Mar 31, 2015
We have audited the accompanying financial statements of M/s NATIONAL
GENERAL INDUSTRIES LTD. which comprise the Balance Sheet as at March
31, 2015, 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 Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 with respect to 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 principles generally
accepted in India including the Accounting Standards specified under
Section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rule, 2014. This responsibility also includes maintenance of adequate
accounting records in accordance with the provisions of the Act for
safeguarding the assets of the Company and for preventing and
detecting frauds and other irregularities; selection and application
of appropriate accounting policies; making judgments and estimates
that are reasonable and prudent; and design, implementation and
maintenance of adequate internal financial controls, that were
operating effectively for ensuring the accuracy and completeness of
the accounting records, relevant to the preparation and presentation
of the financial statements that give a true and fair view and are
free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under
the provisions of the Act and the Rules made thereunder. We conducted
our audit in accordance with the Standards on Auditing issued by the
Institute of Chartered Accountants of India. Those Standards require
that we comply with ethical requirements and plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
Company's preparation and fair presentation of the financial
statements in order to design audit procedures that are appropriate in
the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by Management, as well as evaluating the
overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2015;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 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.
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 Profit and Loss Statement, 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 March 31, 2015, taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 2015,
from being appointed as a director in terms of Section 164 (2) of the
Act.
f) On the basis of information and explanation provided to us, in our
opinion, Company has adequate internal financial controls system in
place which is commensurate with the size of the Company and the
nature of its business and is operating effectively.
3. 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:
a) The Company has disclosed the impact of pending litigations on its
financial position in its financial statements.
b) The Company has made provision, as required under the applicable
law or accounting standards, for material foreseeable losses, if any,
and as required on long-term contracts including derivative contracts.
c) There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO THE AUDITORS' REPORT (Referred to in our Report of even
date)
In terms of the information and explanations given to us and the books
and records examined by us in the normal course of audit and to the
best of our knowledge and belief, we state as under:
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on
the basis of available information. As explained to us all the fixed
assets were physically verified by the management at reasonable
interval during the year. We have been informed that no material
discrepancies were noticed on such physical verification.
II. The Inventory has been physically verified during the year by the
management at reasonable intervals except stock lying with third
parties. The Company in most of the cases has obtained confirmation of
such stocks with third parties. 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 &nature of its
business. The Company is maintaining proper records of inventory. As
explain to us the discrepancies noticed on physical verification of
stocks as compared to book records were not material, however, the
same have been properly dealt with the books of account.
III. 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.
IV. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to
correct major weaknesses in internal control.
V. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 73 to 76 or any other relevant provisions of the
Companies Act and the rules framed there under, were not applicable to
the Company.
VI. In our opinion, Company is not required to maintain cost records
under section148(1) of the Companies Act,2013 read with rule 4 of the
Companies (Cost Records and Audit) Amendment Rules, 2014.
VII.
(a) In our opinion and according to the record of Company, the Company
is regular in depositing undisputed statutory dues including Provident
Fund, Employees' State Insurance, Income-Tax, Sales Tax, Wealth Tax,
Service Tax, Duty of Custom, Duty of Excise, Value Added Tax, Cess and
any other statutory dues with appropriate authorities applicable to it
and further there is no such arrear of outstanding statutory dues as
at 31st March, 2015, for a period of more than six months from the
date they became payable.
(b) In our opinion and according to the record of Company, there are
no dues including Provident Fund, Employees' State Insurance,
Income-Tax, Sales Tax, Wealth Tax, Service Tax, Duty of Custom, Duty
of Excise, Value Added Tax, Cess and any other statutory dues with
appropriate authorities, which have not been deposited on account of
any dispute.
(c) In our opinion and according to the record of the Company, no
amount was required to be transferred to Investor Education and
Protection Fund in accordance with relevant provisions of the
Companies Act, 1956 and rules made thereunder.
VIII. The Company does not have accumulated losses at the end of
financial year. The Company has not incurred cash loss during the
financial year covered by the audit and in the immediately preceding
financial year.
IX. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
X. In our opinion, and according to the explanations given to us, the
Company has not given any guarantee for loans taken by others from
bank, financial institutions, which is prejudicial to the interest
of the Company.
XI. In our opinion, and according to the explanations given to us, the
term loans were applied by the Company for the purpose for which the
loans were obtained.
XII. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our
audit for the period under report.
For R.KGOVIL&Co.
Chartered Accountants FRN -000748C
Sd/-
Place: New Delhi Rajesh Kumar Govil
Dated: 28.05.2015 Partner
Membership No.013632
Mar 31, 2014
We have audited the accompanying financial statements of M/s NATIONAL
GENERAL INDUSTRIES LTD. ("the Company") which comprise the Balance
Sheet as at March 31, 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
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 material misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by Management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("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 March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a Director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in our Report of even date)
In terms of the information and explanations given to us and the books
and records examined by us in the normal course of audit and to the
best of our knowledge and belief, we state as under:
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on the
basis of available information. As explained to us all the fixed assets
were physically verified by the management during the year. We have
been informed that no material discrepancies were noticed on such
physical verification. Substantial part of fixed assets has not been
disposed off during the year, which will affect its status as going
concern.
II. The Inventory has been physically verified during the year by the
management at reasonable intervals except stock lying with third
parties. The Company in most of the cases has obtained confirmation of
such stocks with third parties. 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 & nature of its
business. The Company is maintaining proper records of inventory. As
explain to us the discrepancies noticed on physical verification of
stocks as compared to book records were not material, however, the same
have been properly dealt with the books of account.
III. (a) The Company has taken unsecured loans of Rs. 40 lacs during
the year from an entity listed in the register maintained u/s 301 of
the Companies Act. The said loan was non-interest bearing which is not
prima-facie prejudicial to the interest of the Company. In respect of
the said loan, the maximum amount outstanding at any time during the
year was Rs. 90 Lacs and the year-end balance is Rs. 90 Lacs.
(b) The Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
IV. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to correct
major weaknesses in internal control.
V. (a) According to the information and explanations given to us, we
are of the opinion that particulars of Contracts or arrangements
referred to in Section 301 of the Act have been entered in the register
required to be maintained under that section, wherever applicable.
(b) In Our opinion and according to the information and explanations
given to us, the transactions made in pursuance of Contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act,1956 have been made at the prices, which are
reasonable having regard to prevailing market prices at relevant time.
VI. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 58A, 58AA of the Act and the rules framed there
under, where applicable, have been complied with. National Company Law
Tribunal has not passed any order in respect of public deposits
accepted by the Company.
VII. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
VIII. According to the information and explanations given to us, the
Central Government has prescribed maintenance of cost records U/S
209(1)(d) of the Companies Act 1956 for products manufactured by the
company. We are of the opinion that prima facie the prescribed accounts
and records have been made and maintained. We have not how ever made
detailed examination of the records with a view to determine whether
they are accurate and complete.
IX. (a) 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
applicable to it with the appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income-Tax, Wealth-Tax,
Service Tax, Sales Tax, Custom Duty and Excise Duty and Cess and other
aforesaid statutory dues were outstanding as at 31st March, 2014 for a
period of more than six months from the date they became payable.
(c) According to the record of Company there are no dues sales tax,
income tax, custom duty, wealth tax, excise duty and Cess which have
not been deposited on account of any dispute.
(d) An appeal filed by the Company against sales tax authority is
pending before Hon''ble High Court of Allahabad in the matter of
imposition of Entry Tax on Job Work. However, Company has submitted a
Bank Guarantee of Rs. 5,28,000/- with the said department as per
direction of Hon''ble High Court of Allahabad while passing the stay
order on such imposition. As confirmed by the management, during
financial year 2012-13, the Hon''ble High Court has allowed the said
appeal but due to clerical mistake in the order, application for
rectification has been filed and hence pending final order no effect
has been given in the Books of Accounts.
X. The Company does not have accumulated losses at the end of financial
year. The Company has not incurred cash loss during the financial year
covered by the audit and in the preceding financial year.
XI. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
XII. In our opinion, and according to the explanations given to us, and
based on the information, available the Company has not granted any
loans and advances 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 Nidhi/Mutual
Benefit Fund/Society. Therefore, the provisions of clause (xiii) of
paragraph 4 of the Companies (Auditor''s Report) Order, 2003 are not
applicable to the Company.
XIV. In our opinion, and according to the information and explanation
given to us the Company is dealing in/or trading in Shares, Securities,
Debentures and other investments. However the Company is maintaining
the proper records of the transactions & contracts and timely entries
are being made there in, all the investments are held in the name of
the Company except to the extent of the exemption, if any, granted
under section 49 of the Companies Act, 1956.
XV. The Company has not given any guarantee for loans taken by others
from bank, financial institutions, which is prejudicial to the interest
of the Company.
XVI. The term loans were applied for the purpose for which the loans
were obtained.
XVII. According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that there are no funds raised on short terms basis that
have been used for long term investment and vise versa.
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 Companies Act, 1956.
XIX. During the period covered by our Audit Report, the Company has not
issued any debentures.
XX. During the period covered by our Audit Report, the Co. has not
raised any money by public issue.
XXI. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the period under report.
For R.K. GOVIL & Co.
Chartered Accountants
FRN - 000748C
Sd/-
Place: New Delhi Rajesh Kumar Govil
Dated: 30.05.2014 Partner
Membership No.013632
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of M/s NATIONAL
GENERAL INDUSTRIES LTD. ("the Company") which comprise the Balance
Sheet as at March 31, 2013, 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
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 material misstatement,
whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by Management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("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 March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a Director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE TO THE AUDITORS'' REPORT (Referred to in our Report of even
date)
In terms of the information and explanations given to us and the books
and records examined by us in the normal course of audit and to the
best of our knowledge and belief, we state as under:
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on the
basis of available information. As explained to us all the fixed assets
were physically verified by the management during the year. We have
been informed that no material discrepancies were noticed on such
physical verification. Substantial part of fixed assets has not been
disposed off during the year, which will affect its status as going
concern.
II. The Inventory has been physically verified during the year by the
management at reasonable intervals except stock lying with third
parties. The Company in most of the cases has obtained confirmation of
such stocks with third parties. 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 & nature of its
business. The Company is maintaining proper records of inventory. As
explain to us the discrepancies noticed on physical verification of
stocks as compared to book records were not material, however, the same
have been properly dealt with the books of account.
III. (a)The Company has taken unsecured loans of Rs. 50 lacs during
the year from a entity listed in the register maintained u/s 301 of the
Companies Act. The said loan was non-interest bearing which is not
prima-facie prejudicial to the interest of the Company. In respect of
the said loan, the maximum amount outstanding at any time during the
year was Rs. 50 Lacs and the year-end balance is Rs. 50 Lacs.
(b)The Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
IV. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to correct
major weaknesses in internal control.
V. (a) According to the information and explanations given to us, we
are of the opinion that particulars of Contracts or arrangements
referred to in Section 301 of the Act have been entered in the register
required to be maintained under that section, wherever applicable.
(b)In Our opinion and according to the information and explanations
given to us, the transactions made in pursuance of Contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act,1956 have been made at the prices, which are
reasonable having regard to prevailing market prices at relevant time.
VI. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 58A, 58AA of the Act and the rules framed there
under, where applicable, have been complied with. National Company Law
Tribunal has not passed any order in respect of public deposits
accepted by the Company.
VII. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
VIII. According to the information and explanations given to us, the
Central Government has prescribed maintenance of cost records U/S
209(1)(d) of the Companies Act 1956 for products manufactured by the
company.
IX. (a) 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
applicable to it with the appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income-Tax, Wealth-Tax,
Service Tax, Sales Tax, Custom Duty and Excise Duty and Cess and other
aforesaid statutory dues were outstanding as at 31st March, 2013 for a
period of more than six months from the date they became payable.
(c) According to the record of Company there are no dues sales tax,
income tax, custom duty, wealth tax, excise duty and Cess which have
not been deposited on account of any dispute.
(d) An appeal filed by the Company against sales tax authority is
pending before Hon''ble High Court of Allahabad in the matter of
imposition of Entry Tax on Job Work. However, Company has submitted a
Bank Guarantee of Rs. 5,28,000/- with the said department as per
direction of Hon''ble High Court of Allahabad while passing the stay
order on such imposition. As confirmed by the management, during
financial year 2012-13, the Hon''ble High Court has allowed the said
appeal but due to clerical mistake in the order, application for
rectification has been filed and hence pending final order no effect
has been given in the Books of Accounts.
X. The Company does not have accumulated losses at the end of
financial year. The Company has not incurred cash loss during the
financial year covered by the audit and in the preceding financial
year.
XI. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
XII. In our opinion, and according to the explanations given to us,
and based on the information, available the Company has not granted any
loans and advances 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 Nidhi/ Mutual
Benefit Fund/ Society. Therefore, the provisions of clause (xiii) of
paragraph 4 of the Companies (Auditor''s Report) Order, 2003 are not
applicable to the Company.
XIV. In our opinion, and according to the information and explanation
given to us the Company is dealing in/ or trading in Shares,
Securities, Debentures and other investments. However the Company is
maintaining the proper records of the transactions & contracts and
timely entries are being made there in, all the investments are held in
the name of the Company except to the extent of the exemption, if any,
granted under section 49 of the Companies Act, 1956.
XV. The Company has not given any guarantee for loans taken by others
from bank, financial institutions, which is prejudicial to the interest
of the Company.
XVI. The term loans were applied for the purpose for which the loans
were obtained.
XVII. According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that there are no funds raised on short terms basis that
have been used for long term investment and vise versa.
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 Companies Act, 1956.
XIX. During the period covered by our Audit Report, the Company has
not issued any debentures.
XX. During the period covered by our Audit Report, the Co. has not
raised any money by public issue.
XXI. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the period under report.
For R.K GOVIL & Co.
Chartered Accountants
Sd/-
Place: New Delhi Rajesh Kumar Govil
Dated: 24.05.2013 Partner
FRN - 000748C
Membership No.013632
Mar 31, 2012
We have audited the attached Balance Sheet of M/s NATIONAL GENERAL
INDUSTRIES LTD. as at 31st March 2012 and also the Profit & Loss
Account of the Company for the year ended on that date, annexed
thereto. These financial statements are the responsibility of the
Company''s management. Our responsibility is to express an opinion on
these financial statements based on the 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 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.
As required by Companies (Auditor''s Report) Order, 2003 (as amended)
issued by the Central Government in terms of Section 227(4A) of the
Companies Act,1956, we enclose in the Annexure a statement on the
matters specified in the paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to one paragraph (3)
above, we report that:- 1. 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.
2. In our opinion proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books of the company.
3. The Balance Sheet and Profit & Loss Account referred to in this are
in agreement with the books of account of the Company.
4. In our opinion, the accounts comply with the accounting standards
referred to in Section 211(3C) of Companies Act, 1956.
5. On the basis of written representation received from the directors
as on 31.03.12, and taken on record by the Board of Directors, in our
opinion, none of the directors are disqualified from being appointed as
director u/s 274 (1)(g) of Companies Act, 1956.
6. In our opinion and to the best of our information and according to
the explanations given to us, they said Balance Sheet and Profit & Loss
Account, together with other notes thereon, 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 Balance Sheet, of the
state of affairs of the Company as at 31st March, 2012.
II. In the case Profit & Loss Account. of the profit of the company
for the year ended on that date.
III. In the case of Cash Flow statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in our Report of even date) In terms of the information
and explanations given to us and the books and records examined by us
in the normal course of audit and to the best of our knowledge and
belief, we state as under:
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on the
basis of available information. As explained to us all the fixed assets
were physically verified by the management during the year. We have
been informed that no material discrepancies were noticed on such
physical verification. Substantial part of fixed assets has not been
disposed off during the year, which will affect its status as going
concern.
II. The Inventory has been physically verified during the year by the
management at reasonable intervals except stock lying with third
parties. The Company in the most of the case has obtained confirmation
of such stocks with third parties. 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 nature of its business.
The Company is maintaining proper records of inventory. As explain to
us the discrepancies noticed on physical verification of stocks as
compared to book records were not material, however, the same have been
properly dealt with the books of account.
III. a) The Company has not taken unsecured loans during the year from
any company listed in the register maintained u/s 301 of the Companies
Act. The Amount of loan outstanding to a company u/s 301 of the
Companies Act as on 1st April 2011 of Rs. 105.50 Lacs has been paid
during the year. The said loan was non-interest bearing which is not
prima-facie prejudicial to the interest of the Company. In respect of
the said loan, the maximum amount outstanding at any time during the
year was Rs. 105.50 Lacs and the year- end balance is NIL.
b) The Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
IV. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to correct
major weaknesses in internal control.
V. (a) According to the information and explanations given to us, we
are of the opinion that particulars of Contracts or arrangements
referred to in Section 301 of the Act have been entered in the register
required to be maintained under that section, wherever applicable.
(b)In Our opinion and according to the information and explanations
given to us, the transactions made in pursuance of Contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act,1956 have been made at the prices, which are
reasonable having regard to prevailing market prices at relevant time.
VI. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 58A, 58AA of the Act and the rules framed there
under, where applicable, have been complied with. National Company Law
Tribunal has not passed any order in respect of public deposits
accepted by the Company.
VII. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
VIII. According to the information and explanations given to us, the
Central Government has prescribed maintenance of cost records U/S
209(1)(d) of the Companies Act 1956 for products manufactured by the
company. We have broadly reviewed the books of accounts maintained and
in our opinion the accounts and records have prima facie been made and
maintained by the company. By virtue of cost audit order F.NO.
52/26/CAB/2010 dated 03/05/2011, the Central Government has ordered
Cost Audit of the cost records maintained by the company U/S 233B of
the Companies Act 1956. The company has appointed cost auditor and cost
audit is under process.
IX. a) 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
applicable to it with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income-Tax, Wealth-Tax,
Service Tax, Sales Tax, Custom Duty and Excise Duty and Cess and other
aforesaid statutory dues were outstanding as at 31st March, 2012 for a
period of more than six months from the date they became payable.
c) According to the record of Company there are no dues sales tax,
income tax, custom duty, wealth tax, excise duty and Cess which have
not been deposited on account of any dispute.
d) An appeal filed by the Company against sales tax authority is
pending before Hon''ble High Court of Allahabad in the matter of
imposition of Entry Tax on Job Work. However, Company has submitted a
Bank Guarantee of Rs. 5,28,000/- with the said department as per
direction of Hon''ble High Court of Allahabad while passing the stay
order on such imposition.
X. The Company does not have accumulated losses at the end of
financial year. The Company has not incurred cash loss during the
financial year covered by the audit and in the preceding financial
year.
XI. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
XII. In our opinion, and according to the explanations given to us,
and based on the information, available the Company has not granted any
loans and advances 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 Nidhi/ Mutual
Benefit Fund/ Society. Therefore, the provisions of clause (xiii) of
paragraph 4 of the Companies (Auditor''s Report) Order, 2003 are not
applicable to the Company.
XIV. In our opinion, and according to the information and explanation
given to us the Company is dealing in/ or trading in Shares,
Securities, Debentures and other investments. However the Company is
maintaining the proper records of the transactions & contracts and
timely entries are being made there in and also, all the investments
are held in the name of the Company except to the extent of the
exemption, if any, granted under section 49 of the Companies Act, 1956.
XV. The Company has not given any guarantee for loans taken by others
from bank, financial institutions, which is prejudicial to the interest
of the Company.
XVI. The term loans were applied for the purpose for which the loans
were obtained.
XVII. According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that there are no funds raised on short terms basis that
have been used for long term investment and vice versa.
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 Companies Act, 1956.
XIX. During the period covered by our Audit Report, the Company has
not issued any debentures.
XX. During the period covered by our Audit Report, the Company has not
raised any money by public issue.
XXI. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the period under report.
For R.K GOVIL & Co.
Chartered Accountants
Sd/-
Place: New Delhi
(Rajesh K. Govil)
Dated: 30.05.2012 Partner
FRN - 000748C
Membership No.013632
Mar 31, 2010
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 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.
As required by Companies (Auditors Report) Order, 2003 (as amended)
issued by the Central Government in terms of Section 227(4A) of the
Companies Act,1956, we enclose in the Annexure a statement on the
matters specified in the paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to on paragraph (3)
above, we report that:-
1. 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.
2. In our opinion proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books of the company.
3. The Balance Sheet and Profit & Loss Account referred to in this are
in agreement with the books of account of the Company.
4. In our opinion, the accounts comply with the accounting standards
referred to in Section 211(3C) of Companies Act, 1956.
5. On the basis of written representation received from the directors
as on 31.03.10, and taken on record by the Board of Directors, in our
opinion, none of the directors are disqualified from being appointed as
director u/s 274 (l)(g) of Companies Act, 1956.
6. In our opinion and to the best of our information and according to
the explanations given to us, the said Balance Sheet and Profit & Loss
Account, together with other notes thereon, 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 Balance Sheet, of the state of affairs of the
Company as at 31st March,2010
II. In the case Profit & Loss Account, of the profit of the company
for the year ended on that date.
III. In the case of Cash Flow statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPPORT (Referred to in our Report of even
date)
In terms of the information and explanations given to us and the books
and records examined by us in the normal course of audit and to the
best of our knowledge and belief, we state as under:
i. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on the
basis of available information. As explained to us all the fixed assets
were physically verified by the management during the year. We have
been informed that no material discrepancies were noticed on such
physical verification. Substantial part of fixed assets has not been
disposed of during the year, which will affect its status as going
concern.
ii. The Inventory has been physically verified during the year by the
management at reasonable intervals except stock lying with third
parties. The Company in the most of the case has obtained confirmation
of such stocks with third parties. 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 nature of its business.
The Company is maintaining proper records of inventory. As explain to
us the discrepancies noticed on physical verification of stocks as
compared to book records were not material, however, the same have been
properly dealt with the books of account.
in. (a) The Company has taken unsecured loans from one company listed
in the register maintained u/s 301 of the Companies Act. The Amount of
loan outstanding as on the date of Balance Sheet is Rs. 66.08 Lacs. The
said loan is non-interest bearing which is not prima-facie prejudicial
to the interest of the Company.
(b) The Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
iv. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to correct
major weaknesses in internal control.
v. (a) According to the information and explanations given to us, we
are of the opinion that particulars of Contracts or arrangements
referred to in Section 301 of the Act have been entered in the register
required to be maintained under that section, wherever applicable.
(b)ln Our opinion and according to the information and explanations
given to us, the transactions made in pursuance of Contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act,1956 have been made at the prices, which are
reasonable having regard to prevailing market prices at relevant time.
vi. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 58A, 58AA of the Act and the rules framed there
under, where applicable, have been complied with. National Company Law
Tribunal has not passed any order in respect of public deposits
accepted by the Company.
vii. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
viii. The Central Government has not prescribed maintenance of cost
records under section 209(1) (d) of the Companies Act, 1956.
ix. a) 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 applicable to it with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income-Tax, Wealth-Tax,
Service Tax, Sales Tax, Custom Duty and Excise Duty and Cess and other
aforesaid statutory dues were outstanding as at 31st March, 2010 for a
period of more than six months from the date they became payable.
c) According to the record of Company there are no dues sales tax,
income tax, custom duty, wealth tax, excise duty and Cess which have
not been deposited on account of any dispute.
d) An appeal filed by the Company against sales tax authority is
pending before Honble High Court of Allahabad in the matter of
imposition of Entry Tax on Job Work. However, Company has submitted a
Bank Guarantee of Rs. 5,28,000/- with the said department as per
direction of Honble High Court of Allahabad while passing the stay
order on such imposition.
x. The Company has no accumulated losses. The Company has not incurred
cash loss during the financial year under report and in the financial
year immediately preceding such financial year.
xi. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
xii. In our opinion, and according to the explanations given to us,
and based on the information, available the Company has not granted any
loans and advances 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 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. In our opinion, and according to the information and explanation
given to us the Company is dealing in/ or trading in Shares, Securities,
Debentures and other investments. However the Company is maintaining
the proper records of the transactions & contracts and timely entries
are being made there in and also, all the investments are held in the
name of the Company except to the extent of the exemption, if any,
granted under section 49 of the Companies Act, 1956.
xv. The Company has not given any guarantee for loans taken by others
from bank, financial institutions, which is prejudicial to the interest
of the Company.
xvi. The term loans were applied for the purpose for which the loans
were obtained.
xvii. According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that there are no funds raised on short terms basis that
have been used for long term investment and vise versa.
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. During the period covered by our Audit Report, the Company has not
issued any debentures.
xx. During the period covered by our Audit Report, the Company has not
raised any money by public issue.
xxi. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the period under report.
ForR.KGOVIL&Co.
Chartered Accountants
Sd/-
Place: New Delhi (Rajesh K. Govil)
Dated: 28th May, 2010 Partner
FRN - 00748C
Membership No. 13632
Mar 31, 2009
We have audited the attached Balance Sheet of M/s NATIONAL GENERAL
INDUSTRIES LTD. as at 31st March 2009 and also the Profit & Loss
Account of the Company for the year ended on that date, annexed
thereto. These financial statements are the responsibility of the
CompanyÃs management. Our responsibility is to express an opinion on
these financial statements based on the 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 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.
As required by Companies (AuditorÃs Report) Order, 2003 (as amended)
issued by the Central Government in terms of Section 227(4A) of the
Companies Act,1956, we enclose in the Annexure a statement on the
matters specified in the paragraphs 4 and 5 of the said Order.
Further to our comments in the Annexure referred to on paragraph (3)
above, we report that:- 1. 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.
2. In our opinion proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of the
books of the company.
3. The Balance Sheet and Profit & Loss Account referred to in this are
in agreement with the books of account of the Company.
4. In our opinion, the accounts comply with the accounting standards
referred to in Section 211(3C) of Companies Act, 1956.
5. On the basis of written representation received from the directors
as on 31.03.09, and taken on record by the Board of Directors, in our
opinion, none of the directors are disqualified from being appointed as
director u/s 274 (1)(g) of Companies Act, 1956.
6. In our opinion and to the best of our information and according to
the explanations given to us, the said Balance Sheet and Profit & Loss
Account, together with other notes thereon, 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 Balance Sheet, of the
state of affairs of the Company as at 31st March,2009
II. In the case Profit & Loss Account, of the profit of the company
for the year ended on that date.
III. In the case of Cash Flow statement, of the cash flowÃs for the
year ended on that date.
ANNEXURE TO THE AUDITORSÃ REPPORT (Referred to in our Report of even
date)
In terms of the information and explanations given to us and the books
and records examined by us in the normal course of audit and to the
best of our knowledge and belief, we state as under:
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets on the
basis of available information. As explained to us all the fixed assets
were physically verified by the management during the year. We have
been informed that no material discrepancies were noticed on such
physical verification. Substantial part of fixed assets has not been
disposed of during the year, which will affect its status as going
concern.
II. The Inventory has been physically verified during the year by the
management at
reasonable intervals except stock lying with third parties. The Company
in the most of the case has obtained confirmation of such stocks with
third parties. 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 nature of its business. The Company
is maintaining proper records of inventory. As explain to us the
discrepancies noticed on physical verification of stocks as compared to
book records were not material, however, the same have been properly
dealt with the books of account.
III. The Company has taken unsecured loans from one company listed in
the register maintained u/s 301 of the Companies Act. The Amount of
loan outstanding as on the date of Balance Sheet is Rs. 66.08 Lacs. The
said loan is non-interest bearing which is not prima-facie prejudicial
to the interest of the Company.
IV. The Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under Section 301 of the Companies Act, 1956.
V. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and also for the sale of goods
and services. In our opinion, there is no continuing failure to correct
major weaknesses in internal control.
VI. (a) According to the information and explanations given to us, we
are of the opinion that particulars of Contracts or arrangements
referred to in Section 301 of the Act have been entered in the register
required to be maintained under that section, wherever applicable.
(b)In Our opinion and according to the information and explanations
given to us, the transactions made in pursuance of Contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act,1956 have been made at the prices, which are
reasonable having regard to prevailing market prices at relevant time.
VII. The Company has not accepted deposits from the public. In our
opinion, the directives issued by the Reserve Bank of India and the
provisions of section 58A, 58AA of the Act and the rules framed there
under, where applicable, have been complied with. National Company Law
Tribunal has not passed any order in respect of public deposits
accepted by the Company.
VIII. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
IX. The Central Government has not prescribed maintenance of cost
records under section 209(1) (d) of the Companies Act, 1956.
X. a) 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
applicable to it with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of Income-Tax, Wealth-Tax,
Service Tax, Sales Tax, Custom Duty and Excise Duty and Cess and other
aforesaid statutory dues were outstanding as at 31st March, 2009 for a
period of more than six months from the date they became payable.
c) According to the record of Company there are no dues sales tax,
income tax, custom duty, wealth tax, excise duty and Cess which have
not been deposited on account of any dispute.
d) An appeal filed by the Company against sales tax authority is
pending before HonÃble High Court of Allahabad in the matter of
imposition of Entry Tax on Job Work. However, Company has submitted a
Bank Guarantee of Rs. 5,28,000/- with the said department as per
direction of HonÃble High Court of Allahabad while passing the stay
order on such imposition.
XI. The Company has no accumulated losses. The Company has not
incurred cash loss during the financial year under report and in the
financial year immediately preceding such financial year.
XII. According to the information and explanations given to us, we are
of the opinion that Company has not defaulted in repayment of dues to
financial institutions or banks and debenture holders.
XIII. In our opinion, and according to the explanations given to us,
and based on the information, available the Company has not granted any
loans and advances on the basis of security by way of pledge of shares,
debentures and other securities.
XIV. In our opinion, the Company is not a chit fund or Nidhi/ Mutual
Benefit Fund/ Society. Therefore, the provisions of clause 4 (xiii) of
the Companies (AuditorÃs Report) Order, 2003 are not applicable to the
Company.
XV. In our opinion, and according to the information and explanation
given to us the Company is dealing in/ or trading in Shares,
Securities, Debentures and other investments. However the Company is
maintaining the proper records of the transactions & contracts and
timely entries are being made there in and also, all the investments
are held in the name of the Company except to the extent of the
exemption, if any, granted under section 49 of the Companies Act, 1956.
XVI. The Company has not given any guarantee for loans taken by others
from bank, financial institutions, which is prejudicial to the interest
of the Company.
XVII. The term loans were applied for the purpose for which the loans
were obtained.
XVIII. According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that there are no funds raised on short terms basis that
have been used for long term investment and vise versa.
XIX. 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.
XX. During the period covered by our Audit Report, the Company has not
issued any debentures.
XXI. During the period covered by our Audit Report, the Company has
not raised any money by public issue.
XXII. Based upon the audit procedures performed and information and
explanations given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the period under report.
For R.K GOVIL & Co.
Charted Accountants
Sd/-
Place: New Delhi (Rajesh K. Govil)
Date: 3rd September, 2009 Partner
Membership No.13632
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