Mar 31, 2015
We have audited the accompanying financial statements of MFL India
Limited ("the company"),which comprise the Balance Sheet as at 31 March
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 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 and presentation of these financial statements that
give a true and fair view of the financial position, financial
performance and cash flows of the Company in accordance with the
accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes the maintenance of adequate accounting records in
accordance with the provision of the Act for safeguarding of the assets
of the Company and for preventing and detecting the 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 control, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made 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 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 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 operating effectiveness of
such controls. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by Company's Directors, as well as evaluating the
overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India of the state of affairs of the Company as
at 31st March2015, its profit/loss and its cash flows for the year
ended on that date.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we give in the Annexure a
statement on the matters Specified in paragraphs 3 and 4 of the Order,
to the extent applicable.
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 Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) In our opinion, the aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of written representations received from the directors
as on 31 March, 2015, taken on record by the Board of Directors, none
of the directors is disqualified as on 31 March, 2015 from being
appointed as a director in terms of Section 164(2) of the Act.
f) In our opinion and to the best of our information and according to
the explanations given to us, we report as under with respect to other
matters to be included in the Auditor's Report in accordance with Rule
11 of the Companies (Audit and Auditors) Rules, 2014:
i. the Company does not have any pending litigations which would
impact its financial position
ii. the Company did not have any long-term contracts including
derivatives contracts for which there were any material foreseeable
losses
iii. there were no amounts which required to be transferred by the
Company to the Investor Education and Protection Fund].
Annexure to the Auditors' Report
On the basis of such checks as we considered appropriate and according
to the information and Explanations 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 the fixed
assets.
(b) As explained to us, fixed assets have been physically verified by
the management during the year in accordance with the phased programme
of verification adopted by the management which, in our opinion,
provides for physical verification of all the fixed assets at
reasonable intervals. According to the information and explanations
given to us, no material discrepancies were noticed on such
verification.
(ii) The Company is engaged in providing Logistics $ supply chain
services. It is also carries on the business of crushing & trading of
construction aggregates, and according to the information and
explanations given to us, there was no closing stock as on 31st March,
2015.
(iii) According to the information and explanations given to us, the
Company has not granted any loans to companies, firms or other parties
covered in the Register maintained under Section 189 of the Companies
Act, 2013; and therefore paragraph 3(iii) of the Order is not
applicable.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the company and the nature of its business with regard
to the purchase of inventory, fixed assets and for the sale of goods
and services. During the course of our Audit, we have not observed any
continuing failure to correct major weaknesses in internal control.
(v) The company has not accepted any public deposits during the year.
(vi) As informed to us, the Central Government has not prescribed
maintenance of cost records under sub-section (1) of Section 148 of the
Act, in respect of the activities carried on by the Company.
(vii) (a) According to the records of the company and information and
explanations given to us, the Company has generally been regular in
depositing undisputed statutory dues, including Provident Fund,
employees state insurance (ESI), Income-tax, Tax deducted at sources,
Tax collected at source, Sales Tax, value added tax (VAT), Service Tax,
and other material statutory dues applicable to it, with the appropriate
authorities.
(b) According to the information and explanations given to us, there
were no undisputed amounts payable in respect of Income-tax, Wealth
Tax, Custom Duty, Excise Duty, sales tax, VAT, Cess and other material
statutory dues in arrears / were outstanding as at 31 March, 2015 for a
period of more than six months from the date they became payable.
(c) there were no amounts which required to be transferred by the
Company to the Investor Education and Protection Fund
(viii) The company has not incurred any Cash losses during the
financial year covered by our Audit and the immediately preceding
financial year.
(ix) 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 and banks.
(x) In our opinion, and according to the information and the
explanation given to us, the company has not given any guarantee for
loans taken by others from banks or financial institutions during the
year;
(xi) The Term loans taken by the company have been applied for the
purpose for which they were raised.
(xii) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
For AM & ASSOCIATES
Chartered Accountants
Firm Registration No. : 014444N
eepti Garg
Place: Gurgaon Partner
Date: 27/05/2015 Membership No.: 527062
Mar 31, 2014
1. Report on the Financial Statements
We have audited the accompanying financial statements of MFL India
Limited which comprise the Balance Sheet as at 31st March, 2014, the
Statement of Profit & Loss and Cash Flow Statement for the year then
ended and a summary of significant accounting policies and fair view
and are free from material misstatement, whether due to fraud or error.
2. Management''s Responsibility for the financial statements
The Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position and
financial performance of the Company in accordance with the Accounting
Standards referred to in sub- section (3C) of Section 211 of the
Companies Act, 1956 (to the extent applicable). 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 plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement, whether due to fraud or error.
3. 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
regionable 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 the 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.
4. Opinion
In our opinion and to the best of our information and according to the
explanations given to us ,the financial statements give the information
required by the Companies Act,1956 in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(i) In the case of the Balance Sheet, of the state of affairs of the
company as at 31st March, 2014;
(ii) In the case of the Statement of Profit & Loss, of the profit of
the company for the year ended on that date;
(iii) In the case of the Cash Flow Statement, of the cash flows of the
company for the year ended on that date;
5. Report on Other legal Regulatory Requirements
A. As required by the Companies (Auditor''s Report) Order, 2003 (''the
Order''), as amended, issued by the Central Government of India in terms
of sub-section (4A) of Section 227 of the Companies Act, 1956 and on
the basis of such checks of the books and records of the company as we
considered appropriate and according to the information and
explanations given to us, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said order.
B. 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 and proper returns adequate for the purpose of our audit have
been received from branches not visited by us;
c. The Balance Sheet and Statement of Profit & Loss dealt with by this
Report are in agreement with the books of account and with the returns
received from branches not visited by us;
d. In our opinion, the Balance Sheet and Statement of Profit and Loss
comply with the Accounting Standards referred to in sub-section (3C) of
Section 211 of the Companies Act, 1956;
e. On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors are disqualified as on March 31, 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
Section 274 of the Companies Act, 1956.
f. Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
ANNEXURE TO AUDITORS'' REPORT
(Referred to in paragraph 5A of our report of even date)
(i) (a) The company is maintaining proper records showing full
particulars, including quantitative details and situation of fixed
assets;
(b) These fixed assets have been physically verified by the management
at reasonable intervals and no material discrepancies were noticed on
such verification. In our opinion, the periodicity of physical
verification is reasonable having regard to the size of the Company and
the nature of its assets.
(c) The company has not disposed of substantial part of its fixed
assets during the year, and therefore, it has not affected the company
as a going concern.
(ii) (a) The company has operated in the service sector and the company
has no inventory. Hence this point is not applicable on the company.
(b) The company has no inventory. Hence this point is not applicable on
the company.
(c) The company has no inventory. Hence this point is not applicable on
the company;
(iii) (a) According to the information and explanations given to us,
the company has not granted secured or unsecured loans, to companies in
the register maintained under section 301 of the Act.
(b) The Company has not granted loan. Hence this point is not
applicable.
(c) The Company has not granted loan. Hence this point is not
applicable.
(d) The Company has not granted loan. Hence this point is not
applicable.
(e) The company has not taken unsecured loans, there are no other
transactions from the companies, firms or other parties covered in the
register maintained under section 301 of the Act.
(f) The Company has not taken loan. Hence this point is not applicable.
(g) The Company has not granted loan. Hence this point is not
applicable.
(iv) 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, for the purchase of fixed assets and for the sale of goods
and service. However there is still scope of improvement in the same.
During the course of our audit we have not observed any continuing
failure to correct major weakness in internal control systems.
v) (a) As per the records, the particulars of contracts that need to be
entered into a register in pursuance of section 301 of the Act have
been so entered.
(b) According to the explanations and information given to us the
transactions in pursuance of such contracts have been made at prices
which are reasonable having regard to the prevailing market prices at
the relevant time;
(vi) In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits from the public
to which the directives issued by RBI and the provisions of section
58A, 58AA or any other relevant provisions of the Companies Act, 1956
and the rules framed there under apply. No order has been passed by the
company Law board or National Company Law Tribunal or Reserve Bank of
India or any court or any other tribunal.
(vii) In our opinion the company has internal audit system commensurate
with its size and nature of its business;
(viii) To the best of our knowledge and as per the explanations and
information given to us the maintenance of cost records has not been
prescribed by the Central Government under clause (d) of sub-section
(1) of section 209 of the Act.
(ix) (a) As per the records the company is regular in depositing
undisputed statutory dues including Provident Fund, Investor Education
and Protection Fund, Employees'' State Insurance, Income-tax, Sales-tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and any other
statutory dues with the appropriate authorities.
(b) According to the information and explanations given to us, there no
dues of sales tax, income tax, custom duty, wealth tax, Service Tax,
excise duty and cess which have not been deposited:-
(x) The accumulated losses of the company are less than fifty percent
of its net worth The Company has not incurred cash losses during the
financial year covered by our audit. The company does not have any cash
losses in the immediately preceding financial year.
(xi) The company has not made any default in payment of the dues to the
bank and financial institution.
(xii) As per the records the company has granted loan on the basis of
security by way of pledge of shares.
(xiii) To the best of our knowledge and according to the information
and explanations given to us the provisions of any special statue
applicable to chit fund are not applicable to the Company.
(xiv) According to the information and explanations given by the
management, the company is not dealing in or trading in shares,
securities, debentures and other investments. The Company has
maintained proper records and timely entries have been made and the
investments are in the name of the Company.
(xv) The company has not given any guarantees for its associate company
to bank.
(xvi) The company has applied the term for the purpose for which term
loan were obtained.
(xvii) The funds raised for short term purpose has not been used for
the long term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the Register maintained under
section 301 of the Act.
(xix) The company has not issued any debentures.
(xx) The Company has not raised any money by public issues.
(xxi) On the examinations of records of the company no fraud on or by
the company has been noticed or reported during the year.
For SRY & ASSOCIATES
Chartered Accountants
Firm''s. Reg. No. 011227N
Rajan Gupta
Place : New Delhi Partner
Date : May 16, 2014 Membership No. 089469
Mar 31, 2013
1. Report on the Financial Statements
We have audited the accompanying fi nancial statements of MFL India
Limited which comprise the Balance Sheet as at 31st March, 2013, the
Statement of Profi t & Loss and Cash Flow Statement for the year then
ended and a summary of signifi cant accounting policies and other
explanatory information.
2. Management''s Responsibility for the fi nancial statements
The Management is responsible for the preparation of these fi nancial
statements that give a true and fair view of the fi nancial position
and fi nancial performance of the Company in accordance with the
Accounting Standards referred to in sub-section (3C) of Section 211 of
the Companies Act, 1956 (to the extent applicable). This responsibility
includes the design, implemen- tation and maintenance of internal
control relevant to the preparation and presentation of the fi nancial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
3. Auditor''s Responsibility
Our responsibility is to express an opinion on these fi nancial
statements based on our audit. We conducted our audit in ac- cordance
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 fi nancial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the fi nancial state- ments. The
procedures selected depend on the auditor''s judgment, including
the assessment of the risks of material mis- statement of the fi
nancial 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 fi nancial
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 the Management, as well as evaluating
the over- all presentation of the fi nancial statements.
We believe that the audit evidence we have obtained is suffi cient and
appropriate to provide a basis for our audit opinion.
4. Opinion
In our opinion and to the best of our information and according to the
explanations given to us ,the fi nancial statements give the
information required by the Companies Act,1956 in the manner so
required and give a true and fair view in conformity with the
accounting principles generally accepted in India:
(i) In the case of the Balance Sheet, of the state of affairs of the
company as at 31st March, 2013;
(ii) In the case of the Statement of Profi t & Loss, of the profi t of
the company for the year ended on that date;
(iii) In the case of the Cash Flow Statement, of the cash fl ows of the
company for the year ended on that date;
5. Report on Other legal Regulatory Requirements
A. As required by the Companies (Auditor''s Report) Order, 2003
("Âthe Order''), as amended, issued by the Central
Government of India in terms of sub-section (4A) of Section 227 of the
Companies Act, 1956 and on the basis of such checks of the books and
records of the company as we considered appropriate and according to
the information and explanations given to us, we enclose in the
Annexure a statement on the matters specifi ed in paragraphs 4 and 5 of
the said order.
B. 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 and Statement of Profi t & Loss dealt with by
this Report are in agreement with the books of account;
d. In our opinion, the Balance Sheet and Statement of Profi t and Loss
comply with the Accounting Standards referred to in sub-section (3C) of
Section 211 of the Companies Act, 1956;
e. On the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors are disqualifi ed 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.
f. Since the Central Government has not issued any notifi cation as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
ANNEXURE TO AUDITORS'' REPORT
(Referred to in paragraph 5A of our report of even date)
(i) (a) The company is maintaining proper records showing full
particulars, including quantitative details and situation of fi xed
assets;
(b) These fi xed assets have been physically verifi ed by the
management at reasonable intervals and no material discrepan- cies were
noticed on such verifi cation. In our opinion, the periodicity of
physical verifi cation is reasonable having regard to the size of the
Company and the nature of its assets.
(c) The company has not disposed of substantial part of its fi xed
assets during the year, and therefore, it has not affected the company
as a going concern.
(ii) (a) The company has operated in the service sector and the company
has no inventory. Hence this point is not applicable on the company.
(b) The company has no inventory. Hence this point is not applicable on
the company.
(c) he company has no inventory. Hence this point is not applicable on
the company;
(iii) (a) According to the information and explanations given to us,
the company has not granted secured or unsecured loans, to companies in
the register maintained under section 301 of the Act.
(b) The Company has not granted loan. Hence this point is not
applicable.
(c) The Company has not granted loan. Hence this point is not
applicable.
(d) The Company has not granted loan. Hence this point is not
applicable.
(e) The company has not taken unsecured loans, there are no other
transactions from the companies, fi rms or other parties covered in the
register maintained under section 301 of the Act.
(f) The Company has not taken loan. Hence this point is not applicable.
(g) The Company has not granted loan. Hence this point is not
applicable.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control proce dures
commensurate with the size of the company and the nature of its
business, for the purchase of fi xed assets and for the sale of goods
and service. However there is still scope of improvement in the same.
During the course of our audit we have not observed any continuing
failure to correct major weakness in internal control systems.
(v) (a) As per the records, the particulars of contracts that need to
be entered into a register in pursuance of section 301 of the Act have
been so entered.
(b) According to the explanations and information given to us the
transactions in pursuance of such contracts have been made at prices
which are reasonable having regard to the prevailing market prices at
the relevant time;
(vi) In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits from the public
to which the directives issued by RBI and the provisions of section
58A, 58AA or any other relevant provi- sions of the Companies Act, 1956
and the rules framed there under apply. No order has been passed by the
company Law board or National Company Law Tribunal or Reserve Bank of
India or any court or any other tribunal.
(vii) In our opinion the company has internal audit system commensurate
with its size and nature of its business;
(viii) To the best of our knowledge and as per the explanations and
information given to us the maintenance of cost records has not been
prescribed by the Central Government under clause (d) of sub-section
(1) of section 209 of the Act.
(ix) (a) As per the records the company is regular in depositing
undisputed statutory dues including Provident Fund, Investor Education
and Protection Fund, Employees'' State Insurance, Income-tax,
Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and
any other statutory dues with the appropriate authorities.
(b) According to the information and explanations given to us, there no
dues of sales tax, income tax, custom duty, wealth tax, Service Tax,
excise duty and cess which have not been deposited:-
(x) The accumulated losses of the company are less than fi fty percent
of its net worth The Company has not incurred cash losses during the fi
nancial year covered by our audit. The company does not have any cash
losses in the immediately preceding fi nancial year.
(xi) The company has not made any default in payment of the dues to the
bank and fi nancial institution.
(xii) As per the records the company has not granted loans and advances
on the basis of security by way of pledge of shares, debentures and
other securities.
(xiii) To the best of our knowledge and according to the information
and explanations given to us the provisions of any special statue
applicable to chit fund are not applicable to the Company.
(xiv) According to the information and explanations given by the
management, the company is not dealing in or trading in shares,
securities, debentures and other investments. The Company has
maintained proper records and timely entries have been made and the
investments are in the name of the Company.
(xv) The company has not given any guarantees for its associate company
to bank.
(xvi) The company has applied the term for the purpose for which term
loan were obtained.
(xvii) The funds raised for short term purpose has not been used for
the long term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the Register main- tained under
section 301 of the Act.
(xix) The company has not issued any debentures.
(xx) The Company has not raised any money by public issues.
(xxi) On the examinations of records of the company no fraud on or by
the company has been noticed or reported during the year.
For SRY & ASSOCIATES
Chartered Accountants
Firm . Reg. No. 011227N
Rajan Gupta
Date : May 30, 2013 Partner
Place : New Delhi Membership No. 089469
Mar 31, 2012
1. We have audited the attached Balance Sheet of M/s MFL INDIA
LIMITED, as at 31st March, 2012, and the Profit and Loss Account for the
year ended on that date annexed thereto and cash flow statement for the
year ended on that date. These financial statements are the
responsibility of the company's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with the 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 financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (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:
(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 and Loss Account and Cash flow statement
dealt with by this report are in agreement with the books of account.
(d) In our opinion, the balance sheet, profit and loss account and cash
flow statement dealt with by this report comply with the accounting
standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956,
(e) On the basis of written representations received from the
directors, 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,
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view 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 and Loss Account, of the profit for the
year ended on that date.
iii. In the case of Cash flow statement, of the cash flow for the year
ended on that date.
ANNEXURE TO AUDITORS' REPORT
(referred to in paragraph 3 of our report of even date)
(i) (a) The company is maintaining proper records showing full
particulars, including quantitative details and situation of fixed
assets;
(b) These fixed assets have been physically verified by the management at
reasonable intervals and no material discrepancies were noticed on
such verification. In our opinion, the periodicity of physical
verification is reasonable having regard to the size of the Company and
the nature of its assets.
(c) The company has not disposed of substantial part of its fixed assets
during the year, and therefore, it has not affected the company as a
going concern.
(ii) (a) As per the information and explanations given to us the
management has conducted physical verification of inventory at
reasonable intervals. (b) In our opinion and according to the
explanations and information given to us, the procedures of physical
verification of inventory followed by the management are reasonable and
adequate in relation to the size of the company and the nature of its
business.
(c) The company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification otherwise
the same have been properly dealt with in the books of accord
(iii) (a) According to the information and explanations given to us,
the company has not granted secured or unsecured loans, to companies in
the register maintained under section 301 of the Act.
(b) The rate of Interest and other terms & conditions of loans taken by
the company are prima facie not prejudicial to the interest of the
company.
(c) The payment of principal and interest are also regular.
(d) The Company has taken reasonable steps for recovery of principal
and interest for amount overdue more than one lakh rupees.
(e) The company has not taken any unsecured loans, there are no other
transactions from the companies, firms or other parties covered in the
register maintained under section 301 of the Act.
(f) The rate of Interest and other terms & conditions of loans taken by
the company are prima facie not prejudicial to the interest of the
company.
(g) The payment of principal and interest are also regular.
(iv) 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, for the purchase of fixed assets and for the sale of goods and
service. However there is still scope of improvement in the same.
During the course of our audit we have not observed any continuing
failure to correct major weakness in internal control systems.
(v) (a) As per the records, the particulars of contracts that need to
be entered into a register in pursuance of section 301 of the Act have
been so entered. (b) According to the explanations and information
given to us the transactions in pursuance of such contracts have been
made at prices which are reasonable having regard to the prevailing
market prices at the relevant time;
(vi) In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits from the public
to which the directives issued by RBI and the provisions of section
58A, 58AA or any other relevant provisions of the Companies Act, 1956
and the rules framed there under apply. No order has been passed by the
company Law board or National Company Law Tribunal or Reserve Bank of
India or any court or any other tribunal.
(vii) In our opinion the company has internal audit system commensurate
with its size and nature of its business;
(viii) To the best of our knowledge and as per the explanations and
information given to us the maintenance of cost records has not been
prescribed by the Central Government under clause (d) of sub-section
(1) of section 209 of the Act.
(ix) (a) As per the records the company is regular in depositing
undisputed statutory dues including Provident Fund, Investor Education
and Protection Fund, Employees' State Insurance, Income-tax, Sales-tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and any other
statutory dues with the appropriate authorities. (b) According to the
information and explanations given to us, there no dues of sales tax,
income tax, custom duty, wealth tax, Service Tax, excise duty and cess
which have not been deposited:- (x) The accumulated losses of the
company are less than fifty percent of its net worth The Company has not
incurred cash losses during the financial year covered by our audit. The
company does not have any accumulated losses in the immediately
preceding financial year.
(xi) The company has not made any default in payment of the dues to the
bank and financial institution.
(xii) As per the records the company has not granted loans and advances
on the basis of security by way of pledge of shares, debentures and
other securities.
(xiii) To the best of our knowledge and according to the information
and explanations given to us the provisions of any special statue
applicable to chit fund are not applicable to the Company.
(xiv) According to the information and explanations given by the
management, the company is not dealing in or trading in shares,
securities, debentures and other investments. The Company has
maintained proper records and timely entries have been made and the
investments are in the name of the Company.
(xv) The company has not given any guarantees for its associate company
from bank.
(xvi) The company has applied the term for the purpose for which term
loan were obtained.
(xvii) The funds raised for short term purpose has not been used for
the long term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the Register maintained under
section 301 of the Act.
(xix) The company has not issued any debentures.
(xx) The Company has not raised any money by public issues.
(xxi) On the examinations of records of the company no fraud on or by
the company has been noticed or reported during the year.
For SRY & ASSOCIATES
Chartered Accountants
Firm. R. No. 011227N
Place : New Delhi Rajan Gupta
Date : May 28, 2012 Partner
Membership No. 089469
Mar 31, 2010
We have audited the attached Balance Sheet of M/s My Fair Lady Ltd., 6,
Shahpur Jat, New Delhi - 110 049., as at 31st March, 2010, and the
Profit and Loss Account for the year ended on that date annexed thereto
and cash flow statement for the year ended on that date. 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 the 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 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 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 our
audit,
(ii) In our opinion, proper books of account as required by law have
been kept by the company so far as appears from our examination of
those books.
(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, the balance sheet, profit and loss account and
cash flow statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of section 211 of
the Companies Act, 1956,
(v) On the basis of written representations received from the
directors, as on 31 st 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 accounts 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 31stMarch,2010,
(b) In the case of the Profit and Loss Account, of the loss for the
year ended on that date.
(c) In the case of Cash flow statement, of the cash flow for the year
ended on that date.
Annexure M/s My Fair Lady Ltd., Referred to in paragraph 3 of our
report of even date,
1. The companys records with regard to fixed assets are incomplete,
on the basis of information and explanations given to us by the
management, the assets of the company have been physically verified and
no material discrepancies have been noticed by the management.
2. (a) That there is no business activity except sale / purchase of
security, hence there is no inventory.
b) The company is having nil stock of shares as on 31.03.2010.
3. The Company has taken interest free loan from a person covered in
the register maintained under section 301 of the Companies Act, 1956.
The maximum amount involved during the year was Rs.2,50,000 /-and the
year-end balance was nil.
a) In our opinion and according to the information and explanations
given to us the loan is not prejudicial to the interest of the company.
b) In our opinion, the rate of interest and term and conditions of
loans taken from persons listed in the register maintained under
section 301 of the Companies Act, 1961 are 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 is no business activity , the internal control
procedures with regards to purchases of inventory, fixed assets and
with regard to the sale of goods are not applicable.
5. In our opinion and according to the information and explanations
given to us, there were no transactions exceeding Rs.5,00,000.00 during
the year that need to be entered in the register maintained under
section 301 of the Companies Act, 1956.
6. The company has not accepted any deposits from the public during
the year.
7. In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
8. The central Government has not prescribed the maintenance of Cost
records Under Section 209(1 )(d) of the Companies Act, 1956.
9. (a) The company is regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
investor education protection fund, employees state insurance, income
tax, custom duty, excise duty, cess and other material statutory dues
applicable to it.
(b) According to the information and explanations given to us, disputed
amounts outstanding in respect of Sales Tax and Excise have been given
as per notes to accounts as per Schedule-10.
10. In our opinion, the accumulated losses of the company are more
than fifty percent of its net worth. The company has incurred cash
losses during the financial year covered by our audit and in the
immediately preceding financial year.
11. The company has no liability to any Financial Institution, Banks
or debenture holders.
12. The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
13. In our opinion, the company is not a chit fund or a nidhi / mutual
benefit fund / society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditors Report) Order, 2003 are not applicable to the
company.
14. In our opinion, the company is dealing in or trading in shares,
securities, debentures and other investments. Accordingly, as per
provisions of clause 4(xiv) of the Companies (Auditors Report) Order,
2003 Company has maintained proper records of the transactions &
Contracts made. Shares, securities have not been held by the Company in
its own name. Further, we observe that sales & purchase of shares are
not routed through Demat Account of the Company and we have been
informed that the same is routed through pool account of Broker.
15. The company has not given guarantees for loans taken by others
from banks or financial institutions.
16. No term loans have been taken by the company.
17. According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the company, we report
that the company has not raised any funds either short-term or long
term.
18. The Company carrying out the business of Investment and hence, it
is a non - banking finance institution as defined U/s 45-I of the
Reserve Bank of India Act, 1934 (the Act) and the company requires
registration with the Reserve Bank of India (RBI) for carrying out such
activities. The company is yet to apply for registration with the RBI.
19. According to the information and explanations given to us, the
company has not made preferential allotment of shares to parties and
companies covered in the register maintained under section 301 of the
Companies Act, 1956.
20. According to the information and explanations given to us, during
the period covered by our audit report, the company had not issued any
debentures
21. Company has not raised any amount by Public issues during the
period underaudit.
22. According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of ouraudit.
For Chandiwala Virmani & Associates
[Formerly Chandiwala Gupta & Associates]
Chartered Accountants
Place : New Delhi ( R. C. Chandiwala )
Date : 21st Day of May, 2010 Partner
Membership No. 012534
Firm Reg.No.000082N
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