Mar 31, 2015
We have audited the accompanying financial statements of Shah Foods
Limited ("the Company"), which comprise the Balance Sheet as at March
31, 2015, and the Statement of Profit and Loss, Cash Flow Statement for
the year then ended, and a summary of significant accounting policies
and other explanatory information.
Management's responsibility for the Financial Statements:
The Company's Board of Directors is responsible for the matters 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 maintenance of adequate
accounting records in accordance with the provisions of the Act for
safeguarding the assets of the Company and for preventing and detecting
frauds and other irregularities; selection and application of
appropriate accounting policies; making judgments and estimates that
are reasonable and prudent; and design, implementation and maintenance
of adequate internal financial controls, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's Responsibility:
Our responsibility is to express an opinion on these financial
statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
there under.
We conducted our audit in accordance with the Standards on Auditing
specified under section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and 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 a true and fair view
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial
controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
statements.
Opinion:
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
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;
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements:
1) As required by the Companies (Auditor's Report) Order, 2015 ("the
Order"), issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Companies Act, 2013, we give in
the Annexure a statement on the matters specified in paragraphs 3 and 4
of the Order, to the extent applicable.
2) As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books
c) The Balance Sheet, Statement of Profit and Loss, dealt with by this
Report are in agreement with the books of account.
d) In our opinion, the aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of written representations received from the directors
as on 31 March, 2015, taken on record by the Board of Directors, none
of the directors is disqualified as on 31 March, 2015, from being
appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us:
i. The Company does not have any pending litigations which would impact
its financial position.
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses.
iii There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Shah Foods Limited on the accounts of the company for
the year ended 31st March, 2015.
i.
a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) All the assets have not been physically verified by the management
during the year but the company has regular program of verification of
its fixed assets which, in our opinion, is reasonable having regard to
the size if the company and the nature of its assets. No material
discrepancies were noticed on such verification.
ii.
(a) There management has conducted physical verification of inventory
at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed physical verification carried out at
the end of the year.
iii. The Company has not granted any loans, secured or unsecured to
the companies, firms or parties covered in the register maintained
under section 189 of the Companies Act. Accordingly clause (iii) of
CARo, 2015 is not applicable.
iv. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventory and fixed assets and for sale of
goods & services. During the course of our audit, no major instance of
continuing failure to correct major weaknesses in the internal control
system has been noticed.
v. The Company has not accepted any deposits covered the provisions of
sections 73 to 76 or any other relevant provisions of the Companies
Act. Therefore, clause (v) of the order is not applicable to the
company.
vi. In our opinion and according to the information and explanation
given to us , the provision under sub section (I) of section 148 of the
companies Act is not applicable to the company. Therefore, clause (vi)
of CARO, 2015 is not applicable.
vii. (a) According to the records of the company, undisputed statutory
dues including Provident Fund, Employees' State Insurance, Income-tax,
Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, value
added tax, cess to the extent applicable and any other statutory dues
have generally been regularly deposited with the appropriate
authorities. According to the information and explanations given to us
there were no undisputed amounts payable in respect of statutory dues
as on 31st of March, 2015 for a period of more than six months from the
date they became payable.
(b) According to the information and explanations given to us, there is
no amounts payable in respect of income tax, wealth tax, service tax,
sales tax, customs duty and excise duty which have not been deposited
on account of any disputes.
(c) During the year the company has transferred the fund to Investor
Education and Protection Fund Account and such transfer was made within
the time limit as provided in Companies Act and rules made there under.
viii. The Company does not have any accumulated loss and has not
incurred cash loss during the financial year covered by our audit and
in the immediately preceding financial year.
ix. Based on our audit procedures and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
x. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
xi. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
xii. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
PLACE : AHMEDABAD FOR DINESH R. SHAH & Co.
DATED : 28-05-2015 CHARTERED ACCOUNTANTS.
Hiren D. Shah FRN No. 102610W
(PARTNER)
MEMBERSHIP NO: 047928
Mar 31, 2014
We have audited the accompanying financial statements of Shah Foods
Limited ("the Company"), which comprise the Balance Sheet as at March
31, 2014, and the Statement of Profit and 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 of the Company in accordance with the Accounting
Standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditor''s Responsibility:
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion. Opinion:
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements:
1. As required by the Companies (Auditor''s Report) Order, 2003
("CARO") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account,
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to In
subsection (3C) of section 211 of the Companies Act, 1956;
e) on the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a director In terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
f) Since the Central Government has not Issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has It Issued any Rules under the said section,
prescribing the manner in which such cess Is to be paid, no cess is due
and payable by the Company.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Shah Foods Limited on the accounts of the company for
the year ended 31st March, 2014.
1. (a) The Company is maintaining proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) The fixed assets of the Company have been physically verified by
the Management during the year and no material discrepancies between
the book records and the physical inventory have been noticed. In our
opinion, the frequency of verification is reasonable.
(c) In our opinion and according to the information and explanations
given to us, a substantial part of fixed assets has not been disposed
of by the Company during the year.
2. (a) There management has conducted physical verification of
inventory at reasonable intervals during the year..
b) The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to the size of the
Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed physical verification carried out
at the end of the year.
3. (a) The Company has not granted any loans during the year.
(b) In our opinion and according to the information and explanations
given to us,the rate of interest and other terms and conditions for
such loans are not prima facie prejudicial to the interest of the
Company.
(c) The loans granted are re-payable on demand and the payment of
interest has been regular.
(d) As informed, the Company has not taken any loans, secured or
unsecured from companies, firms or other parties covered in the
register maintained under section 301 of the companies Act, 1956.
4. 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, fixed assets and for sale of goods and services.
Further, on the basis of examination of the books of account and
records of the Company, and according to the information an
explanations given to us, we have neither come across nor have we been
informed of any continuing failure to correct major weaknesses in the
aforesaid internal control system.
5. To the best of our knowledge and belief and according to the
information and explanations given to us, we are of the opinion that
the particulars of contracts and arrangements that need to be entered
into the register maintained under section 301 of the Companies Act,
1956 have been properly entered in the said register.
6. The Company has not accepted any deposits from the public within
the meaning of Sections 58A and 58AA of the Act and the rules framed
there under.
7. In our opinion, the Company has sufficient and regular internal
checks and internal controls in place commensurate with the size and
nature of its business which acts as a substitute to internal audit.
8. To the best of our knowledge and as explained, the Central
Government has not prescribed maintenance of cost records under clause
(d) of sub-section (1) of section 209 of the Companies Act, 1956 for
the products of the Company.
9. (a)According to the books of accounts and the records as produced
and examined by us in accordance with the generally accepted auditing
procedures in India, in our opinion, the Company is regular in
depositing the undisputed statutory dues in respect of 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 as applicable with the
appropriate authorities in India.
(b) According to the information and explanations given to us and the
records of the Company examined by us, there are no dues of sales tax,
wealth tax, service-tax, customs duty, excise duty and cess as at March
31,2014 which have not been deposited on account of any dispute.
10. The Company has no accumulated losses as at March 31, 2014 and it
has not incurred cash losses in the financial year ended on that date
or in the immediately preceding financial year.
11. According to the books of account and records of the Company
examined by us and the information and explanations 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.
12. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
13. The provisions of any special statute applicable to chit fund /
nidhi / mutual benefit fund / societies are not applicable to the
Company.
14. In our opinion, the Company is not a dealer or trader in shares,
securities, debentures and other investments. The shares and securities
held by the company as investments are in its own name, except to the
extent of exemption granted under section 49 of the Companies Act,
1956.
15. 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.
16. In our opinion and according to the information and explanations
given to us, the company has not taken term loan during the period
covered by our report.
17. According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
18. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section
301 of the Act during the year.
19. The Company has not issued debentures during the year.
20. The Company has not raised any money by public issues during the
year.
21. During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
material fraud on or by the Company, noticed or reported during the
year, nor have we been informed of such case by the Management.
PLACE : AHMEDABAD FOR DINESH R. SHAH & Co.
DATED : 29-05-2014 CHARTERED ACCOUNTANTS.
Hiren D. Shah FRN No. 102610W
(PARTNER)
MEMBERSHIP NO: 47928
Mar 31, 2010
We have audited the attached Balance Sheet of M/s. SHAH FOODS LIMITED,
Ahmedabad as on 31st March, 2010 and also the Profit and Loss Account
for the year ended on that date annexed there to. These financial
statements are the responsibilites of the Companys management. Our
responsibility is to express an opinion on the financial statements
based on our audit.
1) 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 a reasonable assurance whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures made in the financial statements. An audit also
includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
(2) As required by Companies (Auditors Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of section
227 of the Companies Act, 1956, we enclose in the Annexure a statement
on the matters specified in paragraphs 4 and 5 of the said Order.
(3) Further to our comments in the Annexure referred to above, we
report that:
1 We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
2 In our opinion, properbooks of accounts as required by law have been
kept by the company so far as appears from our examination of those
books.
3 The said Balance Sheet and Profit and Loss account dealt with by the
report are in agreement with the books of accounts.
4 In our opinion, the Balance Sheet and the Profit & Loss Account dealt
with by this report comply with the Accounting Standards referred to in
sub section (3C) of section 211 of the Companies Act, 1956.
5 On the basis of written representation received from the directors as
on 31 -3-2010 and taken on record by the Board of Directors, we report
that none of the directors is disqualified as on 31 -3-2010 from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
6 In our opinion and to the best of our information and according to
the explanations given to us, the financial statements 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 Shah
Foods Limited as at 31 st March, 2010; AND
b. In the case of Profit and Loss Account, of the Loss for the year
ended on that date.
Annexure referred to in paragraph [2] of our report of even date SHAH
FOODS LTD
1. a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) Fixed assets have been physically verified by the management during
the yeaf and the procedures for verification are reasonable.
c) There was no disposal of fixed assets during the year. 2.
a) There management has conducted physical verification of inventory at
reasonable intervals during the year.
b) The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to the size of the
Company and the nature of its business.
c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification carried
out at the end of the year.
3.a) The company has not granted any loans during the year.
b) In our opinion and according to the information and explanations
given to us, the rate of interest and other terms and conditions for
such loans are not prima facie prejudicial to the interest of the
Company.
c) The loans granted are re-payable on demand and the payment of
interest has been regular.
d) As informed, the Company has not taken any loans, secured oc
unsecured from companies, firms or other parties covered in the
register maintained uner section 301 of the Companies Act, 1956.
e) In ouropinion an 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 fixed assets. During the course of our audit, no major
weakness has been noticed in the internal control system in respect of
these areas.
4.
a) According to the information and explanations provided by the
management, we are of the opinion that the particulars of contracts or
arrangements referred to in section 301 of the Act that need to be
entered into the register maintained under section 301 have been so
entered.
b) In respect of transactions made in pursuance of such contracts or
arrangements exceeding value of Rupees five lakhs entered into during
the financial year, because of the unique and specialized nature of the
items involved and absence of any comparable prices, we are unable to
comment whether the transactions were made at prevailing market prices
at the relevant time.
5. The Company has not accepted any deposits from the public during
the year.
6. In our opinion, the Company has an internal audit system
commensurate with the size and nature of business.
7. To the best of our knowledge and as explained, the Central
Government has not prescribed maintenance of cost records under clause
(d) of sub-section (1) of section 209 of the Companies Act, 1956 for
the products of the Company.
8. a) Undisputed statutory dues including providentfund, investor
education and protection fund, exmployees state insurance income-tax,
sales-tax, wealth-tax, service tax, customs duty, excise duty, cess
have been regularly deposited with the appropriate authorities.
b) According to the information and explanations given to us, there are
no undisputed amounts payable in respect of providentfund, investor
education and protection fund, employees state insurance, income- tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty, cess and
other undisputed statotory dues that became payable.
c) According to the record of the Company, there are no dues
outstanding of income-tax, sales-tax, wealth- tax, service-tax, customs
duty, excise duty and cess on account of any dispute.
9. Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to a financial
institutions, bank or debenture holders.
10. According to the information and explanations given to us and
based on the docments and records produced to us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
11. Inouropinion, the Companyis not a chitfund or a nidhi/ mutual
benefit fund/society. Therefore, theprovisions of clause 4 (xiii) of
the cCompanies (Auditors Report) Order, 2003 (as amended) are not
applicable to the Company.
12. In our opinion the Company is dealing in or trading in shares,
securities, debentures and other investment. Accordingly, the
provisions of clause 4 (xiv) of the Companies (Auditors Report) Order,
2003 (as amended) is applicable to the Company.
13. According to the information and explanations given to us the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
14. According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-terms basis have been used for long-term
investment.
15. The Company has not made any preferential allotment of shares to
parties or companies covered in the register maintained under section
301 of the Companies Act, 1956.
16. The Company did not have any outstanding debentures during the
year.
17. Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
PLACE : AHMEDABAD FOR DINESH R. SHAH & Co.
DATED : 29-07-2010 CHARTERED ACCOUNTANTS
Hiren D. Shah
(PARTNER)
MEMBERSHIP NO: 47928