 1956 are not prima-facie prejudicial to the
interests of the Company.
(d) As per the information and explanations furnished to us, the
repayment of principal amount of the term loans has not fallen due yet.
While there is no repayment of principal amount of the term loans
during the year, the interest due on the above loans have been
paid/duly provided for in the accounts, as agreed.
4. In our opinion and according to the information and explanations
given to us,the internal control procedures for purchase of pharmacy
and other consumables and fixed assets and for sale of goods and
services are commensurate with the size of the company and nature of
its business. We have not observed any continuing failure to correct
any major weakness in respect of the Internal Control in any of the
above areas.
5. a. According to the information and explanations provided by the
management, we are of the opinion that the particulars of contracts or
arrangements that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered.
b. In our opinion and according to the information and explanations
given to us, in respect of each of such transactions made in pursuance
to contracts and arrangements entered in the register maintained under
section 301 of the Companies Act, 1956 with the aforesaid parties
exceeding value of Rs. Five Lakhs in respect of each such party which
have been entered into during the Financial Year are at prices which
are reasonable having regard to the prevailing market prices at the
relevant time.
6. During the year, the Company has not accepted any deposits under
Section 58A & 58AA and other relevant provisions of the Companies Act,
1956 and the rules framed there under.
7. In our opinion, the Internal Audit of the Company is done by a firm
of Chartered Accountants, the scope and coverage of which is
commensurate with the size and nature of its business.
8. As per the information and explanations furnished to us, the Company
is not required to maintain Cost Records under Section 209(1 )(d) of
the Companies Act, 1956.
9. a. The Company has been fairly regular in depositing undisputed
statutory dues including Provident Fund, Income Tax, Sales Tax and
Service Tax with the appropriate authorities during the year except for
minor delays in stray cases. According to the information and
explanations given to us, there are no undisputed amounts payable in
respect of Provident Fund, Investor Education and Protection fund,
Employees'' State Insurance, Income Tax, Wealth tax, Service tax, Sales
tax, Excise duty, Customs Duty, Cess and any other statutory dues which
are over due for a period of more than six months as on the Balance
Sheet date.
b. According to the information and explanations given to us and as per
our verification of records of the company, there are no disputed
amounts of tax/duty/cess,which has not been deposited with appropriate
authorities as at the year end.
10. The accumulated loss at the end of the financial year is more than
50% of net worth of the Company. The Company has not incurred cash
losses during the year and immediately preceding financial year.
11. According to the information and explanations given to us, the
Company has not defaulted in repayment of dues to any banks or
financial institutions.
12. In our opinion and according to the information and explanations
given to us, the company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures and other
securities.
13. In our opinion and according to the information and explanations
given to us, the nature of activities of the company does not attract
any special statute applicable to chit fund and nidhi / mutual benefit
fund / societies.
14. In our opinion, the company is not dealing or trading in shares,
securities, debentures or other investments, and accordingly, the
relative reporting requirements of the order are not applicable to the
company.
15. According to the information and explanations given to us, during
the year the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. The Company has not availed any fresh term loans during the year.
17. During the year, the company has not made any preferential
allotment of shares to parties or companies covered in the register
maintained under section 301 of the Companies Act.
18. The company has not issued any debentures during the year and
accordingly the reporting requirement under clause 4 (xix) of the Order
is not applicable to the company.
19. The company has not raised any money by public issues during the
year and accordingly the reporting requirement under clause 4 (xx) of
the Order is not applicable to the company.
20. During the course of our examination of the books and records of
the Company, carried out in accordance with the Generally Accepted
Auditing Practice in India, and according to the information and
explanation given to us, we have neither come across any instances of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such cases by the management.
For Varma & Varma
Chartered Accountants
FRN.004532S
K.M Sukumaran
Place : Chennai Partner
Date : 29.05.2014 M. No. 15707
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Chennai
Meenakshi Multispecialty Hospital Limited ("the Company"), which
comprise the Balance Sheet as at March 31, 2013, 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 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 8t 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 purposes of our
audit.
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, 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 31,2013, 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) Attention is invited to Note No.4.1 attached to financial statements
regarding the going concern status of the company. The net worth as at
the Balance Sheet date is negative Rs.4,94,80,779 and the current
liabilities as at the yearend exceeds the current assets by
Rs.6,27,29,468. However, the financial statements are prepared on a
going concern basis for the reason stated therein.
1. a) The company is maintaining records showing particulars,
including quantitative details and situation of fixed assets.
b) As per the information and explanations furnished to us, the Fixed
Assets of the company have been physically verified by the Management
as at the year end, which in our opinion is reasonable having regard to
the size of the business and nature of its assets.
c) The company has not disposed off any major part of fixed assets
during the year.
2. a) According to the explanation given to us, inventories comprising
of pharmacy items and consumables have been physically verified by the
management during the year.
b) We are of the opinion that the procedure followed by the management
in regard to physical verification of inventories is reasonable and
adequate in relation to the size of the company and nature of its
business.
c) On the basis of our examination of the books of account of the
company we are of the opinion, that the company is maintaining proper
records of inventory in respect of pharmacy items. As per the
information and explanation furnished to us, no material discrepancies
are found on such physical verification as compared to the books and
records maintained by the company.
3. (a) The company has not granted any loans or advances, secured or
unsecured to companies,
firms or other parties covered in the register maintained under Section
301 of the Companies Act, 1956.
(b) As explained to us the company has not taken any loans or advances
in the nature of loans from companies, firms or other parties covered
in the register maintained under Section 301 of the Companies Act, 1956
other than as given below.
No. of Parties Amount Involved Amount
(Max. Amount O/S) As on 31-03-2013
16 Rs. 19,74,35,492 Rs.15,89,74,570
(c) In our opinion, the terms and conditions of the above loan taken
from parties listed in the register to be maintained under section 301
of the Companies Act, 1956 are not prima- facie prejudicial to the
interests of the Company.
(d) As per the information and explanations furnished to us, the
repayment of principal amount of the term loans has not fallen due yet.
While there is no repayment of principal amount of the term loan during
the year, the interest due on the above loans have been paid/ duly
provided for in the accounts, as agreed.
4. In our opinion and according to the information and explanations
given to us, the internal control procedures for purchase of pharmacy
and other consumables and fixed assets and for sale of goods and
services are commensurate with the size of the company. We have not
observed any continuing failure to correct any major weakness in
respect of the internal controls in any of the above areas.
5. a) According to the information and explanations provided by the
management, we are of the opinion that the particulars of contracts or
arrangements that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance to contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 with the aforesaid parties exceeding value of
Rupees Five Lakhs in respect of each such party which have been entered
into during the financial year are at prices which are reasonable
having regard to the prevailing market prices at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of section
58A, 58AAand other relevant provisions of the Companies Act 1956, under
the rules framed there under in respect of deposits accepted from
public.
7. In our opinion, the internal audit of the Company is done by a firm
of Chartered Accountants, the scope and coverage of which is
commensurate with the size and nature of its business.
8. As per the information and explanations furnished to us the company
is not required to maintain cost records under section 209(1) (d) of
the companies Act, 1956.
9. (a) The Company has been fairly regular in depositing undisputed
statutory dues including
Provident Fund, Income-tax, Sales-tax and Service tax with the
appropriate authorities during the year except for minor delay in stray
cases. According to the information and explanation given to us, there
are no undisputed amount payable in respect of Provident Fund,
Investors Education and Protection Fund, ESI, Income Tax, Sales Tax,
Service Tax, Wealth Tax, Customs duty, Excise Duty, Cess and any other
statutory due which are overdue for a period of more than six months as
on the Balance Sheet date.
(b) As per the information and explanations given to us and according
to the records of the company examined by us, there are no disputed
amounts of tax/duty/cess, which has not been deposited with the
concerned authorities as at the year end.
10. The accumulated loss at the end of the financial year is more than
50% of net worth of the company. The company has not incurred cash
losses during the year and immediately preceding financial year.
11. According to the information and explanations given to us, the
company has not defaulted in repayment of dues to banks and financial
institutions.
12. In our opinion, and according to the information and explanations
furnished to us, the company has not granted any loans or advances on
the basis of securities by way of pledge of shares, Debentures and
other securities.
13. In our opinion, the provisions of any special statute applicable
to chit funds and nidhi /mutual fund/ Society are not applicable to the
Company.
14. In our opinion, and according to the information and explanations
furnished to us, the company is not dealing or trading in shares,
securities, debentures and other investments.
15. According to the information and explanations given to us, during
the year the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. The company has not availed any fresh term loans during the year.
17. 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.
18. The company has not issued any debentures during the year.
19. The company has not raised any money by way of public issue during
year.
20. During the course of our examination of the books and records of
the Company, carried out in accordance with the Generally Accepted
Accounting Principles in India, and according to the information and
explanation given to us, we have neither come across any instances of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such cases by the management.
For Varma 6t Varma
Chartered Accountants
FRN.004532S
K.M Sukumaran
Place : Chennai Partner
Date : 09.05.2013 M. No. 15707
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s. Chennai
Meenakshi Multispeciality Hospital Limited as at 31st March 2012,
Profit and Loss Statement and the Cash Flow statement for the year
ended on that date. 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 auditing standards
generally accepted in India. These Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free from 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.
3. As required by the Companies (Auditor's Report) Order, 2003 as
amended by Companies (Auditor's Report) Amendment Order 2004 issued
by the 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.
4. We report that:
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of such
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statements dealt with by this report 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
and taken on record by the Board of Directors, we report that none of
the directors of the Company are 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) Attention is invited to Note No.4 attached to financial statements
regarding the going concern status of the company. As stated therein
the company has been continuously incurring cash losses for the past
three years. The net worth as at the Balance Sheet date is negative
Rs.5,63,50,736 and the current liabilities as at the year end exceeds
the current assets by Rs.4,96,36,252. However, the financial statements
are prepared on a going concern basis for the reasons stated therein.
5. In our opinion and to the best of our information and according to
the explanations given to us, the said Accounts read with the Notes
attached thereto, 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;
a. In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012.
b. in the case of the Profit and Loss Statement, 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
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR AUDIT REPORT OF EVEN DATE
1. a) The company is maintaining records showing particulars,
including quantitative details and situation of fixed assets.
b) As per the information and explanations furnished to us, the Fixed
Assets of the company have been physically verified by the Management
as at the year end, which in our opinion is reasonable having regard to
the size of the business and nature of its assets.
c) The company has not disposed off any major part of fixed assets
during the year.
2. a) According to the explanation given to us, inventories comprising
of pharmacy items and consumables have been physically verified by the
management during the year.
b) We are of the opinion that the procedure followed by the management
in regard to physical verification of inventories is reasonable and
adequate in relation to the size of the company and nature of its
business.
c) On the basis of our examination of the books of account of the
company we are of the opinion, that the company is maintaining proper
records of inventory in respect of pharmacy items. As per the
information and explanation furnished to us, no material discrepancies
are found on such physical verification as compared to the books and
records maintained by the company.
3. (a) The company has not granted any loans or advances, secured or
unsecured to companies, firms or other parties covered in the register
maintained under Section 301 of the Companies Act, 1956.
(b) As explained to us the company has not taken any loans or advances
in the nature of loans from companies, firms or other parties covered
in the register maintained under Section 301 of the Companies Act, 1956
other than as given below.
No. of Parties Amount Involved Amount
(Max. Amount O/S) As on 31-03-2012
13 Rs. 17,95,76,917 Rs.17,69,13,766
(c) In our opinion, the terms and conditions of the above loan taken
from parties listed in the register to be maintained under section 301
of the Companies Act, 1956 are not prima- facie prejudicial to the
interests of the Company.
(d) As per the information and explanations furnished to us, the
repayment of principal amount of the term loans has not fallen due yet,
except in case of public deposit which has been duly repaid. While
there is no repayment of principal amount of the term loan during the
year, the interest due on the above loans have been paid/ duly provided
for in the accounts, as agreed.
4. In our opinion and according to the information and explanations
given to us, the internal control procedures for purchase of pharmacy
and other consumables and fixed assets and for sale of goods and
services are commensurate with the size of the company. We have not
observed any continuing failure to correct any major weakness in
respect of the internal controls in any of the above areas.
5. a) According to the information and explanations provided by the
management, we are of the opinion that the particulars of contracts or
arrangements that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance to contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 with the aforesaid parties exceeding value of
Rupees Five Lakhs in respect of each such party which have been entered
into during the financial year are at prices which are reasonable
having regard to the prevailing market prices at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of section
58A, 58AA and other relevant provisions of the Companies Act 1956,
under the rules framed there under in respect of deposits accepted from
public.
7. In our opinion, the internal audit of the Company is done by a firm
of Chartered Accountants, the scope and coverage of which is
commensurate with the size and nature of its business.
8. As per the information and explanations furnished to us the company
is not required to maintain cost records under section 209(1) (d) of
the companies Act, 1956.
9. (a) The Company has been fairly regular in depositing undisputed
statutory dues including Provident Fund, Income-tax, Sales-tax and
Service tax with the appropriate authorities during the year. According
to the information and explanation given to us, there are no undisputed
amount payable in respect of Provident Fund, Investors Education and
Protection Fund, ESI, Income Tax, Sales Tax, Service Tax, Wealth Tax,
Customs duty, Excise Duty, Cess and any other statutory due which are
overdue for a period of more than six months as on the Balance Sheet
date.
(b) As per the information and explanations given to us and according
to the records of the company examined by us, there are no disputed
amounts of tax/duty/cess, which has not been deposited with the
concerned authorities as at the year end.
10. The accumulated loss at the end of the financial year is more than
50% of net worth of the company. The company has not incurred cash
losses during the year but has incurred cash losses in the immediately
preceding financial year.
11. According to the information and explanations given to us, the
company has not defaulted in repayment of dues to banks and financial
institutions.
12. In our opinion, and according to the information and explanations
furnished to us, the company has not granted any loans or advances on
the basis of securities by way of pledge of shares, Debentures and
other securities.
13. In our opinion, the provisions of any special statute applicable
to chit funds and nidhi /mutual fund/ Society are not applicable to the
Company.
14. In our opinion, and according to the information and explanations
furnished to us, the company is not dealing or trading in shares,
securities, debentures and other investments.
15. According to the information and explanations given to us, during
the year the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. The company has not availed any fresh term loans during the year
except for additional unsecured loan taken from a concern in which the
director is interested, which as explained to us, is for the purpose of
meeting working capital requirements of the company. However the
Company has not entered into any formal agreement for the above loan
availed.
17. According to the information and explanations given to us, and an
overall examination of the Balance sheet of the company, in our opinion
short term funds have not been used for long term purposes except to
the extent of Rs.4,83,24,026.
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.
19. The company has not issued any debentures during the year.
20. The company has not raised any money by way of public issue during
year.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the Generally Accepted
Auditing Practice in India, and according to the information and
explanation given to us, we have neither come across any instances of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such cases by the management.
For Varma & Varma
Chartered Accountants
FRN.004532S
K.MSukumaran
Place : Chennai Partner
Date : 13.08.2012 M. No. 15707
Mar 31, 2010
1. We have audited the attached Balance Sheet of M/s. Chennai
Meenakshi Multispeciality Hospital Limited as at 31 st March 2010,
Profit and Loss Account and the Cash Flow statement for the year ended
on that date. 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 auditing standards
generally accepted in India. These Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free from 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.
3. As required by the Companies (Auditors Report) Order, 2003 as
amended by Companies (Auditors Report) Amendment Order 2004 issued by
the 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.
4. 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 except as stated in Note No1(b), that Balances of Loans and
Advances, Sundry Debtors, Creditors, some of the secured/unsecured loan
and some of the Bank Balances are subject to
confirmation/reconciliation, the effect of which on the Accounts for
the year is not ascertainable by us;
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 such
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statements dealt with by this report 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
and taken on record by the Board of Directors, we report that none of
the directors of the Company are disqualified as on 31 st March 2010,
from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956;
f) Attention is invited to Note No.2 in schedule 0 attached to
financial statements regarding the going concern status of the company.
As stated therein the Company has been continuously incurring cash
losses for the past three years. The Net Worth as at the Balance Sheet
date is negative (Rs.4.90 crores)and the Current Liabilities as at the
year end exceeds the Current Assets by Rs.3.41 crores. However, the
Financial Statements are prepared on Going Concern basis for the
reasons stated therein.
5.
(a) Subject to our comments in para 4 (a) above, in our opinion and to
the best of our information and according to the explanations given to
us, the said Accounts read with the notes on accounts attached thereto,
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;
a. In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March,2010.
b. in the case of the Profit and Loss Account, of the loss for the
year ended on that date; and
c. jn the case of the Cash Flow Statement, of the cash flows for the
year ended on that date
ANNEXURE REFERRED TO JN PARAGRAPH 3 OF OUR AUDIT REPORT OF EVEN DATE
1. a) The company is maintaining records showing particulars,
including quantitative details and situation of fixed assets.
b) As per the information and explanations furnished to us, the Fixed
Assets of the company have been physically verified by the Management
as at the year end, which in our opinion is ., reasonable having regard
to the size of the business and nature of its assets.
c) The company has not disposed off any part of fixed assets during the
year.
2. a) According to the explanation given to us, inventories comprising
of pharmacy items and consumables have been physically verified by the
management during the year.
b) We are of the opinion that the procedure followed by the management
in regard to physical verification of inventories is reasonable and
adequate in relation to the size of the company and nature of its
business.
c) On the basis of our examination of the books of account of the
company we are of the opinion, that the company is maintaining proper
records of inventory in respect of pharmacy items. As per the
information and explanation furnished to us, no material discrepancies
are found on such physical verification as compared to the books and
records maintained by the company.
3. (a) The company has not granted any loans or advances, secured or
unsecured to companies,
firms or other parties covered in the register maintained under Section
301 of the CompaniesAct, 1956.
(b) As explained to us the company has not taken any loans or advances
in the nature of loans from companies, firms or other parties covered
in the register maintained under Section 301 of the Companies Act, 1956
other than as given below.
No. of Parties Amount Involved Amount Outstanding
(Max. Amount O/S) As on 31-03-2009
13 Rs. 14.65 Crores Rs. 14.65 Crores
(c) In our opinion, the terms and conditions of the above loan taken
from parties listed in the register to be maintained under section 301
of the CompaniesAct, 1956 are not prima- facie prejudicial to the
interests of the Company.
(d) As per the information and explanations furnished to us, for loans
taken as above, repayment terms of principal amount has not been
stipulated /fixed as yet. While there is no repayment of principal
amount during the year, the interest due on the above loan as agreed
has been duly provided for in the accounts.
4. In our opinion and according to the information and explanations
given to us, the internal control procedures for purchase of pharmacy
and other consumables and fixed assets and for sale of goods and
services requires to be strengthened. However in our opinion, we have
not observed any continuing failure to correct any major weakness in
respect of the internal controls in any of the above areas.
5. a) in our opinion and according to the information and explanation
provided by the
management, we are of the opinion that the transactions that need to be
entered into the register maintained under Section 301 of the Companies
Act, 1956 have been so entered/updated.
b) According to the information and explanation provided by the
management, there are no transactions entered with the aforesaid
parties for value exceeding Rs.5 lacs in each case have been made at
prevailing market rates having regard to the nature of service.
6. In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of section
58A, 58AA and other relevant provisions of the Companies Act 1956,
under the rules framed there under in respect of deposits accepted from
public.
7. In our opinion, the company has an internal audit system done by a
firm of Chartered Accountants which is commensurate with its size and
nature of its business.
8. As per the information and explanations furnished to us the company
is not required to maintain cost records under section 209(1) (d) of
the companies Act, 1956.
9. (a) There has been delays in depositing undisputed statutory dues
including Income Tax, and
Property Tax, with the appropriate authorities during the year.
According to the information and explanation given to us, there are no
undisputed amount payable in respect of Provident Fund, Investors
Education and Protection Fund, ESI, Income Tax, Sales Tax, Service Tax,
Wealth Tax, Customs duty, Excise Duty, Cess and any other statutory due
which are overdue for a period of more than six months as on Balance
Sheet date.
(b) According to information and explanations given to us and records
of the company examined by us, there are no disputed amounts of
tax/duty/cess, which has not been deposited with the authorities as at
31.03.2010.
10. The accumulated loss at the end of the financial year is more than
50% of net worth of the company. The company has incurred cash losses
during the year and also in the immediately preceding financial year.
11. According to the information and explanations given to us, the
company has not defaulted in repayment of dues to banks and financial
institutions.
12. In our opinion, and according to the information and explanations
furnished to us, the company has not granted any loans or advances on
the basis of securities by way of pledge of shares, Debentures and
other securities.
13. In our opinion, the provisions of any special statute applicable
to chit funds and nidhi /mutual fund / Society are not applicable to
the Company.
14. In our opinion, and according to the information and explanations
furnished to us, the company is not dealing or trading in shares,
securities, debentures and other investments.
15. According to the information and explanations given to us, during
the year the company has not given any guarantee for loans taken by
others from banks or financial institutions.
16. The company has not availed any fresh term loan during the year
except for additional unsecured loan taken from a director during the
year, explained to be for meeting working capital requirements of the
company. However there is no formal agreement for the above loan.
17. According to the information and explanations given to us, and an
overall examination of the Balance sheet of the company, in our opinion
short term funds are not used for long term purposes.
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.
19. The company has not issued any debentures during the year.
20. The company has not raised any money by way of public issue during
year.
21. Based upon the audit procedures performed and as per the
information and explanation given by the management, we report that no
fraud on or by the company has been noticed during the year.
For Varma 8: Varma
Chartered Accountants
FRN.004532S
K.MSukumaran Place :Chennai Partner
Date : 25.08.2010 M. No. 15707
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