Mar 31, 2018
INDEPENDENT AUDITORSâ REPORT
TO THE MEMBERS OF âNAGREEKA EXPORTS LIMITEDâ Report on the Ind AS Financial Statements
1. We have audited the accompanying Ind AS financial statements of NAGREEKA EXPORT LIMITED ("the Company"), which comprise the Balance Sheet as at 31st March, 2018, and the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Management''s Responsibility for the Ind AS Financial Statements
2. 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 Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the Indian Accounting Standards (Ind AS) prescribed under section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error
Auditor''s Responsibility
3. Our responsibility is to express an opinion on these Ind AS financial statements based on our audit. In conducting 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 and the Order issued under section143(11) of the Act.
We conducted our audit of the Ind AS financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the Ind AS financial statements are free from material misstatement.
4. An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the Ind AS financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the Ind AS financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of 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 Ind AS financial statements.
5. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the Ind AS financial statements.
Opinion
6. In our opinion and to the best of our information and according to the explanations given to us, the aforesaid Ind AS financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2018, and its profit, total comprehensive income, its cash flows and the changes in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
7. As required by the Companies (Auditor''s Report) Order, 2016 ("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" a statement on the matters specified in paragraphs 3 and 4 of the Order.
As required by Section 143(3) of the Act, based on our audit, we report, to the extent applicable that:
a. We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
b. In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
c. the Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Cash Flow Statement and Statement of Changes in Equity dealt with by this Report are in agreement with the relevant books of account;
d. in our opinion, the aforesaid Ind AS financial statements comply with the Indian Accounting Standards prescribed under section 133 of the Act;
e. on the basis of the written representations received from the directors of the Company as on 31st March, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2018 from being appointed as a director in terms of Section 164(2) of the Act;
f. with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in "Annexure B"; Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial controls over financial reporting.
g. With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements as stated in Note No 30 to the Ind AS 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 has been no delay in transferring amounts, to the Investor Education and Protection Fund by the Company.
The Annexure referred to in Independent Auditors'' Report to the members of the Company on the Ind AS financial statements for the period ended 31st March 2018, 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 at reasonable intervals; no material discrepancies were noticed on such verification;
(c) As per information and explanation given to us by the management, all the title deeds of the immovable properties are held in the name of the Company;
(ii) As explained to us inventories were physically verified during the period by the management at reasonable intervals.
(iii) 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 granted any loans, secured or unsecured, to companies, firms, and limited liability partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013. Consequently, the provisions of paragraph iii(a), iii(b) and iii(c) of the Order are not applicable to the Company and hence, not commented upon;
(iv) In our opinion and according to information and explanations given to us, the Company has complied with the provision of section 185 of the Act, with respect to the Loans and Investment made. In regards to section 186 of the Act company has not given loans, guarantees or provided any securities to other in excess of hundred percent of free reserves and thus provision of section has been complied with;
(v) The Company has not accepted any deposit from the public covered under Section 73 to 76 of the Companies Act, 2013. Therefore, the provisions of paragraph 3(v) of the Order is not applicable to the Company;
(vi) According to the information and explanations given to us, in our opinion, the Company have, prima facie, made and maintained the prescribed cost records pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended, prescribed by the Central Government under subsection (1) of Section 148 of the Companies Act, 2013. We have, however, not made a detailed examination of the cost records with a view to determining whether they are accurate or complete;
(vii) According to the information and explanation given to us, in respect of statutory dues:
a) The Company has generally been regular in depositing undisputed statutory dues, including Provident Fund, Employees'' State Insurance, Income Tax, Sales Tax, Service Tax, Goods and Service Tax, Value Added Tax, Customs Duty, Excise Duty, Cess and other material statutory dues applicable to is with the appropriate authorities.
b) There were no disputed amounts payable in respect of Provident Fund, Employees'' State Insurance, Income Tax, Sales Tax, Value Added Tax, Goods and Service Tax, Customs Duty, Excise Duty, Cess and other material statutory dues in arrears as at 31st March, 2018 for a period of more than six months from the date they become payable.
c) Details of dues of Income Tax, Service Tax, Sales Tax which have not been deposited as at 31st March, 2018 on account of dispute are given below:
Sl. No. |
Name of the Statute |
Nature of the dues |
Amount (Rs. in lacs) |
Period to which the Amount relates |
Forum Where dispute is Pending |
1 |
Income Tax Act, 1961 |
Income Tax |
5.67 |
2004-2005 |
High Courth |
0.36 |
2005-2006 |
ITAT |
|||
4.62 |
2011-2012 |
CIT (Appeals) |
|||
1.99 |
2012-2013 |
CIT(Appeals) |
|||
11.59 |
2013-2014 |
CIT (Appeals) |
|||
Finance Act, 1994 |
Service Tax |
3.71 |
2010-2011 |
CCE (Appeals) |
|
MVAT Rules 2005 |
Sales Tax |
80.13 |
2009-2010 |
JC Sales Tax |
|
Custom Act 1962 |
Custom Duty |
389.32 |
2013-2014 |
CESTAT Kolkata |
(viii) The Company has not defaulted in repayment of dues to financial institutions, banks during the period.
(ix) According to information and explanation given to us, the company has not raised money by way of initial public offer or further public offer (including debt instruments) and term loans during the year ended 31st March, 2018. Accordingly paragraph 3(ix) of the order is not applicable.
(x) Based on the audit procedures performed and the information and explanations given to us, we report that no material fraud on or by the Company has been noticed or reported during the period, nor have we been informed of such case by the management;
(xi) According to information and explanation given to us, the Company has paid managerial remuneration within the limit specified under section 197 of the Companies Act, 2013;
(xii) In our opinion and according to the information and explanation given to us, the Company is not a Nidhi Company and hence the paragraph 3(xii) is not applicable;
(xiii) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with section 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the financial statements as required by the applicable Indian accounting standards;
(xiv)According to information and explanation given to us the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the period under review;
(xv) According to information and explanation given to us, the Company has not entered into any non-cash transactions with directors or persons connected with him. Accordingly the paragraph 3(xv) is not applicable the Company;
(xvi)In our opinion and on the basis of information and explanation given to us by the management, the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Actâ)
We have audited the internal financial controls over financial reporting of Nagreeka Export Limited ("the Company") as of 31st March 2018, in conjunction with our audit of the Ind AS financial statements of the Company for the period ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (''ICAI''). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the "Guidance Note") and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A Company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of Ind AS financial statements for external purposes in accordance with generally accepted accounting principles. A Company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of Ind AS financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31st March 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For B NATH & CO.
Chartered Accountants
Firm Registration No. 307057E
(CA. GAURAV MORE)
Place : Kolkata Partner
Date : 26th May, 2018 M. No. 306466
Mar 31, 2016
Standalone Financial Statements
We have audited the accompanying financial statements of Nagreeka Exports Limited (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2016, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act,2013 (âthe Actâ) with respect to the preparation and presentation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2016, and its profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ), issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the Annexure A, a statement on the matters specified in paragraphs 3 and 4 of the Order.
As required by Section 143 (3) of the Act, we report that:
a. we have sought and obtained all the information and explanations which to the best of our Knowledge and belief were necessary for the purposes of our audit;
b. in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books ;
c. the balance sheet, the statement of profit and loss, and the cash flow Statement dealt with by this Report are in agreement with the books of account;
d. in our opinion, the aforesaid 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, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016 from being appointed as a director in terms of Section 164 (2) of the Act;
f. with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in âAnnexure Bâ; and
g. With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
(i) The Company has disclosed the impact of pending litigations on its financial position in its financial statements as stated in Note no 28 to the 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 has been no delay in transferring amounts, which were required to be transferred, to the Investor Education and Protection Fund by the Company.
The Annexure referred to in Independent Auditorsâ Report to the members of the Company on the financial statements for the year ended 31 March 2016, we report that:
(i) In respect of its fixed assets:
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 comprise of Land, Building, furniture, Plant and machinery and other office equipment were physically verified during the year under review;
c) As per information and explanation given to us by the management, the title deeds in respect of Land, and Building being immovable properties are held in the name of the Company;
(ii) As explained to us, the inventories were physically verified during the year by the management at reasonable intervals;
(iii) 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 granted any loans, secured or unsecured, to companies, firms, limited liability partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013. Consequently, the provisions of paragraph iii (a) and iii(b) of the Order are not applicable to the Company and hence, not commented upon;
(iv) a) According to the information and explanations given to us and the records of the Company examined by us, the Company has not advance any loan to director or any other person in whom director is interested and thus provision of section 185 of the Companies Act has been complied with.
b) In regards to section 186 of the Companies Act, 2013 company has not given loan, guarantee or provided any securities to others in excess of hundred percent of free reserves and thus provision of section has been complied with.
(v) The Company has not accepted any deposit from the public covered under Section 73 to 76 of the Companies Act, 2013. Therefore, the provisions of paragraph 3(v) of the Order is not applicable to the Company;
(vi) We have reviewed the books of accounts and records maintained by the company relating to its manufacturing activity pursuant to the order made by the Central Government for the maintenance of cost records under subsection (1) of Section 148 of the Companies Act, 2013 and are of the opinion that prima facie the prescribed accounts and records have been made and maintained.
(vii) a) The Company has generally been regular in depositing undisputed statutory dues applicable to it and other statutory dues to the appropriate authorities. There are no arrears as at 31st March 2016 for a period of more than six months from the date they become payable;
b) The disputed statutory dues aggregating Rs 376.85 lacs that have not been deposited on account of disputed matters pending before appropriate authorities are as under:
Sl No |
Name of the Statute |
Nature of the dues |
Amount (Rs in lacs) |
Period to which the amount relates |
Forum where dispute is pending |
1 |
Income Tax Act, 1961 |
Income tax |
5.67 |
2004-2005 |
High Court |
25.93 |
2005-2006 |
CIT (Appeals) |
|||
93.87 |
2009-2010 |
CIT (Appeals) |
|||
207.38 |
2010-2011 |
CIT(Appeals) |
|||
2 |
Finance Act, 1994 |
Service Tax |
3.71 |
2010-2011 |
CCE (Appeals) |
3 |
MVAT Rules 2005 |
Sales Tax |
40.29 |
2009-2010 |
JC Sales Tax |
(viii) According to information and explanation given to us, the Company has applied its term loan for the purpose for which the loan was obtained.
(ix) Based on the audit procedures performed and the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year, nor have we been informed of such case by the management;
(x) According to information and explanation given to us, the Company has paid managerial remuneration within the limit specified under Section 197 of the Companies Act, 2013;
(xi) In our opinion and according to the information and explanation given to us, the Company is not a Nidhi Company and hence the paragraph 3(xii) is not applicable;
(xii) In our opinion and on the basis of information and explanation given to us by the management, all transactions with the related parties are in compliance with sections 177 and 188 of Companies Act, 2013 where applicable and the details have been disclosed in the Financial Statements etc., as required by the applicable accounting standards;
(xiii) According to information and explanation given to us the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review;
(xiv)According to information and explanation given to us, the Company has not entered into any non-cash transactions with directors or persons connected with him. Accordingly the paragraph 3(xv) is not applicable the Company;
(xv) In our opinion and on the basis of information and explanation given to us by the management, the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934 and thus the company has not obtained any registration.
For DAS & PRASAD
Chartered Accountants
Firm Registration No. 303054E
(CA. A. K. AGARWALA)
Place : Kolkata Partner
Date : 25th May, 2016 M. No. 062368
Mar 31, 2015
We have audited the accompanying standalone financial statements of
"Nagreeka Exports Limited" ("the Company"), which comprises the Balance
Sheet as at 31st March, 2015 and the Statement of Profit and Loss year
then ended, and a summary of the 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 and presentation of these standalone financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read
with Rule 7 of the Companies (Accounts) Rules, 2014. This
responsibility also includes maintenance of adequate accounting records
in accordance with the provisions of the Act for safeguarding the
assets of the Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies; making judgement 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 there under.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgement, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis 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 ("the
Order"), issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Companies Act, 2013, 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, 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 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 has been no delay in transferring
amounts, required to be transferred, to the Investor Education and
Protection Fund by the Company.
The annexure referred to in our Independent Auditor's Report to the
members of the Company on the standalone financial statements for the
year ended 31 March, 2015, we report that:
(i) In respect of its fixed assets:
(a) The company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) Some of the fixed assets were physically verified during the year
by the Management in accordance with programme of verification, 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.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventories:
(a) As explained to us, the inventories were physically verified during
the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and no material discrepancies were noticed on physical
verification
(iii) 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 granted any loans, secured or unsecured, to companies, firms or
other parties covered in the register maintained under section 189 of
the Companies Act, 2013. Consequently, the provisions of clauses iii
(a) and iii (b) of the order are not applicable to the Company and
hence, not commented upon.
(iv) In our opinion and according to the information and explanations
given to us there is generally an adequate internal control procedure
commensurate with the size of the Company and the nature of its
business. During the course of our audit, no major instance of
continuing failure to correct any weakness in the internal controls has
been noticed.
(v) The Company has not accepted any deposit from the public covered
under Section 73 to 76 of the Companies Act, 2013. Therefore, the
provisions of the clause 4 (v) of the Order are not applicable to the
Company.
(vi) We have reviewed the books of accounts and records maintained by
the company relating to its manufacturing activity pursuant to the
order made by the Central Government for the maintenance of cost
records under section 148(1) of the Companies Act, 2013 and are of the
opinion that prima facie the prescribed accounts and records have been
made and maintained. We have however not made a detailed examination of
the records with a view to determining whether they are accurate or
complete.
(vii) a) According to the information and explanation given to us and
the records of the company examined by us, the company is regular in
depositing during the year, all undisputed statutory dues including
Investors Education and Protection Fund, Provident Fund, Employees'
State Insurance, - Income-tax, Sales-tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty, cess to the extent applicable and any other
statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanation
provided to us, there were no outstanding statutory dues as on 31st
March, 2015 for a period of more than six months from the date they
became payable.
b) The disputed statutory dues aggregating Rs. 397.12 lacs that have
not been deposited on account of disputed matters pending before
appropriate authorities are as under:
Sl
No Name of the statute Nature of Amount
the dues (Rs in lacs)
1.99
5.67
1 Income Tax Act, 1961 Income tax 25.93
93.87
217.38
2 Central Excise Act, Excise Duty 27.13
1944
3 Finance Act, 1994 Service Tax 25.15
Sl.Nameof thestatute Period to which Forum where dispute
no. the amount relates is pending
1. 1999-2000 High Court
2004-2005 High Court
Income Tax Act,1961 2005-2006 CIT(Appeals)
2009-2010 CIT(Appeals)
2010-2011 CIT(Appeals)
2.Central Excise Act,1944 2005-2006 CCE(Appeals)
3.Finance Act,1994 2004-2005 CCE(Appeals)
& 2005-2006
c) According to the information and explanation given to us, the
amounts which were required to be transferred to the Investor Education
and Protection Fund in accordance with the relevant provisions of
Companies Act, 2013 and rules there under has been transferred to such
fund within time.
(viii) The company does not have any accumulated losses at the end of
the financial year and has not incurred cash losses in the financial
year and in the immediately preceding financial year.
(ix) The company has not defaulted in repayment of dues to financial
institutions, banks during the year.
(x) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from a banks or financial institutions.
(xi) In our opinion, and according to the information and explanations
given to us, the company has not raised any term loans during the year.
(xii) Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported duriifg the year, nor have we been
informed of such case by the management.
For DAS & PRASAD
Chartered Accountants
Firm's Registration No. 303054E
(CA. B. N. AGARWALA)
Place : Kolkata Partner
Date : 28th May, 2015 M. No. 011709
Mar 31, 2014
We have audited the accompanying financial statements of Nagreeka
Exports Limited which comprise the Balance Sheet as at 31st March 2014,
the Statement of Profit and Loss and the Cash Flow Statement for the
year then ended and a summary of significant accounting policies and
other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards notified under the Companies
Act, 1956 (The Act) read with the General Circular 15/2013 dated
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act,2013 and in accordance with the
accounting principles generally accepted in India . This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements 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 Company''s internal control. An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of the accounting estimates made by management, as well
as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(i) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(ii) In the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and
(iii) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order"), as amended, 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 statement on the matters specified in paragraphs 4 and 5 of the
Order.
2. As required by section 227(3) of the Act, we report that:
a. We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b. In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c. The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
d. In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards notified under
the Act read with the General Circular 15/2013 dated 13th September,
2013 of the Ministry of Corporate Affairs in respect of Section 133 of
the Companies Act, 2013; and
e. On the basis of written representations received from the directors
as on 31st March 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on 31st March 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
(The Annexure referred to in paragraph 1 under the heading of "report
on other legal and regulatory requirements" of our report of even date
to the members of Nagreeka Exports Limited on the accounts of the
company for the year ended 31st March, 2014.)
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. In respect of fixed assets:
(a) The company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
(b) The company has regular programme of verification of fixed assets
in a phased periodical manner to cover all the items over a period of 3
years which is our opinion is reasonable having regard to the size of
the company and the nature of its assets. As informed ,no material
discrepancies were noticed on such verification.
(c) In our opinion the company has not discarded or disposed off any
substantial part of its fixed assets and therefore the going concern
status of the Company is not affected.
2. In respect of Inventories:
(a) The inventory of the company has been physically verified by the
management during the year. In our opinion the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and as explained to us , the Company is maintaining
proper records of Inventory. There was no material discrepancies
noticed on physical verification of inventories as compared to the book
records.
3. As informed to us the Company has not granted any loans, secured or
unsecured to companies, firms or other parties listed in the register
maintained under Section 301 of the Companies Act, 1956. Consequently,
the provisions of clauses 4(iii) of the Order are not applicable to the
Company.
4. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control system
commensurate with the size of the company and the nature of its
business, for the purchase of inventories & fixed assets and payment
for expenses & for sale of goods. During the course of our audit, we
have neither come across nor have been informed of any continuing
failure to correct major weakness in the aforesaid internal control
system.
5. In respect of the contracts or arrangements referred to in section
301 of the Companies Act,1956
(a) To the best of our knowledge and belief and according to the
information and explanation given to us, we are of the opinion that the
transactions made in pursuance of contracts or arrangements that need
to be entered in the register maintained under section 301 of the
Companies Act, 1956 have been so entered.
(b) In our opinion and according to information and explanation given
to us, the transactions made in pursuance of contracts or arrangements
entered in the register maintained under section 301 of the Companies
Act, 1956 and exceeding the value of the rupees five lacs in respect of
any party during the year have been made at the prices which are
reasonable having regard to prevailing market prices at the relevant
time.
6. In our opinion and according to information and explanation given
to us, the Company has not accepted any deposits from the public during
the year. Therefore, the provisions of Clause (vi) of paragraph 4 are
not applicable to the Company.
7. In our opinion the Company has an internal audit system
commensurate with its size and the nature of its business. However
there are some further scopes of improvement by coverage of more areas.
8. We have reviewed the books of accounts and records maintained by
the company relating to its manufacturing activity pursuant to the
order made by the Central Government for the maintenance of cost
records under section 209 (1)(d) of the Companies Act ,1956 and are of
the opinion that prima facie the prescribed accounts and records have
been made and maintained. We have however not made a detailed
examination of the records with a view to determining whether they are
accurate or complete.
9. In respect of statutory due:
(a) According to the information and explanation given to us and the
records of the company examined by us, the company is regular in
depositing during the year, all undisputed statutory dues including
Investor Education and Protection fund, Provident Fund, Employees''
State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom
Duty, Excise Duty, Cess to the extent applicable and any other
statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2014 for a period of more than six months from the date they
became payable.
(b) The disputed statutory dues aggregating Rs.498.27 lacs that have
not been deposited on account of disputed matters pending before
appropriate authorities are as under:
Sl Name of the statute Nature of Amount Period to which
No the dues (Rs in lacs) the amount
relates
1.99 1999-2000
5.67 2004-2005
1 Income Tax Act, 1961 Income tax 25.93 2005-2006
101.15 2007-2008
93.87 2009-2010
217.38 2010-2011
2 Central Excise Act, Excise Duty 27.13 2005-2006
1944
3 Finance Act, 1994 Service Tax 25.15 2004-2005
&
2005-2006
Sl Name of the statute Forum where dispute
No is pending
High Court
High Court
1 Income Tax Act, 1961 CIT(Appeals)
ITAT
CIT(Appeals)
CIT(Appeals)
2 Central Excise Act, CCE(Appeals)
1944
3 Finance Act, 1994 CCE(Appeals)
10. The Company does not have any accumulated losses at 31st March,
2014 .It has not incurred cash losses in the current financial year
covered by the audit as well as in the immediately preceding financial
year.
11. Based on our audit procedures and according to the records of the
company examined by us and the information and explanations given by
the management, in our opinion the Company has not defaulted in
repayment of dues to a financial institution, bank or debenture
holders. No debentures are issued by the company.
12. Based on our audit procedures and according to the records of the
company examined by us and the information and explanations given by
the management, in our the opinion the Company, 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/societies. Therefore the provisions of clause (xiii) of
paragraph 4 of the Order are not applicable to the Company.
14. In our opinion, the company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the order are not applicable to the
company.
15. In our opinion and according to the information and explanations
given to us, the Company has not given any guarantees for loan taken by
others from a bank or financial institution.
16. According to the records of the company examined by us and
information and explanation to us, the term loans outstanding at the
beginning of the year have been applied for the purpose for which they
were obtained.
17. On the basis of an overall examination of the Balance Sheet of the
Company, in our opinion and according to the information and
explanations given to us we report that there are no funds raised on
short-term basis that have been used for long-term investment by the
Company.
18 According to the records of the company examined by us and
information and explanations given to us by the management, the Company
has not made any preferential allotment of shares to parties and
companies covered in the Register maintained under section 301 of the
Companies Act, 1956.
19. The Company has not issued any debentures and hence no securities
or charge have been created.
20. The Company has not raised any money by public issue during the
year.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, either noticed or reported during the year,
nor have we been informed of such case by the management.
For DAS & PRASAD
Chartered Accountants
Firm''s Registration No. 303054E
(CA. B. N. AGARWALA)
Place : Kolkata Partner
Date : 29th May,2014 M. No. 011709
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Nagreeka
Exports Limited, which comprise the Balance Sheet as at 31st March,
2013, the statement of Profit and Loss and the Cash Flow Statement for
the year ended and a summary of significant accounting policies and
other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 ("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 matenal misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on Ihese 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 :
(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 Profit and Loss, of the profit for
the year ended on that date; and
(iii) In the case of the Cash Flow Statement, of the cash flows for the
year 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
statement on the matters specified in paragraphs 4 and 5 of the Order.
2 As required by section 227(3) of the Act, we report that :
a. We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b. In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c. The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d. In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956; and
e. On the basis of written representations received from the directors
as on 31st March. 2013. and taken on record by the Board of Directors,
none of the directors is disqualified as on 31 st March, 2013 from
being appointed as a director in terms of clause '' (g) of sub-section
(1) of section 274 of the Companies Act, 1956.
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in paragraph 1 of our report of even date to the members
of Nagreeka Exports Limited on the Financial Statements for the year
ended 31st March, 2013)
1) In respect of fixed assets :
a) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
b) The company has a regular programme of physical verification of
fixed assets in a phased manner to cover all the items over a period of
3 years which in our opinion is reasonable having regard to the size of
the Company and the nature of its fixed assets. As informed, no
material discrepancies were noticed on such verification.
c) In our opinion, during the year the Company has net discarded or
disposed off any substantial part of its fixed assets and therefore the
going concern status of the Company is not affected.
2) In respect of its inventories :
a) The inventory of the Company has been physically verified by the
management during the year. In our opinion the frequency of
verification is reasonable.
b) In our opinion and according to information and explanations given
to us, the Procedures of physical of inventory followed by the
management are reasonable and adequate in relation to size of the
Company and nature of its business.
c) In our opinion and according to information and explanations given
to us, the Company is maintaining proper lecords of inventory. The
discrepancies noticed on verification were not material.
3) As informed to us, the Company has neither taken nor granted any
secured or unsecured loan from/to Companies, firms or other parties
covered in the register maintained under section 301 of the Companies
Act, 1956.Therefore the provisions cf clauses 4(iii) of the order are
not applicable to the Company.
4) In our opinion and according to the information and explanation
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business for purchase of inventories and fixed assets and sale of
goods. During the course of audit, we have neither come across nor have
been informed of any continuing failure to correct major weaknesses in
the aforesaid internal control system.
5) In respect of the contracts or arrangements referred to in section
301 of the Companies Act, 1956
a) To the best of our knowledge and belief and according to the
information and explanation given to us, we are of the opinion that the
transactions that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to information and explanation given to
us, the transactions made in pursuance of contracts or arrangements
entered in the register maintained under section 301 of the Companies
Act, 1956 and exceeding the value of rupees five lacs in respect of any
party during the year have been made at the prices which are reasonable
having regard to prevailing market prices at the relevant time.
6) In our opinion and according to information and explanation given to
us, the Company has not accepted any deposit from public during the
year and as such provisions of Section 58A and 58AA of the Companies
Act, 1956 and rules made there under are not applicable.
7) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business. However there
are some further scopes of improvement by coverage of more areas.
8) We have reviewed the books of accounts and records maintained by the
Company relating to its manufacturing activity pursuant to the order
made by the Central government for the maintenance of cost records
under section 209(1 )(d) of the Companies Act, 1956 and are of the
opinion that the prima facie the prescribed accounts and records have
been made and maintained. We have however not made a detailed
examination of the records with a view to determining whether they
accurate or complete.
9) In respect of statutory due :
According to the information and explanation given to us and the
records of the Company examined by us, the Company is regular in
depositing during the year, all undisputed statutory dues including
Investor Education and Protection Fund, Provident Fund, Income-tax.
Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess,
Employees State Insurance and any other statutory dues as applicable,
with the appropriate authorities. According to the information and
explanation given to us, no undisputed amounts payable in respect of
Income Tax, Wealth tax, sales tax, customs duty, excise duty and cess
were in arrears, as on 31st March, 2013 for a period more than six
months from the date they become payable.
10) The Company does not have any accumulated losses as at 31st March
2013. It has not incurred cash losses in the current financial as well
as in the immediately preceding financial year.
11) Based on our audit procedures and according to the records of the
Company examined by us and the information and explanations given to
us, in our opinion the Company has not defaulted in repayment of dues
to a financial institution or hank. No Debentures are issued by the
company
12) Based on our audit procedures and according to the records of the
Company examined by us and the information and explanations given to
us, in our opinion the Company has not granted loans and advances on
the basis of security by way of pledge of shares, debentures and other
securities.
13) The provisions of any special statute applicable to chit
fund/mdhi/mutual benefit fund/societies are not applicable to the
Company.
14) In our opinion, the Company is no! dealing in or trading in shares,
securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the order are not applicable to the
Company.
15) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for tains taken by
others from bank or other financial institutions.
16) According to the records of the company examined by us and
information and explanations given to us, Ihe term loans outstanding at
the beginning of the year have been applied for the purpose for which
they were obtained.
17) On the basis of an overall examination of the balance sheet of the
Company, in our opinion and according to the information and
explanations given to us, we report that no funds raised on short term
basis have been used for long term investmxrf
18) According to the records of the company examined by us and
information and explanations given to us, the com; ¦"-'' has not made
any preferential allotment of shares to parties and companies covered
in the Register maintained under sect: -r> n of the Act.
19) The Company has not issued any debentures and hence no securities
or charge have been created.
20) The Company has not raised any money by public issue during the
year.
21) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, either noticed or reported during the year,
nor have we been informed of such case by the management.
For DAS & PRASAD
Chartered Accountants
FRN - 303054E
(CA. B. N. AGARWALA)
Place : Kolkata Partner
Date : 29th day of May, 2013 M. No. 011709
Mar 31, 2012
We have audited the attached Balance Sheet of NAGREEKA EXPORTS LIMITED
as at 31st March, 2012, the Profit & Loss Account and Cash Flow
statement of the Company for the year ended on that date annexed
thereto. These financial statements are the respon- sibility of the
Company's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those Standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
1. As required by the Companies (Auditors' Report) Order, 2003 as
amended by the Companies (Auditors Report ) Amendment Order, 2004
issued by the Central Government of India in terms of section 227 (4A)
of the Companies Act, 1956, We enclose in the Annexure a statement on
the matters specified in paragraphs 4 and 5 of the said order.
2. Further to our above comments in the Annexure referred to in
Paragraph (1) above, we report that -
a. We have obtained all the information and explanation, which to the
best of our knowledge and belief were necessary for the purpose of our
audit
b. In our opinion, proper books of accounts as required by Companies
Act, 1956 have been kept by the company so far as it 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 accounts.
d. In our opinion, the Profit and Loss Account and Balance Sheet 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 representation 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 244 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 statement of accounts read
together with significant accounting policies and notes on accounts
thereon, give the information required by the Companies Act, 1956 in
the manner so required and give a true and fair view :
i) In the case of Balance Sheet, of the state of affairs of the Company
as at 31st March, 2012,
ii) In the case of Profit and Loss Account, of the Profit of the
Company for the year ended on that date and
iii) In the case of Cash Flow Statement, of the cash flows of the
company for the year ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 1 of our report of even date to the members
of Nagreeka Exports Limited on the Financial Statements for the year
ended 31st March, 2012)
1) In respect of fixed assets :
a) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
b) The company has a regular programme of physical verification of
fixed assets in a phased manner to cover all the items over a period of
3 years which in our opinion is reasonable having regard to the size of
the Company and the nature of its fixed assets. As informed, no
material discrepancies were noticed on such verification.
c) In our opinion, during the year the Company has not discarded or
disposed off any substantial part of its fixed assets and therefore the
going concern status of the Company is not affected.
2) In respect of its inventories:
a) The inventory of the Company has been physically verified by the
management during the year. In our opinion the frequency of
verification is reasonable.
b) In our opinion and according to information and explanations given
to us, the Procedures of physical of inventory followed by the
management are reasonable and adequate in relation to size of the
Company and nature of its business
c) In our opinion and according to information and explanations given
to us the Company is maintaining proper records of inventory The
discrepancies noticed on verification were not material.
3) As informed to us. the Company has neither taken nor granted any
secured or unsecured loan from/to Companies, firms or other parties
covered in the register maintained under section 301 of the Companies
Act 1956 Therefore the provisions of clauses 4(iii) of the order are
not applicable to the Company.
4) In our opinion and according to the information and explanation
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business for purchase of inventories and fixed assets and sale of goods
During the course of audit we have neither come across nor have been
informed of any continuing failure to correct major weaknesses in the
aforesaid internal control system. -
5) In respect of the contracts or arrangements referred to in section
301 of the Companies Act, 1956
a) To the best of our knowledge and belief and according to the
information and explanation given to us, we are of the opinion that the
transactions that need to be entered into the register maintained under
section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to information and explanation given to
us. the transactions made in pursuance of contracts or arrangements
entered in the register maintained under section 301 of the Companies
Act, 1956 and exceeding the value of rupees five lacs in respect of any
party during the year have been made at the prices which are reasonable
having regard to prevailing market prices at the relevant time.
6) In our opinion and according to information and explanation given to
us, the Company has not accepted any deposit from public during the
year and as such provisions of Section 58A and 58AA of the Companies
Act, 1956 and rules made there under are not applicable.
7) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business. However there
are some further scopes of improvement by coverage of more areas.
8) We have reviewed the books of accounts and records maintained by the
Company relating to its manufacturing activity pursuant to the order
made by the Central government for the maintenance of cost records
under section 209(1 )(d) of the Companies Act, 1956 and are of the
opinion that the prima facie the prescribed accounts and records have
been made and maintained. We have however not made a detailed
examination of the records with a view to determining whether they
accurate or complete.
9) In respect of statutory due :
a) According to the information and explanation given to us and the
records of the Company examined by us, the Company is regular in
depositing during the year, all undisputed statutory dues including
Investor Education and Protection Fund, Provident Fund, Income-tax,
Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess,
Employees State Insurance and any other statutory dues as applicable,
with the appropriate authorities. According to the information and
explanation given to us, no undisputed amounts payable in respect of
Income Tax, Wealth tax, sales tax, customs duty, excise duty and cess
were in arrears, as on 31st March 2012 for a period more than six
months from the date they become payable.
b) The disputed statutory dues aggregating to Rs 381.06 lacs that have
not been deposited on account of disputed matters pending before
appropriate authorities are as under .
Particulars Financial Year to which Forum where
dispute is pending
Amount
the matter pertains (Rs.in lacs)
Income Tax 1999-2000 High Court 1.99
2004-2005 High Court 5.67
2005-2006 CIT (Appeal) 25.93
2007-2008 CIT (Appeal) 295.19
Central Excise 2005-2006 Commissioner (Appeals)
Central Excise 27.13
Service Tax 2004-2005 & Commissioner (Appeals) 25.15
2005-2006 Central Excise
381.06
10) The Company does not have any accumulated losses as at 31st March
2012 It has not incurred (ash losses in the current financial as well
as in the immediately preceding financial year.
11) Based on our audit procedures and according to the records of the
Company examined by us and the information and explanations given to
us. in our opinion the Company has not defaulted in repayment of dues
to a financial institution or bank No Debentures are issued by the
company.
12) Based on our audit procedures and according to the records of the
Company examined by us and the information and explanations given to
us, in our opinion the Company has not granted loans and advances on
the basis of security by way of pledge of shares, debentures and other
securities
13) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
14) In our opinion, the Company is not dealing in or trading in shares,
securities, debentures and other investments Accordingly, the
provisions of clause 4(xiv) of the order are not applicable to the
Company.
15) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from bank or other financial institutions.
16) According to the records of the company examined by us and
information and explanations given to us, the term loans outstanding at
the beginning of the year have been applied for the purpose for v.'uch
they were obtained.
17) On the basis of an overall examination of the balance sheet of the
Comp -y, in our opinion and according to the information and
explanations given to us, we report that no funds raised on short
terr,. ojsis have been used for long term investment.
18) According to the records of the company examined by us and
information and explanations given to us, 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.
19) The Company has not issued any debentures and hence no securities
or charge have been created.
20) The Company has not raised any money by public issue during the
year.
21) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, either noticed or reported during the year,
nor have we been informed of such case by the management.
For DAS & PRASAD
Chartered Accountants
FRN - 303054E
(CA. B. N. AGARWALA)
Place : Kolkata Partner
Date : 26th day of May, 2012 M. No. 011709
Mar 31, 2010
1. We have audited the attached Balance Sheet of NAGREEKA EXPORTS
LIMITED as at March 31, 2010, and also the Profit and Loss Account and
the Cash Flow Statement for the year ended on that date annexed thereto
of which we have signed under reference to this report. These financial
statements are the responsibility of the Companys Management. Our
responsibility is to express an opinion on these financial statements
based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by the Management, as well as, evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 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.
4. Further to our comments in the Annexure referred to in paragraph 3
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 laws 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 March 31, 2010, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
March 31, 2010 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Companies Act, 1956; and
(vi) In our opinion and to the best of our information and according to
the explanations given to us, the said statement of accounts read
together with significant accounting policies and notes on accounts in
Schedule "O" give the information required by the Companies Act, 1956,
in the manner so required and give a true and fair view ;-
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2010;
(b) in the case of the Profit and Loss Account, of the Profit for the
year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 3 of our report of even date) i. In respect
of its fixed assets :
(a) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
(b) The company has a regular programme of physical verification of
fixed assets in a phase manner to cover all the items over a period of
three years which.in our opinion is reasonable having regard to the
size of the Company and the nature of its assets. As informed, no
material discrepancies were noticed on such verification.
(c) In our opinion, the company has not disposed of a substantial part
of its fixed assets during the year and the going concern status of the
Company is not affected.
ii. In respect of its inventories;
(a) The inventory of the company has been physically verified by the
management during the year. In our opinion the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
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) In our opinion and according to the information and explanations
given to us, the Company is maintaining proper records of inventory.
The discrepancies noticed on verification between the physical stocks
and the book records were not material.
iii. As informed to us, the Company has neither granted nor taken any
loans, secured or unsecured, from companies, firms or other parties
listed in the register maintained under section 301 of the Companies
Act, 1956. Hence, clause 4 (iii) of the Companies (Auditors Report
2003) are not applicable to the Company.
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 for
purchase of inventory and fixed assets and on the sale of goods. During
the course of our audit, no major weakness has been noticed in the
internal controls. We have not observed any failure on the part of the
company to correct major weakness in the internal control system.
v. In respect of the contracts or arrangements referred to in section
301 of the Companies Act, 1956.
(a) 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 need to be entered into the register maintained
under Section 301 of the Companies Act, 1956 have been so entered.
(b) In our opinion, and according to information and explanations given
to us, the transactions made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Companies
Act, 1956 and exceeding the value of Rupees five lacs in respect of any
party during the year have been made at prices which are reasonable
having regard to prevailing marker prices at the relevant time.
vi. According to the information and explanations given to us, The
Company has not accepted any deposits from the public. Therefore the
provision of clause 4 (vi) of the Companies (Auditors Report Order
2003) are not applicable to the company. vii. In our opinion, the
Company has an internal audit system commensurate with its size and
nature of its business. viii. We have reviewed the books of account and
records maintained by the Company relating to its manufacturing
activity pursuant to the order made by the Central Government for the
maintenance of cost records under Section 209(1)(d) of the Companies
Act, 1956 and are of the opinion that the prima facie the prescribed
accounts and records have been made and maintained. We have, however,
not made a detailed examination of the records with a view to
determining whether they are accurate or complete. ix. In respect of
statutory dues:
(a) According to the information and explanations given to us, the
Company is regular in depositing with appropriate authorities
undisputed statutory dues including provident fund, investor education
and protection fund, income tax, sales tax, wealth tax, customs duty,
excise duty, cess and other material statutory dues applicable to it.
According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax, wealth tax, sale
tax, customs duty, excise duty and cess were in arrears, as at March
31, 2010 for a period of more than six months from the date they became
payable.
(b) The disputed statutory dues aggregating to Rs. 151.80 lacs that
have not been deposited on account of disputed matters pending before
appropriate authorities are as under :
Particulars Financial Year
to which Forum where
dispute is
pending Amount
the matter pertains (Rs.in lacs)
Sales Tax 1998-1999 Appellate
Tribunal 7.01
Income Tax 1999-2000 High Court 1.99
2004-2005 High Court 5.67
2005-2006 CIT (Appeal) 35.93
Central Excise 2005-2006 Commissioner
(Appeals) 75.61
& 2008-2009 Central
Excise
Custom 1994 High Court 25.59
151.80
x. The Company has neither accumulated losses as at 31st March 2010
nor has incurred any cash losses during the financial year ended on
that date or in the immediately preceding financial year.
xi. Based on our audit procedures and on the information and
explanations given to us by the management, in our opinion, the Company
has not defaulted in repayment of dues to a financial institution or
bank as at the balance sheet date.
xii. In our opinion and according to the explanations given to us and
based on the information available, no loans and advances have been
granted by the Company on the basis of security by way of pledge of
shares, debentures and other securities.
xiii. 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.
xiv. According to the information and explanations given to us, the
Company is not dealing or trading in shares, securities, debenture and
other investments. xv. According to information and explanations given
to us, the Company has not given any guarantees for loans taken by
others from banks or financial institutions.
xvi. According to the information and explanations given to us, the
term loans outstanding at the beginning of the year have been applied
for the purpose for which they were obtained.
xvii. According to the information and explanations given to us, and
on an overall examination of the Balance Sheet of the Company, we
report that no funds raised on short-term basis have been used for
long-term investments.
xviii. 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 during the year.
xix. In our opinion and according to the information and explanations
given to us, the Company has not issued any secured debentures during
the period covered by our report. Accordingly, the provisions of clause
4 (xix) of the Companies (Auditors Report) Order, 2003 are not
applicable to the Company.
xx. During the period covered by our audit report, the Company has not
raised any money by public issues.
xxi. During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India, and according to the information and explanations
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For DAS & PRASAD
Chartered Accountants
(CA. B. N. AGARWALA)
Partner
Place : Kolkata M. No. 011709
Date : 28th May, 2010 Firm Ftegn. No. 303054E
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