Mar 31, 2015
1. We have audited the accompanying financial statements of M/s. C. J.
Gelatine Products Limited, which comprise the Balance Sheet as at 31st
March, 2015, the Statement of Profit & Loss and Cash Flow Statement for
the year ended on that date, and a summary of significant accounting
policies and other explanatory information.
Management''s Responsibility for the Financial Statements:
The Company''s Board Of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act,2013 ("the Act") with respect to
the preparation of these financial statements that give a true and fair
view of the financial position, financial performance and cash flows of
the Company in accordance with 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. The responsibility also includes maintenance of adequate
accounting records in accordance with the provisions of the Act for
safeguarding of the assets of the Company and for preventing and
detecting frauds and other irregularities; selection and application of
appropriate accounting policies; making judgments and estimates that
are reasonable and prudent; and the design, implementation and
maintenance of adequate internal financial control that were operating
effectively for ensuring the accuracy and completeness of the
accounting records: relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor''s Responsibility:
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken 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, issued by the
Institute of Chartered Accountants of India , as specified under
Section 143(10) of the Act. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgments, including the assessment of
the risk 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 effectiveness of such
controls. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by the Company''s Directors, as well as evaluating the
overall presentation of the financial statements. We believe that the
audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India, of the state of affairs of the Company as at March 31, 2015, its
profit, and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies ( Auditor''s report) Order,2015 ( "the
Order") issued by the Central Government of India in terms of
sub-section(ll) of section 143 of the Act, we give in the Annexure 1 a
statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by section 143(3) of the Act, we report that:
a. We have sought and obtained all the information and explanations,
which to the best of our knowledge and belief were necessary for the
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 it appears from our examination of
those books;
c. The Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d. In our opinion, the aforesaid financial statements comply with the
Accounting Standards specified under section 133 of the Act, read with
Rule 7 of the Companies (Accounts)Rules,2014;
e. On the basis of written representations received from the Directors
as on March 31,2015 and taken on record by the Board Of Directors, none
of the Directors is disqualified as on March 31,2015 from being
appointed as a Director in terms of section 164(2) of the Act;
f. With respect to 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:
(a) The Company has disclosed the impact of pending/settled litigations
on its financial position in its financial statements - Refer Note 22
to the financial statements.
(b) The Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses;
(c) There has been no delay in transferring amounts if any, to the
Investor Education and Protection Fund by the Company.
ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT
(Referred to in our Report of even date)
1a. The Company is in the process of updating its fixed assets register
to show full particulars including quantitative details and situation
of fixed assets.
b. The Company has not carried out physical verification of its fixed
assets during the year, pending Updation of fixed assets register.
However, the Management has assured that the physical verification of
fixed assets will be carried out once the fixed assets register is
updated.
c. During the year, the Company has not disposed off a substantial
part of the fixed assets.
2a. The inventories have been physically verified by the Management
during the year. In our opinion, the frequency of verification is
reasonable.
b. In our opinion, the procedures of 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, the Company has maintained proper records of
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and the same
have been properly dealt with in the books of account.
3a. According to the information and explanations given to us, the
Company has not granted any loans, secured or unsecured to Companies,
firms, or other parties listed in the register maintained under Section
189 of the Companies Act, 2013. Accordingly, the provisions of clause
3(iii) (a) and (b) of the Order are not applicable to the Company and
hence not commented upon.
b. The Company is regular in repaying the principal amounts as
stipulated and has been regular in the payment of interest in respect
of unsecured business loan of Rs.25.50 Lakhs taken from Bajaj Finance
Limited taken during the current financial year.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods. During the course of the audit, we have not observed any major
weakness or continuing failure to correct any major weakness in
internal controls system of the Company in respect of these areas.
5. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public
in accordance with provisions of sections 73 to 76 of the Act and rules
framed there under.
6. We have been informed that the Central Government has not
prescribed maintenance of cost records under Section 148(1) of the Act
for any products of the Company.
7. a. According to the information and explanations given to us, the
Company is generally regular in depositing undisputed statutory dues
including Provident Fund, Employees State Insurance, Income Tax, Service
Tax, Sales Tax, Wealth Tax etc. with appropriate authorities. However,
as explained to us, the Company is yet to pay arrears of Income Tax of
Rs.640,465/- ( excluding interest accrued on above) (Previous Year-
Rs.640,465/-) for Asst. Year 2010-11 and Export Tax of Rs.341,330/-
(Previous Year- Rs.341,330/-)
b. According to the information and explanations given to us, no
undisputed amounts payable in respect of Provident Fund, Employees
State Insurance, Income Tax, Service Tax, Sales Tax, Wealth Tax and
other material statutory dues were outstanding at the year end, for a
period of more than six months from the date they became payable.
c. According to the records of the Company, no dues of Income Tax,
Service Tax, Wealth Tax, Sales Tax, Value Added Tax etc. are
outstanding on account of any dispute. The only disputed Case of demand
of Central Excise Duty of Rs.532,800/-for the year 2007-08 which was
under appeal with the Customs, Excise & Service Tax Appellate Tribunal,
Delhi, has been settled/cleared and paid along with Penalty of
Rs.532,800/- and interest of Rs.275,616/- during the financial year
2014-15.
d. According to the information and explanations given to us, the
amount required to be transferred to investor education and protection
fund in accordance with the relevant provisions of the Companies
Act,1956 (1 of 1956) and rules made there under has been transferred to
such fund within time.
8. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses during the current and
immediately preceding financial year.
9. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to its
bankers. The Company did not have any outstanding dues to any financial
institution or debentures holders during the year.
10. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
Banks or Financial Institutions.
11. In our opinion and according to the information and explanations
given to us, the Company has not raised any term loans during the year.
12. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the year.
For: R.Kini & Associates,
Chartered Accountants,
Firm Regn. No.116134W
Place: Bhopal R.Kini
Date: 15th May, 2015 Proprietor- M.No.021611
Mar 31, 2014
1. We have audited the attached Balance Sheet of M/s. C. J. Gelatine
Products Limited, as at 31s1 March, 2014, Profit & Loss Account and
Cash flow Statement 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 have conducted our audit in accordance with auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statement is free of material misstatement. An audit includes
examining on test basis evidence supporting the amounts and disclosures
in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by the
Management as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors' Report) Order, 2003 issued
by the Central Government of India in the terms of sub-section (4A) of
Section 227 of the Companies Act, 1956, and on the basis of such checks
of the books and records of the Company as we considered appropriate
and according to the information and explanation given to us during the
course of audit, we annex hereto Annexure-A on the matters specified in
Paragraphs 4 and 5 of the said Order,
Further to our comments in the Annexure referred to in Paragraph 3
above, we report that:
a. We have obtained all 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 & Loss Account and Cash Flow Statement
dealt with by this Report are in agreement with the books of account;
d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement 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 is disqualified as on March 31,2014 fronf being appointed
as a Director in terms of clause (g) of sub-section (1) of Section 274
of the Companies Act, 1956.
f. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
Significant Accounting Policies and notes on accounts ( Note No.21)
along with clauses 8(a) and 8(b) of Anncxure to Audit Report, 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 3151 March, 2014;
(b) In the case of the Profit & Loss Account, of the loss of the
Company for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date-
ANNEXURE REFERRED TO IN OUR REPORT OF EVEN DATE ON THE ACCOUNTS FOR THE
YEAR ENDED 31st MARCH. 2014 OF CJ-GEIATINE PRODUCTS LIMITED
la. The Company is in the process of updating its fixed assets register
to show full particulars including quantitative details and situation
of fixed assets.
b. The Company has not carried out physical verification of its fixed
assets during the year, pending updation of fixed assets register.
However, the Management has assured that the physical verification of
fixed assets will be carried out once the fixed assets register id
updated.
c. During the year, the Company has not disposed off a substantial part
of the fixed assets,
2a. The inventories have been physically verified by the Management
during the year. In our opinion, the frequency of verification is
reasonable,
b. in our opinion, the procedures of verification of inventories
followed by tile Management are reasonable and adequate in relation to
the size of the Company and the nature of its business.
c. In our opinion, the Company has maintained proper records of
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and the same
have been properly dealt with in the books of account.
3a. 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. The Company has however,
taken unsecured loans from one party (01) listed in the Register
maintained under Section 301 of the Companies Act, 1956. The maximum
amount involved during the year and the year ended balance of the
aforesaid loans was Rs.1.00 Lakhs (Previous Year - Rs. 18.28 Lakhs)
b. In our opinion, the rate of interest and other terms and conditions
on which unsecured short loans have been taken from Companies and other
parties listed in the register maintained under Section 301 of the
Companies Act, 1956 are prima facie not prejudicial to the interest of
the Company,
c. The Company is regular in repaying the principal amounts as
stipulated and has been regular in the payment of interest where ever
applicable.
d. There are no overdue amounts of loans taken from Companies and other
parties listed in the register maintained under Section 301 of the
Companies Act, 1956.
4. In cur opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and nature of its business
for the purchase of inventory and fixed assets and for the sale of
goods. During the course of the audit, we have not observed any
continuing failure to correct major weakness in internal controls,
5. a. In our opinion and according to the information and explanations
given to us, all transactions 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, there are no transactions made in pursuance of contracts
or arrangement entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rs.500,000/- (Rupees
Five Lakhs only) in respect of any party during the year, have been
made at prices which are reasonable having regard to prevailing market
price at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public
which are contrary to the provisions of Sections SSA and 58AA of the
Companies Act,1956 and the Companies ( Acceptance of Deposits)
Rules,1975 with regard to the deposits accepted from the public. As
informed to us, no order has been passed by the Company Law Board
relating to the deposits accepted from the public,
7. We have been informed that during the year under audit, the Central
Government has prescribed maintenance of cost records under Section
209(1 )(d) of the Companies Act, 1956 for its products vioe Order Dated
06n November, 2012. The Company has complied with the above
requirements for the financial year 2013 -14.
8. a. According to the information and explanations given to us, the
Company is generally regular in depositing undisputed statutory dues
including Provident Fund, Employees State insurance, Income Tax, Sales
Tax etc. with appropriate authorities. However, as explained to us, the
Company is yet to pay arrears of Income Tax of Rs.640,465/- ( excluding
interest accrued on above) ( Previous Year- Rs.640,465/-) for Asst.
Year 2010-11 and Export Tax of Rs.341,330/- (PrevidDs Year-
Rs.341,330/-)
b. According to the records of the Company, the dues of Central Excise
Duty which has not been deposited with appropriate authorities on
account of disputes and the forum where the disputes are pending as
under:
Sr. Name of Statute Nature of dues Amount in Forum where the
No Rs(Lakhs) Dispute is
pending
Customs, Excise &
01 Central excise & Excise Duty 5.33 Service Tax
Customs Act Demand Appellate
Tribunal, Delhi
9. In our opinion, the accumulated losses of the Company as at the end
of the financial year docs not exceed fifty percent of its net worth.
The Company has not incurred cash losses during the financial year
under audit (though, incurred book losses of Rs.20,25,624/-)
10. 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.
11. In our opinion, the Company is not a Chit Fund Company or a Nidhi
/ Mutual Benefit Fund/Sodety. Therefore, the provisions of Clause-4
(xiri) of the Companies (Auditors Report) Order, 2003 are not
applicable to the Company,
12. In our opinion, the Company is not dealing or trading in shares,
securities, debentures and other investments. Accordingly, the
provisions o' clause 4 (xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the Company.
13. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
Banks or Financial Institutions.
14. The Company has not taken any Term Loan during the year.
15. According to the information and explanations given to us and on
an overall examination of the Balance Sheet and the Cash Flow Statement
of the Company, we are of the opinion that the funds raised on short
term basis have not been used for. long term investment. No long term
funds have been used to finance short term assets.
16. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares during the
year to Parties and Companies covered in the register maintained under
Section 301 of the Companies Act, 1956.
17. The Company has not issued any debentures during the year and
accordingly, the question of creating security in respect thereof does
not arise.
18. The Company has not made any public issues during the year and
therefore, the question of disclosing the end use of money raised by
public issue does not arise,
19. According to the information and explanations given to us, we
report that no fraud on or by the Company has been noticed or reported
during the course of our audit.
For; R. Kini & Associates,
Chartered Accountants
Firm Regn-No.ll6134W
Place; Bhopal R.Krni
Date: 12th May, 2014 Proprietor- M.No-021611
Mar 31, 2012
We have audited the attached Balance Sheet of M/s C.J.Gelatine Products
Ltd. as at 31st March 2012, Profit and Loss Account and Cash Flow
Statement for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit also includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
As required by the Companies (Auditor's Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section
227 of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 and 5 of the said Order, on the basis
of such checks of the books and records of the Company as we considered
appropriate and the information and explanations given to us during the
course of our audit.
Further to our comments in the Annexure referred to above, we report
that:
(a) We have obtained all the information and explanations which, to the
best of our knowledge and belief were necessary for the purpose of our
audit.
(b) In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books.
(c) The Balance Sheet, Profit 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 Statement 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 is disqualified as on March 31, 2012 from being appointed
as a Director in terms of clause (g) of sub-section (1) of Section 274
of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, they said accounts read with notes on
accounts (Note No. 21) along with clause 8(a) and (b) of Annexure to
Audit Report give the information required by the Companies Act, 1956,
in the manners 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 Account, the profit of the
Company for the year ended on that
date,
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN OUR REPORT OF EVEN DATE ON THE ACCOUNTS FOR THE
YEAR ENDED 31ST MARCH. 2012 OF C. J. GELATINE PRODUCTS LTD.
1. (a) The Company is in the process of updating its fixed assets
Register to show full particulars including quantitative details and
situation of fixed assets.
(b) The Company has not carried out physical verification of its fixed
assets during the year. However, we have been informed that the
physical verification of fixed assets will be carried out once the
fixed assets register is updated. '
(c) During the year, the Company has not disposed off a substantial
part of the fixed assets.
2. (a) The inventories have been physically verified by the management
during the year. In our opinion, the frequency of verification is
reasonable.
(b) In our opinion, 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, the Company has maintained proper records of
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and the same
have been properly dealt with in the books of account.
3.(a) 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. The Company has taken
unsecured loans from three parties listed in the register maintained
under section 301 of the Companies Act, 1956. The maximum amount
involved during the year and the year ended balance of the aforesaid
loans was (f). 18.28 lacs.
(b) In our opinion, the rate of interest and other terms and conditions
on which unsecured short loans have been taken from companies and other
parties listed in the register maintained under section 301 of the
Companies Act,1956 are prima facie not prejudicial to the interest of
the Company.
(c) The Company is regular in repaying the principal amounts as
stipulated and has been regular in the payment of interest wherever
applicable.
(d) There are no overdue amounts of loans taken from companies and
other parties listed in the register maintained under section 301 of
the Companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory and fixed assets and for
the sale of goods. During the course of the audit, we have not observed
any continuing failure to correct major weakness in internal controls.
5.(a) In our opinion and according to the information and explanations
given to us, all transactions 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, there are no transactions made in pursuance of contracts
or arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of Rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market price at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from public
which are contrary to the provisions of sections 58A and 58AA of the
Companies Act, 1956 and the Companies (Acceptance of deposits) Rules,
1975 with regard to the deposits accepted from the public. As informed
to us, no order has been passed by the Company Law Board relating to
the deposits accepted from the public.
7. We have been informed that Central Government has not prescribed
maintenance of cost records under section 209(l)(d) of the Companies
Act, 1956 for any products of the Company.
8.(a) According to the information and explanations given to us, the
Company is generally regular in depositing undisputed statutory dues
including Provident Fund, Employees State Insurance, Income Tax, Sales
Tax and other dues with appropriate authorities. However as explained
to us, the Company is yet to pay arrears of (Rs)31,00,357/- outstanding
on account of Employer's Contribution to ESIC, (Rs) 13,72,659/- towards
contribution of Provident Fund and Sales Tax amounting to
(Rs)41,97,335/-. An amount of (Rs) 1,356/- is outstanding on account of
TDS (contractors) and (Rs) 10,640/- outstanding on account of TDS
(Salary). Income Tax of (Rs) 6,40,465/- for A. Y 2010-11 is Outstanding
and liable to be paid.
(b) According to the records of the Company, the dues of Income Tax,
Central Excise and Sale Tax which have not been deposited with
appropriate authorities on account of disputes and the forum where
the disputes are pending are as under:
S.No. Name of Statute Nature of the dues Amount Forum where
dispute is
((Rs.)
in lakhs) pending
1. Central Excise
& Custom Act CENVAT Credit of 5.78 Commissioner
Appeal,
Service Tax Central
Excise,
Bhopal.
2. Central Excise
& Customs Act Excise-duty
demands 5.33 Customs,
Excise and
service Tax
Appellate
Tribunal,
Delhi
9. In our opinion, the accumulated losses of the Company as at the end
of the financial year does not exceed fifty percent of its net worth.
The Company has not incurred cash losses during the financial year
under audit.
10. 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.
11. In our opinion, the Company is not a chit fund company or a
nidhi/mutual benefit fund/society. Therefore, the provisions of clause
4(xiii) of the Companies (Auditors Report) Order, 2003 are not
applicable to the Company.
12. In our opinion, the Company is not dealing or trading in shares,
securities, debentures and other investments. Accordingly the
provisions of clause 4(xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the Company.
13. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
14. The Company has not taken any term loan during the year.
15. According to the information and explanations given to us and on
an overall examination of the Balance Sheet and the Cash Flow Statement
of the Company, we are of the opinion that the funds raised on
short-term basis have not been used for long term investment. No
long-term funds have been used to finance short-term assets.
16. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares during the
year to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956.
17. The Company has not issued any debentures during the year, and
accordingly, the question of creating security in respect thereof does
not arise.
18. The Company has not made any public issues during the year and
accordingly, the question of disclosing the end use of money raised by
public issue does not arise.
19. According to the information and explanations given to us, we
report that no fraud on or by the Company has been noticed or reported
during the course of our audit.
For TRIVEDI & RESHAMWALA ASSOCIATES
CHARTERED ACCOUNTANTS,
(HITESH RESHAMWALA)
PLACE: Bhopal PROPRIETOR
Date: 25.05.2012 Membership No.41723
F. R. No. 111C41W of 15.03.1990
Mar 31, 2011
We have audited the attached Balance Sheet of M/s C.J. Gelatine
Products Limited as at 31st March 2011, Profit and Loss Account and
Cash Flow Statement for the year ended on that date annexed thereto.
These financial statements are the responsibility of the Company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India.Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit also includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
As required by the Companies (Auditor's Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section
227 of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 and 5 of the said Order, on the basis
of such checks of the books and records of the Company as we considered
appropriate and the information and explanations given to us during the
course of our audit.
Further to our comments in the Annexure referred to above, we report
that:
(a) We have obtained all the information and explanations which, to the
best of our knowledge and belief were necessary for the purpose of our
audit.
(b) In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books.
(c) The Balance Sheet, Profit 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 Statement 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 is disqualified as on March 31,2011 from being appointed
as a Director in terms of clause (g) of sub-section (1) of Section 274
of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read with notes on
accounts (Schedule 'Q')alongwith clause 8(a) and (b)of Annexure to
Audit Report 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, 2011,
(b) In the case of the Profit and Loss Account, the profit of the
Company for the year ended on that date,
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN OUR REPORT OF EVEN DATE ON THE ACCOUNTS FOR THE
YEAR ENDED 31st MARCH, 2011 OF C. J. GELATINE PRODUCTS LTD.
1. (a) The Company is in the process of updating its fixed assets
register to show full particulars including quantitative details and
situation of fixed assets.
(b) The Company has not carried out physical verification of its fixed
assets during the year. However, we have been informed that the
physical verification of fixed assets will be carried out once the
fixed assets register is updated.
(c) During the year, the Company has not disposed off a substantial
part of the fixed assets.
2. (a) The inventories have been physically verified by the management
during the year. In our opinion, the frequency of verification is
reasonable.
(b) In our opinion, 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, the Company has maintained proper records of
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and the same
have been properly dealt with in the books of account.
3. (a) 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. The Company has taken
unsecured loans from two parties listed in the register maintained
under section 301 of the Companies Act, 1956. The maximum amount
involved during the year and the year ended balance of the aforesaid
loans was Rs. 18.28 lakhs.
(b) In our opinion, the rate of interest and other terms and conditions
on which unsecured short loans have been taken from companies and other
parties listed in the register maintained under section 301 of the
Companies Act,1956 are prima facie not prejudicial to the interest of
the Company.
(c) The Company is regular in repaying the principal amounts as
stipulated and has been regular in the payment of interest wherever
applicable.
(d) There are no overdue amounts of loans taken from companies and
other parties listed in the register maintained under section 301 of
the Companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the si2e of the Company and the nature of its
business with regard to purchase of inventory and fixed assets and for
the sale of goods. During the course of the audit, we have not observed
any continuing failure to correct major weakness in internal controls.
5. (a) In our opinion and according to the information and
explanations given to us, all transactions 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, there are no transactions made In pursuance of contracts
or arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of Rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market price at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from public
which are contrary to the provisions of sections 58A and 58AA of the
Companies Act, 1956 and the Companies (Acceptance of deposits) Rules,
1975 with regard to the deposits accepted from the public. As informed
to us, no order has been passed by the Company Law Board relating to
the deposits accepted from the public.
7. We have been informed that Central Government has not prescribed
maintenance of cost records under section 209(1 )(d) of the Companies
Act, 1956 for any products of the Company.
8. (a) According to the information and explanations given to us, the
Company is generally regular in depositing undisputed statutory dues
including Provident Fund, Employees State Insurance, Income Tax, Sales
Tax and other dues with appropriate authorities. However as explained
to us, the Company is yet to pay arrears of Employee's Contribution to
ESIC of Rs. 1,11,632/- and also Rs.34,02,006/- outstanding on account
of Employer's Contribution to ESIC, Rs.45,12,343/- towards employer's
contribution of Provident Fund and Sales Tax amounting to
Rs.64,90,882/-. An amount of Rs.32,787/- is outstanding on account of
TDS(contractors). Income Tax of Rs. 6,40,465/- for A.Y. 2010-11 is
Outstanding and liable to be paid.
(b) According to the records of the Company, the dues of Income Tax,
Central Excise and Sale Tax which have not been deposited with
appropriate authorities on account of disputes and the forum where the
disputes are pending are as under:
Sr.
No. Name of Statute Nature of the dues Amount Forum where dispute
(Rs. in is pending
lakhs)
1 Central Excise & CENVAT Credit of 5.78 Commissioner
Custom Act Service Tax Appeal,
Central Excise,
Bhopal.
2. Central Excise & Excise-duty Customs,Excise and
Customs Act demands 5.33 service Tax
Applellate
Tribunal, Delhi
9. In our opinion, the accumulated losses of the Company as at the end
of the financial year does not exceed fifty percent of its net worth.
The Company has not incurred cash losses during the financial year
under audit.
10. 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.
11. In our opinion, the Company is not a chit fund company or a
nidhi/mutual benefit fund/society. Therefore, the provisions of clause
4(xiii) of the Companies (Auditors Report) Order, 2003 are not
applicable to the Company.
12. In our opinion, the Company is not dealing or trading in shares,
securities, debentures and other investments. Accordingly the
provisions of clause 4(xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the Company.
13. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
14. The Company has not taken any term loan during the year.
15. According to the information and explanations given to us and on an
overall examination of the Balance Sheet and the Cash Flow Statement of
the Company, we are if the opinion that the funds raised on short-term
basis have not been used for long term investment, i.e., long-term
funds have been used to finance short-term assets.
16. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares during the
year to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956.
17. The Company has not issued any debentures during the year, and
accordingly, the question of creating security in respect thereof does
not arise.
18. The Company has not made any public issues during the year and
accordingly, the question of disclosing the end use of money raised by
public issue does not arise.
19. According to the information and explanations given to us, we
report that no fraud on or by the Company has been noticed or reported
during the course of our audit.
For TRIVEDI & RESHAMWALA ASSOCIATES
CHARTERED ACCOUNTANTS
(HITESH RESHAMWALA)
PROPRIETOR
Membership No.41723
F. R. No. 111041W of 15.03.1990
PLACE : MUMBAI
DATED : 27/07/2011
Mar 31, 2010
We have audited the attached Balance Sheet of M/s C. J.Gelatine
Products Limited as at 31st March 2010, Profit and Loss Account and
Cash Flow Statement for the year ended on that date annexed thereto.
These financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit also includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
As required by the Companies (Auditors Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section
227 of the Companies Act, 1956, we annex hereto a statement on the
matters specified in Paragraphs 4 and 5 of the said Order, on the basis
of such checks of the books and records of the Company as we considered
appropriate and the information and explanations given to us during the
course of our audit.
Further to our comments in the Annexure referred to above, we report
that:
(a) We have obtained all the information and explanations which, to the
best of our knowledge and belief were necessary for the purpose of our
audit.
(b) In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books.
(c) The Balance Sheet, Profit 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 Statement 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 is disqualified as on March 31,2010 from being appointed
as a Director in terms of clause (g) of sub-section (1) of Section 274
of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read with notes on
accounts (Schedule Q)alongwith clause 8(a) and (b)of Annexure to
Audit Report 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, the profit of the
Company for the year ended on that date,
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN OUR REPORT OF EVEN DATE ON THE ACCOUNTS FOR THE
YEAR ENDED 31 ST MARCH. 2010 OF C. J. GELATINE PRODUCTS LTD.
1. (a) The Company is in the process of updating its fixed assets
register to show full particulars including quantitative details and
situation of fixed assets.
(b) The Company has not carried out physical verification of its fixed
assets during the year. However, we have been informed that the
physical verification of fixed assets will be carried out once the
fixed assets register is updated.
(c) During the year, the Company has not disposed off a substantial
part of the fixed assets.
2. (a) The inventories have been physically verified by the management
during the year. In our opinion, the frequency of verification is reasonable.
b) In our opinion, 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, the Company has maintained proper records of
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and the same
have been properly dealt with in the books of account.
3. (a) 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. The Company has taken
unsecured loans from two parties listed in the register maintained under
section 301 of the Companies Act, 1956. The maximum amount involved
during the year and the year ended balance of the aforesaid loans was
Rs. 18.28 lakhs.
(b) In our opinion, the rate of interest and other terms and conditions
on which unsecured short loans have been taken from companies and other
parties listed in the register maintained under section 301 of the
Companies Act,1956 are prima facie not prejudicial to the interest of
the Company.
(c) The Company is regular in repaying the principal amounts as
stipulated and has been regular in the payment of interest wherever
applicable.
(d) There are no overdue amounts of loans taken from companies and
other parties listed in the register maintained under section 301 of
the Companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory and fixed assets and for
the sale of goods. During the course of the audit, we have not observed
any continuing failure to correct major weakness in internal controls.
5. (a) In our opinion and according to the information and
explanations given to us, all transactions that need to be entered into
the register maintained under section 301 c the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contracts
or arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of Rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market price at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from public
which are contrary to the provisions of sections 58A and 58AA of the
Companies Act, 1956 and the Companies (Acceptance of deposits) Rules,
1975 with regard to the deposits accepted from the public. As informed
to us, no order has been passed by the Company Law Board relating to
the deposits accepted from the public.
7. We have been informed that Central Government has not prescribed
maintenance of cost records under section 209(1 )(d) of the Companies
Act, 1956 for any products of the Company.
8. (a) According to the information and explanations given to us, the
Company isgenerally regular in depositing undisputed statutory dues
including Provident Fund, Employees State Insurance, Income Tax, Sales
Tax and other dues with appropriate authorities. However as explained
to us, the Company is yet to pay arrears of Employees Contribution to
ESIC of Rs. 1,09,035/- and also Rs.29,31,336/- outstanding on account
of Employers Contribution to ESIC, Rs.23,34,565/- towards employers
contribution of Provident Fund and Sales Tax amounting to Rs.23,10,900/-.
An amount of Rs.54,290/- is outstanding on account of TDS(contractors).
Out of the above, the amount towards ESIC and Provident Fund dues
amounting to Rs. 43,03,334/- are outstanding for period exceeding six
months from the date they became payable.
(b) According to the records of the Company, the dues of Income Tax,
Central Excise and Sale Tax which have not been deposited with
appropriate authorities on account of disputes and the forum where the
disputes are pending are as under:
Sr. Name of Statute Nature of the dues Amount Forum where dispute
No. (Rs.in
lakhs) is pending
1. Central Excise & CENVAT Credit of 5.78 Commissioner Appeal,
Custom Act Service Tax Central Excise,
Bhopal.
2. Central Excise & Excise-duty 5.33 Customs,Excise
and service
Customs Act demands Tax Applellate
Tribunal,Delhi
9. In our opinion, the accumulated losses of the Company as at the end
of the financial year does not exceed fifty percent of its net worth.
The Company has not incurred cash losses during the financial year
under audit.
10. 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.
11. In our opinion, the Company is not a chit fund company or a
nidhi/mutual benefit fund/society. Therefore, the provisions of clause
4(xiii) of the Companies (Auditors Report) Order, 2003 are not
applicable to the Company.
12. In our opinion, the Company is not dealing or trading in shares,
securities, debentures and other investments. Accordingly the
provisions of clause 4(xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the Company.
13. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
14. The Company has not taken any term loan during the year.
15. According to the information and explanations given to us and on
an overall examination of the Balance Sheet and the Cash Flow Statement
of the Company, we are of the opinion that the funds raised on
short-term basis have not been used for long term investment. No
long-term funds have been used to finance short-term assets.
16. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares during the
year to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956.
17. The Company has not issued any debentures during the year, and
accordingly, the question of creating security in respect thereof does
not arise.
18. The Company has not made any public issues during the year and
accordingly, the question of disclosing the end use of money raised by
public issue does not arise.
19. According to the information and explanations given to us, we
report that no fraud on or by the Company has been noticed or reported
during the course of our audit.
For TRIVEDI & RESHAMWALA ASSOCIATES
CHARTERED ACCOUNTANTS,
(HITESH RESHAMWALA)
PLACE : MUMBAI PROPRIETOR
Date : 26.07.2010 Membership No.41723