Mar 31, 2014
We have audited the accompanying financial statements of Senbo
Industries Limited ("the Company"), which comprise the Balance Sheet as
at March 31,2014, the Statement of Profit & Loss and Cash Flow
Statement for the year then ended and a summary of Significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flow of the Company. In accordance with
the accounting principles generally accepted in India including
Accounting Standards referred to in Section 211(3C) of the Companies
Act 1956 ("Act"). This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of 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 misstatements.
An audit evolves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on auditors'' 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 accounting estimates made by the management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis of our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanation given to us, the aforesaid financial statements read
together with the Significant accounting Policies and subject to:
Note 1.1 regarding Non-provision of Bonus, Gratuity, the amount of
which has not been determined;
Note 3 regarding non-provision of interest on Inter-Corporate
Borrowings from an Associate Company, which has in turn provided
substantial loans to the Company.
Note 23 on Party confirmations on Sundry Debtors, Sundry Creditors and
Loans and Advances; Read together with other notes therein 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 & Loss, of the loss for the
year ended on that date; and
(c) In 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 Section
227(4A) of the Act, we give in the Annexure a Statement on the matters
specified in Paragraphs 4 & 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, the Statement of Profit & Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
d. In our opinion, the Balance Sheet, the Statement of Profit & Loss,
and the Cash Flow Statement comply with the Accounting Standards
referred to in section 211(3C) of the Act;
e. On the basis of the written representations received from the
Directors as on March 31,2014, 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 Section 274(1)(g) of the
Act.
ANNEXURE TO AUDITORS'' REPORT
(Referred to in Paragraph 1 under the heading of ''Report on Other Legal
& Regulatory Requirements'' of our Report)
1. In respect of its Fixed Assets :
a. The Company is in the process of updating its Fixed Assets Register
to show full particulars including quantitative details and situation
of Fixed Assets left after sale of substantial Part of Plant &
Machinery during earlier year. However, in our opinion and as per
explanation received this has not affected the Going Concern Status of
the Company, though operations are presently suspended.
b. According to the information and explanations given to us, the
Fixed Assets were physically verified by the management at the year end
and no material discrepancy was found.
2. In respect of inventories :
a. As explained to us, the stocks of spare parts have been physically
verified by the management at the year end. No material discrepancy has
been detected. Valueless items were written off.
3. In respect of loans:
a) The Company, during the year also, has taken unsecured loans from
Companies listed in the Register maintained under section 301 of the
Companies Act, 1956, which is at call and on which interest has not
been provided.
b) In respect of loans and advances in the nature of loans given by the
Company to any parties/ staff where stipulations have been made;
parties/ staffs have generally repaid the amounts as stipulated other
than those written off during the year.
4. The Company has not transacted any business during the year and the
factory was under closure. Hence there was no purchase of stores, raw
materials including components, plant & machinery, equipment and other
assets and sale of goods and services. Opinion on Internal control in
these respects therefore is not necessary for the year under audit.
5 In our opinion and according to the information and explanations
given to us, no transaction was made for purchase of goods and
materials and sale of goods, materials and services in pursuance of
contracts or arrangements entered in the register maintained under
Section 301 of the Companies Act, 1956 and aggregating during the year
to Rs. 5,00,000 or more in respect of each Party.
6 On the basis of documents examined & information received, we state
that the Company has not accepted any deposits from the public in
pursuance of sections 58A, 58AA or any other relevant provisions of the
Act.
7 As the operation of the Company is suspended, no internal audit has
been conducted during the year.
8. According to information and explanations given to us, the Central
Government has not prescribed maintenance of cost records u/s 209 (1)
(d) of the Companies Act, 1956, for any product of the Company.
9. In respect of Statutory dues :
a) According to the records of the Company, no outstanding dues over 6
months in respect of West Bengal VAT & Municipal Tax remained unpaid as
on 31st March, 2014.
b) According to the information and explanations given to us, there
were no disputed amounts payable in respect of income tax, sales tax,
customs duty, excise duty or dues payable to any other Statutory and/or
Local Authority as at 31st March, 2014 for a period of more than six
months from the date they became payable.
10. The accumulated losses of the Company at the end of the financial
year are in excess of its net worth. It has incurred cash losses during
the year and also in the previous financial year.
11 As per records produced before us, the Company has not defaulted in
payment of dues to any financial institution or bank or not defaulted
in payment of dues to any financial institution or bank or debentures
holders .
12 In our opinion and according to the information and explanation
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.
13 In our opinion, the Company is not a chit fund or a nidhi/ mutual
fund/ society. Therefore, clause 4 (xiii) of the Companies (Auditor''s
Report) Order 2003 and as amended upto-date, is not applicable to the
Company.
14 In our opinion, the Company has not dealt or traded in shares,
securities, debentures and investments. Therefore, clause 4 (xiv) of
the Companies (Auditor''s Report) Order 2003 as amended upto-date, is
not applicable to the Company.
15 The Company has mortgaged its immovable properties including land &
building with a Bank and has also provided Corporate Guarantee to it,
to secure repayment of the credit facilities of Rs. 47.68 crores
extended by the Bank to a Group Company from which SIL has taken
substantial amount of unsecured loans.
16 As per records produced before us, the Company has not raised any
new term loans during the year. The Term Loans outstanding at the
beginning of the year was nil.
17 According to the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company, we are of the
opinion that no short term loans have been used for long term
investments.
18 As per records produced before us, during the year, the Company has
not made any preferential allotment of shares to parties and companies
covered in the register maintained u/s. 301 of the Companies Act, 1956.
19 As per records produced before us, the Company has not issued any
debentures during the year.
20 As per records produced before us, the Company has not raised any
money by way of public issue during the year.
21. In our opinion and according to the information and explanation
given to us, no material fraud on or by the company has been noticed or
reported during the year that causes the financial statements to be
materially misstated.
For RAJESH CHATURVEDI & ASSOCIATES
Chartered Accountants
(Firm''s Regn. No 316131E)
R.Chaturvedi
Place : Kolkata Proprietor
Dated : 28th May, 2014 Membership No.52809
Mar 31, 2013
Report on Financial Statements
We have aud ited the accompanying financial statement of Senbo
Industries Limited ("the Company"), which comprise the Balance
Sheet as at March 31: 2013, the Statement ot Profi: & Loss and Cas:i F
ow Slaternert for the year rhein ended and a sum ma ry of Big n ificant
sooounti ng policies a nd other expla n story info mali on.
Msr age merit''s Raspo risibility for the Fin^ricial Statements
Management is responsible for the preparation o^friese financial
statements that give a true and fair view of the f nancial postion,
financial performance and oash flow of the Company. In 9 coords nee
with the accounting principles generally accepted i n I ndia includi ng
Accc u n ting Standards referred to i 1 Section 211 [3C> of (he Co m
pan ies Act 1956 f ''Act% Th is responsibility includes the design,
implementation anc maintenance of internal rjontrul relevant (o the
preparation and presenter of -inancial Statements that give a true and
fair view and are free from material misstatemenL whether due to fraud
c rerror.
Auditors'' Responsibility
Our responsibility is lo express an opinion on these financial
statements based on our audit. We conducted our audi I in accordance
wjih the Standards on Auditing issued by th e Institute of Chartered
accountsnts 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 a re free
from material misstatements.
An audi: evolves performing procedures to obtain ajdit evidence about
the amounts and cisclosures in the f nancial statements. The procedures
selected oepend on auditors''judgment, includfrg the assessment of ihe
risks of material misstatement of Ihe financial statements, whether due
to fraud or error, h making Ihose rsk assessments, the auditor conside
f& i nterna I control rel evant 10 Ihe Compa ny''s a reparation andfair
presentation of the financial statements in ord er to design audit
procedures that are appropriate in Ihe circumstances. An audit also
includes evaluating the appropr.ateness of accounting policies used and
the leasonableness cf accounting estimates made by the management, as
well as evaluating tie overall presentation of the financ al
statements.
We believe that she aud t evidence we have obtained is sufficient and
appropriate to provides oasis of our a Jd it opinion.
Opinion
In our opinion and to the best of our information and according tc the
explanation given to us, the afo''esaid f nancial s^tements read
together with the Significant Accounting Policies and suajectto;
Note on of Bonus, Gratu i:y Leave Er cashmenl nterest receivable on
Security Deposit wi:h Central Medical Stores and WBSEB, tie amount of
which has not been determined;
Note J regarding non-provision of interest on Inter-Corporate
Borrowings from a Group Company;
Note 23 regardi ng non-verifi cation of Fixed Assets and I nvenluries d
i, ring the year, d
> to factory losure;
Note 24 on ron receipt of Party confirmations in all cases o= Sundry
Debtors, Sundry Creditors and Loans and Advances:
road togefier with olhe'' notes there n give th e i nfomation required
by the Act in the ma n ner so req u ired and give a true ar d fair view
in confo Tnity with Ihe accounting principles generally accepted i n I
nd la:
a. I n the case of th e Bala nee Sheet, of tie state of affairs of me
Compa iy a s at 31 st Ma net 2D13:
b. in the case of the Statement of Proit 3 Loss, of the lossforthe
year ended on that Gate; and in case trthe Cash Flow Statement, of the
cash flows tor the yearendes on that date.
c. in ca se of the Cas 1 Flow Statement, of the cash flows for the yea
r ended 01 fliat date.
Report oh Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 fine
Order"] issued by the Central Govemmert of India in terms of Section
227(^A) of the Act. see give in the Annexure a Staternenl 01 the maters
specified in Paragraphs 4 & 5 of the Order.
2. As required by Section 227(3}of the Act, v>e Reoor. Lha.:
a. We have oatained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b. incur opirion, prope r books of avcou nt as ''equi nod by law ha i/e
bee n kep. by the Company so fa r as appears from our exa m inatior- of
those books;
c. the Balance Sheet, the Statement of Profit & Loss, and the Cash
Flow Statement dealt with by tiis Report are in agreement with the
books of account;
d. in our opinion, tie Balance 5heel frieSlaterrentof Profits Loss, and
the Cash F ov; Statement comply Willi ihe
Af;[X;iJnting3tand5rd$rflfftrrecltoinsw;fion211(/iC)ofLheAf;"
e. on the basis of the written representations received from die
Directors as on March 31,2013, taten on reccid by the Boa''d of
Dilectors, ione of the Directors is disqualified as on March 31 2013,
from being appointed as a di reef or in term s Section 274 (1 }[g) of
the Act.
ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT
((Referred to in Paragraph 1 under (he beading of "Report on Other
Legal & Regulatory Requirements'' of our Report)
1 In respect of its Fixec Assets; a] The Co m pa n y is in th e process
of upda ting fa F xed Assets Regi ster to show fa II particu lars
includi rig qua ititative details and situation of Fixed Assets left
after sale of s-ubsiantial Par or Plant & Maciinery during previous
year. However, in our opinion and as per explanation received this has
not affected the Going Concern Status of the Compsny.ttiough operations
a re presently suspended. bj Accondirwj to the information and
explanations given to us,ttie Fixed Assets could not be physics lly
verified by the management owing to closure in ts "actory at Sonarpur.
Hence materia discrepances, if any, would have rema.ned undetected.
2. In respect of inventories:
a] As explai n ed to us, the stocks of finished good s, stores, spare
parts and raw mate ria Is a Iso cou d nol je physica lly '' verifies by
the rranagemeit during the year owing to closure of its factory art
Sonarpur. hence, material discrepances, if any, would have remained
undetected.
3. In respect of loans:
a) The Corny a ny, during ths year also, has take n unsecured loan s
from Com pan ies ts ;od in Lhe Reg istsr mainiai ned undersectionJOl
ofthe Companies Act, 1956. which is at cal s neon which nteresthas not
beer provided.
b] In respect of loans and advances in the nature cf loars given by the
Company to any parties/ staff where stipulations have been made;
parties,1'' staffs have generally repa d the amojnts as stipulated other
than those written off du ri ng the year.
4. The Company has not transacted any busir ess during the year and
the factory was under closure. Hence there was no pu rchp.se or stores,
raw ma leriels. indudi rig con- ponents, plan t & mach inery: equip men
t and o Ihe r asse Is and a&le of goods an: services. Opinion on
Internal control in these respects therefore is not necessary for the
year under audit.
5. Goods dnd materials and sale or goods, nitidis and services in
pursue ice of contracts or arrangements entered in the register
maintained uncer Section 301 of the Companies Act. 1956 aid aggregating
durircj the year to Rs. 5.00,0OD or more in respect of each Pa riy.
6. On the basis of documents examined & information received, we state
that the Company has not accepted any deposits from hep jblic in
pursuance or sections 58A, 58AAorany other ne evanl provisions-of
heAct.
7. As the opera i ion o f the Company is suspended no internal aud ii
has bee n conduded d u ring the year. % Acco rdi ng to i r ronn a Lion
and explana Ii ons gi yeri to us, (fie Cen ,ral Government has no t
prescribed.
9. In respect of Statuxry dues;
a) According to the records of the Company, outstanding dues overG
months in respect of West Bengal VAT and Municipal Tax nema ned unpaid
as on 31 st March, 2313.
b) According to tie information and explanations given to us, there
were no disputed amounts payable in respect of income ta*, sales tax,
customs duly, excise duty or dues say-able toany othe'' Statutory and/or
Local Authority ss at 31 st March, 2013 for a period c-f more than six
months from the date they became payable,
10. The accum u lated losses of tine Company at the end of the
financial year are i n excess of ils net worth. It has incu rred cash
losses curing the yearand also in tie previous financial year
11. As per records produces before us, the Company has not defaulted n
paymert of dues to any financial institu:ion or bank or debentures
holders,
12. In uur opin on arv] iiceording to the information and explanation
given to us. no loans and advances have been granted by the Com pa ny
on the basis of security by way of pi edge of sha res, de bentures and
other secu r ties.
13. In cur cpinion, the Company is not a ciit Tind or a nidii'' mutual
fund;'' society, Therefore, clause 4 (xiii) of the Compan es (Auditor''s
Report) Order 2003 and as a mend ed upto-date, is not a pplicable to
the Com pa n y.
14. In our opinion, the Company has no: dealt or traded in shares,
securities, debentures and investments. Thereto re, clause 4 (xiv) of
the Companies (Auditor''s Report) Orde'' 2003, as amended upto-date, is
not applicable to tfija Company.
15. TheCcmpar.y has mortgaged its immovable properties including land
& building with a Bank and has also provided Corporate Guarantee to it,
to secure repayment of the credit fad it es of Rs. 47.6B crones
extended by :he Bank to a G rou p Compa n y from wh ich Sen bo
Industries Ii rnited has taken su bsta ntial amou nt of u n secu red I
cans,
16. As per records produced before u s, the Com pan y has not raised
any new term loans during the year. The Term Loans outstanding at the
beginning of the year was nil.
17. According to the information and explanations given "jo us and on
an overall exam nation of the- Balance Sheet of the Company, we a re of
Ihe op inio ri ttiat io short term log ns have been used for long te mn
i ivestments.
1B. As per -ecords produced before us: during the year, the Company has
not mace any preferential allotment of shares to parties am; compan ies
cove red in tne register maintained u''s. 301 cf tfie Companies Ad,
1956.
19. As per records produced before us, the Company has not issued any
debenturesdu ring the year,
20. As per records produced before us, the Company has not raised any
money by way cf public issue during ihe year.
21. In our opinion and according to tie information and explanation
given to us. no material fraud on or by the company has beer noticed or
reported during the yea r thai ca u ses the financial statements to be
material ly mi sstated.
For RAJESH CH ATURVEDI & ASSOCIATES
Chartered Accountants
R.Ch&turvedi
Place: Kolkata Proprietor
Dated ; 30th May, 2013 Vie membership No .52BCB
Mar 31, 2012
We have audited the attached Balance Sheet of Senbo Industries Limited
as at 31 st March 2012 and also the Profit & Loss Account for the year
ended on that date annexed thereto and Cash Row Statement for the
period ended on that date, These financial statements are the
responsibility of the Company's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We have conducted our audit in accordance with Auditing Standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statements
presentation, We believe that our audit provides a reasonable basis for
our opinion. We Report that:
1. As required by the Companies (Auditor's Report) Order, 2003 issued
by the Central Government under Section 227(4A) of the Companies Act,
1956 and as amended upto date, we enclose in the Annexure, a Statement
on the matters specified in paragraphs 4 and 5 of the said Order.
2. Further to our comments in the Annexure referred to in paragraph 1
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
those books;
(c) The Balance Sheet and Statement of Profit & Loss Account dealt with
by this Report are in agreement with the books of account;
(d) In our opinion, the Balance Sheet, statement of Profit & Loss
Account and Cash Flow comply with the Accounting Standards referred in
Section 211 (3C) of the Companies Act, 1956, in so far as the Standards
are applicable to the Company;
(e) On the basis of written representations received from the Directors
as on 31 st March 2012, and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31 st March
2012 from being appointed as Director within the meaning of Section 274
(1) (g) of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said financial statements read
together with the Significant Accounting Policies and subject to:
Note 21,1 regarding Non-provision of Bonus, Gratuity, Leave Encashment
and interest received on Security
Deposit with Central Medical Stores, the amount of which has not been
determined;
Note 3 regarding non-charging of interest on Inter-Corporate Borrowings
from a Group Company.
Note 23 on Party confirmations on Sundry Debtors, Sundry Creditors and
Loans and Advances; Read together with other notes therein, gives the
information in the manner so required by the Companies Act, 1956 and
gives a true and fair view:
(i) In the case of the Balance Sheet, of the State of affairs of the
Company as at 31 st March, 2012; (ii) In the case of the Statement of
Profit & Loss, of the loss for the year ended on that date; and (iii)
In the case of the Cash Flow Statement of the cash flows of the Company
for the year ended on that date.
ANNEXURE TO AUDITORS' REPORT
(Referred to in Paragraph 1 of our Report)
1. In respect of its Fixed Assets:
a) The Company is in the process of updating its Fixed Assets Register
to show full particulars including quantitative details and situation
of Fixed Assets left after sale of substantial Plant & Machinery.
b) According to the information and explanations given to us, the Fixed
Assets have been physically verified by the management at reasonable
intervals and no material discrepancies were noticed on such
verification.
2. In respect of inventories:
a) As explained to us, the stocks of finished goods, stores, spare
parts and raw materials are physically verified by the management at
reasonable intervals,
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of stocks followed
by the management are reasonable and adequate in relation to the size
of the Company and nature of its business.
c) As explained to us, the discrepancies noticed on verification
between the Physical Stocks and the Book Records, were not significant,
3. In respect of loans:
a) The Company, during the year also, has taken unsecured loans from
Companies listed in the Register maintained under section 301 of the
Companies Act, 1956, which is at call and interest-free.
b) In respect of loans and advances in the nature of bans given by the
Company to any parties/staff where stipulations have been made;
parties/staffs have generally repaid the amounts as stipulated other
than those written off during the year,
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business for the purchase of stores, raw materials including
components, plant & machinery, equipment and other assets and for the
sale of goods and services. The Company is regular in taking
corrective measures whenever major weaknesses in internal control are
controlled.
5. In our opinion and according to the information and explanations
given to us, no transaction was made for purchase of goods and
materials and sale of goods, materials and services in pursuance of
contracts or arrangements entered in the register maintained under
Section 301 of the Companies Act, 1956 and aggregating during the year
to Rs. 5,00,000 or more in respect of each Party.
6. On the basis of documents examined & information received, we state
that the Company has not accepted any deposits from the public in
pursuance of sections 58A, 58AA or any other relevant provisions of the
Act.
7. In our opinion, the Company has an Internal Audit system
commensurate with its size and the nature of its business.
8 According to information and explanations given to us, the Central
Government has not prescribed maintenance of cost records u/s 209 (1)
(d) of the Companies Act, 1956, for any product of the Company.
9. InrespectofStatutorydues:
a) According to the records of the Company, all outstanding dues in
respect of West Bengal VAT, Municipal Tax, and Fire License, etc. have
not been paid during 2011-12.
b) According to the information and explanations given to us, no
disputed or undisputed amounts payable in respect of income tax, sales
tax, customs duty, excise duty or dues payable to any other Statutory
and/or Local Authority were outstanding as at 31 st March, 2012 for a
period of more than six months from the date they became payable.
10. The accumulated losses of the Company at the end of the financial
year are in excess of its net worth. It has incurred cash losses during
the year and also in the previous financial year.
11. As per records produced before us, the Company has not defaulted in
payment of dues to any financial institution or bank or debentures
holders.
12. In our opinion and according to the information and explanation
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.
13. In our opinion, the Company is not a chit fund or a nidhi/mutual
fund/society. Therefore, clause 4 (xiii) of the Companies (Auditor's
Report) Order 2003 and as amended upto-date, is not applicable to the
Company.
14. In our opinion, the Company has not dealt or traded in shares,
securities, debentures and investments. Therefore, clause 4 (xiv) of
the Companies (Auditor's Report) Order 2003 and as amended upto-date,
is not applicable to the Company.
15. The Company has mortgaged its immovable properties including land
& building with a bank to secure repayment of the credit facilities of
Rs. 47.68 crores extended by the Bank; and has also provided Corporate
Guarantee for the purpose.
16. As per records produced before us, the Company has not raised any
new term loans during the year. The Term Loans outstanding at the
beginning of the year was nil.
17. According to the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company, we are of the
opinion that no short term loans have been used for long term
investments.
18. As per records produced before us, during the year, the Company
has not made any preferential allotment of shares to parties and
companies covered in the register maintained u/s.301 of the Companies
Act, 1956.
19. As per records produced before us, the Company has not issued any
debentures during the year.
20. As per records produced before us, the Company has not raised any
money by way of public issue during the year.
21. In our opinion and according to the information and explanation
given to us, no material fraud on or by the company has been noticed or
reported during the year that causes the financial statements to be
materially misstated.
For RAJESH CHATURVEDI & ASSOCIATES
Chartered Accountants
Firm's Regn. No 316131E
R. Chaturvedi
Proprietor
Membership No. 52809
Place: Kolkata,
Dated: May 31,2012.
Mar 31, 2010
We have audited the attached Balance Sheet of Senbo Industries Limited
as at 31st March 2010 and also the Profit & Loss Account for the year
ended on that date annexed thereto and Cash Flow Statement for the
period ended on that date. These financial statements are the
responsibility of the Companys management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We have conducted our audit in accordance with Auding Standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion. We report that:
1. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government under Section 227(4A) of the Companies Act,
1956 and as amended upto date, we enclose in the Annexure, a statement
on the matters specified in paragraphs 4 and 5 of the said Order.
2. Further to our comments in the Annexure referred to in paragraph 1
above, we report that:
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary fo the purpose of our
audit;
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
(c) The Balance Sheet and Profit & Loss Account 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 comply with the Accounting Standards referred in Section 211 (3C)
of the Companies Act, 1956, in so far as the Standards are applicable
to the Company;
(e) On the basis of written representations received from the Directors
as on 31st March 2010, and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31st March
2010 from being appointed as Director within the meaning of Section 274
(1) (g) of the Companies Act, 1956.
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said financial statements read
together with the Significant Accounting Policies and subject to:
Note 1.1. regarding Non-provision of Bonus, Gratuity, Leave Encashment
and interest received on Security Deposit with Central Medical Stores,
the amount of which has not been determined.;
Note 4 regarding non-charging of interest on Inter-Corporate Borrowings
from a Group Company.
Note 5 on Party confirmations on Sundry Debtors, Sundry Creditors and
Loans and Advances;
Note 7 regarding Non-adjustment of final dues with M/s. Fresenius Kabi
Pvt. Ltd. in the accounts.
Note11 regarding non-adoption of Accounting Standard 15 Employees
Benefits in the Accounts.
All forming part of Schedule 22 read together with other notes therein,
gives the information in the manner so required by the Companies Act,
1956 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 A/C, of the loss for the year
ended on that date; and
(iii) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE TO AUDITORS REPORT
(Referred to in Paragraph 1 of our Report)
1. In respect of its fixed assets:
a) The Company has maintained proper records to show full particulars
including quantitative details and situation of Fixed Assets on the
basis of information available.
b) According to the information and explanations given to us, the Fixed
Assets have been physically verified by the management at reasonable
intervals and no material discrepancies were noticed on such
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;
2. In respect of Inventories:
a) As explained to us, the stocks of finished goods, stores, spare
parts and raw materials except stocks with third parties and in
transit, if any, are physically verified by the management at
reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of stocks followed
by the management are reasonable and adequate in relation to the size
of the Company and nature of its business.
c) As explained to us, the discrepancies noticed on verification
between the Physical Stocks and the Book Records, wherever material,
have been properly dealt with in the books of accounts.
3. In respect of loans:
a) The Company, during the year, has taken unsecured loans from
Companies listed in the Register maintained under section 301 of the
Companies Act, 1956, which is at call and interest-free.
b) In respect of loans and advances in the nature of loans given by the
Company to any parties/staff where stipulations have been made;
parties/staffs have generally repaid the amounts as stipulated other
than those written off during the year.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business for the purchase of stores, raw materials including
components, plant & machinery, equipment and other assets and for the
sale of goods and services. The Company is regular in taking corrective
measures whenever major weaknesses in internal control are controlled.
5. In our opinion and according to the information and explanations
given to us, no transaction was made for purchase of goods and
materials and sale of goods, matrials and services in pursuance of
contracts or arrangements entered in the register maintained under
Section 301 of the Companies Act, 1956 and aggregating during the year
to Rs. 5,00,000 or more in respect of each Party.
6. The Company has not accepted any deposits from the public in
pursuance of Sections 58A,58AA or any other relevant provisions of the
Act.
7. In ouropinion, the Company has an Internal Audit system
commensurate with its size and the nature of its business.
8. According to information and explanations given to us, the Central
Government has not prescribed maintenance of cost records u/s 209 (1)
(d) of the Companies Act, 1956, for any product of the Company.
9. In respect of Statutory dues:
a) According to the records of the Company, all outstanding dues in
respect of Provident Fund, Employees State Insurance, West Bengal VAT,
Central Sales Taxes, Income Taxes (TDS), Municipal Tax, Fees for
Pollution Control, Trade License and fire License, etc. have been paid
during 2009-10.
b) According to the information and explanations given to us, no
disputed or undisputed amounts payable in respect of income tax, sales
tax, customs duty, excise duty or dues payable to any other Statutory
and / or Local Authority were outstanding as at 31st March, 2010 for a
period of more than six months from the date they became payable.
10. The accumulated losses of the Company at the end of the financial
year are in excess of its net worth, it has incurred cash losses during
the year and also in the previous financial year.
11. The Company has not defaulted in payment of dues to any financial
institution or bank or debentures holders.
12. In our opinion and according to the information and explanation
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.
13. In our opinion, the Company is not a chit fund or a nidhi/mutual
fund/society. Therefore, clause 4 (xiii) of the Companies (Auditors
Report) Order 2003 and as amended upto-date, is not applicable to the
Company.
14. In our opinion, the Company has not dealt or traded in shares,
securities, debentures and investments. Therefore, clause 4 (xiv) of
the Companies (Auditors Report) Order 2003 and as amended upto-date,
is not applicable to the Company.
15. The Company has not given guarantees for loans taken by others
from Banks or Financial institutions.
16. The Company has not raised any new term loans during the year. The
Term Loans outstanding at the beginning of the year was nil.
17. According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the Company, we are of
the opinion that no short term loans have been used for long term
investments.
18. During the year, the Company has not made any preferential
allotment of shares to parties and companies covered in the register
maintained u/s. 301 of the Companies Act, 1956.
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. In our opinion and according to the information and explanation
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 RAJESH CHATURVEDI & ASSOCIATES
Chartered Accountants
R. Chaturvedi
Place : Kolkata Proprietor
Dated : 28th May, 2010 Membership No.52809