Mar 31, 2014
We have audited the accompanying financial statements of THE GAEKWAR
MILLS LTD which comprises of Balance Sheet as at 31st March, 2014 and
the Statement of Profit and Loss and the 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
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 General Circular 15/2013 dated 13th September 2013
issued by the Ministry of Corporate Affairs in respect of Section 133
of the Companies Act, 2013. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
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 misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:-
(i) in the case of the Balance Sheet of the state of affairs of the
Company as at 31st March, 2014;
(ii) in the case of the Statement of Profit and Loss Account of the
profit for the year ended on that date; and
(iii) in the case of the Cash Flow Statement of the cash flows for the
year.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors'' Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as (''the
Act'') we give in the Annexure a statement on the matters specified in
paragraph 4 and 5 of the said 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 account as required by law have
been kept by the Company, so far as appears from our examination of
those books and proper returns adequate for the purposes of our audit
have been received from branches not visited by us;
(iii.) The Balance Sheet, Statement of 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 comply with the Accounting Standards notified under
the Act read with General Circular l5/2013 dated 13th September 2013
issued by the Ministry of Corporate Affairs in respect of Section 133
of the Companies Act, 2013.
(v.) On the basis of written representations received from the
directors, as on 31st March, 2014, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2014 from being appointed as a director in terms of clause
(g) of sub-section (1) of section 274 of the Companies Act, 1956;
(vi.) Since the Central Government has not issued any notification as
to the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
REFERRED TO IN PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4 (iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there was no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September, 2009 and modified by its
orders dated 6th January, 2010, 7th January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss and its accumulated losses at
the end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10th September, 2009 and
modified by its orders dated 6th January, 2010, 7th January, 2010 and
8th April 2010.
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. According to the scheme of Compromise/Arrangement under section
391 to section 393 of the Companies Act, 1956, for the revival of the
company, as sanctioned by the Hon. Bombay High Court, the company has
allotted 500 Non Convertible Debentures (Series B) of face value of Rs.
1,00,000/- aggregating to Rs.5,00,00,000/- during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
Reg No 107325 W
(M. D. PANDYA)
Partner.
Mem no 033184
PLACE: MUMBAI
DATE: 30th May, 2014
Mar 31, 2013
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS
LTD as at 31st March, 2013, and also the annexed Profit and Loss
Account of the Company for the year ended on that date annexed thereto.
These financial statements are the responsibility of the Company''s
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors'' Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as ''the
Act'') we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. 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
these books.
iii. Subject to
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10th September, 2009.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account ;
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view:
a) in the case of Balance Sheet of the state of affairs of the Company
as at 31st March, 2013.
b) in the case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company have not disposed off any Fixed Asset during the
year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4 (iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there was no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September, 2009 and modified by its
orders dated 6th January, 2010, 7th January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10th September, 2009 and
modified by its orders dated 6th January, 2010, 7th January, 2010 and
8th April 2010.
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
Parties and companies covered in register maintained under Section 301
of the Act.
xix. In our opinion and according to the information and explanations
given to us, the company has not issued any secured debentures during
the year covered by our report. Accordingly, the provisions of
Paragraph 4 (xix) of the Order are not applicable to the company.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.lL PAND DA & ASSOCIATES
Chartered Accountants
Reg No 107325
(M. PANDCA)
Partner.
Mem no 033184
PLACE: MUMBAI
DATE: 31st May, 2013
Mar 31, 2012
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31st MARCH, 2012, and also the annexed Profit and Loss Account of
the Company for the year ended on that date annexed thereto. These
Financial statements are the responsibility of the Company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors' Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as 'the
Act') we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. 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
these books.
iii. Subject to
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10th September, 2009.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account ;
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view:
a) in case of Balance Sheet of the state of affairs of the Company as
at 31st March, 2012.
b) in case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
(b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (d) are not applicable to the
Company.
iv. Having regard to the fact that there was no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September, 2009 and modified by its
orders dated 6th January, 2010, 7th January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss & its accumulated losses at
the end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10th September, 2009 and
modified by its orders dated 6th January, 2010, 7th January, 2010 and
8th April 2010.
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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,
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. According to the scheme of Compromise/Arrangement under section
391 to section 393 of the Companies Act, 1956, for the revival of the
company, as sanctioned by the Hon. Bombay High Court, the company has
allotted 3000 Non Convertible Debentures of face value of Rs.
1,00,000/- aggregating to Rs. 30,00,00,000/- during the year. The
company has created a floating charge on all the present & future
assets of the company.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
Reg. No. 107325W
(M. D. PANDYA)
Partner
Mem. no. 033184
PLACE: MUMBAI
DATE: 31st May, 2012
Mar 31, 2011
1. We have audited the attached Balance Sheet of The Gaekwar Mills
Ltd. as at 31st March 2011, and also annexed profit and loss account of
the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the company's
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with 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 misstatements. An audit
includes examining, on a test basis evidence supporting the amounts and
disclosures in 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 belive that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor Report) order 2003, (the
order)issued by Central Government Of India in terms of section 227(4A)
of the Companies Act, 1956 (hereinafter referred to as 'the Act') we
enclose in the Annexure a statement on matters specified in paragraph 4
and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. 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
these books.
iii. Subject to The accounts of the company are prepared on the basis
of the assumption of going concern taking into account that the Scheme
of compromise /arrangement has been approved by the High Court of
judicature at Bombay vide their order dated 10th September, 2009inspite
of the year end, the Net Worth of the company was negative.
iv. The Balance sheet, Profit and Loss account and cash flow statement
dealt with by the report arc in agreement with books of account;
v. In our opinion, the profit and loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of section
274 of the companies Act, 1956.
vii. In our opinion and to the best of our information and according
to explanations given to us the said accounts give the information
required by the companies Act, 1956, in the manner so required and give
true and fair view:
a. In case of Balance Sheet of the State of affairs of the Company as
at 31st March 2011.
b. In case of profit and loss account of the loss for the year ended on
that date.
c. In Case of the cash Flow statement, of the cash flow fort the year
ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE.
As required by the Companies (Auditors Report) order, 2003 issued under
section 227(4) of the companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
(i) (a) The Company has only Fixed Asset in form of land. The company
has maintained proper records to show full particulars including
quantitative details and situations of the land.
(b) The Company has not disposed off any Fixed Asset during the year.
(ii) The Company does not carry any stock of finished goods, stores,
spares parts and raw materials. In view of the foregoing the provisions
of 4(ii) of the order is not applicable.
(iii) The company has not taken or granted any loans, secured or
unsecured to / from companies, firm or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (d) are not applicable to the
Company.
(iv) Having regard to the fact that there was no operation during the
year, the internal control procedures were commensurate with the size
of the company.
(v) The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
(vi) The Company has not accepted any deposits from the public
Accordingly clause 4 (vi) of the order is not applicable.
(vii) The Company did not have an internal audit system as there were
no operation during the year.
(viii) The company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
(ix) According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of compromise / arrangement under section 391
to 393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September 2009 and modified by its
orders dated 6th January 2010, 7th January 2010 and 8th April 2010.
(x) The Company has incurred a cash loss & its accumulated losses at
the end of the financial year are more than 50% of its net worth.
(xi) According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of compromise / arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10th September 2009 and modified
by its orders dated 6th January 2010, 7th January 2010 and 8th April
2010.
(xii) In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
(xiii) The Company is not a chit fund or 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.
(xiv) According to information and explanation given to us, the Company
has no dealing or trading in shares, securities debentures and other
investments, therefore the provisions of clause 4(xiv) of the Companies
(auditor Report) order 2003 are not applicable to the Company.
(xv) According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
(xvi) According to information and explanation given to us, no new term
loans were raised during the year.
(xvii) According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
(xviii) The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under section 301
of the Act.
(xix) According to Scheme of compromise / arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company as
sanctioned by the Hon. Bombay High Court, the Company has allotted 3000
non- convertible debentures of face value of Rs. 1,00,000/- aggregating
to Rs. 30,00,00,000/- during the year. The Company has created a
floating charge on all the present & future assets of the Company.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) According to information and explanation given to us, no fraud on
or by the company has been noticed or reported during the course of our
audit.
For M.D. Pandaya & Associates
Chartered Accoutants
M.D. Pandya
Partner
Membership No. 033184
Place : Mumbai
Date : 27th May 2011
Mar 31, 2010
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31st MARCH, 2010, and also the annexed Profit and Loss Account of
the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys management
Our responsibility is to express an opinion on these financial
statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we report
that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit.
ii. 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
these books.
iii. Subject to:
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10* September, 2009.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account.
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view:
a) in case of Balance Sheet - of the state of affairs of the Company as
at 31* March, 2010.
b) in case of Profit and Loss Account - of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make, on the basis of
such checks of the books and records as we considered appropriate, the
following statement on such of the matters specified in the said order
as are applicable to the Company:
i (a) The Company has only Fixed Asset in form of land. The Company has
maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (d) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September, 2009 and modified by its
orders dated 6rh January, 2010,7th January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10* September, 2009 and modified
by its orders dated 6th January, 2010,7th January, 2010 and 8th April
2010.
i xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanations given to us and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act
xix. According to the Scheme of Compromise/ Arrangement under Section
391 to 393 of the Companies Act, 1956, for the revival of the Company,
as sanctioned by the Hon. Bombay High Court, the Company has allotted
3000 Non-Convertible Debentures of the face value of Rs. 1,00,000/-
aggregating to Rs. 30,00,00,000/- during the year. The Company has yet
to create security in respect of these debentures
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem no. 033184
PLACE: MUMBAI
DATE: 13th May, 2010
Mar 31, 2009
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31st MARCH, 2009, and also the annexed Profit and Loss Account of
the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we report
that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit
ii. 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
these books.
iii. Subject to:
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated /fl* September, 200V.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (I) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act 1956, in the manner so required and give
a true and fair view:
a) in case of Balance Sheet - of the state of affairs of the Company as
at 31st March, 2009.
b) in case of Profit and Loss Account - of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act 1956, we make, on the basis of such
checks of the books and records as we considered appropriate, the
following statement on such of the matters specified in the said order
as are applicable to the Company:
i (a) The Company has only Fixed Asset in form of land. The Company has
maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (d) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the
provisioruof clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act 1956, sanctioned by the Hon. Bombay High Court
vide its order dated 10* September, 2009 and modified by its orders
dated 6th January, 2010,7* January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us, the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10* September, 2009 and modified
by its orders dated 6* January, 2010,7* January. 2010 and 8th April
2010.
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanations given to us and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem no. 033184
PLACE: MUMBAI
DATE: 13th May, 2010
Mar 31, 2008
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31 st MARCH, 2008, and also the annexed Profit and Loss Account
of the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys management
responsibility is to express an opinion on these financial statements
based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4 A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit
ii. 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
these books.
iii. Subject to:
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of Compromise
Arrangement has been approved by the High Court of Judicature at Bombay
vide their order dated 10* September, 2009.. inspite of the fact that
at the year end, the Net Worth of the Company was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account.
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view:
a) in case of Balance Sheet - of the state of affairs of the Company as
at 31st March, 2008.
b) in case of Profit and Loss Account à of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make, on the basis of
such checks of the books and records as we considered appropriate, the
following statement on such of the matters specified in the said order
as are applicable to the Company:
i (a) The Company has only Fixed Asset in form of land. The Company has
maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not cany any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (d) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the company is regular in
depositing statutory dues with the appropriate authorities, as
determined by the Scheme of Compromise/Arrangement under section 391 to
393 of the Companies Act, 1956, sanctioned by the Hon. Bombay High
Court vide its order dated 10th September, 2009 and modified by its
orders dated 6* January, 2010,7th January, 2010 and 8th April 2010.
x. The Company has incurred a cash loss, & its accumulated losses at
the end of the financial year are more than 50% of its net worth.
xi. According to the records of the Company examined by us and the
information and explanation given to us. the company has not defaulted
in the payment of dues to any financial institution, banks or debenture
holders as determined by the Scheme of Compromise/Arrangement under
section 391 to 393 of the Companies Act, 1956, sanctioned by the Hon.
Bombay High Court vide its order dated 10* September, 2009 and modified
by its orders dated 6th January, 2010,7th January, 2010 and 8th April
2010.
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanations given to us and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem no 033184
PLACE: MUMBAI
DATE : 13th May, 2010
Mar 31, 2007
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31 ST MARCH, 2007, and also the annexed Profit and Loss Account
of the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys management
Our responsibility is to express an opinion on these financial
statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose In the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we report
that:
I. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
II. In our opinion, proper books of account at required by law have
been kept by the company so far at appears from our examination of
these books.
ill. Subject to
The accounts of tha company are pmparad on tha baala of the assumption
of going concern taking Into account that tha Scheme of
Compromise/Arrangement has boon approved by the High Court of
Judicature at Bombay vide their order dated 10* September, 2009.,
insplte of the fact that at the year end, the Net Worth of the Company
was negative.
to. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account;
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1958.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, In the manner so required and give
a true and fair view:
a) In case of Balance Sheet of the state of affairs of the Company as
at 31 ST MARCH, 2007.
b) in case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order. 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset
during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(H) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vl. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vl) of the order Is not applicable.
vil. The company did not have an Internal audit system as there were no
operations during the year.
vlll, Tha Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated Iff"
September, 2009 and further modified by Its orders dated 6* January
2010 and 7* January 2010, the amounts dues to Workers, Including
retirement benefits as well as the amounts due on account of Statutory
Liabilities, Liabilities to Central Govt, State Govt, Local Authorities
and Local Bodies have been determined as below:
Rs.
I. Land Revenue/Education Cess / Local Fund 12,53,447
II. Water Charges, Vehicle Tax 12.86.284
III. Drinking Water Charges 1.34,08,000
IV. Electricity Charges 1.02,13,328
V. Central Excise Duty 47,15.732
VI. Sales Tax 7,21,158
3,16,97,949
Dues of Companys Workers, including
Retirement Benefits 10,39,63,286
Further in terms of the above orders of the Hon. Bombay High Court, the
above dues are payable as below:
Statutory Workers
Dues etc Dues
Rs. Rs.
At the end of 4 months from
the date of sanction
of the scheme 1,50,00,000 3,00,00,000
At the end of 7 months from
the date of sanction
of the scheme 1,50,00,000 4,00,00,000
At the end of 12 months from
the date of sanction
of the scheme 15,97,949 3,39,53,286
The periods from which these amounts are outstanding are not
ascertainable.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10"
September, 2009 and further modified by its orders dated 6in January
2010 and 7* January 2010, the amount due to Secured Creditors i.e Bank
of India and Union Bank of India has been determined at Rs.
10,00,00,000 and Rs. 2,76,00,000 respectively and is payable on or
before 31s1 March 2010. In addition interest is payable as below:
Bank of India:
i) Simple interest at 10% p.a from 17.04.2008 to 8.12.2009.
ii) Simple interest at 12% p.a from 09.12.2009 till the date of
payment, which is not later than 31* March, 2010
Union Bank of India:
i) Simple interest at 10% p.a from 01.06.2008 to 8.12.2009
ii) Simple interest at 12% p.a from 09.12.2009 till the date
of payment, which is not later than 31" March, 2010
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or nldhi/mutual benefit
fund/society, therefore the provisions of clause 4 (xiil) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xiv. According to information and explanation given to us, the
Company has no dealing or trading in shares, securities, debentures and
other investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. Cording to information and explanation given to us, the Company has
not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem No. 033184
PLACE: MUMBAI
DATE: Dated: 15th day of February 2010.
Mar 31, 2006
1. We have audited the attached balance Sheet of THE GAEKWAR MILLS LTD
as at 31ST MARCH, 2006, and also the annexed Profit and Loss Account of
the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. 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
these books.
iil. Subject to
The accounts of the company are prepared on the basis of the assumption
of going concern taking Into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10* September, 2009..
Inaplte of the fact that at the year end, the Net Worth of the Company
was negative.
Iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are In agreement with books of account;
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director Is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956. vii. In our opinion and to the best of
our information and according to explanations given to us the said
accounts give the information required by the Companies Act, 1956, in
the manner so required and give a true and fair view:
a) in case of Balance Sheet of the state of affairs of the Company as
at 31 ST MARCH, 2006.
b) in case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order Is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. In terms of the Scheme of Compromise/ Arrangement under Ãaction 391
to 393 of the Companies Act, 1958, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide Its order dated 10*
September, 2009 and further modified by Its orders dated 6m January
2010 and 7* January 2010, the amounts dues to Workers, including
retirement benefits as well as the amounts due on account of Statutory
Liabilities, Liabilities to Central Govt, State Govt, Local Authorities
and Local Bodies have been determined as below:
Rs.
I. Land Revenue/Education Cess / Local Fund 12,53,447
II. Water Charges, Vehicle Tax 12,86,284
III. Drinking Water Charges 1,34,08.000
IV. Electricity Charges 1.02,13,328
V. Central Excise Duty 47,15.732
VI. Sales Tax 7,21,158
3,15,97,949
Dues of Companys Workers, including
Retirement Benefits 10,39,53,286
Further in terms of the above orders of the Hon. Bombay High Court, the
above dues are payable as below:
Statutory Workers
Dues etc Dues
Rs. Rs.
At the end of 4 months from
the date of sanction
of the scheme 1,50,00,000 3,00,00,000
At the end of 7 months from
the date of sanction
of the scheme 1,50,00,000 4,00,00,000
At the end of 12 months from
the date of sanction
of the scheme 15,97,949 3,39,53,286
The periods from which these amounts are outstanding are not
ascertainable.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10th
September, 2009 and further modified by its orders dated 61" January
2010 and 7th January 2010, the amount due to Secured Creditors i.e Bank
of India and Union Bank of India has been determined at Rs.
10,00,00,000 and Rs. 2,76,00,000 respectively and is payable on or
before 31st March 2010. In addition interest is payable as below:
Bans of India;
i) Simple Interest at 10% p.a from 17.04.2008 to 8.12.2009. II) Simple
Interest at 12% p.a from 09.12.2009 till the date of payment, which Is
not later than 31st March, 2010
Union Bank, of India;
I) Simple Interest at 10% p.a from 01.06.2008 to 8.12.2009 ii) Simple
interest at 12% p.a from 09.12.2009 till the date of payment, which Is
not later than 31st March, 2010
xii. In our opinion and according to the Information and explanation
given to us, the Company has not granted any loans or advances on the
basis o? security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to Information and explanation given to us, the Company
has no dealing or trading in shares, securities, debentures and other
investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. Cording to information and explanation given to us, the Company has
not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
bans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem no 033184
PLACE: MUMBAI
Dated: 15th day of February 2010.
Mar 31, 2005
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31 ST MARCH, 2005, and also the annexed Profit and Loss Account
of the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. In our opinion, proper books of account as required by law have
been kept by the company so far as appears fromour examination of these
books.
iii. Subject to
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10th September, 2009.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account;
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view.
a) in case of Balance Sheet of the state of affairs of the Company as
at 31 ST MARCH, 2005.
b) in case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10th
September, 2009 and further modified by its orders dated 6th January
2010 and 7th January 2010, the amounts dues to Workers, including
retirement benefits as well as the amounts due on account of Statutory
Liabilities, Liabilities to Central Govt, State Govt, Local Authorities
and Local Bodies have been determined as below:
Rs.
I. Land Revenue/Education Cess / Local Fund 12,53,447
II. Water Charges, Vehicle Tax 12,86,284
III. Drinking Water Charges 1,34,08,000
IV. Electricity Charges 1,02,13,328
V. Central Excise Duty 47,15,732
VI. Sales Tax 7,21,158
3,15,97,949
Dues of Companys Workers, including
Retirement Benefits 10,39,53,286
Further in terms of the above orders of the Hon. Bombay High Court, the
above dues are payable as below:
Statutory Workers
Dues etc Dues
Rs. Rs.
At the end of 4 months from
the date of sanction
of the scheme 1,50,00,000 3,00,00,000
At the end of 7 months from
the date of sanction
of the scheme 1,50,00,000 4.00,00,000
At the end of 12 months from
the date of sanction
of the scheme 15,97,949 3,39,53,286
The periods from which these amounts are outstanding are not
ascertainable.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10th
September, 2009 and further modified by its orders dated 6th January
2010 and 7th January 2010, the amount due to Secured Creditors i.e Bank
of India and Union Bank of India has been determined at Rs.
10,00,00,000 and Rs. 2,76,00,000 respectively and is payable on or
before 31st March 2010. In addition interest is payable as below:
Bank of India:
i) Simple interest at 10% p.a from 17.04.2008 to 8.12.2009.
ii) Simple interest at 12% p.a from 09.12.2009 till the date of
payment, which is not later than 31st March, 2010
Union Bank of India:
i) Simple interest at 10% p.a from 01.06.2008 to 8.12.2009
ii) Simple interest at 12% p.a from 09.12.2009 till the date of
payment, which is not later than 31st March, 2010
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the
Company has no dealing or trading in shares, securities, debentures and
other investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. Cording to information and explanation given to us, the Company has
not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem No. 033184
PLACE: MUMBAI
DATE : Dated: 15th day of February 2010.
Mar 31, 2004
1. We have audited the attached Balance Sheet of THE GAEKWAR MILLS LTD
as at 31ST MARCH, 2004, and also the annexed Profit and Loss Account of
the Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys management
Our responsibility is to express an opinion on these financial
statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003, (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Companies Act, 1956 (hereinafter to referred to as the
Act) we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. We have obtained all information and explanations which to the best
of our knowledge & belief were necessary for the purpose of our audit;
ii. 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
these books.
iii. Subject to
The accounts of the company are prepared on the basis of the assumption
of going concern taking into account that the Scheme of
Compromise/Arrangement has been approved by the High Court of
Judicature at Bombay vide their order dated 10th September, 2009.,
inspite of the fact that at the year end, the Net Worth of the Company
was negative.
iv. The Balance Sheet, Profit and Loss account and cash flow statement
dealt with by the report are in agreement with books of account:
v. In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting Standards referred to in sub-section (3c) of
Section 211 of the Companies Act, 1956.
vi. In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (1) of Section
274 of the Companies Act, 1956.
vii. In our opinion and to the best of our information and according to
explanations given to us the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view:
a) in case of Balance Sheet of the state of affairs of the Company as
at 31 ST MARCH, 2004.
b) in case of Profit and Loss Account of the loss 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 PARAGRAPH 3 OF OUR AUDITOR REPORT OF EVEN DATE
As required by the Companies (Auditors Report) Order, 2003 issued under
section 227(4) of the Companies Act, 1956, we make on the basis of such
checks the books and records as we considered appropriate, the
following statement on such of the matters specifies in the said order
as are applicable to the Company:
i) (a) The Company has only Fixed Asset in form of land. The Company
has maintained proper records to show full particulars including
quantitative details and situation of the land.
i (b) The Company has not disposed off any Fixed Asset
during the year.
ii. The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of foregoing the provisions of
4(ii) of the order is not applicable.
iii. The company has not taken or granted any loans, secured or
unsecured to/from companies, firms or other parties covered in the
register under section 301 of the Companies Act, 1956. Therefore the
provisions of clause 4(iii) (a) to (g) are not applicable to the
Company.
iv. Having regard to the fact that there were no operation during the
year, the internal control procedures were commensurate with the size
of the Company.
v. The Company has not entered into any transactions within pursuance
of any contract or arrangements entered in the register maintained
under section 301 of the Companies Act, 1956. Therefore the provisions
of clause 4(v) (a) & (b) are not applicable to the Company.
vi. The Company has not accepted any deposits from the public.
Accordingly clause 4 (vi) of the order is not applicable.
vii. The company did not have an internal audit system as there were no
operations during the year.
viii. The Company did not carry on any activity during the year and
hence question of maintenance of cost records as prescribed under
section 209 (1) (d) of the Companies Act, 1956 does not arise.
ix. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10*
September, 2009 and further modified by its orders dated 6th January
2010 and 7th January 2010, the amounts dues to Workers, including
retirement benefits as well as the amounts due on account of Statutory
Liabilities, Liabilities to Central Govt, State Govt, Local Authorities
and Local Bodies have been determined as below:
Rs.
I. Land Revenue/Education Cess / Local Fund 12,53,447
II. Water Charges, Vehicle Tax 12,86,284
III.Drinking Water Charges 1,34,08,000
IV. Electricity Charges 1,02,13,328
V. Central Excise Duty 47,15,732
VI. Sales Tax 7,21,158
3,15,97,949
Dues of Companys Workers, including
Retirement Benefits 10,39,53,286
Further in terms of the above orders of the Hon. Bombay High Court, the
above dues are payable as below:
Statutory Workers
Dues etc Dues
Rs. Rs.
At the end of 4 months from
the date of sanction
of the scheme 1,50,00,000 3,00,00,000
At the end of 7 months from
the date of sanction
of the scheme 1,50,00,000 4,00,00,000
At the end of 12 months from
the date of sanction
of the scheme 15,97,949 3,39,53,286
The periods from which these amounts are outstanding are not
ascertainable.
x. The Company has incurred a cash loss & its accumulated losses at the
end of the financial year are more than 50% of its net worth.
xi. In terms of the Scheme of Compromise/ Arrangement under section 391
to 393 of the Companies Act, 1956, for the revival of the company,
sanctioned by The Hon. High Court, Bombay vide its order dated 10th
September, 2009 and further modified by its orders dated 6th January
2010 and 7th January 2010, the amount due to Secured Creditors i.e Bank
of India and Union Bank of India has been determined at Rs.
10,00,00,000 and Rs. 2,76,00,000 respectively and is payable on or
before 31st March 2010. In addition interest is payable as below:
Bank of India:
i) Simple interest at 10% p.a from 17.04.2008 to 6.12.2009.
ii) Simple interest at 12% p.a from 09.12.2009 till the date of
payment, which is not later than 31st March, 2010
Union BanK of India:
i) Simple interest at 10% p.a from 01.06.2008 to 8.12.2009
ii) Simple interest at 12% p.a from 09.12.2009 till the date of
payment, which is not later than 31st March, 2010
xii. In our opinion and according to the information and explanation
given to us, the Company has not granted any loans or advances on the
basis of security by way of pledge of shares, debentures or any other
securities.
xiii. The Company is not a chit fund or 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.
xiv. According to information and explanation given to us, the
Company has no dealing or trading in shares, securities, debentures and
other investments, therefore the provisions of clause 4 (xiv) of the
Companies (Auditors Report) order 2003 are not applicable to the
Company.
xv. According to information and explanation given to us, the Company
has not given any guarantee for loans taken by others from bank or
financial institutions.
xvi. According to information and explanation given to us, no new term
loans were raised during the year.
xvii. According to information and explanation given to us, and on
overall examination of the balance sheet of the Company, we report that
no funds raised on short-term basis have been used for long term
investment.
xviii. The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under Section 301
of the Act.
xix. The Company has not issued any debentures during the year.
xx. The Company has not raised any money through a public issue during
the year.
xxi. According to the information and explanation given to us, no fraud
on or by the Company has been noticed or reported during the course of
our audit.
FOR M.D. PANDYA & ASSOCIATES
Chartered Accountants
(M. D. PANDYA)
Partner.
Mem No. 033184
PLACE: MUMBAI
DATE: Dated: 15th day of February 2010.
Mar 31, 2001
1. We have audited the attached Balance Sheet of your Company as at
31st March, 2001, and also its Profit & Loss Account, for the year
ended on that date, annexed thereto, together with the Notes forming
part of the Accounts. These Accounts have been prepared on the
going-concern basis, though the Mills were closed throughout the year.
Appellate Authority for Industrial and Financial Reconstruction
(AAIFR). has recommended that the company to be wound up vide its order
dated 16.4.2001; which has been stayed by the Honourable Gujarat High
Court, as on date.
2. The Fixed Assets were not verified by the Management, during the
year, nor were the records maintained. No documents, or title, have
been shown to us. During the year certain Machineries, Building
Materials, Furniture & Fittings and Vehicles were sold. The Company has
no records to determine Actual Cost and Accumulated Depreciation in
respect these assets sold. In absence of these records, the value
apportioned to, the above items are as estimated by the management.
Except for the above assets, the Assets have been shown at the same
figures as at the end of the earlier year, and we are in no position to
express any opinion about their existence or present condition. The
company has not provided depreciation for the year and for several
earlier years, As stated in our past reports, the accumulated arrears,
as at 30th June, 1986, amounted to Rs. 1,90,04,724. No computation has
been made of the arrears, of depreciation, thereafter.
3. Though goodwill is shown, at its purchase cost of Rs 57,546, it
cannot be said, in the circumstances of the case, to have any
commercial value.
4. The Debtors have been taken as per their balances in the books,
totaling Rs.43,63,704 which is the same as on 30.06.1988. No
confirmation was available from (nor any request, to that effect, made
to). As nothing has been received from them, till the completion of
audit over 13 years later, the non-confirmation debtors must, in our,
opinion, be considered to be doubtful of recovery.
5. As regards the Income -Tax Refund/Interest Receivable of Rs.
3,97,245 as shown under Loans & Advances, the same appears to be
doubtful of recovery.
6. There are no balance confirmation certificate from the
Bank, for the Fixed Deposits of Rs 7,86,070/- including accrued
interest. The deposit receipts could also not be verified by us, as we
were informed that they are held by the Bank. As such, we are unable to
express any opinion on this item.
7. The Advances for goods and expenses of Rs. 23,96,930/-, have been
taken only as per the books, without any external confirmation ( for
which, in fact, no request has been made either). As there are hardly
any recoveries or adjustments since 30.06.1987, right up to the
completion of audit more than 13 years later, the same must, in our
opinion, be considered to be doubtful of recovery.
8. The Excise and other deposits, totaling Rs 7,09,265/- have also
been taken only as per the books, without any external confirmation.
Moreover, no request was made, to the depositee parties, for such
confirmation. In the circumstances, we cannot say whether the above
balance of Rs 7,09,265/- can be considered good.
9. Sundry Creditors aggregating Rs. 9,94,13,210/- and the
Sundry Deposits and Advances received totaling Rs. 450,474/-. have been
taken, as per the books, without any confirmation. Moreover, no request
was made, to the parties, for such confirmation.
10. No provision has been made for wages or wage-related outgoings for
the year except in respect of few of the staff members as we are
informed that, no wages are payable for closure period as per the order
of AAIFR.
11. As required by the Manufacturing and other Companies (Auditors"
Report) order, 1988, issued Under Section 227(4A) of the Companies Act,
1956, we make, on the basis of such checks, of the books and records,
as we considered appropriate, the following statement on such of the
matters, specified in the said order, as are applicable to the Company
:
(a) As stated in paragraph 2 above, the Fixed Assets have not been
verified, by the Management, during the Year nor were the records
thereof maintained as at 31.03.2001.
(b) The Fixed Assets have not been revalued during the year; as such,
the question, of indicating the basis of revaluation, does not arise.
(c) The Company does not carry any stock of finished goods, stores,
spare parts and raw materials. In view of the forgoing the provisious
of paragraph 4A (iii), (iv), (v), (vi) and (xii) of the order are not
applicable.
(d) As regards the rate of interest and terms and conditions, of loans
taken from parties listed in the register Under Section 301 of the
Companies Act, 1956, the Company has taken a loan from only one party
listed therein, and the rate of interest and the terms and conditions,
of the loan, are not prima-facie prejudicial to the interests of the
Company ; the Company has not taken any loans from companies under the
same Management, as defined in Section 370(18).
(e) The Company has incurred expenses on behalf of a company which is
shown underthe head Advances to Other in the Balance Sheet. No
interest is charged on such advance.
(f) As regards an adequate internal control procedure, commensurate
with the sire of the Company and the nature of its business, for the
purchase of stores, raw materials, including components, plant and
machinery, equipment and other assets, and for the sale of goods, there
were no such purchases or sales during the year, so the question does
not arise.
(g) Since there were, during the year, no transactions of purchase of
goods and materials. Sale of goods, materials and services, the
question, of the prices being reasonable with regard to such
transactions made in pursuance of contracts or arrangements entered in
the register maintained Under Section 301 of the Companies Act, 1956,
and aggregating Rs. 50,000/-, during the year, in respect of each
party, does not arise.
(h) There was no Internal Audit during the year.
(i) No records were maintained, by the Company, pursuant to the Rules
made by the Central Government Under Section 209(1)(d) of the Companies
Act, 1956, as, the Mills being closed throughout the year, there was no
production.
(j) The company has not been in a position to repay unsecured loans
accepted in past and have not complied with requirement of provisions
of Section 58A of the Companies Act, 1956.
(k) The Company was not regular in depositing Provident Fund and
Employees* State Insurance dues with the appropriate authorities. We
are informed that the Provident Fund arrears, as at the Balance Sheet
date, calculated on the basis of wages actually drawn, up to the said
date, amounted to Rs. 10,09,786/-. The arrears, in respect of the
Employees State Insurance, have not been computed by the Company.
(l) There were no undisputed amounts payable in respect of Income Tax,
Wealth Tax and Customs Duty. The undisputed amounts, in respect of
Sales Tax, totaling to Rs. 16,95,768/- is not paid. As regard Excise
duty the following amount out of provisions made in the account till
date are not paid:-
Particulars of Liability Amount
(Rs.)
Earlier Years liability in
respect of Yarn produced by
the Company and utilised, by
way of captive consumption,
for weaving its cloth. 1,23,61,288
Refund received earlier in
respect of excise ( in the
accounting year 1979 - 80)
from the Government, to be
now paid back, in terms of
the Supreme Courts order
in appeal filed along with
interest of Rs.11,929,440 47,15,732
Demands raised, in respect
of duty on sized Yarn, which,
the Company contends, should be
levied on unsized weight at
Spindle stage. 3,67,093
(m) No personal expenses have been charged to Revenue Account.
(n) The Company is a Sick Industrial Company, within the meaning of
Clause (o) of Sub-section (1) of section (3) of the Sick Industrial
Companies (Special Provisions) Act, 1985, and AAIFR has recommend that
the company be wound up.
12. Further, to the above, we report as follows :
(a) In view of paragraph 2 to 11 herein above , and in view also of
Note No.2 (regarding non-ascertainment of the accumulated Gratuity
liability), we cannot say that we have obtained all the information and
explanations which, to the best of our knowledge and belief, were
necessary for the purposes of our audit.
(b) The said Balance Sheet and Profit and Loss Account are in agreement
with the Books of Account.
(c) In our opinion, the Profit and Loss Account and the Balance Sheet
do not strictly comply with the Accounting Standards rBferr&d to in
Sub-Section (3C) of Section 211 of the Companies Act, 1956.
(d) In our opinion and as per the information and according to
explanations given to us, no director is disqualified from being
appointed as director under clause (g) of sub-section (l)of Section 274
of the Companies Act, 1956.
(e) In view of paragraphs 2 to 11 above, in view also of the Notes
referred to hereinbelow, it cannot be said that proper Books of
Account, as required by law, have been kept, by the Company, or that
the Accounts give the information required by the Companies Act, 1956,
in the manner so required, and a true and fair view, in the case of the
Balance Sheet, of the Companys state of affairs, as at 31st March,
2001, and in the case of the Profit and Loss Account, of its Loss for
the year ended on that date :
(1) Note No. 2 (regarding non-provisions for the unascertained
accumulated gratuity liability).
(2) Note No. 5 (regarding non-provision for the sum, of Rs 9,83,036,
claimed by the Cotton Corporation of India Ltd).
The total impact of the above, respectively on the companys position
as at the end of the year and on its performance for the year, has not
been quantified, since many, of the items, are, as can be seen,
unascertained.
For M. D. PANDYA & ASSOCIATES.
CHARTERED ACCOUNTANTS.
( M . D. Pandya)
(Partner)
Date : 12th September, 2001
Place : Mumbai.