Mar 31, 2015
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of
Mega Corporation Limited ("the Company"), which comprise the Balance
Sheet as at March 31, 2015, the Statement of Profit and Loss, the Cash
Flow Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Management's Responsibility for the Standalone Financial Statements
The Company's Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation 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 of the assets of the Company and
for preventing and detecting frauds and other irregularities; selection
and application of appropriate accounting policies; making judgments
and estimates that are reasonable and prudent; and 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 standalone
financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial 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 31st March, 2015, 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, 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 the
"Order"), and on the basis of such checks of books and records of the
Company as we considered appropriate and according to the information
and explanation given to us, we give in the Annexure a statement on the
matters specified in paragraphs 3 and 4 of the order.
2. As required by Section 143 (3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
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 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:
i. The Company has disclosed the impact of pending litigations as at
31st Mach, 2015 on its financial position in its financial statements.
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses.
iii. There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
ANNEXURE TO THE INDEPENDENT AUDITOR'S REPORT
Referred to in paragraph 1 under the heading "Report on Other Legal and
Regulatory Requirements" of our report of even date to the members of
M/s Mega Corporation Limited on the standalone financial statements as
of and for the year ended March 31, 2015.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
I. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All fixed assets have been physically verified by the Management at
reasonable intervals and as informed to us, no material discrepancies
were noticed on such verification.
II. The Company had no Inventory and as such Clause (ii) of the
Companies (Auditor Report) Order, 2015 is not applicable.
III. The company has granted unsecured loans to three companies
covered in the register maintained under section 189 of the Companies
Act. The company has not granted any secured/ unsecured loans to firms
or other parties covered in the register maintained under section 189
of the Companies Act.
(a) In respect of the aforesaid loans, the parties are repaying
principal amounts, as stipulated, and are also regular in payment of
interest as applicable.
(b) In respect of the aforesaid loans, there is no overdue amount more
than Rupees One Lakh.
IV. In our opinion, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business, for purchase of inventory and fixed assets and for sale of
goods and services. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in internal control system.
V. The company has not accepted any deposits as per the provisions of
sections 73 to 76 or any other relevant provisions of the Companies Act
and the rules framed there under.
VI. As informed to us, the maintenance of Cost Records has not been
prescribed by the Central Government under Section 148(1) (d) of the
Companies Act, 2013.
VII. (a) According to the information and explanations given to us and
on the basis of examination of the records of the Company, amounts
deducted / accrued in the books of accounts in respect of Undisputed
statutory dues including provident fund, investor education and
protection fund, employee's state insurance, income tax, sales tax,
wealth tax, service tax, custom duty, excise duty, value added tax,
cess and any other statutory dues have been generally regularly
deposited with the appropriate authorities during the year.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employee's state insurance, income tax,
sales tax, wealth tax, service tax, custom duty, excise duty, value
added tax and cess, etc were outstanding as at March 31, 2015 for a
period of more than six months from the date of their becoming payable.
(c) According to the information and explanations given to us and
records of the Company examined by us, the Company has not deposited
disputed Income Tax demand of Rs. 133.34 Lacs relating to A.Y. 2006-07.
The Company's appeal is pending for adjudication before ITAT, Delhi.
(d) According to the information and explanations given to us, the
Company is not required to be transfer any amount to the Investor
Education and Protection Fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made there
under.
VIII. The Company does not have accumulated losses at the end of the
year and the company has not incurred any cash losses during current
year. The Company has incurred cash loss of Rs. 19,26,119/- during the
immediately preceding financial year.
IX. In our opinion and on the basis of information and explanations
given to us, the Company has not defaulted in the repayment of dues to
Financial Institutions and Banks.
X. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
XI. Based on information and explanations given to us by the
Management, the term loans were applied for the purpose for which the
loans were obtained.
XII. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
For Sipani & Associates
Chartered Accountants
Registration No.: 007712N
Sd/-
(VIJAY SIPANI)
Place: Delhi Proprietor
Dated: 29-05-2015 M. No. 083850
Mar 31, 2014
We have audited the accompanying Financial Statements of MEGA
CORPORATION LIMITED ("the Company"), which comprise the Balance Sheet
as at March 31,2014, 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
accounting principles generally accepted in India, including the
Accounting Standards referred to in sub-section (3C) of Section 211 of
the Companies Act, 1956 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
AUDITOR''S RESPONSIBILITY
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the entity''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
OPINION
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31,2014;
(b) in the case of the Statement of Profit and Loss, of the loss of the
Company for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company 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 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of Section 227 of the Act, we give in the Annexure ''A''
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 sub-section (3C) of Section 211 of the Companies Act, 1956; and
(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 ''A'' referred to in paragraph 1 under the heading "Report on
other legal and regulatory requirements" of our report of even date to
the members of MEGA CORPORATION LIMITED.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets have been physically verified by the
management at reasonable intervals, which in our opinion is reasonable
having regard to size of the Company and the nature of fixed assets. As
informed, no material discrepancies were noticed on such verification.
(c) The Company has not disposed off any substantial part of its fixed
assets during the year.
2. The Company had no Inventory and as such clause (ii) of paragraph 4
of the Companies (Auditor Report) Order, 2003 is not applicable.
3. (a) The Company has granted unsecured loan to one party listed in
the register maintained under Section 301 of the Companies Act, 1956.
The amount of loan granted to such party was Rs. 329.85 Lacs (Prev.
Year Rs. 623.00 Lacs). The Maximum amount outstanding during the year
was Rs. 413.21 Lacs and year-end balance of loan granted to such party
was Rs. 342.78 Lacs (Prev. Year 225.89 Lacs).
(b) Above loans were repayable on demand. In our opinion, the rate of
interest and other terms and conditions of such loans were not prima
facie prejudicial to the interest of the Company.
(c) The receipt of principal amount and interest have been regular / as
per stipulations and there is no overdue amount.
(d) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken any loans from companies, firms or other parties listed in
the register maintained under Section 301 of the Companies Act, 1956
(Prev. Year NIL ).
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. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in internal control.
5. In respect of transactions entered in the register maintained in
pursuance of Section 301 of the Companies Act, 1956.
(a) Based on audit procedures applied by us, to the best of our
knowledge and belief and according to the information and explanations
given to us, we are of the opinion that the transactions that needed to
be entered into the register maintained under Section 301 have been so
entered.
(b) According to the information and explanations given to us, the
transactions with parties with whom transactions exceeding the value of
Rs. 5,00,000 have been entered into during the financial year, are at
prices, which are reasonable, having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits from the public within
the meaning of section 58A & 58AA of the Companies Act, 1956 and the
rules framed there under.
7. In our opinion and according to the information and explanations
given to us, the Company has an internal audit system commensurate with
the size of the company and the nature of its business.
8. As informed to us by the Company, the maintenance of cost records
has not been prescribed by the Central Government under Section
209(1)(d) of the Companies Act, 1956.
9. (a) According to the information and explanations given to us and
on the basis of examination of the records of the Company, amounts
deducted/accrued in the books of accounts in respect of undisputed
statutory dues including Provident Fund, Employees State Insurance,
Income Tax, Customs Duty, Service Tax and other material statutory dues
have been generally regularly deposited during the year by the Company
with the appropriate authorities. As explained to us, the Company did
not have any dues on account of Investor Education & Protection Fund,
Excise Duty, Sales Tax and Wealth Tax.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Provident Fund, Employees
State Insurance, Income Tax, Customs Duty, Service Tax, Cess and other
material statutory dues were outstanding at the year end for a period
of more than six months from the date they became payable.
(c) According to the information and explanations given to us and
records of the Company examined by us, the Company has not deposited
disputed Income Tax demand of Rs. 133.34 Lacs relating to A.Y. 2006-07.
The Company''s appeal is pending for adjudication before ITAT, Delhi.
10. The Company does not have accumulated losses at the end of the
year. The Company has incurred cash losses of Rs. 19,26,119/- during
the current financial year and also incurred cash losses of Rs.
9,79,032/- during the immediately preceding financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in the repayment of dues to financial
institutions, banks and debenture holders & other securities holders.
12. In our opinion and 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
similar securities during the year.
13. In our opinion, the Company is not a Chit Fund, Nidhi or Mutual
Benefit Society. Therefore, clause 4(xiii) of the Companies (Auditor''s
Report) Order, 2003 is not applicable to the Company.
14. During the period covered by our report the Company was not
dealing in or trading in shares, securities, debentures and other
investments. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditor''s Report) order, 2003 are not applicable to the
Company.
15. According to the information and explanations given to us, the
Company has given guarantee for loans taken by an associate company
from Banks/Financial Institutions/NBFCs, which in our opinion is not
prejudicial to the interest of the Company.
16. The Company has not taken any term loan during the year hence
requirement of reporting regarding application of term loans does not
arise.
17. According to the information and explanations given to us and
overall examination of the Balance Sheet of the Company, we report that
the funds raised on short-term basis have not been used for long-term
investments.
18. The Company has not issued any fresh share capital hence the
question of neither the preferential allotment nor the end use thereof
arises.
19. The Company has not issued any debentures and hence requirements
of reporting regarding creation of securities in respect of debentures
issued does not arise.
20. The Company has not raised any money by public issue during the
year.
21. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
For SIPANI & ASSOCIATES
Chartered Accountants
Registration No.: 007712N
Vijay Sipani
Proprietor
M. No.: 083850
Place: Delhi
Date: 30-05-2014
Mar 31, 2013
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying financial statements of MEGA
CORPORATION 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
accounting principles generally accepted in India, including the
Accounting Standards referred to in sub-section (3C) of section 211 of
the Companies Act, 1956 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
b) in the case of the Statement of Profit and Loss, of the loss of the
Company for the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows of the
Company 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 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure ''A''
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
sub-section (3C) of section 211 of the Companies Act, 1956; and
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 ''A'' referred to in paragraph 1 under the heading "Report on
other legal and regulatory requirements" of our report of even date to
the members of MEGA CORPORATION LIMITED.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) All the fixed assets have been physically verified by the management
at reasonable intervals, which in our opinion is reasonable having
regard to size of the Company and the nature of fixed assets. As
informed, no material discrepancies were noticed on such verification.
c) The Company has not disposed off any substantial part of its fixed
assets during the year.
2. The Company had no Inventory and as such clause (ii) of paragraph 4
of the Companies (Auditor Report) Order, 2003 is not applicable.
3. (a) The Company has granted unsecured loan to one party listed in
the register maintained under Section 301 of the Companies Act, 1956.
The amount of loan granted to such party was Rs. 623.00 Lacs (Prev.
Year Rs. 30.00 Lacs ). The Maximum amount outstanding during the year
was Rs. 345.66 Lacs and year-end balance of loan granted to such party
was Rs. 225.89 Lacs (Prev. Year NIL ).
(b) Above loans were repayable on demand. In our opinion, the rate of
interest and other terms and conditions of such loans were not prima
facie prejudicial to the interest of the Company.
(c) The receipt of principal amount and interest have been regular / as
per stipulations and there is no overdue amount.
(d) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken any loans from companies, firms or other parties listed in
the register maintained under Section 301 of the Companies Act, 1956
(Prev. Year NIL ).
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. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in internal control.
5. In respect of transactions entered in the register maintained in
pursuance of section 301 of the Companies Act, 1956.
(a) Based on audit procedures applied by us, to the best of our
knowledge and belief and according to the information and explanations
given to us, we are of the opinion that the transactions that needed to
be entered into the register maintained under Section 301 have been so
entered.
(b) According to the information and explanations given to us, the
transactions with parties with whom transactions exceeding the value of
Rs. 5,00,000 have been entered into during the financial year, are at
prices, which are reasonable, having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits from the public within
the meaning of section 58A & 58AA of the Companies Act, 1956 and the
rules framed there under.
7. In our opinion and according to the information and explanations
given to us, the Company has an internal audit system commensurate with
the size of the company and the nature of its business.
8. As informed to us by the Company, the maintenance of cost records
has not been prescribed by the Central Government under section
209(1)(d) of the Companies Act, 1956.
9. (a) According to the information and explanations given to us and
on the basis of examination of the records of the Company, amounts
deducted/accrued in the books of accounts in respect of undisputed
statutory dues including Provident Fund, Employees State Insurance,
Income Tax, Customs Duty, Service Tax and other material statutory dues
have been generally regularly deposited during the year by the company
with the appropriate authorities. As explained to us, the Company did
not have any dues on account of Investor Education & Protection Fund,
Excise Duty, Sales Tax and Wealth Tax.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Provident Fund, Employees
State Insurance, Income Tax, Customs Duty, Service Tax, Cess and other
material statutory dues were outstanding at the year end for a period
of more than six months from the date they became payable.
(c) According to the information and explanations given to us and
records of the Company examined by us, the Company has not deposited
disputed Income Tax demand of Rs. 150.37 Lacs relating to A.Y. 2006-07.
The company''s appeal is pending for adjudication before CIT(Appeals).
10. The Company does not have accumulated losses at the end of the
year. The Company has incurred cash losses of Rs. 9,79,032/- during the
current financial year and also incurred cash losses Rs. 36,63,013/- in
the immediately preceding financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in the repayment of dues to financial
institutions, banks and debenture holders & other securities holders.
12. In our opinion and 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
similar securities during the year.
13. In our opinion, the Company is not a Chit Fund, Nidhi or Mutual
Benefit Society. Therefore, clause 4(xiii) of the Companies (Auditor''s
Report) Order, 2003 is not applicable to the Company.
14. During the period covered by our report the Company was not
dealing in or trading in shares, securities, debentures and other
investments. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditor''s Report) order, 2003 are not applicable to the
Company.
15. According to the information and explanations given to us, the
Company has given guarantee for loans taken by an associate company
from Banks/Financial Institutions/NBFCs, which in our opinion is not
prejudicial to the interest of the Company.
16. The Company has not taken any term loan during the year hence
requirement of reporting regarding application of term loans does not
arise.
17. According to the information and explanations given to us and
overall examination of the Balance Sheet of the Company, we report that
the funds raised on short-term basis have not been used for long-term
investments.
18. The Company has not issued any fresh share capital hence the
question of neither the preferential allotment nor the end use thereof
arises.
19. The Company has not issued any debentures and hence requirements
of reporting regarding creation of securities in respect of debentures
issued does not arise.
20. The Company has not raised any money by public issue during the
year.
21. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
For SIPANI & ASSOCIATES
Chartered Accountants
Registration No.: 007712N
Vijay Sipani
Proprietor
M. No. :083850
Place: Delhi
Date: 30-05-2013
Mar 31, 2012
We have audited the attached Balance Sheet of Mega Corporation Limited,
as at 31st March, 2012 and also Statement of Profit and Loss, 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 ouraudit.
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.
As required by the Companies (Auditor's Report) Order, 2003 issued by
the Central Government of India in terms of sub section (4A) of Section
227 of the Companies Act, 1956, we enclose in the annexure a statement
on the matters specified in paragraphs 4 and 5 of the said order.
Further to our comments in the Annexure referred to above, we report
that:
i. We have obtained all the information and explanations, which, to the
best of our knowledge and belief, were necessary for the purposes of
ouraudit;
ii. In our opinion, the company has kept proper books of account as
required by law so far as appears from our examination of those books;
iii. The Balance Sheet, Statement of Profit and Loss and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
i v. I n our opinion the Balance Sheet, Statement of Profit and Loss
and the Cash Flow Statement dealt with by this report comply with the
mandatory Accounting Standards referred to in sub section (3C) of
Section 211 of the Companies Act, 1956;
v. On the basis of written representations received from the directors
as on 31st March, 2012, 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.
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said financial statements together
with the notes thereon and attached thereto, give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India
(a) in the case of the Balance Sheet, of the State of Affairs of the
Company as at 31 st March, 2012; and
(b) in the case of Statement of Profit and Loss, of the loss for the
year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE TO THE
MEMBERS OF MEGA CORPORATION LIMITED ON THE ACCOUNTS AS AT AND FOR THE
YEAR ENDED 31st MARCH 2012.
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets have been physically verified by the
management at reasonable intervals, which in our opinion is reasonable
having regard to size of the Company and the nature of fixed assets. As
informed, no material discrepancies were noticed on such verification.
(c) The Company has not disposed off any substantial part of its fixed
assets during the year.
2. The Company had no Inventory and as such clause (ii) of paragraph 4
of the Companies (Auditor Report) Order, 2003 is not applicable.
3. (a) The Company has granted unsecured loan to one party listed in
the register maintained under Section 301 of the Companies Act, 1956.
The amount of loan granted to such party was Rs. 30 Lacs (Prev. Year
NIL). The Maximum amount outstanding during the year was Rs. 30 Lacs
and year end balance of loan granted to such party was Rs. NIL (Prev.
Year NIL).
(b) Above loans were repayable on demand. In our opinion, the rate of
interest and other terms and conditions of such loans were not prima
facie prejudicial to the interest of the Company.
(c) The principal amount have been received back in full during the
year as per stipulations and there is no overdue amount.
(d) In our opinion and according to the information and explanations
given to us the Company has not taken any unsecured loan during the
year from parties listed in the register maintained under Section 301
of the Companies Act, 1956. (In previous year the Company has taken
unsecured loans of Rs. 650 Lacs and year end balance of loan taken from
such party was Rs. 650 Lacs )
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. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in internal control.
5. In respect of transactions entered in the register maintained in
pursuance of section 301 of the Companies Act, 1956.
(a) Based on audit procedures applied by us, to the best of our
knowledge and belief and according to the information and explanations
given to us, we are of the opinion that the transactions that needed to
be entered into the register maintained under Section 301 have been so
entered.
(b) According to the information and explanations given to us, the
transactions with parties with whom transactions exceeding the value of
Rs. 5,00,000 have been entered into during the financial year, are at
prices, which are reasonable, having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits from the public within
the meaning of section 58A & 58AA of the Companies Act, 1956 and the
rules framed there under.
7. In our opinion and according to the information and explanations
given to us, the Company has an internal audit system commensurate with
the size of the company and the nature of its business.
8. As informed to us by the company, the maintenance of cost records
has not been prescribed by the Central Government under section 209(1
)(d)of the CompaniesAct, 1956.
9. (a) According to the information and explanations given to us and
on the basis of examination of the records of the Company, amounts
deducted/accrued in the books of accounts in respect of undisputed
statutory dues including Provident Fund, Employees State Insurance,
Income Tax, Customs Duty, Service Tax and other material statutory dues
have been generally regularly deposited during the year by the company
with the appropriate authorities. As explained to us, the Company did
not have any dues on account of Investor Education & Protection Fund,
Excise Duty, Sales Tax and Wealth Tax.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Provident Fund. Employees
State Insurance, Income Tax, Customs Duty, Service Tax, Cess and other
material statutory dues were outstanding at the year end for a period
of more than six months from the date they became payable.
(c) According to the information and explanations given to us and
records of the Company, the company has not deposited disputed Income
tax demand of Rs. 150.37 Lacs relating to A.Y 2006 07 which has been
created on account of assessment made u/s 143(3) of the Income Tax Act.
The company's appeal with ITAT, Delhi is pending for adjudication.
10. The Company does not have accumulated losses at the end of the
year. The company has incurred cash losses of Rs. 36,63,013/ during the
current year. The company has not incurred any cash losses in the
immediately preceding financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in the repayment of dues to financial
institutions, banks and debentures & other securities.
12. In our opinion and 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
similar securities during the year.
13. In our opinion, the Company is not a Chit Fund, Nidhi or Mutual
Benefit Society. Therefore, clause 4(xiii) of the Companies (Auditor's
Report) Order, 2003 is not applicable to the Company.
14. During the period covered by our report the Company was not
dealing in or trading in shares, securities, debentures and other
investments. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditor's Report) order, 2003 are not applicable to the
Company.
15. According to the information and explanations given to us, the
Company has given guarantee for loans taken by an associate company,
from Banks/Financial Institution/NBFCs, which in our opinion is not
prejudicial to the interest of the Company.
16. The Company has not taken any term loan during the year hence
requirement of reporting regarding application of term loans does not
arise.
17. According to the information and explanations given to us and
overall examination of the Balance Sheet of the Company, we report that
the funds raised on short term basis have not been used for long term
investments.
18. The company has not issued any fresh share capital hence the
question of neither the preferential allotment nor the end use thereof
arises.
19. The company has not issued any debentures and hence requirements
of reporting regarding creation of securities in respect of debentures
issued does notarise.
20. The company has not raised any money by public issue during the
year.
21. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the company has been noticed or reported during
the course of our audit.
For SIPANI & ASSOCIATES
Chartered Accountants
(VIJAY SIPANI)
Prop.
Place: Delhi M. No. 083850
Date: 30 05 2012 Firm No. 007712N
Mar 31, 2010
We have audited the attached Balance Sheet of Mega Corporation Limited,
as at 31st March, 2010 and also the Profit and Loss Account and Cash
Flow Statement for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those Standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
As required by the Companies (Auditors Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section
227 of the Companies Act, 1956, we enclose in the Annexure a statement
on the rriatters specified in paragraphs 4 and 5 of the said order.
Further to our comments in the Annexure referred to above, we report
that:
i. We have obtained all the information and explanations, which, to the
best of our knowledge and belief, were necessary for the purposes of
our audit.
ii. In our opinion, the company has kept proper books of account as
required by law so far as appears from our examination of those books.
iii. The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
iv. In our opinion, subject to Note No. 15 of Schedule 19, the Balance
Sheet, Profit and Loss Account and Cash Flow Statement dealt with by
this report comply with the mandatory Accounting Standards referred to
in sub-section (3C) of Section 211 of the Companies Act, 1956.
v. On the basis of written representations received from the directors
as on 31st March, 2010, and taken on record by the Board of Directors,
we report that none of the directors is disqualified as on 31 st March,
2010 from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956.
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said financial statements together
with the notes thereon and attached thereto, give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:
a) In the case of the Balance Sheet, of the State of Affairs of the
Company as at 31 st March, 2010
b) In the case of the Profit and Loss Account, of the Loss for the year
ended on that date; and.
c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE TO THE
MEMBERS OF MEGA CORPORATION LIMITED ON THE ACCOUNTS AS AT AND FOR THE
YEAR ENDED 31ST MARCH 2010.
1. (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of
fixed assets.
(b) The company has a programme for physical verification on rotational
basis, which is in our opinion, is reasonable having regard to the size
of the company and nature of business. Accordingly, certain fixed
assets have been physically verified by the management during the year
and no material discrepancies were noticed on such verification.
(c) The Company has disposed off all the Fixed Assets of its Radio Taxi
Division during the year by way of Slump Sale which in our opinion
constitute substantial part of the Fixed Assets of the Company. However
such disposal has, in our opinion, not affected the going concern
status of the Company as it has two other major business segments,
namely Air Charter Services and Finance & Investment Business.
2. (a) The inventory of spare parts & miscellaneous items has been
physically verified by the management during the year. In our opinion the
frequency of such verification is reasonable.
(b) The procedures of physical verification of inventory followed by
the management are, in our opinion, reasonable and adequate in relation
to the size of the Company and the nature of its business.
(c) In our opinion, the Company is maintaining proper records of
inventory. No significant discrepancies were noticed on such
verification as compared with the book records.
3. (a) The Company has granted unsecured loans to two parties listed
in the register maintained under Section 301 of the
Companies Act, 1956. The total amount of loans granted to these parties
was Rs. 100 Lacs. The Maximum amount outstanding during the year was
Rs. 100 Lacs and the year-end balance of loan given to such parties was
Rs. NIL.
(b) Above loans were repayable on demand, in our opinion, the rate of
interest and other terms and conditions of such loans were not prima
facie prejudicial to the interest of the Company.
(c) The receipt of principal amount and interest have been regular/ as
per stipulations and there is no overdue amount.
(d) The Company has taken loan from one party listed in the register
maintained under Section 301 of the Companies Act, 1956. The total
amount of loan taken during the year from such party was Rs. 50 Lacs
which was repaid in full during the year. Year end outstanding balance
of said loan was NIL.
(e) According to the information and explanations given to us, we are
of the opinion that the rate of interest and other terms and conditions
of unsecured loans taken by the Company were not prima facie
prejudicial to the interest of the Company.
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. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in internal control.
5. In respect of transactions entered in the register maintained in
pursuance of section 301 of the Companies Act, 1956.
(a) Based on audit procedures applied by us, to the best of our
knowledge and belief and according to the information and explanations
given to us, we are of the opinion that the transactions that needed to
be entered into the register maintained under Section 301 have been so
entered.
(b) According to the information and explanations given to us, the
transactions with parties with whom transactions exceeding the value of
Rs. 5,00,000 have been entered into during the financial year, are at
prices, which are reasonable, having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits from the public within
the meaning of section 58A & 58AA of the Companies Act, 1956 and the
rules framed there under.
7. In our opinion and according to the information and explanations
given to us, the Company has an internal audit system commensurate with
the size of the company and the nature of its business.
8. As informed to us by the company, the maintenance of cost records
has not been prescribed by the Central Government under section 209(1
)(d) of the Companies Act, 1956.
9. (a) According to the information and explanations given to us and
on the basis of examination of the records of the Company,
amounts deducted/accrued in the books of accounts in respect of
undisputed statutory dues including Provident Fund, Employees State
Insurance, Income Tax, Customs Duty, Service Tax and other material
statutory dues have been generally regularly deposited during the year
by the company with the appropriate authorities. As explained to us,
the Company did not have any dues on account of Investor Education &
Protection Fund, Excise Duty, Sales Tax & Wealth Tax.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Provident Fund, Employees
State Insurance, Income Tax, Customs Duty, Service Tax, Cess and other
material statutory dues were outstanding at the year end for a period
of more than six months from the date they became payable.
(c) According to the information and explanations given to us and
records of the Company, the company has not deposited disputed Income
tax demand of Rs. 396.57 Lacs relating to A.Y. 2006-07 which has been
created on account of assessment made u/s 143(3) of the Income Tax Act.
The company has filed an appeal with Commissioner of Income Tax which
is pending for adjudication.
10. The Company does not have accumulated losses at the end of the
year and the company has not incurred cash losses during current and
the immediately preceding financial year.
11. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in the repayment of dues to financial
institutions, banks and debentures & other securities.
12. In our opinion and 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
similar securities during the year.
13. In our opinion, the Company is not a Chit Fund, Nidhi or Mutual
Benefit Society. Therefore, clause 4(xiii) of the Companies (Auditors
Report) Order, 2003 is not applicable to the Company.
14. During the period covered by our report the Company was not
dealing in or trading in shares, securities, debentures and other
investments. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditors Report) order, 2003 are not applicable to the
Company.
15. According to the information and explanations given to us, the
Company has given guarantee for loans taken by M/s Mega Cabs Ltd, an
associate concern, for loans taken by it from Banks/Financial
Institutions/NBFCs, which in our opinion is not prejudicial to the
interest of the Company.
16. The Term Loans taken by the Company have been applied for the
purpose for which they were obtained. The company has availed Term
Loan/Deferred Payment Credits from different Banks & Financial
Institutions for purchase of commercial cars on terms generally
followed by such banks and institutions hence they are not prima facie
prejudicial to the interest of the Company.
17. According to the information and explanations given to us and
overall examination of the balance sheet of the Company, we report that
the no funds raised on short-term basis have been used for long-term
investments.
18. The company has not issued any fresh share capital hence the
question of neither the preferential allotment nor the end use thereof
arises.
19. The company has not issued any debentures and hence requirements
of reporting regarding creation of securities in respect of debentures
issued does not arise.
20. The company has not raised any money by public issue during the
year.
21. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the company has been noticed or reported during
the course of our audit.
For SIPANI & ASSOCIATES
Chartered Accountants
(VIJAY SIPANI) Prop.
Place: Delhi M. No. 83850
Date: 29-05-2010 Firm No. 007712N
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