Mar 31, 2018
Report on the Financial Statements
We have audited the accompanying financial statements of EMMBI INDUSTRIES LIMITED, (âthe Companyâ) which comprise the Balance Sheet as at 31st March, 2018, the Statement of Profit and Loss(including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information(hereafter referred to as Ind AS Financial statementsâ)
Managementâs Responsibility for the Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134 (5) of Companies Act, 2013 (âthe Actâ) with respect to the preparation of these Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including Indian Accounting Standards (Ind AS) specified under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provision of the Act for safeguarding the assets of the Company and for preventing and detecting fraud 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 Ind AS financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Companyâs ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.
Auditorsâ Responsibility
Our responsibility is to express an opinion on these Ind AS 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 of the Ind AS financial statements 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 Ind AS financial statements are free from material misstatements.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the Ind AS financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation and presentation of the Ind AS financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the Ind AS financial statements.
We are also responsible to conclude on the appropriateness of managementâs use of going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entityâs ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in the auditorâs report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the opinion. Our conclusions are based on the audit evidence obtained up to the date of auditorâs report. However, future events or conditions may cause an entity to cease to continue as a going concern.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Ind AS financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid Ind AS 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, 2018;
(b) In the case of the Statement of Profit and Loss, of the Profit of the Company for the year ended on that date, and
(c) In the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.
Other Matter
Corresponding figures for the year ended 31st March, 2017 have been audited by another auditor who expressed unmodified opinion dated 20th May, 2017 on the financial statements of the company for the year ended 31st March, 2017.
Our opinion on the Ind AS financial statements is not modified in respect of the above matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies ( Auditorsâ Report ) Order, 2016, (âthe Orderâ) âissued by the Central Government of India in terms of sub section (11) of section 143 of the Act, we give in the âAnnexure Aâ 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 accounts as required by law, have been kept by the Company so far as appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Cash Flow Statement and Statement of Changes in Equity dealt with by this Report are in agreement with the Books of Account.
d) In our opinion, the aforesaid Ind AS financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act.
e) During the period under audit, Mr. Sanjay Rathi (Din: 00022432), Non-executive Independent director became disqualified under section 164(2) of the Companies Act, 2013 and has stepped down from the post of Directorship of the company w.e.f. 9th October 2017.
f) With respect to the adequacy of the Internal Financial Controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Bâ
g) With respect to the other matters to be included in the Auditorâs 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 explanation given to us;
i. The Company has disclosed its pending litigations in its Ind AS financial statements as referred to in Note 28 to the Ind AS financial statements.
ii. The Company did not have any long term contracts including derivative contracts; as such the question of commenting on any material foreseeable losses thereon does not arise.
iii. There has not been an occasion in case of the Company during the year under report to transfer any sums to the Investor Education and Protection Fund. The question of delay in transferring such sums does not arise.
Annexure A to the Independent Auditorsâ Report
(Referred to in Paragraph 1 of the Report on Other Legal and Regulatory Requirementsâ in our report of even date)
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets on the basis of available information.
(b) As explained to us, fixed assets have been physically verified by the management during the year at regular intervals and no material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of Immovable Properties, as disclosed in Note 5 on Fixed Assets to the Ind AS financial statements, are held in the name of the Company.
In respect of immovable properties been taken on lease and disclosed as property, plant and equipment in the Ind AS financial statements, the lease agreements are in the name of the Company.
(ii) The management has conducted physical verification of inventory at reasonable intervals. No material discrepancies were noticed on physical verification.
(iii) As informed to us, during the year the Company has not granted any loans, secured or unsecured to companies, firms, or other parties covered in the register maintained under Section 189 of the Act. The company has granted loan to Limited Liability Partnership, the terms and conditions of the grant of such loans are, in our opinion, prima facie, not prejudicial to the Companyâs interest. Details of the same have been mentioned in Note 40 of the Ind AS Financial statements.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Section 185 and 186 of the Act, with respect to the loans given, investments made, guarantees and securities given.
(v) The company has not accepted any deposits from the public within the meaning of directives issued by the Reserve Bank of India, provisions of Section 73 to 76 of the Companies Act, 2013, any other relevant provisions of the Act and the rules framed there under to the extent notified.
(vi) As informed to us, the Central Government has not prescribed maintenance of cost records under sub-section (1) of Section 148 of the Act.
(vii) (a) According to the records, information and explanation provided to us, the company is regular in depositing with appropriate authorities undisputed amount of Provident Fund, Employeesâ State Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty, Value Added Tax, Service Tax, Goods and Service Tax, Cess and other statutory dues applicable to it and no undisputed amounts payable were outstanding as at 31st March, 2018 for a period of more than six months from the date they became payable.
(b) According to the information and explanation given to us and as per our verification of records of the company, the disputed amounts of Income Tax which are not deposited with appropriate authorities as at 31st March, 2018 are as follows:
Amount is due under Income Tax Act, 1961 as Income Tax amounting Rs. 3,90,05,030/-for the period 01.04.2010 to 31.03.2011 which is reduced by ITAT to Rs. 58,50,760/-.
Appeal with Hâble Bombay High Court will be preferred for the remaining part. Amount is due under Income Tax Act, 1961 as Income Tax Penalty amounting Rs. 39,47,758/-for the A.Y.: 2011-2012 which is pending with CIT Appeal.
(viii) Based on our audit procedures and on the information and explanation given to us, the company has not defaulted in repayment of dues or borrowings to any financial institution or bank or Government or dues to Debenture holders as at the balance sheet date.
(ix) The company has not raised any money by way of initial public offer, further public offer (including debt instruments), money raised by term loans have been applied by the company during the year for the purpose for which those are raised.
(x) To the best of our knowledge and accordingly to the information and explanations given, no material fraud by the company or on the company by its officers has been noticed or reported during the course of our audit.
(xi) The Company has paid / provided for Managerial Remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V of the Act.
(xii) According to the information and explanations given to us, in our opinion, the company is not a Nidhi Company as prescribed under Section 406 of the Act.
(xiii) According to the information and explanations given to us and based on our examination of the records of the Company, all transactions with the related parties are in compliance with section Sections 177 and 188 of the Act, where applicable, and details of such transactions have been disclosed in the Ind AS financial statements as required by the applicable accounting standards.
(xiv) During the year, the company has not made any preferential allotment of shares to parties and companies covered in the register maintained u/s 42 of the Companies Act, 2013. Accordingly, the provisions of Clause 3(xiv) of the Order are not applicable to the Company.
(xv) In our opinion and according to information and explanation given to us, the Company has not entered into any Non Cash Transactions with the Directors or person connected with him, during the year. Accordingly, the provisions of Clause 3(xv) of the Order are not applicable to the Company.
(xvi) The company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934. Accordingly, the provisions of Clause 3(xvi) of the Order are not applicable to the Company.
Annexure - B
(Referred to in Paragraph 2(f) of the Report on Other Legal and Regulatory Requirementsâ in our report of even date) Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of Sub Section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
1. We have audited the internal financial controls over financial reporting of Emmbi Industries Ltd. (âthe Companyâ) as of 31 March, 2018 in conjunction with our audit of the Ind AS financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
2. The Companyâs management is responsible for establishing and maintaining internal financial controls based on internal controls over financial reporting criteria established by the company considering the essential components of internal controls stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act 2013 (â the Actâ).
Auditorâ Responsibility
3. Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing deemed to be prescribed under Section 143 (10) of the Act to the extent applicable to an audit of internal financial controls, both applicable to an audit of internal financial controls and, both issued by ICAI. Those Standards and the Guidance Note require that we comply with the ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
4. Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risk of material misstatement of the Ind AS financial statements, whether due to fraud or error.
5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial control system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
6. A companyâs internal financial controls over financial reporting is a process designed to provide reasonable assurance regarding the reliability if financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
7. Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial controls over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2018, based on the internal controls over financial reporting criteria established by the Company considering the essential components of internal controls stated in the Guidance Note on Audit of Internal Financial Controls Over Financial reporting issued by ICAI.
For R DALIYA & ASSOCIATES
Chartered Accountants
FRN : 102060W
Place : Mumbai K. Daliya (Partner)
Date: 29th May, 2018 Membership No. 166874
Mar 31, 2015
We have audited the accompanying financial statements of EMMBI
INDUSTRIES LIMITED, ("the Company") which comprise the Balance Sheet as
at 31st 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.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated
in Section 134 (5) of Companies Act,2013 ("the Act") with respect to
the preparation of these financial statements that give a true and fair
view of the financial position, financial performance and cash flows of
the company in accordance with the accounting principles generally
accepted in India including 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 provision of the Act for
safeguarding the assets of the Company and for preventing and detecting
fraud 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 statement that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditors' Responsibility
Our responsibility is to express an opinion on these 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
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143 (10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatements.
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 financial control relevant
to the Company's preparation and presentation 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 accounting policies used and
the reasonableness of the accounting estimates made by the
Company's directors, as well as evaluating the overall presentation of
the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2015;
(b) In the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date and
(c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies ( Auditors' 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 paragraph 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 accounts as required by law, have
been kept by the Company so far as appears from our examination of
those books.
c) The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this Report are in agreement with the
Books of Account.
d) In our opinion, the 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, 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 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 explanation given to us;
i. The Company has disclosed its pending litigations in its financial
statements as referred to in Note 18 (c) to the financial statements.
ii. The Company did not have any long term contracts including
derivative contracts; as such the question of commenting on any
material foreseeable losses thereon does not arise.
iii. There has not been an occasion in case of the Company during the
year under report to transfer any sums to the Investor Education and
Protection Fund. The question of delay in transferring such sums does
not arise.
Annexure to Auditor's Report
The Annexure referred to in our report to the members of Emmbi
Industries Limited for the year Ended on 31st March 2015. We report
that:
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) As explained to us, fixed assets have been physically verified by
the management during the year at regular intervals and no material
discrepancies were noticed on such verification;
(ii) (a) The management has conducted physical verification of inventory
at reasonable intervals.
(b) In our opinion, and according to the information and explanation
given to us the procedures of physical verification of inventory
followed by the management are reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the records of inventory, we are
of the opinion that the Company is maintaining proper records of
inventory and no material discrepancies were noticed on physical
verification.
(iii) As informed to us, during the year the Company has not granted
any loans, secured or unsecured to companies, firms or other parties
covered in the register maintained under Section 189 of the Companies
Act, 2013.
(iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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. Further, on the basis of our examination of the books and
records of the Company and according to information and explanation
given to us, no major weakness has been noticed or reported.
(v) The company has not accepted any deposits from the public within
the meaning of sections 73 to 76 of the Companies Act, 2013 and the
rules framed there under.
(vi) As informed to us, the Central Government has not prescribed
maintenance of cost records under sub-section (1) of Section 148 of the
Act.
(vii) (a) According to the records, information and explanation
provided to us, the company is regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees' State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Service Tax, Cess and other statutory dues applicable to it and no
undisputed amounts payable were outstanding 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 explanation given to us and as per
our verification of records of the company, the disputed amounts of
Income Tax which are not deposited with appropriate authorities as at
31st March 2015, are as follows:
Amount is due under Income Tax Act, 1961 as Income Tax amounting Rs
3,90,05,030/-for the period 01.04.2010 to 31.03.2011 which is reduced
by CIT Appeal to Rs 58,50,760/- by order received on 26.05.2015. The
Appeal to Tribunal will be preferred in due course of time.
(c ) There has not been an occasion in case of the company during the
year under report to transfer any sums to the Investor Education and
Protection Fund.
The question of reporting delay in transferring such sums does not
arise.
(viii) The Company has neither accumulated losses as at 31st March,
2015 nor it has incurred any cash losses during the financial year
ended on that date and the immediately preceding financial year.
(ix) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
(x) In our opinion and according to information and explanation given
to us, the Company has not given any guarantee for loan taken by others
from bank or financial institution during the year.
(xi) The term loan taken by the company has been applied for the
purpose for which they were raised.
(xii) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For K. J. SHAH & ASSOCIATES
Chartered Accountants
FRN : 127308W
Place: Mumbai K. J. SHAH, Proprietor
Date: 28th May, 2015 Membership No. 030784
Mar 31, 2014
We have audited the accompanying financial statements of EMMBI
INDUSTRIES LIMITED, ("the Company") which comprise the Balance Sheet as
at 31st March, 2014, 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
The Company''s 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
September 15, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of Companies Act 2013 and in accordance with the accounting
principles generally accepted in India. This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatements.
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 but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) In the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date, and
(c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies ( Auditors'' Report ) Order, 2003, ("the
Order") as amended by ''the Companies (Auditor''s Report) (Amendment)
Order, 2004,''issued by the Central Government of India in terms of
section 227(4A) of the Act, we give in the Annexure a statement on the
matters specified in paragraph 4 and 5 of the Order.
2. As required by section 227(3) of the Act , we report that :
i) 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.
ii) 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
those books.
iii) The Balance Sheet, the Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the Books of
Account.
iv) In our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement comply with the Accounting Standards
notified under the Act read with the General Circular 15/2013 dated
September 15, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of Companies Act 2013;
v) On the basis of written representations received from the Directors
as on March 31, 2014, 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 Section 274(1)(g) of the Act.
ANNEXURE TO THE AUDITORS'' REPORT OF EVEN DATE TO THE MEMBERS OF EMMBI
INDUSTRIES LIMITED (FORMERLY KNOWN AS EMMBI POLYARNS LIMITED)
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) Fixed assets have been physically verified by the management during
the year, which in our opinion is reasonable having regard to the size
of the Company and the nature of its fixed assets. No material
discrepancies were noticed on verification.
(c) In our opinion and according to the information and explanation
given to us substantial part of fixed assets has not been disposed by
the company during the year.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals.
(b) In our opinion, and according to the information and explanation
given to us the procedures of physical verification of inventory
followed by the management are reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the records of inventory, we are
of the opinion that the Company is maintaining proper records of
inventory and no material discrepancies were noticed on physical
verification.
(iii) As informed to us, during the year the Company has neither
granted nor taken any loans, secured or unsecured to/from companies,
firms or other parties covered in the register maintained under Section
301 of the Companies Act, 1956.
(iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit, no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
(v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that needs to be entered into the register
maintained under section 301 of the Companies Act, 1956 have been so
entered.
(vi) The company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
(vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
(viii) We have broadly reviewed the records maintained by the Company
pursuant to the Cost Accounting Rules, 2011 applicable to the Company
under section 209 (1) (d) of the Companies Act, 1956 for maintenance of
cost records from current year and are of the opinion that prima facie
the prescribed accounts and records have been made and maintained.
However, we are neither required to carry out nor have carried out any
detailed examination of such accounts and records.
(ix) (a) According to the records, information and explanation provided
to us, the company is regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees'' State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Service Tax, Cess and other statutory dues applicable to it and no
undisputed amounts payable were outstanding as at 31st March, 2014 for
a period of more than six months from the date they became payable.
(b) According to the information and explanation given to us and as per
our verification of records of the company, the disputed amounts of
Income Tax which are not deposited with appropriate authorities as at
March 2014, are as follows:
Amount is due under Income Tax Act, 1961 as Income Tax amounting Rs.
90,22,240/-for the period 01.04.2009 to 31.03. 2010. The Appeal is
pending with Commissioner of Income Tax - Appeal.
(x) The Company has neither accumulated losses as at March 31, 2014 nor
it has incurred any cash losses during the financial year ended on that
date and the immediately preceding financial year.
(xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
(xii) The term loan taken by the company has been applied for the
purpose for which they were raised.
(xiii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, the funds
raised on short term basis have not been used for long term investments
and vice-versa.
(xiv) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
(xv) Matters specified in clauses (iii) - (b), (c), (d), (e), (f) and
(g),
(xii), (xiii), (xiv), (xv), (xviii), (xix), (xx) of paragraph 4 of the
CARO, 2003 do not apply to the company.
For K. J. SHAH & ASSOCIATES
Chartered Accountants
FRN : 127308W
K. J. SHAH
Place : Mumbai Proprietor
Date: 27th May, 2014 Membership No. 030784
Mar 31, 2012
We have audited the attached Balance Sheet of EMMBI POLYARNS LIMITED,
MUMBAI as at 31st March, 2012, the Profit and Loss Statement and the
Cash Flow Statement for the year ended on that date annexed thereto.
These financial statement 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 generally accepted auditing
standards 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 misstatements. An audit includes
examining , on test basis, evidence supporting the amounts and
disclosure in the financial statement. An audit also includes assessing
the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
1. As required by the Companies (Auditors' Report) Order, 2003, as
amended by the Companies (Auditors' Report) (Amendment) Order, 2004
(together the 'Order") issued by the Central Government of India in
terms of section 227(4A) of the Companies Act, 1956 (' the Act')
and on the basis of such checks as we considered appropriate, and
according to the information and explanations given to us, we enclosed
in the Annexure a statement on the matters specified in paragraph 4 and
5 of the said Order to the extent applicable to the Company,
2. In accordance with the provision of section 227 of the Companies
Act, 1956, we report as under:
i) 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.
ii) 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 such
Books.
iii) The said Balance Sheet, Profit and Loss Statement and Cash Flow
Statement dealt with by this report are in agreement with the Books of
Account.
iv) In our opinion, the Balance Sheet, Profit and Loss Statement and
Cash Flow Statement dealt with by the report is in compliance with the
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
v) On the basis of written representations received from the Directors
as on March 31, 2012 and taken on record by the Board of Directors, we
report that the none of the Directors are disqualified as on 31st
March, 2012 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act, 1956.
vi) In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in 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 31 st March, 2012.
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on 31st March, 2012.
(i) The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets. Fixed
assets have been physically verified by the management during the year,
which in our opinion is reasonable having regard to the size of the
Company and the nature of its fixed assets. No material! discrepancies
were noticed on verification.
There was no substantial disposal of fixed assets during the year.
(ii) The management has conducted physical verification of inventory at
reasonable intervals. 1 tie pjceaures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and the nature of its business. The
Company is maintaining proper records of inventory and no lateral
discrepancies were noticed on physical verification.
(iii) As informed to us, during the year the Company has neither
granted nor taken any loans, so; used or unsecured to/from companies,
firms or other parties covered in the register maintained under Section
301 cf the: Companies Act, 1956.
(iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit, no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
(v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that need to be entered into the register
maintained under section 301 of the Companies Act, 1956 have been so
entered.
(vi) The company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 add the
rules framed there under.
(vii) In our opinion, the company has an internal audit system
commensurate with its size and nature or its business.
(viii) We have broadly reviewed the records maintained by the Company
pursuant to the Cost Accounting Rules. 2011 applicable to the Company
under section 209 (1) (d) of the Companies Act, 1956 for maintenance of
cost records from current year and are of the opinion that prima facie
the prescribed accounts and records have been made and mainl&inc-d.
However, we are not required to and have not carried out any detailed
examination of such records.
(ix) (a) According to the records, information and explanation provided
to us, the company is regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees' State
Insurance, Income Tax. Sales Tax, Wealth Tax, Custom Duly, Excise Duty,
Service Tax, Cess and other statutory dues applicable to it and no
undisputed amounts payable were outstanding as at 31ãl March, 2012 for
a period of more than six months from the date they became pays Die.
(b) According to the records of the company, there are no dues of Sales
Tax, Custom duty, Wealth Tax, Excise duty, Service Tax. Cess and other
statutory dues which has not been deposited on account of any dispute.
(x) The Company has neither accumulated losses as at March 31, 2012 nor
it has incurred any cash losses during the financial year ended on that
date and the immediately preceding financial year.
(xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
(xii) Based on our examination and according to the information and
explanation 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,
(xiii) The company is not a Chit/Nidhi/Mutual Benefit Fund/Society and
Clause (xiii) of the Order is not applicable.
(xiv) In our opinion, and according to the information and explanation
given to us, there is no dealing or trading in shares, securities,
debentures and other investments.
(xv) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions.
(xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
(xvii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
bee raised on short term basis.
(xviii) During the year 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.
(xix) The Company and not have any outstanding debentures during the
year.
(xx) The Company has not raised any money by public issues during the
year.
(xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of first on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management
For and on behalf of
K. J. Shah & Associates
Chartered Accountants
FRN 127308W
(Kirti J. Shah)
Place Mumbai Proprietor
Date : 29.05.2012 Membership No. 030784
Mar 31, 2010
1 We have audited the attached Balance Sheet of EMMBI POLYARNS LIMITED,
MUMBAI as at 31st March, 2010, the Profit and Loss Account and the Cash
Flow Statement for the year ended on that date annexed thereto. These
financial statement 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 generally accepted auditing
standards 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 misstatements. An audit includes
examining, on test basis, evidence supporting the amounts and
disclosure in the financial statement. An audit also includes assessing
the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3 As required by the Companies ( Auditors Report ) Order, 2003, as
amended by the Companies (Auditors Report) (Amendment) Order, 2004
(together the Order") issued by the Central Government of India in
terms of section 227(4A) of the Companies Act, 1956 ( the Act) and on
the basis of such checks as we considered appropriate, and according to
the information and explanations given to us, we give in the Annexure a
statement on the matters specified in paragraph 4 and 5 of the said
Order to the extent applicable to the Company.
4 In accordance with the provision of section 227 of the Companies Act,
1956, we report as under:
i. 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.
ii. 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 such
Books.
iii. The said Balance Sheet, Profit and Loss Account and Cash Flow
Statement dealt with by this report are in agreement with the Books of
Account.
iv. In our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statement dealt with by the report is in compliance with the
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
v. On the basis of written representations received from the Directors
as on March 31, 2010 and taken on record by the Board of Directors, we
report that the none of the Directors are disqualified as on 31st
March, 2010 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act, 1956.
vi. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in 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 Profit for the
year ended on 31st March, 2010.
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on 31st March, 2010.
Annexure to the Auditors Report of even date to the members of M/s
Emmbi Polyarns Limited.
(i) The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets. Fixed
assets have been physically verified by the management during the year,
which in our opinion is reasonable having regard to the size of the
Company and the nature of its fixed assets. No material discrepancies
were noticed on verification.
There was no substantial disposal of fixed assets during the year.
(ii) The management has conducted physical verification of inventory at
reasonable intervals. The procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and the nature of its business. The
Company is maintaining proper records of inventory and no material
discrepancies were noticed on physical verification.
(iii) As informed to us, during the year the Company has neither
granted nor taken any loans, secured or unsecured to/ from companies,
firms or other parties covered in the register maintained under Section
301 of the Companies Act, 1956.
(iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
(v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that need to be entered into the register
maintained under section 301 of the Companies Act, 1956 have been so
entered.
(vi) The company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
(vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
(viii) Maintenance of cost records under section 209 (1) (d) of the Act
have not been prescribed by the Central Government.
(ix) (a) According to the records, information and explanation provided
to us, the company is generally regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Service Tax, Cess and other statutory dues applicable to it and no
undisputed amounts payable were outstanding as at 31st March, 2010 for
a period of more than six months from the date they became payable.
(b) According to the records of the company, there are no dues of Sales
Tax, Custom duty, Wealth Tax, Excise duty, Service Tax, Cess and other
statutory dues which has not been deposited on account of any dispute.
(x) The Company has neither accumulated losses as at March 31, 2010 nor
it has incurred any cash losses during the financial year ended on that
date and the immediately preceding financial year.
(xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
(xii) Based on our examination and according to the information and
explanation 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.
(xiii) The company is not a Chit/Nidhi/Mutual Benefit Fund/Society and
Clause (xiii) of the Order is not applicable.
(xiv) In our opinion, and according to the information and explanation
given to us, there is no dealing or trading in shares, securities,
debentures and other investments.
(xv) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions.
(xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
(xvii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
been raised on short term basis.
(xviii) During the year, 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.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has raised money by public issues during the year
aggregating to Rs. 38,95,96,500/-
(xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For and on behalf of
K. J. SHAH & ASSOCIATES
Chartered Accountants
FRN: 127308W
Sd/-
K. J. SHAH
Place : Mumbai Proprietor
Dated : 31.05.2010 Membership No. 030784
Mar 31, 2009
We have audited the attached Balance Sheet of Messrs. EMMBI POLYARNS
LIMITED, MUMBAIas at 31st March, 2009 and also the relative Profit and
Loss Account for the year ended on that datea n n ex ed thereto. These
financial statement are the responsibility of the Companys management.
Ourresponsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing
standards 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 misstatements. An audit includes
examining, on test basis, evidence supporting the amounts and
disclosure in the financial statement. An audit also includes assessing
the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
In accordance with the provision of section 227 of the Companies Act,
1956, we report as under:
1. 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.
2. 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 such
Books.
3. The said Balance Sheet and the Profit and Loss Account dealt with
by this report are in agreement with the Books of Account.
4. In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by the report is in compliance with the Accounting Standards
referred to in Section 211 (3C)of the Companies Act, 1956.
5. On the basis of written representations received from the Directors
as on March 31, 2009 and taken on record by the Board of Directors, we
report that the none of the Directors are disqualified as on 31st
March, 2009 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act, 1956.
6. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in 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, 2009.
b) In the case of the Profit and Loss Account, of the Profit for the
year ended on that date.
As required by the Companies( Auditors Report) Order, 2003, issued by
the Central Government of India in terms of section 227(4A) of the
Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
Annexure to the Auditors Report of even date to the members of M/s
Emmbi Polyarns Limited.
i) The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets. Fixed
assets have been physically verfied by the management during the year,
which in our opinion is reasonable having regard to the size of the
Company and the nature of its fixed assets. No material discrepancies
were noticed on verfication. There was no substantial disposal of
fixed assets during the year.
ii) The management has conducted physical verification of inventory at
reasonable intervals. The procedures of physical verfication of
inventory followed by the management are reasonable and adequate in
relation to the size of the company and the nature of its business. The
Company is maintaining proper records of inventory and no material
discrepancies were noticed on physical verification.
iii) As informed to us, during the year the Company has neither granted
nor taken any loans, secured or unsecured to/from companies, firms or
other parties covered in the register maintained under Section 301 of
the Companies Act, 1956.
iv) In our opinion, and according to the information and explanation
given to us, there in an adequate internal control procedure
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 our audit no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that need to be entered into the register
maintained under section 301 of the Companies Act, 1956 have been so
entered.
vi) The company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
viii) Maintenance of cost records under section 209 (1) (d) of the Act
have not been prescribed by the Central Government.
ix) a)According to the records, incormation and explanation provided to
us, the company is generally regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Cess and other statutory dues applicable to it and no undisputed amount
payable were outstnding as at 31 st March, 2009 for a period of more
than six months from the date they became payable.
b)According to the records of the company, there are no dues of Sales
Tax, Custom Tax/Wealth Tax, Excise duty / Cess which has not been
deposited on account of any dispute. Dues for Income tax demand for
penalty for A. Y. 2001-02 Rs. 10,52,242/-for which tribunal appeal is
preferred has not been paid.
x) The Company has neither accumulated losses as at March 31,2009 nor
is has incurred any cash losses during the financial year ended on that
and the immediately preceding financial year.
xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
xii) Based on our examination and according to the information and
explanation 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.
xiii) The company is not a Chit / Nidhi / Mutual Benefit Fund / Society
and Clause (xiii) of the Order is not applicable.
xiv) In our opinion, and according to the information and explanation
given to us, there is no dealing or trading in shares, securities,
debentures and other investments.
xv) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions.
xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
xvii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
been raised on short term basis.
xviii) During the year, 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.
xix) The Company did not have any outstanding debentures during the
year.
xx) The Company has not raised any money by public issues during the
year.
xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such cash by the management.
For and on behalf of
K.J. Shah & Associates
Chartered Accountants
Sd-
Place : Mumbai (Kirti J. Shah)
Proprietor
Date : 20-07-2009 Membership No. 030784
Mar 31, 2008
We have audited the attached Balance Sheet of Messrs. EMMBI POLYARNS
LIMITED, MUMBAI as at 31st March, 2008 and also the relative Profit and
Loss Account for the year ended on that date annexed thereto. These
financial statement 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 generally accepted auditing
standards 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 misstatements. An audit includes
examining, on test basis, evidence supporting the amounts and
disclosure in the financial statement. An audit also includes assessing
the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis
for our opinion.
In accordant with the provision of section 227 of the Companies Act,
1956, we report as under:
1. We have obtained all the information and explanations which to the
best of our knowledge and belief were rtecessary for the purpose of our
Audit
2. 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 such
Books.
3. The said Balance Sheet and the Profit and Loss Account dealt with
by this report are in agreement with the Books of Account.
4. In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by the report is in compliance with the Accounting Standards
referred to in Section 211 (3C) of the Companies Act, 1956.
5. On the basis of written representations received from- the
Directors as on March 31,2008 and taken on record by the Board of
Directors, we report that none of the Directors are disqualified as on
31 st March, 2008 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act 1956.
6. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in subject to non- provision of gratuity liability
of Rs. 7,92.441/- as per note no.20(AS-15), and is 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, 2008.
b) In the case of the Profit and Loss Account, of the Profit for the
year ended on that date. As required by the Companies (Auditors
Report) Order, 2003, issued by the Central Government of India in terms
of section 227(4A) of the Companies Act, 1956, we enclose in the
Annexure a statement on the matters specified in paragraphs 4 and 5 of
the said Order.
* Annexure to the Auditors Report of even date to the members of M/s
Emmbi Polyarns Limited.
i) The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets. Fixed
assets have been physically verified by the management during the year,
which in our opinion is reasonable having regard to the size of the
Company and the nature if its fixed assets. No material discrepancies
were noticed on verification. There was no substantial disposal of
fixed assets during the year.
ii) The management has conducted physical verification of inventory at
reasonable intervals. The procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and the nature of its business. The
Company is maintaining proper records of inventory and no material
discrepancies were noticed on physical verification.
iii) As informed to us, the Company has neither granted nor taken any
loans, secured or unsecured to / from companies, firms or other parties
covered in the register maintained under Section 301 of the Companies
Act, 1956.
iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that need to be entered into the register
maintained under section 301 of the companies Act, 1956 have been so
entered.
vi) The Company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
viii) Maintenance of cost records under section 209 (1) (d) of the Act
have not been prescribed by the Central Government.
ix) a) According to the records, information and explanation provided
to us, the company is generally regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees State
Insurance, Income Tax, Sales Tx, Wealth Tax, Custom Duty, Excise Duty,
Cess and other statutory dues applicable to it and no undisputed
amounts payable were outstanding as at 31st March, 2008 for a period of
more than six months from the date they become payable.
b) According to the records of the company, there are no dues of Sales
Tax, Income Tax, Custom Tax/Wealth Tax, Excise duty/Cess which have not
been deposited on account of any dispute.
x) The Company has neither accumulated losses as at March 31, 2008, nor
it has incurred any cash losses during the financial year ended on that
date and the immediately preceding financial year.
xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to. any financial institution or bank.
xii) Based on our examination and according to the information and
explanation 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.
xiii) The company is not a Chit/Nidhi/Mutual Benefit Fund/Society and
Clause (xiii) of the Order is not applicable.
xiv) In our opinion, and according to the information and explanation
given to us, there is no dealing or trading in shares, securities,
debentures and other investments.
xv) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions.
xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
xvii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
been raised on short term basis.
xviii) During the year, 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.
xix) The Company did not have any outstanding debentures during the
year.
xx) The Company has not raised any money by public issue during the
year.
xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For and on behalf of
K. J.Shah & Associates
Chartered Accountants
Sd/-
Place: MUMBAI (Kirti J. Shah) Proprietor
Date : 24.06.2008 Membership No. : 30784
Mar 31, 2007
We have audited the attached Balance Sheet of Messrs. EMMBI POLYARNS
LIMITED, MUMBAI as at 31st March 2007 and also the relative Profit and
Loss Account for the ended on that date annexed thereto. These
financial statement 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 generally accepted auditing
standards 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 misstatements. An audit includes
examining, on test basis, evidence supporting the amounts and
disclosure in the financial statement An audit also includes assessing
the accounting principles used and significant estimates made by
management as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis
for our opinion.
In accordance with the provision of section 227 of the Companies Act,
1956, we report as under:
1) 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.
2) 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 such
Books.
3) The said Balance Sheet and the Profit and Loss Account dealt with by
this report are in agreement with the Books of Account-
4) In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by the report is in compliance with the Accounting Standards
referred to in Section 211 (3C) of the Companies Act, 1956.
5) On the basis of written representations received from the Directors
as on March 31,2007 and taken on record by the Board of Directors, we
report that the none of the Directors are disqualified as on 31st
March, 2007 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act 1956.
6) In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act 1956 in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India :-
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2007.
b) In the case of the profit and Loss Account, of the Profit for the
year ended on that date.
As required by the Companies (Auditors Report) Order, 2003, issued by
the Central Government of India in terms of section 227(4A) of the
Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said order.
Annexure to the Auditors Report of even date to the members of M/s
Emmbi Polyarns Limited.
i) The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets. Fixed
assets have been physically verified by the management during the year,
which in our opinion is reasonable having regard to the size of the
Company and the nature if its fixed assets. No material discrepancies
were noticed on verification. There was no substantial disposal of
fixed assets during the year.
ii) The management has conducted physical verification of inventory at
reasonable intervals. The procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and the nature of its business. The
Company is maintaining proper records of inventory and no material
discrepancies were noticed on physical verification.
iii) As informed to us, the Company has neither granted nor taken any
loans, secured or unsecured to / from companies, firms or other parties
covered in the register maintained under Section 301 of the Companies
Act, 1956.
iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
v) Based on the audit procedures applied by us and according ton the
information and explanations provided by the management, we are of the
opinion that the transaction that need to be entered into the register
maintained under section 301 of the companies Act, 1956 have been so
entered.
vi) The Company has not accepted any deposits from the public within
the meaning of sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
viii) Maintenance of cost records under section 209 (1) (d) of the Act
have not been prescribed by the Central Government.
ix) a) According to the records, information and explanation provided
to us, the company is generally regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees State
Insurance, Income Tax, Sales TAx, Wealth Tax, Custom Duty, Excise Duty,
Cess and other statutory dues applicable to it and no undisputed
amounts payable were outstanding as at 31st March, 2007 for a period of
more than six months from the date they become payable.
b) According to the records of the company, there are no dues of Sales
Tax, Income Tax, Custom Tax/Wealth Tax, Excise duty/Cess which have not
been deposited on account of any dispute.
x) The Company has neither accumulated losses as at March 31, 2007, nor
it has incurred any cash losses during the financial year ended on that
date and the immediately preceding financial year.
xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
xii) Based on our examination and according to the information and
explanation 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.
xiii) The company is not a Chit/Nidhi/Mutual Benefit Fund/Society and
Clause (xiii) of the Order is not applicable.
xiv) In our opinion, and according to the information and explanation
given to us, there is no dealing or trading in shares, securities,
debentures and other investments.
xv) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by other from bank
or financial institution.
xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
xvii) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
been raised on short term basis.
xviii) During the year, 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.
xix) The Company did not have any outstanding debentures during the
year.
xx) The Company has not raised any money by public issue during the
year.
xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted -auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For and on behalf of
K. J.Shah & Associates
Chartered Accountants
Sd/-
Place: MUMBAI (Kirti J. Shah) Proprietor
Date : 27.07.2007 Membership No. : 30784
Mar 31, 2006
We have audited the attached Balance Sheet of Messrs. EMMBI POL YARNS
LIMITED, MUMBAI as at 31st March, 2006 and also the relative Profit and
Lo3s Account for the year ended an that date annexed thereto. These
financial statement 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 generally accepted auditing
standards 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 misstatements. An audit includes
examining, on test basis, evidence supporting the amounts and
disclosure in the financial statement. An audit also includes assessing
the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
In accordance with the provision of section 227 of the Companies Act,
1956, we report as u^der : 1 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.
2. hi our opinion^ proper Books of Accounts as required by Law, have
been kept by the Company so tar as appeals from our examination of
such Books.
3. The said Balance Sheet and the Profit and Loss Account dealt with
by this report are in agreement with the Books of Account.
4. In our opinion, the Balance Sheet and the Profit and Loss Account
dealt with by the report is in compliance with the Accounting Standards
referred to in Section 211 (3C) of the Companies Act, 1956.
5. On the basis of written representations received from the Directors
as on March 31, 2006 and taken on record by the Board of Directors, we
report that the none of the Directors is disqualified as on
31st March, 2006 from being appointed as Director under clause (g) of
sub-section (1) of Section 274 of the Companies act, 1956.
6. In our opinion and to the best of our information and according to
the explanation given to us, the said accounts read with the
significant accounting policies and notes thereon, give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India : -
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2006. b) In the case of the Profit and Loss
Account, of the Profit for the year ended on that date. As required by
the Companies ( Auditors Report ) Order, 2003, issued by the Central
Government of India in terms of section 227(4A) of the Companies Act
1956, we enclose in the Annexure a statement on the matters specified
in paragraphs 4 and 5 of the said Order.
Annexure to the Auditors Report of even date to the members of M/e
Emmbi Polyarns Limited.
(i) The Company has maintained proper records showing full particulars
including
quantitative details and situation of its fixed assets. Fixed assets
have been physically verified by the management during the year, which
in our opinion is reasonable having regard to the size of the Company
and the nature of its fixed assets. No material discrepancies were
noticed on verification. There was no substantial disposal of fixed
assets during the year.
(ii) The management has conducted physical verification of inventory at
reasonable intervals. The procedures of physical verification of
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and the nature of its business. The
Company is maintaining proper records of inventory and no material
discrepancies were noticed on physical verification.
(v) As informed to us, the Company has neither granted nor taken any
loans, secured or unsecured to/from companies, firms or other parties
covered in the register maintained under Section 301 of the Companies
Act, 1956.
(iv) In our opinion, and according to the information and explanation
given to us, there is an adequate internal control procedure
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 our audit no major weakness has been
noticed in the internal control. We have not observed any failure on
the part of the company to correct major weakness in internal control.
(v) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that the transaction that need to. be entered into the register
maintained under section 301 of the Companies Act, 1956 have been so
entered.
(vi) The company has not accepted any deposits from the public within
the meaning of sections 58 A and 58 A A of the Companies Act, 1956 and
the rules framed thereunder.
(vii) In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
(viii) Maintenance of cost records under section 209 (1) (d) of the Act
have not been prescribed by the Central Government.
(ix) (a) According to the records, information and explanation provided
to us, the company is generally regular in depositing with appropriate
authorities undisputed amount of Provident Fund, Employees State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Cess and other statutory dues applicable to it and no undisputed
amounts payable were outstanding as at 31st March, 2006 for a period of
more than six months from the date they became payable.
(b) According to the records of the company, there are no dues of Sales
Tax, Income Tax, Custom. Tax/Wealth Tax, Excise duty/Cess which have
not been deposited on account of any dispute.
(x) The Company has neither accumulated losses as at March 31, 2006,
nor it has incurred any cash losses during the financial year ended on
that date and the immediately preceding financial year.
(xi) Based on our audit procedures and on the information and
explanation given to us, the company has not defaulted in repayment of
dues to any financial institution or bank.
(xii) Based on our examination and according to the information and
explanation 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.
(xiii) The company is not a Chit/Nidhi/ Mutual Benefit Fund/Society and
Clause (xiii) of the Order is not applicable.
(xviii) In our opinion, and according to the information and
explanation given to us, there are no dealing or trading in shares,
securities, debentures and other investments.
(xix) On the basis of the information and explanation given to us, the
company has not given any guarantee for loans taken by others from bank
or financial institutions.
(xvi) The term loan taken by the company has been applied for the
purpose for which they were raised.
(xxi) On the basis of our examination of the books of accounts and
information and explanation given to us, in our opinion, no funds have
been raised on short term basis.
(xxii) During the year, 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
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money by public issues during the
year.
(xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanation
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For and on behalf of
K. J. Shah & Associates
Chartered Accountants.
( Kirti J. Shah ) Proprietor
Membership No. :- 30784
Place :- Mumbai
Date : 14.08.2006