Auditor Report of Shikhar Leasing & Trading Ltd.

Mar 31, 2013

Report on the Financial Statements

We have audited the accompanying financial statements of Shikar Leasing & Trading Limited (''the Company'') which comprise the Balance Sheet as at 31 March 2013, the Statement of Profit and Loss and cash flow statement for the year ended on that date.

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 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 faj^glgswoconforrnity 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 31 March 2013;

ii. In the case of the Statement of Profit and Loss, of the profit for the year ended on that date;

iii. In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 ("the Order"), as amended, issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by section 227(3) of the Act, we report that:

a) we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;

b) in our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

c) the Balance Sheet and Statement of Profit and Loss and Cash flow statement dealt with by this report are in agreement with the books of account;

d) in our opinion, the Balance Sheet, Statement of Profit and Loss and cash flow statement comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956; and

e) on the basis of written representations received from the directors as on 31 March 2013, and taken on record by the Board of Directors, none of the directors is disqualified as on 31 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 2 OF OUR REPORT OF EVEN DATE

1. The Nature of company''s Business/activities during the year is such that clause (II) and (VIII) of CARO,2003 are not applicable.

2. In respect of its fixed assets:-

(a) The Company has generally maintained proper records showing full particulars including quantitative detail and situation of fixed assets on basis of available information.

(b) As explained to us, the fixed assets have been physically verified by the management during the year, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. There were no material discrepancies noticed on such verifications.

(c) In our opinion, the Company has not disposed of substantial part of fixed assets during the year and accordingly the going concern status of the company is not affected.

3. (a) In respect loans taken from persons covered U/s.301 of the companies Act:

(i) According to the information and explanations given to us, the company has taken unsecured loans from a 1 persons covered under the register maintained u/s.301 of the Companies Act, 1956. The Maximum amount involves during the year in respect of the said loans is Rs.. 137.38 lacs and the year end balance of such loan isRs.. 137.3 8 lacs.

(ii) In our opinion and according to the information and explanation given to us the rate of Interest and other terms and conditions on which aforesaid loans has been taken are not prima-facie prejudicial to the interest of the company.

(iii) In respect of aforesaid loans the amount of principal as well as the Interest is repayable on demand or regular basis but there is no specific stipulation for repayment.

(b) According to the information and explanations given to us, the company has not granted any loan secured or unsecured, to companies, firms or other parties listed in the registered maintained under section 301 of the Companies Act, 1956.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control system commensurate with the size of the Company and nature of its business for the purchase of fixed assets and also for the Services. During the cgucse of audit, we have not observed any major weaknesses in internal control

5. In respect of transaction covered under section 301 of the Companies Act,1956.:

a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangement 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 there are no transactions in pursuance of contract or arrangement entered in the register maintained under section 301 of the Companies Act, 1956 aggregating during the year to Rs..5 Lacs (Rupees Five Lacs Only) or more in respect of any party.

6. The Company has not accepted any deposit from the public within the meaning of section section 58A and 58AA of the Act and the companies (Acceptance of Deposits) Rules, 1975. Accordingly the provision of clause 4(vi) of the order are not applicable.

7. In our opinion, the internal audit is system commensurate with its size and nature of its business.

8. In respect of statutory dues:

a) According to the records provided to us, the Company is generally regular in depositing with appropriate authority undisputed statutory dues including amount of Provident fund, Investor education and protection fund, Employee''s state insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other Material statutory dues, applicable to it.

According to the Information and Explanations given to us, no undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st march,2013 for a period of more than six months from the date of becoming payable.

b) According to the records of the company and information and explanations given to us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty/ cess which have not been deposited on account of any dispute.

9. The Company does not have accumulated losses . The company has incurred cash losses during the financial year covered by our audit. The company has incurred cash loss in the immediately preceding financial year.

10. According to the information and explanations given to us, we are of the opinion that the Company has not taken / availed any loans from the financial institutions, Banks or Debenture Holders and accordingly the provision of clause 4(xi) of the order is not applicable.

11. In our opinion and according to the information and explanations given to us, no loans and advancassgjjjjB^gpn granted by the Company on the basis of security by way of pledge o£rafflFe3rao0fjntures and other securities.

12. In our opinion, the company is not a chit fund or a nidhi/ mutual benefit fund / society. therefore, clause 4 (xiii) of the companies (Auditor''s Reports) order 2003 [as amended by Order, 2004] is not applicable to the company.

13. According to the Information and explanation given to us the company is not dealing or Trading in Shares, Securities and Debentures. Investments in respect of all shares, debentures and other investments have been held by the company in its own name and has also maintained adequate and proper records.

14. According to the Information and Explanations given to us, and the representations made by the management, company has not given any guarantee for loans taken by others from any banks or financial institution, during the year.

15. The Company has not obtained any term loan during the year. There was no terms loan outstanding at the beginning of the year.

16. 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 the Company has not utilised any amount from short term sources towards repayment of long-term borrowing and acquisition of fixed assets.

17. During the year, the Company has not made any preferential allotment of shares to parties and Companies covered in the Register maintained under section 301 of the Companies Act, 1956.

18. The Company has not issued any debenture and hence the question of creating security or charge in respect of debenture dose not arises.

19. The Company has not raised any money by way of public issue during the year.

20. To the best of our knowledge and belief, and according to the information and explanations given to us, there have been no cases of fraud on or by the Company noticed or reported during the year.

for A.C.MODI & ASSOCIATES

Chartered Accounteat BrZss

Firm''s Registratk-6555W

Proprietor

Membership number: 101342

Place: Mumbai

Date-30 MAY 2013

---

Mar 31, 2012

We have audited the accompanying financial statements of Shikar Leasing & Trading Limited ("the Company") which comprise the Balance Sheet as at 31 March 2012, the Statement of Profit and Loss and cash flow statement for the year ended on that date.

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 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:

i. In the case of the Balance Sheet, of the state of affairs of the Company as at 31 March 2012;

ii. In the case of the Statement of Profit and Loss, of the profit for the year ended on that date;

iii. In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order, 2003 ("the Order"), as amended, issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by section 227(3) of the Act, we report that:

a) we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;

b) in our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

c) the Balance Sheet and Statement of Profit and Loss and Cash flow statement dealt with by this report are in agreement with the books of account;

d) in our opinion, the Balance Sheet, Statement of Profit and Loss and cash flow statement comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956; and

e) on the basis of written representations received from the directors as on 31 March 2012, and taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2012, from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

1. The Nature of company's Business/activities during the year is such that clause (II) and (VIII) of CARO,2003 are not applicable.

2. In respect of its fixed assets

(a) The Company has generally maintained proper records showing full particulars including quantitative detail and situation of fixed assets on basis of available information.

(b) As explained to us, the fixed assets have been physically, verified by the management during the year, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. There were no material discrepancies noticed on such verifications.

(c) In our opinion, the Company has not disposed of substantial part of fixed assets during the year and accordingly the going concern status of the company is not affected.

3. (a) In respect loans taken from persons covered U/s.301 of the companies Act:

(i) According to the information and explanations given to us, the company has taken unsecured loans from a 1 persons covered under the register maintained u/s.301 of the Companies Act,1956. The Maximum amount involves during the year in respect of the said loans is 150.00 lacs and the year end balance of such loan is Rs. 127.08 lacs.

(ii) In our opinion and according to the information and explanation given to us the rate of Interest and other terms and conditions on which aforesaid loans has been taken are not prima-facie prejudicial to the interest of the company.

(iii) In respect of aforesaid loans the amount of principal as well as the Interest is repayable on demand or regular basis but there is no specific stipulation for repayment.

(b) According to the information and explanations given to us, the company has not granted any loan secured or unsecured, to companies, firms or other parties listed in the registered maintained under section 301 of the Companies Act, 1956.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control system commensurate with the size of the Company and nature of its business for the purchase of fixed assets and also for the Services. During the course of audit. We have not observed any in weaknesses in internal control system.

5. In respect of transaction covered under section 301 of the Companies Act, 1956.:

a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangement 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 there are no transactions in pursuance of contract or arrangement entered in the register maintained under section 301 of the Companies Act, 1956 aggregating during the year to Rs.5 Lacs (Rupees Five Lacs Only) or more in respect of any party.

6. The Company has not accepted any deposit from the public within the meaning of section section 58A and 58AA of the Act and the companies (Acceptance of Deposits) Rules, 1975. Accordingly the provision of clause 4(vi) of the order are not applicable.

7. In our opinion, the internal audit is system commensurate with its size and nature of its business.

8. In respect of statutory dues:

a) According to the records provided to us, the Company is generally regular in depositing with appropriate authority undisputed statutory dues including amount of Provident fund, Investor education and protection fund, Employee's state insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other Material statutory dues, applicable to it.

According to the Information and Explanations given to us, no undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March,2012 for a period of more than six months from the date of becoming payable.

b) According to the records of the company and information and explanations given to us, there are no dues of Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty/ cess which have not been deposited on account of any dispute.

9. The Company does not have accumulated losses . The company has incurred cash losses during the financial year covered by our audit. The company has incurred cash loss in the immediately preceding financial year.

10. According to the information and explanations given to us, we are of the opinion that the Company has not taken / availed any loans from

the financial institutions, Banks or Debenture Holders and accordingly the provision of clause 4(xi) of the order is not applicable.

11. 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, debenture and other securities.

12. In our opinion, the company is not a chit fund or a nidhi/ mutual benefit fund / society, therefore, clause 4 (xiii) of the companies (Auditor's Reports) order 2003 [as amended by Order , 2004] is not applicable to the company.

13. According to the Information and explanation given to us the company is not dealing or Trading in Shares, Securities and Debentures. Investments in respect of all shares, debentures and other investments have been held by the company in its own name and has also maintained adequate and proper records.

14. According to the Information and Explanations given to us, and the representations made by the management, company has not given any guarantee for loans taken by others from any banks or financial institution, during the year.

15. The Company has not obtained any term loan during the year. There was no terms loan outstanding at the beginning of the year.

16. 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 the Company has not utilised any amount from short term sources towards repayment of long-term borrowing and acquisition of fixed assets.

17. During the year, the Company has not made any preferential allotment of shares to parties and Companies covered in the Register maintained under section 301 of the Companies Act, 1956.

18. The Company has not issued any debenture and hence the question of creating security or charge in respect of debenture dose not arises.

19. The Company has not raised any money by way of public issue during the year.

20. To the best of our knowledge and belief, and according to the information and explanations given to us, there have been no cases of fraud on or by the Company noticed or reported during the year.

for A.C.MODI & ASSOCIATES

Chartered Accountants

Firm's registration number: 116555W

Alpesh C.Modi

Proprietor

Membership number: 101342

Place: Mumbai

Date: 28 JUN 2012

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Mar 31, 2010

We have audited the attached Balance Sheet of SHIKHAR LEASING & TRADING LIMITED as at 31st March, 2010 , 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 statement based on our Audit.

1. We conduct our audit in accordance with Auditing Standards generally accepted in India. Those standard require that we plan and perform the audit to obtain the reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test check basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our Audit provides a reasonable basis for our opinion.

2. As required by the Companies (Auditors Report) Order, 2003, [ as amended by Companies(Auditors Report](Amendment) Order, 2004], 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 as we considered appropriate, and according to the information and explanation given to us, we give in the Annexure, hereto a statement on the matters specified in paragraphs 4 & 5 of the said order to the extent applicable to the Company.

3. Further to our comments in the Annexure referred to in paragraph 2 above and subject to the notes to the Balance sheet, 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 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 such books.

As mentioned in Note no. 2(B) of Schedule no. 15, Provision for accrual of liability for gratuity in accordance with Accounting Standard (As) 15 (revised 2005) " Employees Benefit" issued by Institute of Chartered Accountant of India has not been made in the accounts. The Liability on account of Gratuity has not been ascertained/quantifiable.

(c) . The Balance Sheet ,Profit & Loss Account And cash flow statement referred to in this report are in agreement with the books of account.

(d) In our Opinion, the Profit & Loss accounts , Balance Sheet and cash flow statement comply with the accounting Standards referred to in sub section 3(c) of Section 211 of the Companies Act,1956 subject to aforesaid observation.

(e) On the basis of written representations received from the Directors, and taken on record by Board of Directors, We report that none of the Directors are disqualified as on 31st March, 2010 from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act,1956.

4. Subject to our aforesaid observations contained in Paragraphs 3(b), above, In our opinion and to the best of information and according to explanations given to us, the said accounts read with 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 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 Loss of the Company 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 2 OF OUR REPORT OF EVEN DATE

1. The Nature of companys Business/activities during the year is such that clause (II) and (VIII) of CARO,2003 are not applicable.

2. In respect of its fixed assets: -

(a) The Company has generally maintained proper records showing full particulars including quantitative detail and situation of fixed assets on basis of available information.

(b) As explained to us, the fixed assets have been physically verified by the management during the year, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. There were no material discrepancies noticed on such verifications.

(c) In our opinion, the Company has not disposed of substantial part of fixed ¦ assets during the year and accordingly the going concern status of the company is not affected.

3. (a) According to the information and explanations given to us, the company has not taken any secured or unsecured loan , from company listed in the registered maintained under section 301 of the Companies Act, 1956.

(b) According to the information and explanations given to us, the company has not granted any loan secured or unsecured, to companies, firms or other parties listed in the registered maintained under section 301 of the Companies Act, 1956.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control system commensurate with the size of the Company and nature of its business for the purchase of fixed assets and also for the Services. During the course of audit, we have not observed any major weaknesses in internal control system.

5. In respect of transaction covered under section 301 of the Companies Act,1956.:

a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangement 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 there are no transactions in pursuance of contract or arrangement entered in the register maintained under section 301 of the Companies Act, 1956 aggregating during the year to Rs. 5 Lacs (Rupees Five Lacs Only) or more in respect of any party.

6. The Company has not accepted any deposit from the public within the meaning of section section 58A and 58AA of the Act and the companies (Acceptance of Deposits] Rules,1975. Accordingly the provision of clause 4(vi) of the order are not applicable.

7. In our opinion, the internal audit is system commensurate with its size and nature of its business.

8. The- central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act,1956. Accordingly the provision of clause 4(viii) of the order is not applicable.

9. In respect of statutory dues:

a) According to the records provided to us, the Company is generally regular in depositing with appropriate authority undisputed statutory dues including amount of Provident fund, Investor education and protection fund, Employees state insurance, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess and other Material statutory dues, applicable to it. According to the Information and Explanations given to us, no undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st march,2010 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 any disputed demand outstanding with concerned authorities.

10. The Company does not have accumulated losses and has not incurred cash losses during the financial year covered by our audit or in the immediately preceding financial year.

11. According to the information and explanations given to us, we are of the opinion that the Company has not taken / availed any loans from the financial institutions, Banks or Debenture Holders and accordingly the provision of clause 4(xi) of the order is not applicable.

12. 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.

13. In our opinion, the company is not a chit fund or a nidhi/ mutual benefit fund / society, therefore, clause 4 (xiii) of the companies (Auditors Reports) order 2003 [as amended by Order, 2004] is not applicable to the company.

14. According to the Information and explanation given to us the company is not dealing or Trading in Shares, Securities and Debentures. Investments in respect of all shares, debentures and other investments have been held by the company in its own name and has also maintained adequate and proper records.

15. According to the Information and Explanations given to us, and the representations made by the management, company has not given any guarantee for loans taken by others from any banks or financial institution, during the year.

16. The Company has not obtained any term loan during the year. There was no terms loan outstanding at the beginning of the year.

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 the Company has not utilised any amount from short term sources towards repayment of long-term borrowing and acquisition of fixed assets.

18. During the year, the Company has not made any preferential allotment of shares to parties and Companies covered in the Register maintained under section 301 of the Companies Act, 1956.

19. The Company has not issued any debenture and hence the question of creating security or charge in respect of debenture dose not arises.

20. The Company has not raised any money by way of public issue during the year.

21. To the best of our knowledge and belief, and according to the information and explanations given to us, there have been no cases of fraud on or by the Company noticed or reported during the year.



For A.C. MODI & ASSOCIATES

CHARTERED ACCOUNTANTS

(ALPES MODI)

PROPRIETOR

MEMBERSHIP NO 101342 .

FIRM REGN.: 116555W

PLACE: MUMBAI

DATED : 2nd September 2010