Mar 31, 2018
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of Lambodhara Textiles Limited (âthe Companyâ), which comprise the Balance sheet as at 31 March 2018, the Statement of profit and loss (including Other Comprehensive Income), the cash flow statement and the statement of changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation and presentation of these standalone financial statements that give a true and fair view of the financial position, financial performance (including other comprehensive income), cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards specified in the Companies (Indian Accounting Rules, 2015 (as amended) under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
We have taken into account the provisions of the Act, and the Rules made thereunder including the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.
We conducted our audit of the financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act and other applicable authoritative pronouncements issued by the Institute of Chartered Accountants of India. Those Standards and pronouncements require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone Ind AS financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2018 and its profit (including other comprehensive income), its cash flows and the changes in equity for the year ended on that date.
Other Matter
The financial information of the Company for the year ended March 31, 2017 and the transition date opening balance sheet as at April 1, 2016 included in these financial statements, are based on the previously issued statutory financial statements for the years ended March 31, 2017 and March 31, 2016 prepared in accordance with the Companies (Accounting standards) Rules, 2006 (as amended) which were audited and reported by Mohan & Venkataraman, vide their unmodified audit report dated 29th May 2017 and 27th May 2016 respectively, whose report has been relied upon by us for the purpose of our audit of the standalone financial statements. Our Opinion is not modified in respect of this matter. The adjustments to those financial statements for the differences in accounting principles adopted by the Company on transition to the Ind AS have been audited by us.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (âthe orderâ), and on the basis of such checks off the books and records of the Company as we considered appropriate and according to the information and explanations given to us, we give in the Annexure A, a statement on the matters specified in the paragraph 3 and 4 of the order.
2. As required by Section 143 (3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
(c) the balance sheet, the statement of profit and loss (including other comprehensive income), the cash flow statement and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;
(d) in our opinion, the aforesaid standalone financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act, read with relevant rules issued thereunder;
(e) on the basis of the written representations received from the directors as on 31 March 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2018 from being appointed as a director in terms of Section 164 (2) of the Act;
(f) with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in âAnnexure Bâ; and
(g) with respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to the information and explanations given to us:
i. the Company has disclosed the impact of pending litigations on its financial position in its financial statements as referred to in Note 39 to the financial statements;
ii. the Company did not have any long-term contracts including derivatives contracts for which there were any material foreseeable losses;
iii. there are no amounts, required to be transferred, to the Investor Education and Protection Fund by the Company as at the year end.
iv. The disclosure requirements regarding specified bank notes held and transacted during the period from 8th November 2016 to 30 December 2016 has not been made since the requirement does not pertain to the year ended 31st march 2018.
Annexure - A to the Auditorsâ Report
The Annexure referred to in Independent Auditorsâ Report to the members of the Company on the standalone financial statements for the year ended 31 March 2018, we report that:
(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets
(b) The Company has a regular programme of physical verification of its fixed assets by which fixed assets are verified in a phased manner over a period of three years. In accordance with this programme, certain fixed assets were verified during the year and no material discrepancies were noticed on such verification. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties are held in the name of the Company.
(ii) The management has conducted physical verification of inventory at reasonable intervals during the year (except stock lying with third parties and in transit, confirmation / subsequent receipt has been obtained in respect of such inventory) and no material discrepancies were noted on physical verification.
(iii) The Company has not granted any loans to companies, firms, Limited Liability Partnerships or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of section 185 and 186 of the Act, with respect to the loans and investments made.
(v) The Company has not accepted any deposits from the public within the meaning of the directives issued by the Reserve Bank of India, provisions of Section 73 to 76 of the Act, any other relevant provisions of the Act and the relevant rules framed thereunder.
(vi) The company has maintained the cost records prescribed by the Central Government under Section 148 (1) of the Act, however, we have not made detailed examination of such records.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, employeeâs state insurance, income-tax, sales tax, service tax, duty of customs, duty of excise, value added tax, cess and other material statutory dues have been regularly deposited during the year by the Company with the appropriate authorities.
According to the information and explanations given to us, no undisputed amounts payable in respect of provident fund, income tax, sales tax, value added tax, duty of customs, service tax, cess and other material statutory dues were in arrears as at 31 March 2018 for a period of more than six months from the date they became payable.
(b) In our opinion and according to the information and explanations given to us, there are no dues in respect of income tax, sales tax, service tax, duty of customs, duty of excise, value added tax that have not been deposited on account of any dispute except
Nature of the Dues |
Amount |
Forum where dispute is pending |
ESI |
Rs. 5,62,780 |
Employee Insurance Court. |
TNVAT - 2007 - 2014 |
Rs. 55,67,554 |
CTO, Enforcement |
(viii) The Company has not defaulted in repayment of loans or borrowings from any financial institution, banks, government or debenture holders during the year.
(ix) The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) during the year and the term loans received during the year were applied for the purposes for which the loans were obtained.
(x) According to the information and explanations given to us, no material fraud by the Company or on the Company by its officers or employees has been noticed or reported during the course of our audit.
(xi) According to the information and explanations give to us and based on our examination of the records of the Company, the Company has paid / provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Act.
(xii) In our opinion and according to the information and explanations given to us, the Company is not a nidhi company. Accordingly, paragraph 3(xii) of the Order is not applicable.
(xiii) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the financial statements as required by the applicable accounting standards.
(xiv) According to the information and explanations give to us and based on our examination of the records of the Company, the Company has made preferential allotment during the year and requirements of section 42 of the companies Act, 2013 have been complied with and the amount raised is used for the purposes for which the funds were raised, and the company has not made any private placement of shares or fully or partly convertible debentures during the year.
(xv) According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable.
(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1 934.
Annexure - B to the Auditorsâ Report
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Lambodhara Textiles Limited (âthe Companyâ) as of 31 March 2018 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that
(1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For Jain & Mohan
Chartered Accountants
FRN: 006896S
(Sd/-) C. Amrithalal Jain
Place : Coimbatore Partner
Date : 30th May 2018 M.No. 023060
Mar 31, 2016
TO THE MEMBERS OF LAMBODHARA TEXTILES LIMITED
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of Lambodhara Textiles Limited (âthe Company''), which comprise the balance sheet as at 31 March 2016, the statement of profit and loss and the cash flow statement for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation and presentation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2016 and its profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2016 (âthe Orderâ) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the Annexure A, a statement on the matters specified in the paragraph 3 and 4 of the order.
2. As required by Section 143 (3) of the Act, we report that:
(a) we have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) in our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
(c) the balance sheet, the statement of profit and loss and the cash flow statement dealt with by this Report are in agreement with the books of account;
(d) in our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;
(e) on the basis of the written representations received from the directors as on 31 March 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2016 from being appointed as a director in terms of Section 164 (2) of the Act;
(f) with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in âAnnexure Bâ; and
(g) with respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. the Company has disclosed the impact of pending litigations on its financial position in its financial statements as referred to in Note 18 (2) to the financial statements;
ii. the Company did not have any long-term contracts including derivatives contracts for which there were any material foreseeable losses;
iii. there are no amounts, required to be transferred, to the Investor Education and Protection Fund by the Company as at the year end.
ANNEXURE A TO THE AUDITORâS REPORT
The Annexure referred to in Independent Auditors'' Report to the members of the Company on the standalone financial statements for the year ended 31 March 2016, we report that:
(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets
(b) The Company has a regular programme of physical verification of its fixed assets by which fixed assets are verified in a phased manner over a period of three years. In accordance with this programme, certain fixed assets were verified during the year and no material discrepancies were noticed on such verification. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties are held in the name of the Company.
(ii) The management has conducted physical verification of inventory at reasonable intervals during the year (except stock lying with third parties and in transit, confirmation / subsequent receipt has been obtained in respect of such inventory) and no material discrepancies were noted on physical verification.
(iii) The Company has not granted any loans to companies, firms, Limited Liability Partnerships or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of section 185 and 186 of the Act, with respect to the loans and investments made.
(v) The Company has not accepted any deposits from the public.
(vi) The company has maintained the cost records prescribed by the Central Government under Section 148 (1) of the Act, however, we have not made detailed examination of such records.
(vii) (a) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, income-tax, sales tax, value added tax, duty of customs, service tax, cess and other material statutory dues have been regularly deposited during the year by the Company with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of provident fund, income tax, sales tax, value added tax, duty of customs, service tax, cess and other material statutory dues were in arrears as at 31 March 2016 for a period of more than six months from the date they became payable.
(b) In our opinion and according to the information and explanations given to us, there are no dues in respect of income tax, sales tax, duty of customs, duty of excise, value added tax that have not been deposited on account of any dispute except
Nature of the Dues |
Amount |
Forum where dispute is pending |
ESI |
Rs. 562780 |
Employee Insurance Court. |
Income Tax- AY 11 -1 2 |
Rs. 46710 |
CIT Appeals I, CBE |
Income Tax- AY 1 2-1 3 |
Rs. 31450 |
CIT Appeals I, CBE |
Income Tax - AY 13-14 |
Rs. Nil |
CIR, Appeals I, CBE |
TNVAT - 2007 - 2014 |
Rs. 5567554 |
CTO, Enforcement |
(viii) The Company has not defaulted in repayment of loans or borrowings from any financial institution, banks, government or debenture holders during the year.
(ix) The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) during the year and the term loans received during the year were applied for the purposes for which the loans were obtained.
(x) According to the information and explanations given to us, no material fraud by the Company or on the Company by its officers or employees has been noticed or reported during the course of our audit.
(xi) According to the information and explanations give to us and based on our examination of the records of the Company, the Company has paid / provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Act.
(xii) In our opinion and according to the information and explanations given to us, the Company is not a nidhi company. Accordingly, paragraph 3(xii) of the Order is not applicable.
(xiii) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the financial statements as required by the applicable accounting standards.
(xiv) According to the information and explanations give to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, paragraph 3 (xiv) of the order is not applicable.
(xv) According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable.
(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934.
ANNEXURE - B TO THE AUDITORâS REPORT
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Lambodhara Textiles Limited (âthe Companyâ) as of 31 March 2016 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (âICAI''). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2016, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For Mohan & Venkataraman
Chartered Accountants
FRN: 007321S
(sd/-)
R.Mohan
Place : Coimbatore Partner
Date : 27.05.2016 Membership No.:201229
Mar 31, 2015
We have audited the accompanying financial statements of Lambodhara
Textiles Limited ("theCompany"), which comprise the Balance Sheet
as at 31st March, 2015, the Statement of Profit and Loss, the Cash Flow
Statement for the year then ended, and a summary of the significant
accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with
respect to the preparation of these standalone financial statements
that give a true and fair view of the financial position, financial
performance and cash flows of the Company in accordance with the
accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding the assets of the
Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgement, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis forour audit opinion on the financial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31st March, 2015, and its profit and its cash flows for the year
ended on that date.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order, 2015, issued by
the Central Government of India in terms of sub-section (11) of section
143 of the Companies Act 2013(hereinafter referred to as the
"order"), we give in the Annexure a statement on the matters
specified in paragraphs 3 and 4 of the Order.
As required by Section 143 (3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
(d) In our opinion, the aforesaid statements comply with the Accounting
Standards specified under Section 133 of the Act, read with Rule 7 of
the Companies (Accounts) Rules, 2014.
(e) On the basis of the written representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
(f) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us:
1. The Company has disclosed the impact of pending litigations on its
financial position in its financial statements as referred to in Note
18 (2) to the financial statements;
2. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses.
3. There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO AUDITOR'S REPORT Referred to in our report of even date
to the members of Lambodhara Textiles Limited.
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our opinion is reasonable having regard to the size of
the Company and the nature of its Fixed Assets. The discrepancies
noticed on such physical verification were not material.
2 (a) The Inventory of the Company at all its locations (except stocks
lying with third parties and in transit, confirmation/subsequent
receipt have been obtained in respect of such inventory) have been
physically verified by the Management at reasonable intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. The Company has not granted any loan secured or unsecured to parties
listed in the register maintained under Section 189 of the companies
Act, 2013 accordingly paragraph 3 (iii) of the order is not applicable.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. According to the information and explanations given to us, the
company has not accepted any deposits accordingly, the provisions of
clause (v) of para 3 of the order are not applicable to the company.
6. In our opinion and according to the information and explanations
given to us, the requirement for maintenance of cost records pursuant
to the Companies (Cost Records and Audit) Rules, 2014 specified by the
Central Government of India under Section 148 of the Companies Act,
2013 are not applicable to the Company for the year under audit.
7. (a) The Company has generally been regular in depositing undisputed
statutory dues, including Provident Fund, Employees' State Insurance,
Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise
Duty,Value Added Tax, Cess and other material statutory dues applicable
to it with the appropriate authorities during the year. There were no
undisputed amounts payable in respect of the aforesaid statutory dues
outstanding as at March 31, 2015 for a period of more than six months
from the date they became payable.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Wealth tax, Income tax,
Sales tax, duty of customs, duty of excise, value added tax and cess
that have not been deposited on account of any dispute except
Nature of the Dues Amount Forum where dispute is pending
ESI Rs. 562780 Employee Insurance Court.
Income Tax- AY 11-12 Rs. 46710 CIT Appeals I, CBE
Income Tax- AY 12-13 Rs. 31450 CIT Appeals I, CBE
(c) There is no amount as required to transfer under Investor Education
and Protection Fund in accordance with the relevant provisions of the
Companies Act, 1956 (1 of 1956) and rules made thereunder pending as on
the balance sheet date.
8. The Company does not have accumulated losses as at the end of the
financial year and the Company has not incurred cash losses during the
financial year covered by our audit and in the immediately preceding
financial year.
9. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
financial institutions, banks and debenture holders.
10. In our opinion and according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
11. In our opinion and according to the information and explanations
given to us, the term loans have been applied by the Company during the
year for the purposes for which they were obtained.
12. To the best of our knowledge and belief, and according to the
information and explanations given to us, and consideringthe size and
nature of the Company's operations, no fraud of material significance
on the Company or no fraud by the Company has been noticed or reported
during the year.
For Mohan &Venkataraman
Chartered Accountants
FRN: 007321S
(sd/-)
R.Mohan
Place : Coimbatore Partner
Date : 29.05.2015 Membership No.:201229
Mar 31, 2014
We have audited the accompanying financial statements of Lambodhara
Textiles Limited ("the Company"), which comprise the Balance Sheet as
at March 31, 2014, the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the financial statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards referred to in sub-Section
(3C) of Section 211 of the Companies Act, 1956 ("the Act") read with
the General Circular 15/2013 dated 13th September, 2013 of the Ministry
of Corporate Affairs in respect of Section 133 of the Companies Act,
2013 and in accordance with the accounting principles generally
accepted in India. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements basedon 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 ofmaterial 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 inorder to design audit
procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the accounting
estimates made by management, aswell as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
b) In the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003, issued
by the Central Government of India in terms of sub-Section (4A) of
section 227 of the Act (hereinafter referred to as the "order"), and on
the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards notified under
the Act read with the General Circular 15/2013 dated 13th September,
2013 of the Ministry of Corporate Affairs in respect of section 133 of
the Companies Act, 2013.
e) On the basis of written representations received from the Directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a Director in terms of clause (g) of sub-Section (1) of
Section 274 of the Companies Act, 1956.
ANNEXURE TO AUDITOR''S REPORT Referred to in paragraph 1 of the Auditors
Report of even date to the members of Lambodhara Textiles Limited on
the financial statements of the company for the year ended 31st March,
2014.
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our opinion is reasonable having regard to the size of
the Company and the nature of its Fixed Assets. The discrepancies
noticed on such physical verification were not material.
(c) No substantial part of Fixed Assets has been disposed off during
the year, which has bearing on the going concern assumption.
2 (a) The Inventory of the Company at all its locations (except stocks
lying with third parties and in transit, confirmation / subsequent
receipt have been obtained in respect of such inventory) have been
physically verified by the Management at reasonable intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. (a) The Company has taken loan from parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
During the year, interest free Loan of Rs. 1,16,78,155 is received from
Managing Director, Loan outstanding balance is Rs. 4,91,10,564. (Maximum
amount outstanding is Rs. 5,33,31,263).
During the year, interest free loan of Rs. 2,00,000 is received from one
of the Director, loan outstanding balance is Rs. 49,00,050. (Maximum
amount outstanding is Rs. 49,00,050).
(b) The Company has not given any loan to parties listed in the
register maintained under Section 301 of the Companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market prices at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of section
58A of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975 with regard to the deposits accepted from the
public. No order has been passed by the Company Law Board in this
regard. The Company has not accepted deposits during the year as
defined under section 58AA of the Companies Act, 1956 and the rules
made there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The company has maintained the cost records prescribed by the
Central Government under Section 209 (1) (d) of the Companies Act,
1956; however, we have not made detailed examination of such records.
9. (a) In our opinion and according to the information and
explanations given to us, undisputed statutory dues including Provident
Fund, Employees'' State Insurance, Income tax, Sales tax, Excise Duty,
Cess and any other statutory dues have been regularly deposited during
the year with the appropriate authorities though there were some delay
in remitting the dues. There are no undisputed statutory dues payable
for a period of more than six months from the date they became payable
as at 31st March 2014.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Income tax, Wealth tax,
Sales tax and Excise Duty that have not been deposited on account of
any dispute except
Nature of the Dues Amount Forum where dispute is pending
ESI Rs.562780 Employee Insurance Court.
10. The Company does not have accumulated losses as at the end of the
financial year and has not incurred cash losses in the current
financial year and in the immediately preceding financial year.
11. The Company has not defaulted in repayment of any dues to
financial institutions or banks or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted any loans and advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi / mutual benefit fund /
society, therefore, the clause 4 (xiii) of the Order is not applicable
to the Company.
14. In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments.
15. In our opinion, according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
16. In our opinion, on the basis of information and explanations given
to us, the term loans were applied for the purposes for which the loans
were obtained.
17. On the basis of an overall examination of the Balance sheet of the
Company, no funds raised on short-term basis have been used for
long-term investment.
18. The Company has not made any preferential allotment of shares to
any parties or companies covered in the register maintained under
Section 301 of the Company Act, 1956.
19. The Company did not have any outstanding debentures during the
year.
20. The Company has not raised any money through a public issue during
the year.
21. Based upon the audit procedures performed and on the basis of
information and explanations provided by the Management, we report that
no fraud on or by the Company has been noticed or reported during the
course of our audit.
For Mohan &Venkataraman
Chartered Accountants
FRN: 007321S
(sd/-)
R.Mohan
Place: Coimbatore Partner
Date : 29.05.2014 Membership No.:201229
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Lambodhara
Textiles Limited ("the Company"), which comprise the Balance Sheet as
at March 31,2013, and the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Management''s Responsibility for the financial statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("theAct"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, subject to Note No.25 - II (14) where in four
vehicles shown as fixed assets of the Company amounting to Rs.28,30,799
are not registered in the name of the Company, the financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
b) in the case of the Profit and Loss Account, of the profit for the
year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003, issued
by the Central Government of India in terms of sub-section (4A) of
section 227 of the Act (hereinafter referred to as the "order"), and on
the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books.
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection(3C) of section 211 of the Companies Act, 1956;
e) on the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
Annexure to Auditor''s Report
Referred to in paragraph 1 of the Auditors Report of even date to the
members of Lambodhara Textiles Limited on the financial statements of
the company for the year ended 31st March, 2013.
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our opinion is reasonable having regard to the size of
the Company and the nature of its Fixed Assets. The discrepancies
noticed on such physical verification were not material.
(c) No substantial part of Fixed Assets has been disposed off during
the year, which has bearing on the going concern assumption.
2. (a) The Inventory of the Company at all its locations (except
stocks lying with third parties and in transit, confirmation /
subsequent receipt have been obtained in respect of such inventory)
have been physically verified by the Management at reasonable
intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and natyre of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. (a) The Company has taken loan from parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
During the year, interest free Loan of Rs. 1,81,69,271 is received from
Managing Director, Loan outstanding balance is Rs. 4,96,20,769.
(maximum amount outstanding is Rs.4,99,48,457).
Interest free loan of Rs.47,00,050 received from one of the director is
outstanding (Maximum amount outstanding is Rs.47,00,050). (b) The
Company has not given any loan to parties listed in the register
maintained under Section 301 of the companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of the Companies Act, 1956
have been so entered. (b) In our opinion and according to the
information and explanations given to us, the transactions made in
pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Companies Act, 1956 and exceeding
the value of rupees five lakhs in respect of any party during the year
have been made at prices which are reasonable having regard to
prevailing market prices at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the company has complied with the provisions of section
58A of the companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975 with regard to the deposits accepted from the
public. No order has been passed by the Company Law Board in this
regard. The company has not accepted deposits during the year as
defined under section 58AA of the Companies Act, 1956 and the rules
made there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The company has maintained the cost records prescribed by the
Central Government under Section 209 (1) (d) of the Companies Act,
1956; however, we have not made detailed examination of such records.
9. (a) In our opinion and according to the information and
explanations given to us, undisputed statutory dues including Provident
Fund, Employees'' State Insurance, Income tax, Sales tax, Excise Duty,
Cess and any other statutory dues have been regularly deposited during
the year with the appropriate authorities though there were some delay
in remitting the dues. There are no undisputed statutory dues payable
for a period of more than six months from the date they became payable
as at 31st March 2013, except Central Sales Tax of Rs.7,200.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Income tax, Wealth tax,
Sales tax and Excise Duty that have not been deposited on account of
any dispute except
Nature of the Dues Amount Forum where dispute is pending
ESI Rs.757748 Employee Insurance Court.
10. The Company does not have accumulated losses as at the end of the
financial year and has not incurred cash losses in the current
financial year and in the immediately preceding financial year.
11. The Company has not defaulted in repayment of any dues to
financial institutions or banks or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted any loans and advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi / mutual benefit fund /
society, therefore, the clause 4 (xiii) of the Order is not applicable
to the Company.
14. In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments.
15. In our opinion, according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
16. In our opinion, on the basis of information and explanations given
to us, the term loans were applied for the purposes for which the loans
were obtained.
17. On the basis of an overall examination of the Balance sheet of the
Company, no funds raised on short- term basis have been used for
long-term investment.
18. The Company has not made any preferential allotment of shares to
any parties or companies covered in the register maintained under
Section 301 of the Company Act, 1956.
19. The Company did not have any outstanding debentures during the
year.
20. The Company has not raised any money through a public issue during
the year.
21. Based upon the audit procedures performed and on the basis of
information and explanations provided by the Management, we report that
no fraud on or by the Company has been noticed or reported during the
course of our audit.
for MOHAN & VENKATARAMAN
Chartered Accountants FRN : 007321S
Place : Coimbatore (Sd/-)
R.MOHAN
Date : 30.05.2013 Partner
M.No.201229
Mar 31, 2012
We have audited the attached Balance Sheet of M/S.LAMBODHARA TEXTILES
LIMITED, as at 31st March 2012 and also the Profit and Loss Account and
the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
company's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit 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.
We report that
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
(b) In our opinion, proper books of account as required by law have
been kept by the company, so far as appears from our examination of
those books.
(c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
referred to in this report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in Section 211(3C) of the Companies Act, 1956.
(e) On the basis of written representations received from the directors
of the company and taken on record by the Board of Directors, we report
that none of the directors is disqualified as on 31st March 2012 from
being appointed as a director in terms of clause (g) of sub section (1)
of Section 274 of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, subject to Note No.25 - II (14) wherein
four vehicles shown as fixed assets of the Company amounting to
728,30,799 not registered in the name of the Company, the said accounts
together with Accounting policies and notes 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, 2012.
ii) in the case of the Profit & Loss Account, of the Profit for the
year ended on that date, and
iii) in the case of Cash Flow Statement, of the Cash Flows for the year
ended on that date
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, on the matters specified in
paragraphs 4 and 5 of the said Order, we further report that
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our opinion is reasonable having regard to the size of
the Company and the nature of its Fixed Assets. The discrepancies
noticed on such physical verification were not material.
(c) No substantial part of Fixed Assets has been disposed off during
the year, which has bearing on the going concern assumption.
2 (a) The Inventory of the Company at all its locations (except stocks
lying with third parties and in transit, confirmation / subsequent
receipt have been obtained in respect of such inventory) have been
physically verified by the Management at reasonable intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. (a) The Company has taken loan from parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
During previous year, interest free Loan of Rs.1,82,78,475 is received
from Managing director, Loan outstanding balance is Rs.3,78,51,860.
(maximum amount outstanding is Rs.3,79,88,479).
During previous year, interest free loan of Rs.47,00,050 is received from
one of the director, Loan outstanding balance is Rs.47,00,050. (Maximum
amount outstanding is Rs.47,00,050).
(b) The Company has not given any loan to parties listed in the
register maintained under Section 301 of the companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market prices at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the company has complied with the provisions of section
58A of the companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975 with regard to the deposits accepted from the
public. No order has been passed by the Company Law Board. The company
has not accepted deposits during the year as defined under section 58AA
of the Companies Act, 1956 and the rules made there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The company has maintained the cost records prescribed by the
Central Government under Section 209 (1) (d) of the Companies Act,
1956; however, we have not made detailed examination of such records.
9. (a) In our opinion and according to the information and
explanations given to us, undisputed statutory dues including Provident
Fund, Employees' State Insurance, Income tax, Sales tax, Excise Duty,
Cess and any other statutory dues have been regularly deposited during
the year with the appropriate authorities though there were some delay
in remitting the dues. There are no undisputed statutory dues payable
for a period of more than six months from the date they became payable
as at 31st March 2012, except Central Sales Tax of Rs.7,200.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Income tax, Wealth tax,
Sales tax and Excise Duty that have not been deposited on account of
any dispute except
Nature of the Dues Amount Forum where dispute is pending
ESI Rs.7,57,748 Employee Insurance Court.
Income Tax Rs.7,70,884 A.Y. 2005-06 DCIT
10. The Company does not have accumulated losses as at the end of the
financial year and has not incurred cash losses in the current
financial year and in the immediately preceding financial year.
11. The Company has not defaulted in repayment of any dues to
financial institutions or banks or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted any loans and advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi / mutual benefit fund /
society, therefore, the clause 4 (xiii) of the Order is not applicable
to the Company.
14. In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments.
15. In our opinion, according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
16. In our opinion, on the basis of information and explanations given
to us, the term loans were applied for the purposes for which the loans
were obtained.
17. On the basis of an overall examination of the Balance sheet of the
Company, no funds raised on short-term basis have been used for
long-term investment.
18. The Company has not made any preferential allotment of shares to
any parties or companies covered in the register maintained under
Section 301 of the Company Act, 1956.
19. The Company did not have any outstanding debentures during the
year.
20. The Company has not raised any money through a public issue during
the year.
21. Based upon the audit procedures performed and on the basis of
information and explanations provided by the Management, we report that
no fraud on or by the Company has been noticed or reported during the
course of our audit.
for MOHAN & VENKATARAMAN
Chartered Accountants
FRN : 007321S
Place : Coimbatore (Sd/-) R.MOHAN
Date : 16.07.2012 Partner
M.No.201229
Mar 31, 2011
We have audited the attached Balance Sheet of M/S.LAMBODHARA TEXTILES
LIMITED, as at 31st March 2011 and also the Profit and Loss Account and
the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
companys management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit 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.
We report that
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
(b) In our opinion, proper books of account as required by law have
been kept by the company, so far as appears from our examination of
those books.
(c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
referred to in this report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in Section 211 (3C) of the Companies Act, 1956.
(e) On the basis of written representations received from the directors
of the company and taken on record by the Board of Directors, we report
that none of the directors is disqualified as on 31st March 2011 from
being appointed as a director in terms of clause (g) of sub section (1)
of Section 274 of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, subject to Note No. 19 wherein three
vehicles shown as fixed assets of the Company amounting to Rs.
13,21,067 not registered in the name of the Company, the said accounts
together with Accounting policies and notes 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, 2011.
ii) in the case of the Profit & Loss Account, of the Profit for the
year ended on that date, and
iii) in the case of Cash Flow Statement, of the Cash Flows for the year
ended on that date
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, on the matters specified in
paragraphs 4 and 5 of the said Order, we further report that
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our
opinion is reasonable having regard to the size of the Company and the
nature of its Fixed Assets. The discrepancies noticed on such physical
verification were not material. (c) No substantial part of Fixed
Assets has been disposed off during the year, which has bearing on the
going concern assumption.
2 (a) The Inventory of the Company at all its locations (except stocks
lying with third parties and in transit, confirmation / subsequent
receipt have been obtained in respect of such inventory) have been
physically verified by the Management at reasonable intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. (a) The Company has taken loan from parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
During previous years, interest free Loan received from Managing
director, Loan outstanding balance Rs. 1,97,33,183. (maximum amount
outstanding Rs. 1,97,33,183). During the year loan is received from
Managing director for interest, loan outstanding balance Rs. 33,11,452.
(maximum amount outstanding Rs. 33,11,452).
(b) The Company has not given any loan to parties listed in the
register maintained under Section 301 of the companies Act, 1956.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market prices at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the company has complied with the provisions of section
58A of the companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975 with regard to the deposits accepted from the
public. No order has been passed by the Company Law Board. The company
has not accepted deposits during the year as defined under section 58AA
of the Companies Act, 1956 and the rules made there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The company has maintained the cost records prescribed by the
Central Government under Section 209 (1) (d) of the Companies Act,
1956; however, we have not made detailed examination of such records.
9. (a) In our opinion and according to the information and explanations
given to us, undisputed statutory dues including Provident Fund,
Employees State Insurance, Income tax, Sales tax, Excise Duty, Cess
and any other statutory dues have been regularly deposited during the
year with the appropriate authorities though there were some delay in
remitting the dues. There are no undisputed statutory dues payable for
a period of more than six months from the date they became payable as
at 31st March 2011, except Central Sales Tax of Rs. 9,090.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Income tax, Wealth tax,
Sales tax and Excise Duty that have not been deposited on account of
any dispute except
Nature of the Dues Amount Forum where dispute is pending
ESI Rs. 757748 Employee Insurance Court.
Income Tax Rs. 770884 A.Y. 2005-06-DCIT
10. The Company does not have accumulated losses as at the end of the
financial year and has not incurred cash losses in the current
financial year and in the immediately preceding financial year.
11. The Company has not defaulted in repayment of any dues to
financial institutions or banks or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted any loans and advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi / mutual benefit fund /
society, therefore, the clause 4 (xiii) of the Order is not applicable
to the Company.
14. In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments.
15. In our opinion, according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
16. In our opinion, on the basis of information and explanations given
to us, the term loans were applied for the purposes for which the loans
were obtained.
17. On the basis of an overall examination of the Balance sheet of the
Company, no funds raised on short-term basis have been used for
long-term investment.
18. The Company has not made any preferential allotment of shares to
any parties or companies covered in the register maintained under
Section 301 of the Companies Act, 1956.
19. The Company did not have any outstanding debentures during the
year.
20. The Company has not raised any money through a public issue during
the year.
21. Based upon the audit procedures performed and on the basis of
information and explanations provided by the Management, we report that
no fraud on or by the Company has been noticed or reported during the
course of our audit.
for MOHAN & VENKATARAMAN
Chartered Accountants
Firm Registration NO.007321S
(Sd/-) R.MOHAN
Partner
Membership No.201229
Place : Coimbatore
Date : 09.06.2011
Mar 31, 2010
We have audited the attached Balance Sheet of M/S.LAMBODHARA TEXTILES
LIMITED, as at 31s1 March 2010 and also the Profit and Loss Account and
the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
companys management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit 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.
We report that
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
(b) In our opinion, proper books of account as required by law have
been kept by the company, so far as appears from our examination of
those books.
(c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
referred to in this report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in Section 211(3C) of the Companies Act, 1956.
(e) On the basis of written representations received from the directors
of the company and taken on record by the Board of Directors, we report
that none of the directors is disqualified as on 31st March 2010 from
being appointed as a director in terms of clause (g) of sub section (1)
of Section 274 of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, subject to Note No.17 wherein four
vehicles shown as fixed assets of the Company amounting to Rs.
24,46,804 not registered in the name of the Company, the said accounts
together with Accounting policies and notes 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, 2010.
ii) in the case of the Profit & Loss Account, of the Profit for the
year ended on that date, and,
iii) in the case of Cash Flow Statement, of the Cash Flows for the year
ended on that date
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, on the matters specified in
paragraphs 4 and 5 of the said Order, we further report that
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed Assets.
(b) Fixed Assets have been physically verified by the Management
according to the regular programme of periodical verification in phased
manner which in our opinion is reasonable having regard to the size of
the Company and the nature of its Fixed Assets. The discrepancies
noticed on such physical verification were not material.
(c) No substantial part of Fixed Assets has been disposed off during
the year, which has bearing on the going concern assumption.
2 (a) The Inventory of the Company at all its locations (except stocks
lying with third parties and in transit, confirmation / subsequent
receipt have been obtained in respect of such inventory) have been
physically verified by the Management at reasonable intervals.
(b) The procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to the size of
the Company and nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on such physical verification of inventory as
compared to book records were not material.
3. (a) The Company has taken loan from parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
Interest free Loan received from Managing Director, Loan outstanding
balance Rs. 1,97,33,183.(maximum amount outstanding Rs.1,97,33,183).
(b) The Company has given loan to other parties listed in the register
maintained under Section 301 of the companies Act, 1956 and the rate of
interest and other terms and conditions of loan are not prima facie
prejudicial to the interest of the company.
During the year the company has given loan to V.R. Textiles Private
Limited. Managing Director and one of the whole time director of the
company are directors in V.R. Textiles Private Limited, Loan
outstanding balance is Rs. Nil. (Maximum amount outstanding
Rs.67,50,000)
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, fixed assets and for the
sale of goods. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under Section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 and exceeding the value of Rupees Five Lakhs in
respect of any party during the year have been made at prices which are
reasonable having regard to prevailing market prices at the relevant
time.
6. In our opinion and according to the information and explanations
given to us, the company has complied with the provisions of section
58A of the companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975 with regard to the deposits accepted from the
public. No order has been passed by the Company Law Board. The company
has not accepted deposits during the year as defined under section 58AA
of the Companies Act, 1956 and the rules made there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The company has maintained the cost records prescribed by the
Central Government under Section 209 (1) (d) of the Companies Act,
1956; however, we have not made detailed examination of such records.
9. (a) In our opinion and according to the information and
explanations given to us, undisputed statutory dues including
Provident Fund, Employees State Insurance, Income tax, Sales tax,
Excise Duty, Cess and any other statutory dues have been regularly
deposited during the year with the appropriate authorities though
there were some delay in remitting the dues. There are no undisputed
statutory dues payable for a period of more than six months from
the date they became payable as at 31st March 2010, except Central
Sales Tax of Rs. 7200.
(b) In our opinion and according to the information and explanations
given to us, there are no dues in respect of Income tax, Wealth tax,
Sales tax and Excise Duty that have not been deposited on account of
any dispute except
10. The Company does not have accumulated losses as at the end of the
financial year and has not incurred cash losses in the current
financial year and in the immediately preceding financial year.
11. The Company has not defaulted in repayment of any dues to
financial institutions or banks or debenture holders.
12. According to the information and explanations given to us, the
Company has not granted any loans and advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The Company is not a chit fund or a nidhi / mutual benefit fund /
society, therefore, the clause 4 (xiii) of the Order is not applicable
to the Company.
14. In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments.
15. In our opinion, according to the information and explanations
given to us, the Company has not given any guarantees for loans taken
by others from banks and financial institutions.
16. In our opinion, on the basis of information and explanations given
to us, the term loans were applied for the purposes for which the loans
were obtained.
17. On the basis of an overall examination of the Balance sheet of the
Company, no funds raised on short-term basis have been used for
long-term investment and vice versa.
18. The Company has not made any preferential allotment of shares to
any parties or companies covered in the register maintained under
Section 301 of the Company Act, 1956.
19. The Company has not raised any money through a public issue during
the year.
20. Based upon the audit procedures performed and on the basis of
information and explanations provided by the Management, we report that
no fraud on or by the Company has been noticed or reported during the
course of our audit.
for MOHAN & VENKATARAMANAN
Chartered Accountants
(SD/-)
R.MOHAN
Partner
Membership No. 201229
Firm Registration No.007321S
Place : Coimbatore
Dated : 18.06.2010
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article