Mar 31, 2018
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of Orbit Exports Limited (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity for the year then ended, and a summary of the significant accounting policies and other explanatory information (hereinafter referred to as âstandalone financial statementsâ).
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in sub-section 5 of section 134 of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (âInd ASâ) specified under section 133 of the Act, read with rules made thereunder and the relevant provisions of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters, which are required to be included in the audit report under the provisions of the Act and the rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified under sub-section 10 of section 143 of the Act and other applicable pronouncements issued by the Institute of Chartered Accountants of India (âICAIâ). Those Standards and pronouncements require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the standalone 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 standalone 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 standalone 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 including the Ind AS, of the state of affairs of the Company as at March 31, 2018, and its profits including other comprehensive income, its cash flows and the changes in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ), issued by the Central Government of India in terms of sub-section 11 of section 143 of the Act, we give in the âAnnexure Aâ, a statement on the matters specified in the paragraph 3 and 4 of the Order.
2. As required by sub-section 3 of section 143 of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
b) In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
c) The Balance Sheet, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;
d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under section 133 of the Act, read with rules made thereunder and relevant provisions of the Act.
e) On the basis of the written representations received from the directors as on March 31, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2018 from being appointed as a director in terms of Sub-section 2 of section 164 of the Act;
f) With respect to the adequacy of the internal financial controls with reference to financial statements 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, 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 standalone financial statements - Refer Note 4.03 to the standalone financial statements;
ii. The Company did not have any material foreseeable losses on long term contracts including derivative contracts; and
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
ANNEXURE A TO THE INDEPENDENT AUDITORâS REPORT
(Referred to in paragraph 1 under âReport on Other Legal and Regulatory Requirementsâ of our report on even date, to the members of the Company on the standalone financial statements for the year ended March 31, 2018)
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of its property, plant and equipment;
(b) The Company has a regular programme of physical verification of property, plant and equipment by which all property, plant and equipment of the Company are being verified in a phased manner over a period of three years, which in our opinion, is reasonable having regard to the size of the Company and nature of its business. Pursuant to the program, a portion of property, plant and equipment has been physically verified by the management during the year and no material discrepancies were noticed on verification conducted during the year as compared with the book records; and
(c) According to the information and explanation given to us and on the basis of our examination of records of the Company, the title deeds of immovable properties classified as fixed assets are held in the name of the Company.
(ii) (a) The inventory (excluding stocks with third parties) has been physically verified by the Management during the year. In respect of inventory lying with third parties, these have substantially been confirmed by them. In our opinion, the frequency of verification is reasonable; and
(b) The discrepancies noticed on physical verification of inventory as compared to book records were not material and have been appropriately dealt with in the books of accounts.
(iii) 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 Act. Accordingly, para 3(iii)(a) to (c) of the Order regarding terms and conditions of such loans and repayment of such loans etc. are not applicable to the Company.
(iv) The Company has not granted any loans or provided any guarantees or security to the parties covered under section 185 of the Act. The Company has complied with the provisions of section 186 of the Act in respect of investments made or loans or guarantee or security provided to the parties covered under that section.
(v) The Company has complied with the directives issued by the Reserve Bank of India and the provisions of section 73 to 76 or any other relevant provisions of the Act, and the rules framed there under, to the extent applicable. We are informed by the management that no order has been passed by the Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal in this regard.
(vi) The Central Government has prescribed maintenance of cost records under sub-section 1 of section 148 of the Act, for the products manufactured by the Company. We have broadly reviewed the books of account maintained and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained by the Company. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.
(vii) (a) The Company has generally been regular in depositing undisputed statutory dues including provident fund, employeesâ state insurance, income tax, sales tax, service tax, duty of customs, duty of excise, value added tax, goods and services tax, cess and other applicable statutory dues with the appropriate authorities. No undisputed statutory dues payable were in arrears as at March 31, 2018, for a period of more than six months from the date they became payable except income tax of Rs. 2.07 lakhs as the company is on the process of approaching the Assessing Officer with a request to adjust the demand against refund of tax receivable in other years; and
(b) The details of dues of income tax, sales tax, service tax, duty of customs, duty of excise or value added tax or cess which have not been deposited with the concerned authorities on account of dispute are given below:
Nature of dues |
Period to which the amount relates |
Forum where dispute is pending |
Amount involved (Rs. in Lakhs) |
Income Tax |
A.Y. 2010-11 |
Commissioner (Appeals) |
6.13 |
Income Tax |
A.Y. 2013-14 |
Commissioner (Appeals) |
13.43 |
Income Tax |
A.Y. 2014-15 |
Commissioner (Appeals) |
94.27 |
Duty Drawback |
A.Y. 2014-15 |
Dy. Commissioner of Customs |
1.83 |
(viii) The Company has not defaulted in repayment of dues to any financial institutions, banks, government or debenture holders.
(ix) The Company has raised term loans during the year which have been applied for the purpose for which they were raised.
(x) To the best of our knowledge and belief and according to the information and explanations given to us, no fraud by the Company or on the Company by its officers or employees has been noticed or reported during the year.
(xi) According to the information and explanations give to us and based on our examination of the records of the Company, the Company has paid/provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197, read with Schedule V to the Act.
(xii) In our opinion and according to information and explanation given to us, the Company is not a Nidhi Company. Accordingly, paragraph 3(xii) of the Order is not applicable to the Company.
(xiii) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the standalone financial statements as required by the applicable accounting standards.
(xiv) Based on our audit procedures performed for the purpose of reporting the true and fair view of the standalone financial statements and according to information and explanations given by the management, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, paragraph 3(xvi) of the Order is not applicable to the Company.
(xv) Based on our audit procedures performed for the purpose of reporting the true and fair view of the standalone financial statements, the Company has not entered into any non-cash transactions with directors. We have been informed that no such transactions have been entered into with person connected with directors. Accordingly, paragraph 3(xv) of the Order is not applicable to the Company.
(xvi) The Company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934.
ANNEXURE B TO THE INDEPENDENT AUDITORâS REPORT
(Referred to in paragraph 2(f) under âReport on Other Legal and Regulatory Requirementsâ of our Independent Auditorâs report of even date, to the members of Orbit Exports Limited on the Standalone Financial Statements for the year ended March 31, 2018)
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of section 143 of the Companies Act, 2013 (the Act)
We have audited the internal financial controls with reference to financial statements of Orbit Exports Limited (âthe Companyâ) as of March 31, 2018 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements 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 (âGuidance Noteâ) issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.
Auditorâs Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by the ICAI and deemed to be prescribed under sub-section 10 of section 143 of the Act, 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 ICAI. 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 with reference to financial statements were 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 with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the standalone financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system with reference to financial statements.
Meaning of Internal Financial Controls with reference to financial statements
A companyâs internal financial control with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control with reference to financial statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls with reference to Financial Statements
Because of the inherent limitations of internal financial controls with reference to financial statements, 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 with reference to financial statements to future periods are subject to the risk that the internal financial control with reference to financial statements 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 with reference to financial statements and such internal financial controls with reference to financial statements were operating effectively as at March 31, 2018, based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note.
For G. M. Kapadia & Co.
Chartered Accountants
Firmâs Registration No: 104767W
Atul Shah
Partner
Membership No: 39569
Mumbai
Dated: May 30, 2018
Mar 31, 2015
1. We have audited the accompanying financial statements of Orbit
Exports Ltd. ("the Company"), which comprise the Balance Sheet as at
31st March 2015, the Statement of Profit & 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
2. The Company's Board of Directors is responsible for the matters in
section 134(5) of the Companies Act, 2013 ("the Act") 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)
Rules, 2014. This responsibility also includes the maintenance of
adequate accounting records in accordance with the provision of the Act
for safeguarding of the assets of the Company and for preventing and
detecting the frauds and other irregularities; selection and
application of appropriate accounting policies; making judgments and
estimates that are reasonable and prudent; and design, implementation
and maintenance of internal financial control, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's Responsibility
3. Our responsibility is to express an opinion on these financial
statements based on our audit.
4. We have taken into account the provisions of the Act and the Rules
made therunder including the accounting standards and matters which are
required to be included in the audit report.
5. 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.
6. An audit involves performing procedures to obtain audit evidence
about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give true
and fair view in order to design audit procedures that are appropriate
in the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by Company's Directors, as well as
evaluating the overall presentation of the financial statements.
7. 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
8. In our opinion and to the best of our information and according to
the explanations given to us, the aforesaid financial statements, give
the information required by the Act in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India;
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 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.
9. Report on other Legal and Regulatory Requirements
As required by the Companies (Auditors' Report) Order, 2015 issued by
the Central Govt. of India in terms of sub-section (11) of Section 143
of the Act (hereinafter referred to as the "Order") and on the basis of
such checks of the books and records of the Company as we considered
appropriate and according to the information and explanations given to
us, we give in the Annexure a statement on the matters specified in
paragraphs 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 appears from our examination of those
books.
d) the Balance Sheet, the Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
e) 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.
f) The going concern matter described in sub-paragraph (b) under the
Emphasis of Matters paragraph above, in our opinion, may not have an
adverse effect on the functioning of the Company.
g) On the basis of 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.
h) With respect to the other matters included in the Auditor's Report
and to our best of our information and according to the explanations
given to us :
i. the Company does not have any pending litigations which would
impact its financial position;
ii. The Company did not have any long-term contracts including
derivatives contracts as on 31st March, 2015;
iii. there were no amounts which required to be transferred to the
Investor Education and Protection Fund by the Company during the year
ended on 31st March, 2015.
Annexure to Independent Auditors' Report
Referred to in paragraph - 9 of the Independent Auditors' Report of
even date to the Members of Orbit Exports Ltd. on the standalone
financial statements for the year ended on 31st March, 2015 :-
i. (a) The Company is maintaining proper records showing full
particulars, including quantitative details and situation, of fixed
assets.
(b) The fixed assets of the Company have been physically verified by
the Management during the year and no material discrepancies have been
noticed on such verification. In our opinion, the frequency of
verification is reasonable.
ii. (a) The inventory (excluding stocks with third parties) has been
physically verified by the Management during the year. In respect of
inventory lying with third parties, these have substantially been
confirmed by them. In our opinion, the frequency of verification is
reasonable.
(b) In our opinion, 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) On the basis of our examination of the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material.
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 Act. Therefore, the provisions of Clause
3(iii), (iii)(a) and (iii) (b) of the said Order 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 the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the Company, and according to the information and
explanations given to us, we have neither come across, nor have been
informed of, any continuing failure to correct major weaknesses in the
aforesaid internal control system
v. The Company has not accepted any deposits from the public within
the meaning of Sections 73, 74, 75 and 76 of the Act and the rules
framed there under to the extent notified.
vi. The Central Government of India has not specified the maintenance
of cost records under sub-section (1) of Section 148 of the Act for any
of the products of the Company.
vii. (a) According to the information and explanations given to us and
the records of the Company examined by us, in our opinion, the Company
is generally regular in depositing undisputed statutory dues in respect
and including Provident Fund, Employees' State Insurance, Income Tax,
Sales Tax, Wealth Tax, Service Tax, Duty of Customs, Duty of Excise,
Value Added Tax, Cess and other material statutory dues, though there
has been a slight delay in a few cases, and is regular in depositing
undisputed statutory dues, including provident fund, employees' state
insurance, sales tax, income tax, wealth tax, service tax, duty of
customs, duty of excise, value added tax, cess and other material
statutory dues, as applicable, with the appropriate authorities
(b) According to the information and explanations given to us and the
records of the Company examined by us, there are no dues of Income-Tax,
Sales-Tax, Wealth-Tax, Service-Tax, Duty of Customs, and Duty of Excise
or Value Added Tax or Cess which have not been deposited on account of
any dispute.
c) There are no amounts required to be transferred by the Company to
the Investor Education and Protection Fund in accordance with the
provisions of the Companies Act, 1956 and the rules made thereunder.
viii. The Company has no accumulated losses as at the end of the
financial year and it has not incurred any cash losses in the financial
year ended on that date or in the immediately preceding financial year.
ix. According to the records of the Company examined by us and the
information and explanation given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank or debenture
holders as at the balance sheet date.
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 banks or financial institutions during the year.
Accordingly, the provisions of Clause 3(x) of the Order are not
applicable to the Company.
xi. In our opinion, and according to the information and explanations
given to us, the term loans have been applied, on an overall basis, for
the purposes for which they were obtained.
xii. 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
material fraud on or by the Company, noticed or reported during the
year, nor have we been informed of any such case by the Management.
for Krishna R. Moondra & Associates
Chartered Accountants
Manish Kumar Gupta
Partner
M. No. : 130883/ FRN No. 114488W.
Place : Mumbai.
Dated : 22nd May, 2015.
Mar 31, 2014
We have audited the accompanying financial statements of Orbit Exports
Limited ("the Company"), which comprise the Balance Sheet as at 31st
March, 2014, the Statement of Profit and Loss and Cash Flow Statement
of the Company 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 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 and in accordance with the
accounting principles generally accepted in India. This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The
procedures selected depend on the Auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the Auditor considers internal control relevant to the
Company''s preparation and fair presentation of the financial
statements in order to design audit procedures that are appropriate in
the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by Management, as well as evaluating the
overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 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 under provisions of section 227(3) of the Companies
Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d) in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards notified
under the Act read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013;
e) on the basis of written representations received from the directors
as on 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.
Referred to in paragraph 1 under the heading of "Report on Other Legal
and Regulatory Requirements" of our report of even date
1. In respect of its fixed assets :
a) The Company has maintained proper records showing full particulars
including quantitative details and
situation of fixed assets on the basis of available information.
b) As explained to us, all the fixed assets have been physically
verified by the management in a phased
periodical manner, which is our opinion is reasonable, having regard to
the size of the Company and nature of its assets. No material
discrepancies were noticed on such physical verification.
c) In our opinion, the Company has not disposed off a substantial part
of its fixed assets during the year and
going concern status of the Company is not affected.
2. In respect of its inventories :
a. As explained to us, the inventories have been physically verified
by the management at regular intervals 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. The Company has maintained proper records of inventories. As
explained to us, there was no material discrepancies noticed on
physical verification as compared to the book records.
3. Loans and Advances :
a. The Company has not granted any loans to any person covered in the
register maintained under section 301 of the Companies Act, 1956.
Consequently, the requirements of Clauses (iii) (b) (iii) (c) and (iii)
(d) of paragraph 4 of the Order are not applicable.
e. The Company had not taken any loans from Companies, firms or other
parties covered in the register maintained under section 301 of the
Companies Act, 1956. Consequently, the requirements of Clauses (iii)
(f) and (iii) ((g) of paragraph 4 of the Order are not applicable.
4. In our opinion and according to the information and explanation
given to us, that there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business for purchase of inventory and fixed assets and for sale of
goods and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in such
internal control system.
5. In respect of transactions covered under section 301 of the
Companies Act, 1956 :
a. In our opinion and according to the information given to us, the
transactions made in pursuance of contracts or arrangments 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 the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of Rs.5.00 lacs in
respect of any party during the year, have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
6. According to the information and explanation given to us, the
Company has not accepted any deposits from public. Therefore, the
provisions of Clause (vi) of paragraph 4 of the Order are not
applicable to the Company.
7. In our opinion, the Company has a formal internal audit system
commensurate with its size and nature of its business.
8. We have broadly reviewed the cost records maintained by the Company
pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1)(d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate of complete.
9. In respect of statutory dues :- a. According to the records of the
Company, undisputed statutory dues including Provident Fund, Investor
Education and Protection Fund, Employees'' State Insurance, Income-Tax,
Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess and
other material statutory dues have been generally regularly deposited
with the appropriate authorities. According to the information and
explanation given to us, that there was no undisputed dues were
outstanding as at 31st March, 2014 for a period of more than six months
from the date of becoming payable.
b. According to the information and explanations given to us, there
are no dues of income tax, sales tax, wealth tax, service tax, customs
duty and excise duty outstanding on account of any dispute.
10. The Company does not have any accumulated losses at the end of the
financial year. The Company has not incurred any cash losses during
the financial year covered by our audit and has not incurred any cash
losses during the immediately preceding financial year.
11. Based on our audit procedure and according to the explanations and
information given to us, we are of the opinion that the Company has not
defaulted in repayment of dues to Financial Institutions and Banks.
12. In our opinion and according to the information and explanation
given to us, no Loans & Advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
13. In our opinion the Company is not a chit fund or a nidhi /mutual
benefit fund/society. Therefore, clauses 4(xiii) of the Companies
(Auditor''s Report) Order, 2003 is not applicable to the Company.
14. In our opinion, the Company is not dealing in or trading in shares
securities, debentures and other investments. Accordingly the
provisions of Clause 4(xiv) of the Companies (Auditor''s Report) Order,
2003 are not applicable to the Company.
15. The Company has not given guarantees for loans taken by others
from banks during the year.
16. The Company has raised new term loans during the year. The term
loans outstanding at the beginning of the year and those raised during
the year have been applied for the purposes for which they were raised.
17. According to the information and explanations given to us and on
overall examination of the Balance Sheet of the Company, we are of the
opinion that there are no funds raised on short term basis that have
been used for long term investments.
18. During the year, the Company has made preferential allotment of
shares to parties covered in the register maintained under section 301
of the Companies Act, 1956. Prima facie the rate at which the allotment
was made was not prejudicial to the interest of the Company.
19. The Company has not issued any Debentures; hence creation of
security for the same is not applicable.
20. The Company has not raised any money by way of public issue during
the year.
21. In our opinion and according to information and explanations given
to us, no material fraud on or by the Company has been noticed or
reported during the year.
for Krishna R. Moondra & Associates
Chartered Accountants
Manish Kumar Gupta
Partner.
M. No. 130883/ FRN No. 114488W.
Place : Mumbai.
Dated : 27th May, 2014
Mar 31, 2013
1. We have audited the attached Balance Sheet of M/s. Orbit Exports
Limited, as at 31st March, 2013, the Statement of Proft & Loss and Cash
Flow Statement of the Company for the year ended on that date both
annexed thereto. These financial statements are the responsibility of
the CompanyÂs 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 amount and
disclosures in the financial statements. An audit also includes
assessing the accounting principals used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (AuditorÂs Report) Order, 2003(CARO)
issued by the Central Government of India in terms of Section 227(4A)
of the Companies Act, 1956 and on the basis of such checks of books and
records of the Company as we considered appropriate and according to
the information and explanations given to us during the course of
audit, we further state on the matters specified in paragraphs 4 and 5
of the said Order
4. Further to comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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 such
books.
c) The Balance Sheet, Statement of Profit & 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 & Loss and Cash
Flow Statement dealt with by this report comply with the mandatory
Accounting Standards referred to in Sub Section 3 C of Section 211 of
the Companies Act, 1956 except reported separately.
e) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
Significant Accounting policies and 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 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 & 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
5. On the basis of the written representations received from the
Directors as on 31st March, 2013 and taken on record, none of the
directors of the Company is disqualifed as on 31st 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.
(Referred to in paragraph (3)of our report to even date)
1. Fixed assets:
a) The Company is maintaining proper records showing full particulars
details including quantitative details and situation of fixed assets.
b) The Company has a program for physical verification of fixed assets at
periodical intervals. In our opinion, the period of verification is
reasonable having regard to the size of the Company and nature of its
assets. The discrepancies reported on such verification are not material
and have been properly dealt with in the books of account.
c) In our opinion, there have been no significant disposals of fixed
assets during the year which affect the going concern assumption.
2. Inventory:
a. The management has conducted physical verification of inventory at
reasonable intervals. In our opinion, the frequency of verification is
reasonable.
b. The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the Company and to the nature of its business.
c. The Company is maintaining proper records of inventory. No material
discrepancies were noticed on verification between the physical stocks
and the book records.
3. Loans and Advances:
a. The Company has not granted any loans to any person covered in the
register maintained under section 301 of the Companies Act, 1956. The
other sub clauses 3(b) to 3(d) of the Report are not applicable.
e. The Company had not taken any loan from any of the Companies, forms
or other parties covered in the register maintained under section 301
of the Companies Act, 1956. The other sub clauses 3(f) to 3(g) of the
Report are not applicable.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the Company and the nature of its business. During
the course of our audit, we have not observed any continuing failure to
correct major weaknesses in internal control system of the Company.
5. Transactions that need to be entered in the register maintained
under section 301 of the Companies Act, 1956:
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 Companies Act, 1956 have been so entered in
the register required to be maintained under that section.
b. In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of R 5.00 lacs in
respect of any party during the year, have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public
within the meaning of section 58A, 58AA, or any other relevant
provisions of the Companies Act, 1956 and the rules framed there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The Central Government has prescribed maintenance of cost records
under section 209(1)(d) of the Companies Act, 1956 in respect of
products of the Company. We have broadly reviewed the books of account
and records of the Company in this connection and are of the opinion
that prima facie the prescribed accounts and records have been made and
maintained. However, we have not made any detailed examination of the
same.
9. Statutory dues:
a. According to the records of the Company, 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, Customs Duty, Excise Duty, Cess and
other statutory dues, with the appropriate authorities.
b. According to the information and explanations given to us, there
are no dues of income tax, sales tax, wealth tax, service tax, customs
duty and excise duty or cess outstanding on account of any dispute.
10. The Company does not have accumulated losses at the end of the
financial year, nor has it incurred any cash losses in the current
financial year, or in the immediately preceding financial year.
11. According to the information and explanations given to us and
based on the documents and records produced before us, there has been
no default in repayment of dues to financial institutions, banks or
debentures holders.
12. According to the information and explanations given to us, and
based on the documents and records produced before us, the Company has
not granted any loans or advances on the basis of security by way of
pledge of shares, debentures or other securities.
13. In our opinion, the Company is not a chit fund or niche mutual
benefit fund / society. Therefore, the provisions of clause 4(xiii) of
the Companies (AuditorÂs Report) Order, 2003 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 Companies (AuditorÂs Report) Order,
2003 are not applicable to the Company.
15. According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
16. According to the information and explanations given to us and the
records examined by us, on an overall basis, the term loans, which have
been raised during the year, were applied by the Company for the
purpose for which they were raised.
17. According to the information and explanations given to us and on
overall examination of the Balance Sheet, the Cash Flow Statement and
other records examined by us, the Company has not used funds raised on
short term basis for financing long term assets.
18. According to the information and explanations given to us, the
Company has made preferential allotment of shares to parties and
Companies covered in the register maintained under section 301 of the
Act. In our opinion, the price at which shares have been issued is not
prejudicial to the interest of the Company.
19. The Company has not issued any Debentures during the year.
20. The Company has not raised any money by way of public issue during
the year.
21. Based upon the audit procedures performed by us, to the best of
our knowledge and belief and according to the information and
explanations given to us by the Management, no fraud on or by the
Company has been noticed or reported during the year that causes the
financial statements to be materially misstated.
for Krishna R. Moondra & Associates
Chartered Accountants
Manish Kumar Gupta
Partner.
M.No. 130883/ F.R.No. 114488W
Place : Mumbai.
Dated : 15th May, 2013.
Mar 31, 2011
We have audited the attached Balance Sheet of M/s. Orbit Exports
Limited, as at 31st March, 2011 and also 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 responsibility of
the Companys management. Our responsibility is to express an opinion
on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amount and
disclosures in the financial statements. An audit also includes
assessing the accounting principals used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis
for our opinion. We report that: -
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the 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 such
books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account.
d) In our opinion the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the mandatory
Accounting Standards referred to in Sub Section 3 C of Section 211 of
the Companies Act, 1956 except reported separately.
e) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
Significant Accounting policies and 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 the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2011;
ii) in the case of the Profit & Loss Account, of the profit 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
f) On the basis of the written representations received from the
Directors as on 31.03.2011 and taken on record, none of the directors
of the Company is disqualified as on 31st March, 2011 from being
appointed as a director in terms of clause (g) of sub section (1) of
Section 274 of the Companies Act, 1956.
g) As required by the Companies (Auditors Report) Order, 2003, issued
by the Central Government of India in terms of Section 227(4A) of the
Companies Act, 1956 and on the basis of such checks of books and
records of the Company as we considered appropriate and according to
the information and explanations given to us during the course of
audit, we further state on the matters specified in paragraphs 4 and 5
of the said Order that;
1. Fixed assets:
a) The Company is maintaining proper records showing full particulars
details including quantitative details and situation of fixed assets.
b) The Company has a program for physical verification of fixed assets
at periodical intervals. In our opinion, the period of verification is
reasonable having regard to the size of the Company and nature of its
assets. The discrepancies reported on such verification are not
material and have been properly dealt with in the books of account.
c) In our opinion, there have been no significant disposals of fixed
assets during the year which affect the going concern assumption.
2. Inventory:
a. The management has conducted physical verification of inventory at
reasonable intervals. In our opinion, the frequency of verification is
reasonable.
b. The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the Company and to the nature of its business.
c. The Company is maintaining proper records of inventory. No material
discrepancies were noticed on verification between the physical stocks
and the book records.
3. Loans and Advances:
a. The Company has not granted any loans to any person covered in the
register maintained under section 301 of the Companies Act, 1956.
b. In our opinion, the rate of interest and other terms and conditions
of such loans are not, prima facie, prejudicial to the interest of the
Company.
c. The parties have repaid the principal amounts as stipulated and
have also been regular in the payment of interest to the Company.
d. There is no overdue amount in excess of Rs. 1 lakh in respect of
loans granted to Companies, firms or other parties listed in the
register maintained under section 301 of the Companies Act, 1956.
e. The Company had not taken any loan from any of the Companies, firms
or other parties covered in the register maintained under section 301
of the Companies Act, 1956.
f. In our opinion, the rate of interest and other terms and conditions
on which loans have been taken from Companies, firms or other parties
covered in the register maintained under section 301 of the Companies
Act, 1956 are not prima facie, prejudicial to the interest of the
Company.
g. The Company is regular in repaying the principal amounts as
stipulated and has been regular in payment of interest.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the Company and the nature of its business. During
the course of our audit, we have not observed any continuing failure to
correct major weaknesses in internal control system of the Company.
5. Transactions that need to be entered in the register maintained
under section 301 of the Companies Act, 1956:
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 Companies Act, 1956 have been so entered in
the register required to be maintained under that section.
b. In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of Rs 5.00 lac in
respect of any party during the year, have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public
within the meaning of section 58A, 58AA, or any other relevant
provisions of the Companies Act, 1956 and the rules framed there under.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The Central Government has prescribed maintenance of cost records
under section 209(l)(d) of the Companies Act, 1956 in respect of
products of the Company. We have broadly reviewed the books of account
and records of the Company in this connection and are of the opinion
that prima facie the prescribed accounts and records have been made and
maintained. However, we have not made any detailed examination of the
same.
9. Statutory dues:
a. According to the records of the Company, 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, Customs Duty, Excise Duty, Cess and
other statutory dues, with the appropriate authorities.
b. According to the information and explanations given to us, there
are no dues of income tax, sales tax, wealth tax, service tax, customs
duty and excise duty or cess outstanding on account of any dispute,
other than the following:
Name of the Nature of dues Forum where dispute Amount
Statute is pending (Rs. in lakhs)
Income Tax
Act, 1961 Income Tax
(AY. 1995-96) CIT (Appeal), Mumbai 5.11
Income Tax
Act, 1961 Income Tax
(AY. 1996-97) CIT (Appeal), Mumbai 24.33
10. The Company does not have accumulated losses as at the end of the
financial year, nor has it incurred cash losses in the current
financial year, or in the immediately preceding financial year.
11. According to the information and explanations given to us and
based on the documents and records produced before us, there has been
no default in repayment of dues to financial institutions, banks or
debentures holders.
12. According to the information and explanations given to us, and
based on the documents and records produced before us, the Company has
not granted any loans or advances on the basis of security by way of
pledge of shares, debentures or other securities.
13. 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.
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 Companies (Auditors Report) Order,
2003 are not applicable to the Company.
15. According to the information and explanation given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
16. According to the information and explanations given to us and the
records examined by us, on an overall basis, the term loans, which have
been raised during the year, were applied by the Company for the
purpose for which they were raised.
17. According to the information and explanations given to us and on
overall examination of the Balance Sheet, the Cash Flow Statement and
other records examined by us, the Company has not used funds raised on
short term basis for financing long term assets.
18. According to the information and explanations given to us, the
Company has made preferential allotment of shares to parties and
companies covered in the register maintained under section 301 of the
Act. In our opinion, the price at which shares have been issued is not
prejudicial to the interest of the Company.
19. The Company has not issued any Debentures during the year.
20. The Company has not raised any money by way of public issue during
the year.
21. Based upon the audit procedures performed by us, to the best of
our knowledge and belief and according to the information and
explanations given to us by the Management, no fraud on or by the
Company has been noticed or reported during the year that causes the
financial statements to be materially misstated.
for Krishna R. Moondra & Associates
Chartered Accountants
Manish Kumar Gupta
Partner
M.No. 130883./ F.R.No. 114488W
Place : Mumbai.
Dated : 3rd May, 2011.
Mar 31, 2010
We have audited the attached Balance Sheet of M/s. Orbit Exports
Limited, as at 31st March, 2010 and also 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 responsibility of
the Companys management. Our responsibility is to express an opinion
on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amount and
disclosures in the financial statements. An audit also includes
assessing the accounting principals used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion. We report that:-
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 account as required by law have
been kept by the Company, so far as appears from our examination of the
books of accounts.
3. The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with this report are in agreement with the books of account.
4. In our opinion the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the mandatory
Accounting Standards referred to in Sub Section 3 C of Section 211 of
the Companies Act, 1956 except reported separately.
5. In our opinion and on the basis of the information & explanations
given to us and on the basis of the written representations received
from the Directors and taken on record, none of the directors of the
Company is disqualified as on 31st March, 2010 from being appointed as
a director in terms of clause (g) of sub section (1) of Section 274 of
the Companies Act, 1956.
6. Subject to above, in our opinion and to the best of our information
and according to the explanations given to us, the said accounts read
together with the Significant Accounting policies and other notes
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 the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010;
ii) in the case of the Profit & Loss Account, of the profit 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.
7. As required by the Companies (Auditors Report) Order, 2003, issued
by the Central Government of India in terms of Section 227(4A) of the
Companies Act, 1956 and on the basis of such checks of books and
records of the Company as we considered appropriate and according to
the information and explanations given to us during the course of
audit, we further state on the matters specified in paragraphs 4 and 5
of the said Order that;
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars
details including quantitative details and situation of fixed assets.
(b) As explained to us, the fixed assets have been physically verified
by the management during the year in a phased periodical manner, which
in our opinion is reasonable, having regard to the size of the Company
and nature of its assets. No material discrepancies were noticed on
such physical verification.
(c) In our opinion, the Company has not disposed of substantial part of
fixed assets during the year and the going concern status of the
Company is not affected.
(ii) In respect of its inventories:
(a) As explained to us, inventories have been physically verified by
the management at regular intervals during the year.
(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 to the nature of its business.
(c) The Company has maintained proper records of inventories. As
explained to us, there was no material discrepancies noticed on
physical verification as compared to the book records.
(iii) In respect of loans, secured or unsecured granted by the Company
to/from companies, firms or other parties covered in the register
maintained and compared under section 301 of the Companies Act, 1956:
(a) The Company has not granted any loans during the year.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business. During the course of our audit, we have not observed any
major weaknesses in internal controls.
(v) In respect of transactions covered under section 301 ofthe
Companies Act, 1956:
(a) In our opinion and according to the information given to us, the
transactions made in pursuance of contracts or arrangements, that
needed to be entered into in the register, maintained under section 301
of the Companies Act, 1956 have been so entered.
(b) In our opinion and according to the information and explanations
given to us, where such transactions are in excess of Rs. 5 lakhs in
respect of any party, the transactions have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
(vi) The Company has not accepted any deposits from the public.
(vii) The Company does not have any external internal auditor; however,
in our opinion the internal control systems of the Company are
commensurate with its size and nature of its business.
(viii) The Central Government has prescribed maintenance of cost
records under section 209(1 )(d) of the Companies Act, 1956 in respect
of products of the Company. We have broadly reviewed the accounts and
records of the Company in this connection and are of the opinion that
prima facie the prescribed accounts and records have been made and
maintained. However, we have not made any detailed examination of the
same.
(ix) In respect of statutory dues:
(a) According to the records of the Company, undisputed statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Customs
Duty, Excise Duty, Cess and other statutory dues have been generally
regularly deposited with the appropriate authorities. According to the
information and explanation and explanations given to us, no undisputed
amounts payable in respect of the aforesaid dues were outstanding as at
31st March, 2010 for a period of more than six months from the date of
becoming payable.
(x) The Company does not have accumulated losses of at the end of the
financial year covered by our audit. The Company has not incurred any
cash losses during the year under Audit and immediately preceding
financial year.
(xi) According to the explanations and information given to us that the
Company has not defaulted in repayment of dues to Banks during the
year.
(xii) In our opinion and according to the information and explanations
given to us, 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, clauses 4(xiii) of the Companies
(Auditors Report) Order, 2003 is not applicable to the Company.
(xiv). The Company has maintained the proper records of transactions
and contracts in respect of trading in securities, debentures and other
investments.
(xv) The Company has not given any guarantee for loans taken by others
from banks or financial institutions.
(xvi) The Company has raised new term loan during the year, and has
been applied for the purpose for it was raised.
(xvii) According to the information and explanations given to us and on
overall examination of the Balance Sheet of the Company, we are of the
opinion that the Company has not utilized any part of short term loan
for financing long term assets.
(xviii) The Company has not made any preferential allotment during the
year.
(xix) The Company has not issued any Debentures.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) In our opinion and according to the information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year that causes the financial statements to be materially
misstated.
for Krishna R. Moondra & Associates
Chartered Accountants
Rajesh Kumar Moondra
Partner.
M.No. 45008.
Place :Mumbai.
Dated:24th May,2010.
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