Auditor Report of Starlite Components Ltd.
Mar 31, 2018
REPORT OF AUDITORS ON CORPORATE GOVERNANCE
To,
The Members of Starlite Components Limited
We have examined the compliance of conditions of corporate governance of Starlite Components Limited (âthe Companyâ) for the year ended March 31, 2018, as stipulated in regulations 17 to 27, clauses (b) to (i) of sub regulation (2) of regulation 46 and paragraph C, D and E of Schedule V of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (âListing Regulationsâ) with Stock Exchanges in India.
The compliance of conditions of corporate governance is the responsibility of the Management. Our examination was limited to the procedure and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of the corporate governance. It is neither an audit nor an expression of opinion on the financial statements of the Company.
In our opinion and to the best of our information and according to the explanations given to us, we certify that the Company has complied in all material respect with the conditions of Corporate Governance as stipulated in SEBI (Listing Obligation & Disclosure Requirement) Regulation 2015.
We state that no investor grievances as at March 31, 2018 are pending for a period not exceeding one month against the Company as per the records maintained by the Share registrar and reviewed by the Board.
We further state that such compliances is neither an assurance as to the further viability of the Company not the efficiency or effectiveness with which the management has conducted the affairs of the Company
For Amit R. Dadheech & Associates
sd/-Amit
R. Dadheech
M. No:22889; C. O P- 8952
Mumbai,
September 5, 2018
Mar 31, 2016
INDEPENDENT AUDITOR''S REPORT TO THE MEMBERS OF STARLITE COMPONENTS LIMITED
We have audited the accompanying standalone financial statements of Starlite Components Limited (âthe Companyâ), which comprise the Balance Sheet as at 31stMarch, 2016, the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance 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 of 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 standalone financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made 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 the 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. 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 standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31stMarch, 2016, and its profit/toss and its cash flows for the year ended on that date.
Other Matters
The Company had made reference to BIFR u/s 15 of the said vide Case No. 59/2005 dated 09/02/2005 and was declared sick on 29/09/2006.The BIFR sanctioned scheme of rehabilitation dated 10th October 2013 is under implementation. The share warrants issued to the strategic investor & outside investors amounting to Rs.7.20 crores were converted into share capital on 6th July, 2015 according to the sanctioned scheme of rehabilitation of BIFR. Similarly, preferential allotment to the Promoter group amounting to Rs. 90 lakhs was also done on 6th July, 2015 according to the sanctioned scheme of rehabilitation of BIFR. For this purpose, the authorized share capital was enhanced from Rs. 9 crores to Rs. 18 crores.
Our opinion is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by Companies (Auditor''s Report) Order 2015, (the order), issued by Central Government of India in terms of sub section (11) of the Section 143 of the Companies Act, 2013 we give in Annexure a statement on the matters specified in paragraph 3 & 4 of the Order to the extent possible. (Annexure 1)
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) n our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
e) Observations or comments on financial transactions or matters which have an adverse effect on the functioning of the Company-No observation or comment.
f) On the basis of the written representations received from the directors as on 31st March, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31stMarch, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
g) We do not have any qualification, reservation or adverse remark relating to the maintenance of the accounts & other matters connected there with.
h) The company has adequate internal financial controls system in place and the operating effectiveness of such controls is satisfactory. We give in annexure a report on the same. (Annexure 2)
i) 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 has pending litigations which would impact its financial position. Following are the details -
- Appeal against order of Income tax Department for A.Y. 2004-05 pending in High Court - Mumbai. Demand raised Rs. 73,71,366/-
- Appeal against orders of Sales tax Department pending with Sales Tax Tribunal for various financial years levying interest & penalty on unpaid Sales Tax amount - Total demand Rs. 6,19,18,168/-.
- The above-mentioned amounts are neither provided in books of accounts nor reported as Contingent Liability.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
1. Fixed assets -
- The Company has maintained proper record showing full particulars including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the fixed assets and we have been informed that no material discrepancies were noticed on such verification as compared to book records.
- The title deeds of immovable properties of Company are held in the name of the company.
2. Inventory -
- The inventory has been physically verified during the year by the management. In our opinion the frequency of verification is reasonable.
- The Company is maintaining proper records of the inventory. The discrepancies noticed on verification between physical stock & book records were not material as reported by the management and the same have been properly dealt with in the books of accounts.
3. Loans granted-
The Company has not granted any secured or unsecured loans to Companies, firms, Limited Liability Partnerships or other parties listed in the register maintained u/s 189 of Companies Act 2013. Hence our comments on following matters are not attracted -
- Whether the terms and conditions of the grant of such loans are not prejudicial to the company''s interest;
- Whether the schedule of repayment of principal and payment of interest has been stipulated and
- Whether the repayments or receipts are regular;
4. Loans, Investment, Guarantees & Security -
- Company has not granted any loans or given guarantees - directly or indirectly - to Directors or any other person in whom Directors are interested in contravention of Section 185 of Companies Act, 2013.
- Company has not granted any loan or given guarantee or made investment or provided security in contravention of Section 186 of Companies Act, 2013.
5. Deposits-
- The Company has not accepted any deposits. Hence our comments on compliance of the directives of Reserve Bank of India, provisions of Sec.73 to 76 or any other relevant provisions of the Companies Act,2013 & the rules framed there under are not required.
- The nature of contravention - not applicable.
- No order has been passed by Company Law Board, or National Company Law Tribunal or Reserve Bank of India or any court or any other Tribunal requiring any compliance.
6. Cost records-
The Company is not required to maintain cost records pursuant to Section 148(1) of
the Companies Act 2013.
7. Statutory dues -
- According to the information & explanations given to us, Company is regular in depositing undisputed statutory dues including Provident Fund, Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, VAT, Cess and any other statutory dues with appropriate authority during theyear related only to the current financial year.
- Undisputed dues related to previous years which were outstanding as at the last day of financial year for a period of more than six months from due date consist of ESIC Rs. 98,355/-, Profession Tax Rs. 60,865/-, Old BST/CST dues Rs. 19,17,340/-,CST Rs. 14,750/- and VAT Rs. 14,35,37,624/, PF Rs.4,78,383/-.
- No such dues of Income-tax, Sales-tax, Service Tax, Custom Duty, Excise Duty, and VAT, were outstanding on account of any dispute pending with any forum.
8. Defaults in repayment-
The Company has no dues to a Bank or financial institution or debenture holders.
Hence it is not necessary to report the period & amount of such default.
9. Utilization of funds-
- The Company has not raised funds by way of IPO or any Public offer (including Debt instrument).
- The term loans taken by the Company were applied for the purpose for which the loans were obtained.
10. Fraud-
- No fraud by the company or on the Company by its officers or employees has been noticed or reported during the year. Hence our comments on the nature of fraud and the amount involved are not required.
11. Managerial remuneration -
The managerial remuneration has been paid or provided in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act ,2013.
12. Nidhi company -
The Company is not a Nidhi Company & hence our comments related to Nidhi
Company are not attracted.
13. Related party transactions -
- All transactions with the related parties are in compliance with sections 177 and 188 of Companies Act, 2013 wherever applicable and
- The details have been disclosed in the Financial Statements as required by AS -18.
14. Preferential allotment & private placement -
- The Company has made preferential allotment of 9,00,000/- equity shares@ Rs. 10/- each to the promoter group during the year under review according to the BIFR sanctioned scheme of rehabilitation dated 10th October 2013.
- Our comments on compliance with the provisions of section 42 of Companies Act, 2013 are not attracted since the preferential allotment is made as per BIFR directives.
- Our comments on the application of amount raised are not attracted since the preferential allotment is made as per BIFR directives.
15. Non-cash transactions with Directors -
- The Company has not entered into any non-cash transactions with directors or persons connected with him.
- Our comments on compliance with the provisions of section 192 of Companies Act, 2013 are not attracted.
16. Registration with RBI -
- Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934 and hence, the registration has not been obtained.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Starlite Components Limited as of March 31, 2016 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness.
Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A Company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2016, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India.
For HMA & ASSOCIATES
Chartered Accountants
FRN - 100537W
sd/-
H. V. Godse Partner
Membership No. â 34056
Place: Pune
Date: 30thMay, 2016
Mar 31, 2015
We have audited the accompanying standalone financial statements of
Starlite Components Ltd.("theCompany"), which comprise the Balance
Sheet as at 31st March, 2015, the Statement of Profit and Loss,the Cash
Flow Statement for the year then ended, and a summary of the
significant accounting policiesand other explanatory information,
[Company does not have any branches].
Management's Responsibility for the Standalone Financial Statements
The Company's Board of Directorsis responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation of these standalone 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 inaccordance with the
provisions of the Act for safeguarding of 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 standalone
financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
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 theaudit 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 the 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 controls 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. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimatesmade 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 standalone
financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31st March, 2015, and its profit/loss and its cash flows for the
year ended on that date.
Emphasis of Matters
The Company has reversed the provision of diminution on its investment
in Starlite Lighting Limited and reinstated the value of shares at face
value during the year.This is done in view of the fact that the net
worth of the said Company is positive at the end of F.Y. 2014-15.This
has resulted in substantial increase in the profits of the company.
Our opinion is not modified in respect of above matters.
Other Matters
The company has made reference to BIFR u/s 15 of the said vide Case No.
59/2005 dated 09/02/2005 and was declared sick on 29/09/2006.The BIFR
sanctioned scheme of rehabilitation dated 10th October 2013 is under
implementation. The share warrants issued to the strategic investor &
outside investors amounting to Rs.7.20 crores were converted into share
capital on 6th July, 2015 according to the sanctioned scheme of
rehabilitation of BIFR. Similarly, preferential allotment to the
Promoter group amounting to Rs. 90 lakhs was also done on 6th July,
2015 according to the sanctioned scheme of rehabilitation of BIFR. For
this purpose, the authorized share capital was enhanced from Rs. 9
crores to Rs. 18 crores.
Company's financial year ended on 31st March 2014 covered the period of
9 months - From 1st July 2013 to 31st march 2014, while the results for
F.Y. 2014-15 cover period of 12 months. To that extent, previous
figures are not comparable. However, for the sake of information under
Rule 5 of Companies (Appointment & Remuneration of Managerial
Personnel) Rules, 2014 as given under Board Report, the figures of 12
months period ended on 31st March 2014 are considered to facilitate
proper comparison.
Our opinion is not modified in respect of this matter. Report on Other
Legal and Regulatory Requirements
1. As required by Companies (Auditor's Report) Order 2015, (the
order), issued by Central Government of India in terms of sub section
(11) of the Section 143 of the Companies Act, 2015 we give in Annexure
a statement on the matters specified in paragraph 3 & 4 of the Order to
the extent possible.
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 [and proper returns adequate for the purposes of our audit have
been received from the branches not visited by us.]
c) [The reports on the accounts of the branch offices of the Company
audited under Section 143(8) of the Act by branch auditors have been
sent to us and have been properly dealt with by us in preparing this
report.]
d) The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account [and with the returns received from the branches not
visited by us].
e) In our opinion, the aforesaid standalone financial statements comply
with the Accounting Standards specified under Section 133 of the Act,
read with Rule 7 of the Companies (Accounts) Rules, 2014.
f) Observations or comments on financial transactions or matters which
have an adverse effect on the functioning of the Company-No such
observations or comments.
g) On the basis of the written representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31stMarch, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
h) We do not have any qualification, reservation or adverse remark
relating to the maintenance of the accounts & other matters connected
there with.
i) The company has adequate internal financial controls system in place
and the operating effectiveness of such controls is satisfactory.
j) 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 and according to the
explanations given to us:
i. The Company has pending litigations which would impact its
financial position. Following are the details -
- Appeal against order of Income tax Department for AY. 2004-05 pending
in High Court - Mumbai. Demand raised Rs. 73,71,366/-
- Appeal against orders of Sales tax Department pending with Sales Tax
Tribunal for various financial years levying interest & penalty on
unpaid Sales Tax amount - Total demand Rs. 6,19,18,168/-.
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.
As per Companies (Auditor's Report) Order, 2015 dt.10 th April 2015.
Referred to in Paragraph 1 under the heading of "Report on other legal
& regulatory requirements" of our report of even date. Re: -Starlite
Components Limited for the F.Y. 2014-15
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
2. Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is
reasonable.
- The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to size of Company &
nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock & book
records were not material as reported by the management and the same
nave been properly dealt with in the books of accounts.
3. Loans- No loans - secured or unsecured - have been granted to
Companies, firms or other parties listed in the register maintained u/s
189of Companies Act,2013. Hence our comments on following matters are
not attracted -
- Whether receipt of principal & interest is regular.
- In case overdue amount is more than Rs. 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
4. Internal control system - In our opinion & according to the
information & explanations given to us, there is an adequate internal
control system commensurate with the size of the Company & nature of
its business with regard to purchase of inventory, & fixed assets & for
sale of goods & services. In our opinion & according to the information
& explanations given to us, there is no continuing failure to correct
major weaknesses in the internal control system.
5. Deposits - The Company has not accepted any deposits from the
public. Hence our comments on compliance of the directives of Reserve
Bank of India, provisions of Sec.73 to 76 or any other relevant
provisions of the Companies Act,2013 & the rules framed there under are
not required. The nature of contravention is not applicable. No order
has been passed by Company Law Board, or National Company Law Tribunal
or Reserve Bank of India or any court or any other Tribunal requiring
any compliance.
6. Cost records - The Company is not required to maintain cost records
pursuant to Section 148(1) of the Companies Act 2013.
7. Statutory dues -
- According to the information & explanations given to us, Company is
regular in depositing undisputed statutory dues including Provident
Fund, Employees' State Insurance, Income-tax, Sales-tax, Wealth Tax,
Service Tax, Custom Duty, Excise Duty, VAT, Cess and any other
statutory dues with appropriate authority during theyear related only
to the current financial year. Undisputed dues related to previous
years which were outstanding as at the last day of financial year for a
period of more than six months from due dateconsist of Provident Fund
Rs. 4,78,383/-, ESI Rs. 98,355/-, Profession Tax Rs. 60,865/-, Old
BST/CST dues Rs. 19,17,340/-,CST Rs. 16,063/- and VAT Rs.
15,02,69,481/-.
- No such dues of Wealth Tax, Service Tax, Custom Duty, Excise Duty and
Cess were outstanding on account of any dispute pending with any forum.
Demands on account of disallowances by Income Tax Department &
Interest-penalty levied by Sales Tax Department are reported separately
in our Audit Report.
- No amount was required to be transferred to Investor Education &
Protection Fund in accordance with relevant provisions of Companies Act
1956 (1 of 1956) or Rules made thereunder.
8. Net worth & losses - The Company was registered on 13th of November
2011. Hence the Company is registered for a period more than five
years. The Company has accumulated losses of Rs. 15,05,48,206/- i.e.
more than 100% of its net worth and has earned cash profit of Rs.
44,35,655/- during the current year and cash loss of Rs. 85,16,775/- in
the immediately preceding financial year.
9. Defaults in repayment - The Company has not defaulted in repayment
of dues to a Bank or financial institution or debenture holders. Hence
it is not necessary to report the period & amount of such default.
10. Third party guarantee - The Company has not given any guarantee for
loans taken by others from bank or financial institutions. Hence our
comments are not required on whether the terms and conditions are
prejudicial to the interest of the Company.
11. Utilization of Term loans - The term loans taken by the Company
were applied for the purpose for which the loans were obtained.
12. Fraud - No fraud on or by the company has been noticed or reported
during the year. Hence our comments on the nature of fraud and the
amount involved are not required.
The reasons for any of our unfavourable or qualified report/remark are
mentioned in the relevant point itself.
For HMA & Associates
Chartered Accountants
FRN - 100537W
sd/-
H.V.Godse
Partner
M. No. 034056
Place : Pune
Date :30thMay, 2015
Mar 31, 2014
We have audited the accompanying financial statements of Starlite
Components 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
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards notified under the Companies
Act, 1956 (the Act) read with the General Circular 15/2013 dated
13thSeptember, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 and in accordance with the
accounting principles generally accepted in India. This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
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, but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. 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 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, 2014;
(b) In the case of the Statement of Profit and Loss, of the profit/
loss for the year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A)of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a. we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
-b. in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our
examination of those books[and proper returns adequate for the purposes
of our audit have been received from branches not visited by us]
-e. the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
accounts[and with the returns received from branches not visited by us]
d. In our opinion, the Balance Sheet, the Statement of Profit and Loss,
and the Cash Flow Statement comply with Accounting Standards notified
under the Act read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013;
e. on the basis of written representations received from the directors
as on 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.
ANNEXURE TO INDEPENDENT AUDITORS'' REPORT
Referred to in Paragraph 1 under the heading of "Report on other legal
& regulatory requirements" of our report of even date
Re: - Starlite Components Ltd. (F.Y. 2013-14)
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
- The Company has not disposed off substantial part of fixed assets
during the year and hence the question of its effect on going concern
basis does not arise.
2.Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is reasonable.
- The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to size of Company
and nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock and book
records were not material as reported by the management and the same
have been properly dealt with in the books of accounts.
3. Loans -
A. Loans granted - No loans - secured or unsecured - have been granted
to Companies, firms or other parties listed in the register maintained
u/s 301 of Companies Act 1956. Hence our comments on following matters
are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company.
- Whether receipt of principal and interest is regular.
- In case overdue amount is more than R 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
B. Loans taken - loans - secured or unsecured - have been taken from
Companies, firms or other parties listed in the register maintained u/s
301 of Companies Act 1956. Hence our comments on following matters are
provided below -
- Number of parties - 1 and amount involved in the transactions - R
7,78,03,619/- (including accrued interest).
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company - No.
- No terms of payment of principal and interest have been specified
between the parties
4. Internal control system - 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 nature of
its business with regard to purchase of inventory and fixed assets and
for sale of goods and services. In our opinion and according to the
information and explanations given to us, there is no continuing
failure to correct major weaknesses in the internal control system.
5. Contracts with interested parties -
- There were contracts or arrangements that need to be entered into a
register in pursuance of Section 301 of the Companies Act.
- The prices of such contracts or arrangements were reasonable having
regard to prevailing market prices at the relevant time
6. Deposits - The Company has not accepted any deposits from the
public. Hence our comments on compliance of the directives of
Reserve Bank of India, provisions of Sec.58A and 58AA or any other
relevant provisions of the Act and the rules framed there under are not
required. The nature of contravention is not applicable. No order has
been passed by Company Law Board, or National Company Law Tribunal or
Reserve Bank of India or any court or any other Tribunal requiring any
compliance.
7.Internal audit system - The Company is required to have internal
audit system commensurate with its size and nature of its
business since the Company is listed. The company has implemented such
system internally, but the same is not adequate considering the size of
Company and nature of its business. It needs to be strengthened.
8. Cost records - As represented to us by the Company, it is required
to maintain cost records as prescribed by Central Government u/s 209(1)
(d) of Companies Act & Notification no. G.S.R. 429(E) dt. 03/06/2011.
However we have been informed that the maintenance of cost records &
compliances requirements thereto was in process as on the date of this
report.
9. Statutory dues -
- The Company is not regular in depositing undisputed statutory dues
within the prescribed period with appropriate authority. The amount of
such dues outstanding on the last day of the financial year for a
period more than six months from due date consists of Provident fund
Rs. 4,78,383/-, ESI R 83,507/-, Professional Tax Rs. 60,865/-, VAT Rs.
15,37,46,497/-, CST Rs. 16,062/-, Old BST/ CST dues Rs. 23,13,435/-.
- No such dues were outstanding on account of any dispute pending with
any forum.
10. Net worth & losses - The Company was registered on 13th November
1991. Hence the Company is registered for a period of more than five
years. Its accumulated losses at the end of financial year are Rs.
16,98,72,515/- (including Deferred Tax Asset), i.e. more than 100% of
its net worth and have incurred cash loss of Rs. 85,16,775/- during the
financial year and had earned a cash loss of Rs. 4,73,29,880/- in the
immediately preceding financial year.
11. Defaults in repayment - As represented to us by the company, there
has been no default in repayment of dues to a financial institution or
bank during the year.
12. Loans against pledge of securities - The Company has not granted
loans or advances against the security of pledge of shares, debentures
or other securities. Hence our comments on the adequacy of documents
and records, or the deficiencies therein are not required.
13. Nidhi/Chit fund - The Company is not a chit fund or nidhi/mutual
benefit fund/society. Hence our comments on compliance of any special
statute, ratio greater than 1:20 of net own funds to deposit liability,
compliance of prudential norms on income recognition and provisioning,
adequacy of procedures for appraisal of credit proposal & repayment
schedule based on repayment capacity of the borrower are not required.
14. Share/Security trading - The Company is not dealing or trading in
shares, securities, debentures and other investments. Hence our
comments on maintenance of proper records of the transactions and
contracts, and whether timely entries have been made therein; also
whether the shares, securities, debentures and other securities have
been held by the company, in its own name except to the extent of the
exemption, if any, granted under section 49 of the Act are not
required.
15. Third party guarantee - The Company has not given any guarantee for
loans taken by others from bank or financial institutions. Hence our
comments are not required on whether the terms and conditions are
prejudicial to the interest of the Company.
16. Utilization of Term loans - The term loan taken by the Company in
the Current financial year has been applied for the purpose for which
the loan was obtained.
17. Utilization of short-term funds - The Company has not raised
short-term funds during the year. Therefore, our comment on whether the
funds raised by the Company on short-term basis were used for long-term
purposes is not attracted.
18. Preferential allotment of shares - The Company has made
preferential allotment of shares to parties and companies covered in
the Register maintained under section 301 of the Act on 07/01/2014.
However the said allotment has been made pursuant to an order made by
the Hon''ble BIFR dtd. 10/10/2013. Hence our comments on whether the
prices at which shares have been issued are prejudicial to the interest
of the company or not are not attracted.
19. Debentures - The Company has not issued any debentures. Hence our
comments on whether security or charge has been created in respect of
debentures issued are not attracted.
20. Utilization of funds raised by public issue - The Company has not
raised funds by way of public issue during the year. Hence our comments
on disclosure by the management on the end use of money raised by
public issues and its verification are not attracted.
21. Fraud - As represented to us by the company, no fraud on or by the
company has been noticed or reported during the year. Hence our
comments on the nature of fraud and the amount involved are not
required.
22. Reasons for qualification - The reasons for any of our unfavourable
or qualified report/remark are mentioned in the relevant point itself.
For HMA & Associates
Chartered Accountants
FRN - 10053
Place: Pune sd/-
Date: 30th May 2014 Harshad Joshi
Partner
M. No. 131625
Jun 30, 2013
We have audited the accompanying financial statements of Starlite
Components Limited ("the Company"), which comprise the Balance Sheet as
at June 30, 2013, 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 and cash flows of the Company in accordance with
the Accounting principles generally accepted in India including
Accounting Standards referred to in sub-section (3C) of section 211 of
the Companies Act, 1956 ("the Forming an Opinion and Reporting on
Financial Statements 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 materialmisstatement, 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 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 June 30, 2013;
(b) In the case of the Statement of Profit and Loss, of the profit/
loss for the year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of sub-
section (4A)of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report that:
a. we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b. in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books [and proper returns adequate for the purposes of our audit have
been received from branches not visited by us]
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 [and with the returns received from branches not visited by us]
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 June 30, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on June 30, 2013, 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.
ANNEXURE TO INDEPENDENT AUDITORS'' REPORT
Referred to in Paragraph 1 under the heading of "Report on other legal
& regulatory requirements" of our report of even date Re: - Starlite
Components Ltd. (F.Y. 2012-13)
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
- The Company has not disposed off substantial part of fixed assets
during the year and hence the question of its effect on going concern
basis does not arise.
2. Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is reasonable.
- The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to size of
Company and nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock and book
records were not material as reported by the management and the same
have been properly dealt with in the books of accounts.
3. Loans -
A. Loans granted - No loans - secured or unsecured - have been granted
to Companies, firms or other parties listed in the register maintained
u/s 301 of Companies Act 1956. Hence our comments on following matters
are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are
prima facie prejudicial to the interest of the Company.
- Whether receipt of principal and interest is regular.
- In case overdue amount is more than Rs. 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
A. Loans taken - loans - secured or unsecured - have been taken from
Companies, firms or other parties listed in the register maintained u/s
301 of Companies Act 1956. Hence our comments on following matters are
provided below -
- Number of parties - 1 and amount involved in the transactions - Rs.
8,73,28,179/- (including accrued interest).
- Whether the rate of interest and other terms and conditions are
prima facie prejudicial to the interest of the Company - No.
- No terms of payment of principal and interest have been specified.
4. Internal control system -
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 nature of its business with regard to
purchase of inventory and fixed assets and for sale of goods and
services. In our opinion and according to the information and
explanations given to us, there is no continuing failure to correct
major weaknesses in the internal control system.
5. Contracts with interested parties -
- There were contracts or arrangements that need to be entered into a
register in pursuance of Section 301 of the Companies Act.
- The prices of such contracts or arrangements were reasonable having
regard to prevailing market prices at the relevant time.
6. Deposits -
The Company has not accepted any deposits from the public. Hence our
comments on compliance of the directives of Reserve Bank of India,
provisions of Sec.58A and 58AA or any other relevant provisions of the
Act and the rules framed there under are not required. The nature of
contravention is not applicable. No order has been passed by Company
Law Board, or National Company Law Tribunal or Reserve Bank of India or
any court or any other Tribunal requiring any compliance.
7. Internal audit system -
The Company is required to have internal audit system commensurate with
its size and nature of its business since the Company is listed. The
company has implemented such system internally, but the same is not
adequate considering the size of Company and nature of its business. It
needs to be strengthened.
8. Cost records -
The Company is required to maintain cost records as prescribed by
Central Government u/s 209(1) (d) of Companies Act & Notification no.
G.S.R. 429(E) dt. 03/06/2011. However we have been informed that the
maintenance of cost records & compliances requirements thereto was in
process as on the date of this report.
9. Statutory dues -
The Company is not regular in depositing undisputed statutory dues
within the prescribed period with appropriate authority. The amount of
such dues outstanding on the last day of the financial year for a
period more than six months from due date consists of Provident fund Rs.
4,78,383/-, ESI Rs. 2,05,135/-, Professional Tax Rs. 70,190/-, VAT Rs.
13,36,28,718/-, CST Rs. 16,062/-.
- No such dues were outstanding on account of any dispute pending
with any forum.
10. Net worth & losses -
The Company was registered on 13th November 1991. Hence the Company is
registered for a period more than five years. Its accumulated losses at
the end of financial year are Rs. 21,07,75,066/- (including Deferred Tax
Asset), i.e. more than 100% of its net worth and have incurred cash
loss of Rs. 4,73,29,880/- during the financial year and had earned a cash
loss of Rs. 4,59,03,756/- in the immediately preceding financial year.
11. Defaults in repayment -
As represented to us by the company, there has been no default in
repayment of dues to a financial institution or bank during the year.
12. Loans against pledge of securities -
The Company has not granted loans or advances against the security of
pledge of shares, debentures or other securities. Hence our comments on
the adequacy of documents and records, or the deficiencies therein are
not required.
13. Nidhi/Chit fund -
The Company is not a chit fund or nidhi/mutual benefit fund/society.
Hence our comments on compliance of any special statute, ratio greater
than 1:20 of net own funds to deposit liability, compliance of
prudential norms on income recognition and provisioning, adequacy of
procedures for appraisal of credit proposal & repayment schedule based
on repayment capacity of the borrower are not required.
14. Share/Security trading -
The Company is not dealing or trading in shares, securities, debentures
and other investments. Hence our comments on maintenance of proper
records of the transactions and contracts, and whether timely entries
have been made therein; also whether the shares, securities, debentures
and other securities have been held by the company, in its own name
except to the extent of the exemption, if any, granted under section 49
of the Act are not required.
15. Third party guarantee -
The Company has not given any guarantee for loans taken by others from
bank or financial institutions. Hence our comments are not required on
whether the terms and conditions are prejudicial to the interest of the
Company.
16. Utilization of Term loans -
There are no term loans utilized during the year. Therefore, our
comment on whether the term loans taken by the Company were applied for
the purpose for which the loans were obtained is not required to be
given.
17. Utilization of short-term funds -
The company has not raised short-term funds during the year. Therefore,
our comment on whether the funds raised by the Company on short-term
basis were used for long-term purposes is not attracted.
18. Preferential allotment of shares -
The Company has not made preferential allotment of shares to parties
and companies covered in the Register maintained under section 301 of
1. the Act. Hence our comments on whether the prices at which shares
have been issued are prejudicial to the interest of the company or not
are not attracted.
2. Debentures - The Company has not issued any debentures. Hence our
comments on whether security or charge has been created in respect of
debentures issued are not attracted.
3. Utilization of funds raised by public issue - The Company has not
raised funds by way of public issue during the year. Hence our comments
on disclosure by the management on the end use of money raised by
public issues and its verification are not attracted.
19. Debentures -
The Company has not issued any debentures. Hence our comments on
whether security or charge has been created in respect of debentures
issued are not attracted.
20. Utilization of funds raised by public issue -
The Company has not raised funds by way of public issue during the
year. Hence our comments on disclosure by the management on the end use
of money raised by public issues and its verification are not
attracted.
21. Fraud -
As represented to us by the company, no fraud on or by the company has
been noticed or reported during the year. Hence our comments on the
nature of fraud and the amount involved are not required.
22. Reasons for qualification -
The reasons for any of our unfavorable or qualified report/remark are
mentioned in the relevant point itself.
Place - Pune For HMA Associates
Date - 1st September 2013 Chartered Accountants
sd/-
Harshad Joshi
Partner
M. No. 131625
FRN - 100537W
Jun 30, 2012
We have audited the attached Balance sheet of Starlite Components
Limited as at 30thJune 2012 and also the Statement of Profit & Loss for
the year ended on that date annexed thereto. These Financial Statements
are the responsibility of the Company''s management. Our responsibility
is to express an opinion on these Financial Statements based on our
Audit.
We conducted our Audit in accordance with Auditing Standards generally
accepted in India. These Standards require that we plan and perform the
Audit to obtain reasonable assurance about whether the Financial
Statements are free of material misstatements. 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 the management, as well as evaluating the overall Financial
Statements presentation. We believe that our Audit provides a
reasonable basis for our opinion.
As required by the Companies (Auditors Report) (Amendment) Order 2004
dt. 25hNovember 2004 issued by the Central Govt, of India in terms of
sub section (4A) of Sec.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.
Further to our comments in the Annexure referred above, we report that-
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
Audit.
2.In our opinion, proper books of accounts as required by law have been
kept by the Company so far as appears from our examination of those
books.
3. The Balance Sheet and Statement of Profit & Loss dealt with by this
Report are in agreement with books of Accounts
4 .In our opinion, the Balance Sheet and Statement of Profit & Loss
dealt with by this Report comply with the Accounting Standards referred
to in Sec.211 (3C) of the Companies Act 1956.
5. On the basis of written representation received from the Directors,
as on 3(fjune 2012, and taken on record by the Board of Directors, we
report that none of the Directors is disqualified as on stfjune 2012
from being appointed as a Director in terms of sec.274 (l)(g) 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 said accounts give the information
required by the Companies Act 1956, in the manner so required and give
true and fair view in conformity with the accounting principles
generally accepted in India-
a) In case of Balance Sheet, of the State of affairs of the Company as
at 30 June 2012
b) In case of Profit & Loss Account, of the profit for the year ended
on that date.
c) In case of Cash Flow Statement, of the cash flow for the year ended
on that date.
ANNEXURE TO AUDITORS'' REPORT As per Companies (Auditor''s
Reportl(Amendment) Order. 2004 dt.25fe Nov.04.
Re: - Starlite Components Ltd. As on 30"1 June 2012.
(Referred to in Paragraph 3 of Audit Report)
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
- The Company has not disposed off substantial part of fixed assets
during the year and hence the question of its effect on going concern
basis does not arise.
2. Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is reasonable.
- The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to size of
Company and nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock and book
records were not material as reported by the management and the same
have been properly dealt with in the books of accounts.
3. Loans -
A. Loans granted - No loans - secured or unsecured - have been granted
to Companies, firms or other parties listed in the register maintained
u/s 301 of Companies Act 1956. Hence our comments on following matters
are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are
prima facie prejudicial to the interest of the Company. -
- Whether receipt of principal and interest is regular.
- In case overdue amount is more than Rs. 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
B. Loans taken - loans - secured or unsecured - have been taken from
Companies, firms or other parties listed in the register maintained u/s
301 of Companies Act 1956. Hence our comments on following matters are
provided below -
- Number of parties -1 and amount involved in the transactions - Rs.
7,65,79,768/- {including accrued interest).
- Whether the rate of interest and other terms and conditions are
prima facie prejudicial to the interest of the Company -No.
- No terms of payment of principal and interest have been specified.
4. Internal control systpm - 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 nature of
its business with regard to purchase of inventory and fixed assets and
for sale of goods and services. In our opinion and according to the
information and explanations given to us, there is no continuing
failure to correct major weaknesses in the internal control system.
5. Contracts with interested parties -
- There were contracts or arrangements that need to be entered into a
register in pursuance of Section 301 of the Companies Act.
- The prices of such contracts or arrangements were reasonable having
regard to prevailing market prices at the relevant time.
6. Deposits - The Company has not accepted any deposits from the
public. Hence our comments on compliance of the directives of Reserve
Bank of India, provisions of Sec.58A and 58AA or any other relevant
provisions of the Act and the rules framed there under are not
required. The nature of contravention is not applicable. No order has
been passed by Company Law Board, or National Company Law Tribunal or
Reserve Bank of India or any court or any other Tribunal requiring any
compliance.
7. Internal audit system - The Company is required to have internal
audit system commensurate with its size and nature of its business
since the Company is listed. The company has implemented such system
internally, but the same is not adequate considering the size of
Company and nature of its business. It needs to be strengthened.
8. Cost records - The Company is required to maintain cost records as
prescribed by Central Government u/s 209(1) (d) of Companies Act &
notification no. G.S.R 429(E) dt.03/06/2011. However we have been
inform that the maintenance of cost records & compliance requirements
thereto was in process on the date of this report.
9. Statutory dues -
- The Company is not regular in depositing undisputed statutory dues
within the prescribed period with appropriate authority.
The amount of such dues outstanding on the last day of the financial
year for a period more than six months from due date consists of
Provident fund Rs. 4,78,383/-, ESI Rs. 2,05,135/-, Professional Tax Rs.
60,665/-, VAT Rs. 9,80,39,285/-,CST Rs. 16,062/-.
- No such dues were outstanding on account of any dispute pending
with any forum.
10. Net worth & losses - The Company was registered on 13th November
1991. Hence the Company is registered for a period of more than five
years. Its accumulated losses at the end of financial year are
16,20,56,467/-(including Deferred Tax Asset), i.e. more than 100% of
its net worth and have incurred loss of 4,59,03,7sb/ during IIm
rmuntiul yuui J»(i hull uumud u (imjh  profit of Rs. 8,03,59,772/- in
the immediately preceding financial year.
11. Defaults in repayment - The company has settled the secured loans
of banks / financial institutions outstanding under OTS scheme & there
are no secured loans payable as at the year end to banks / financial
institutions. Therefore our comment on defaults in repayment of loans
is not required to be given. Also in case of secured & unsecured loan
obtained from M/s Solarcopyer Ltd, terms of payment of principal and
interest have not been specified till date of this report. Therefore to
that extent there is no default in repayment of this loan.
12. Loans against pledge of securities - The Company has not granted
loans or advances against the security of pledge of shares, debentures
or other securities. Hence our comments on the adequacy of documents
and records, or the deficiencies therein are not required.
13. Nidhi/Chit fund - The Company is not a chit fund or nidhi/mutual
benefit fund/society. Hence our comments on compliance of any special
statute, ratio greater than 1:20 of net own funds to deposit liability,
compliance of prudential norms on income recognition and provisioning,
adequacy of procedures for appraisal of credit proposal & repayment
schedule based on repayment capacity of the borrower are not required.
14. Share/Security trading - The Company is not dealing or trading in
shares, securities, debentures and other investments. Hence our
comments on maintenance of proper records of the transactions and
contracts, and whether timely entries have been made therein; also
whether the shares, securities, debentures and other securities have
been held by the company, in its own name except to the extent of the
exemption, if any, granted under section 49 of the Act are not
required.
15. Third party guarantee - The Company has not given any guarantee
for loans taken by others from bank or financial institutions Hence our
comments are not required on whether the terms and conditions are
prejudicial to the interest of the Company.
16. Utilization of Term loans-There are no term loans utilized during
the year. Therefore, our comment on whether the term loans taken by the
Company were applied for the purpose for which the loans were obtained
is not required to be given. ;
17. Utilization of short-term funds - The company has not raised shor-
term funds during the year. Therefore, our comment on whether the funds
raised by the Company on short-termbasis were used for long-term
purposes is not attracted.
18. Preferential allotment nf shares - The Company has not made
preferential allotment of shares to parties and companies covered in
the Register maintained under section 301 of the Act. Hence our
comments on whether the prices at which shares have been issued are
prejudicial to the interest of the company or not are not attracted.
19. Debentures - The Company has not issued any debentures. Hence our
comments on whether security or charge has been created in respect of
debentures issued are not attracted.
20. Utilization of funds raised by public issue - The Company has not
raised funds by way of public issue during the year. Hence our comments
on disclosure by the management on the end use of money raised by
public issues and its verification are not attracted.
21. Fraud - No fraud on or by the company has been noticed or reported
during the year. Hence our comments on the nature of fraud and the
amount involved are not required.
22. Reasons for qualification - The reasons for any of our
unfavourable or qualified report/remark are mentioned in the relevant
point itself.
Place - Nasik For HMA Associates
Date - 30th August 2012. Chartered Accountants
sd/-
Harshad Joshi
Partner
M. No. 131625
FRN - 100537W
Jun 30, 2010
We have audited the attached Balance sheet of Starlite Components
Limited as at 30th June, 2010 and also the Profit & Loss Account for
the year ended on that date annexed thereto. These Financial
Statements are the responsibility of the Companys management. Our
responsibility is to express an opinion on these Financial Statements
based on our Audit.
We conducted our Audit in accordance with Auditing Standards generally
accepted in India. These Standards require that we plan and perform
the Audit to obtain reasonable assurance about whether the Financial
Statements are free of material misstatements. 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 the management, as well as evaluating the overall Financial
Statements presentation. We believe that our Audit provides a
reasonable basis for our opinion.
As required by the Companies (Auditors Report) (Amendment) Order 2004
dt. 25th November 2004 issued by the Central Govt, of India in terms of
sub section (4A) of Sec.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.
Further to our comments in the Annexure referred above, we report that-
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
Audit.
2. In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of
those books.
3. The Balance Sheet and Profit & Loss Account dealt with by this
Report are in agreement with books of Accounts
4. In our opinion, the Balance Sheet and Profit & Loss Account dealt
with by this Report comply with the Accounting Standards referred to in
Sec.211 (3C) of the Companies Act 1956.
5. On the basis of written representation received from the Directors,
as on 30th June 2010, and taken on record by the Board of Directors, we
report that none of the Directors is disqualified as on 30th June 2010
from being appointed as a Director in terms of sec.274 (l)(g) 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 said accounts give the information
required by the Companies Act 1956, in the manner so required and give
true and fair view in conformity with the accounting principles
generally accepted in India-
a) In case of Balance Sheet, of the State of affairs of the Company as
at 30th June 2010
b) In case of Profit & Loss Account, of the loss for the year ended on
that date.
c) In case of Cash Flow Statement, of the cash flow for the year ended
on that date.
ANNEXURE TO AUDITORS REPORT As per Companies (Auditors Report
(Amendment) Order, 2004 dt.25lh Nov.04. Re: - Starlite Components Ltd.
As on 30th June 2010.
(Referred to in Paragraph 1 of Audit Report)
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
- The Company has not disposed off substantial part of fixed assets
during the year and hence the question of its effect on going concern
basis does not arise.
2. Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is reasonable.
- The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to size of Company
and nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock and book
records were not material as reported by the management and the same
have been properly dealt with in the books of accounts.
3. Loans -
A. Loans granted - No loans - secured or unsecured - have been granted
to Companies, firms or other parties listed in the register maintained
u/s 301 of Companies Act 1956. Hence our comments on following matters
are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company.
- Whether receipt of principal and interest is regular.
- In case overdue amount is more than Rs. 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
B. Loans taken - No loans - secured or unsecured - have been taken from
Companies, firms or other parties listed in the register maintained u/s
301 of Companies Act 1956. Hence our comments on following matters are
not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company.
- Whether payment of principal and interest is regular.
G The Company settled and arranged repayment of certain loans taken by
it earlier from Banks, and the documentation in respect of assignment
of lenders rights to the provider of funds are at final stage of
completion. The Company has therefore, not adjusted in its books of
account the pre-settlement outstanding of Banks with the settlement
payments arranged by the Company. Also, pending finalisation of terms
of aforesaid assignment, the Company has neither provided interest on
aforesaid loans of Banks nor on funds provided by the assignees.
4. Internal control system - 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 nature of
its business with regard to purchase of inventory and fixed assets and
for sale of goods and services. In our opinion and according to the
information and explanations given to us, there is no continuing
failure to correct major weaknesses in the internal control system.
5. Contracts with interested parties -
- There were contracts or arrangements that need to be entered into a
register in pursuance of Section 301 of the Companies Act.
- The prices of such contracts or arrangements were reasonable having
regard to prevailing market prices at the relevant time.
6. Deposits - The Company has not accepted any deposits from the
public. Hence our comments on compliance of the directives of Reserve
Bank of India, provisions of Sec.58A and 58 AA or any other relevant
provisions of the Act and the rules framed there under are not
required. The nature of contravention is not applicable. No order has
been passed by Company Law Board, or National Company Law Tribunal or
Reserve Bank of India or any court or any other Tribunal requiring any
compliance.
7. Internal audit system - The Company is required to have internal
audit system commensurate with its size and nature of its business
since the Company is listed. But the same is not adequate considering
the size of Company and nature of its business.
8. Cost records - The Company is not required to maintain cost records
as prescribed by Central Government u/s 209(1) (d) of Companies Act
1956.
9. Statutory dues -
- The Company is not regular in depositing undisputed statutory dues
within the prescribed period with appropriate authority. The amount of
such dues outstanding on the last day of the financial year for a
period more than six months from due date consists of Provident fund
Rs.4,78,383/- ESI Rs.1,93,662/- Professional Tax Rs.60,665/-, VAT
Rs.4,81,72,843/-, CSTRs. 8442A Listing fees payable Rs.70,050/-.
- No such dues were outstanding on account of any dispute pending with
any forum.
10. Net worth & losses - The Company was registered on 13th November
1991. Hence the Company is registered for a period more than five
years. Its accumulated losses at the end of financial year are
Rs.172858375/-, i.e. more than 100% of its net worth and have incurred
cash loss of Rs. 13376045/- during the financial year and cash loss of
Rs. 6684388/- in the immediately preceding financial year.
11. Defaults in repayment - The Company has defaulted in repayment of
dues to a Bank or financial institution or debenture holders. The
period and amount of such default is as under -
- Nasik Peoples Co-Op. Bank Ltd.(Now known as The Saraswat Co-op. Bank
Ltd.) Principal Due from January 2004 - Rs.2,72,16,172/-.
- M.S.F. C. 1,61,26,346/- Entire principal amount overdue @ Rs.20 Lakhs
per half year commencing from October 2001.
- Interest component is not considered in above referred figure in view
of OTS proposal given to these Banks/FI.
12. Loans against pledge of securities - The Company has not granted
loans or advances against the security of pledge of shares, debentures
or other securities. Hence our comments on the adequacy of documents
and records, or the deficiencies therein are not required.
13. Nidhi/Chit fund - The Company is not a chit fund or nidhi/mutual
benefit fund/society. Hence our comments on compliance of any special
statute, ratio greater than 1:20 of net own funds to deposit liability,
compliance of prudential norms on income recognition and provisioning,
adequacy of procedures for appraisal of credit proposal & repayment
schedule based on repayment capacity of the borrower are not required.
14. Share/Security trading - The Company is not dealing or trading in
shares, securities, debentures and other investments. Hence our
comments on maintenance of proper records of the transactions and
contracts, and whether timely entries have been made therein; also
whether the shares, securities, debentures and other securities have
been held by the company, in its own name except to the extent of the
exemption, if any, granted under section 49 of the Act are not
required.
15. Third party guarantee - The Company has not given any guarantee for
loans taken by others from bank or financial institutions. Hence our
comments are not required on whether the terms and conditions are
prejudicial to the interest of the Company.
16. Utilization of Term loans - The term loans taken by the Company
were applied for the purpose for which the loans were obtained.
17. Utilization of short-term funds - The funds raised by the Company
on short-term basis were not used for long-term investment.
18. Preferential allotment of shares - The Company has not made
preferential allotment of shares to parties and companies covered in
the Register maintained under section 301 of the Act. Hence our
comments on whether the prices at which shares have been issued are
prejudicial to the interest of the company or not are not attracted.
19. Debentures - The Company has not issued any debentures. Hence our
comments on whether security or charge has been created in respect of
debentures issued are not attracted.
20. Utilization of funds raised by public issue - The Company has not
raised funds by way of public issue during the year. Hence our comments
on disclosure by the management on the end use of money raised by
public issues and its verification are not attracted.
21. Fraud - No fraud on or by the company has been noticed or reported
during the year. Hence our comments on the nature of fraud and the
amount involved are not required.
22. Reasons for qualification - The reasons for any of our unfavourable
or qualified report/remark are mentioned in the relevant point itself.
For HMA Associates
Chartered Accountants
Harshad Joshi
Partner
M. No. 131625
FRN-100537W
Place - Nasik
Date - 16th November 2010.
Jun 30, 2009
We have audited the attached Balance sheet of Starlite Components
Limited as at 30th June, 2009 and also the Profit & Loss Account for
the year ended on that date annexed thereto. These Financial Statements
are the responsibility of the Companys management. Our responsibility
is to express an opinion on these Financial Statements based on our
Audit.
We conducted our Audit in accordance with Auditing Standards generally
accepted in India. These Standards require that we plan and perform the
Audit to obtain reasonable assurance about whether the Financial
Statements are free of material misstatements. 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 the management, as well as evaluating the overall Financial
Statements presentation. We believe that our Audit provides a
reasonable basis for our opinion.
As required by the Companies (Auditors Report) (Amendment) Order 2004
dt. 25th November 2004 issued by the Central Govt. Of India in terms of
sub section (4A) of Sec.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.
Further to our comments in the Annexure referred above, we report that-
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
Audit.
2. In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of
those books.
3. The Balance Sheet and Profit & Loss Account dealt with by this
Report are in agreement with books of Accounts
4. In our opinion, the Balance Sheet and Profit & Loss Account dealt
with by this Report comply with the Accounting Standards referred to in
Sec.211 (3C) of the Companies Act 1956.
5. On the basis of written representation received from the Directors,
as on 30th June 2009, and taken on record by the Board of Directors, we
report that none of the Directors is disqualified as on 30th June 2009
from being appointed as a Director in terms of sec.274 (l)(g) 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 said accounts give the information
required by the Companies Act 1956, in the manner so required and give
true and fair view in conformity with the accounting principles
generally accepted in India-
a) In case of Balance Sheet, of the State of affairs of the Company as
at 30th June 2009 and
b) In case of Profit & Loss Account, of the loss for the year ended on
that date.
ANNEXURE TO AUDITORS REPORT As per Companies (Auditors Report Amendment)
Order. 2004 dt.25th Nov.04. Re: - Starlite Components Ltd. As on 30th June
2009. (Referred to in Paragraph 1 of Audit Report)
1. Fixed assets -
- The Company has maintained proper record showing full particulars
including quantitative details and situation of fixed assets.
- The management, at the end of the year, has physically verified the
fixed assets and we have been informed that no material discrepancies
were noticed on such verification as compared to book records.
- The Company has not disposed off substantial part of fixed assets
during the year and hence the question of its effect on going concern
basis does not arise.
2. Inventory -
- The inventory has been physically verified during the year by the
management. In our opinion the frequency of verification is reasonable.
- The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to size of Company
and nature of its business.
- The Company is maintaining proper records of the inventory. The
discrepancies noticed on verification between physical stock and book
records were not material as reported by the management and the same
have been properly dealt with in the books of accounts.
3. Loans -
A. Loans granted - No loans - secured or unsecured - have been granted
to Companies, firms or other parties listed in the register maintained
u/s 301 of Companies Act 1956. Hence our comments on following matters
are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company.
- Whether receipt of principal and interest is regular.
- In case overdue amount is more than Rs. 1 lakh, whether reasonable
steps have been taken by the Company for recovery of principal &
interest.
B. Loans taken - No loans - secured or unsecured - have been taken
from Companies, firms or other parties listed in the register
maintained u/s 301 of Companies Act 1956. Hence our comments on
following matters are not attracted -
- Number of parties and amount involved in the transactions.
- Whether the rate of interest and other terms and conditions are prima
facie prejudicial to the interest of the Company.
- Whether payment of principal and interest is regular.
4. Internal control system - 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 nature of
its business with regard to purchase of inventory and fixed assets and
for sale of goods and services. In our opinion and according to the
information and explanations given to us, there is no continuing
failure to correct major weaknesses in the internal control system.
5. Contracts with interested parties -
- There were contracts or arrangements that need to be entered into a
register in pursuance of Section 301 of the Companies Act.
- The prices of such contracts or arrangements were reasonable having
regard to prevailing market prices at the relevant time.
6. Deposits - The Company has not accepted any deposits from the
public. Hence our comments on compliance of the directives of Reserve
Bank of India, provisions of Sec.58A and 58AA or any other relevant
provisions of the Act and the rules framed there under are not
required. The nature of contravention is not applicable. No order has
been passed by Company Law Board, or National Company Law Tribunal or
Reserve Bank of India or any court or any other Tribunal requiring any
compliance.
7. Internal audit system - The Company is required to have internal
audit system commensurate with its size and nature of its business
since the Company is listed. But the same is not adequate considering
the size of Company and nature of its business.
8. Cost records - The Company is not required to maintain cost records
as prescribed by Central Government u/s 209(1) (d) of Companies Act
1956.
9. Statutory dues -
- The Company is not regular in depositing undisputed statutory dues
within the prescribed period with appropriate authority. The amount of
such dues outstanding on the last day of the financial year for a
period more than six months from due date consists of Provident fund
Rs.4,78,383/- ESI Rs.1,93,662/- Professional Tax Rs.60,665/-, Sales Tax
Rs.2,85,67,124/-, Listing fees payable Rs.70,050/-.
- No such dues were outstanding on account of any dispute pending with
any forum.
10. Net worth & losses - The Company was registered on 13th November
1991. Hence the Company is registered for a period more than five
years. Its accumulated losses at the end of financial year are Rs.
172858375/-, i.e. more than 100% of its net worth and have incurred
cash loss of Rs.6684388/- during the financial year and cash loss of
Rs. 7248490/- in the immediately preceding financial year.
11. Defaults in repayment - The Company has defaulted in repayment of
dues to a Bank or financial institution or debenture holders. The
period and amount of such default is as under -
- Nasik Peoples Co-Op. Bank Ltd.- Principal Due from January 2004 -
Rs.2,72,16,172/-.
- M.S.F.C. 1,61,26,346/- Entire principal amount overdue <ç> Rs.20
Lakhs per half year commencing from October 2001.
- Interest component is not considered in above referred figures.
12. Loans against pledge of securities - The Company has not granted
loans or advances against the security of pledge of shares, debentures
or other securities. Hence our comments on the adequacy of documents
and records, or the deficiencies therein are not required.
13. Nidhi/Chit fund - The Company is not a chit fund or nidhi/mutual
benefit fund/society. Hence our comments on compliance of any special
statute, ratio greater than 1:20 of net own funds to deposit liability,
compliance of prudential norms on income recognition and provisioning,
adequacy of procedures for appraisal of credit proposal & repayment
schedule based on repayment capacity of the borrower are not required.
14. Share/Security trading - The Company is not dealing or trading in
shares, securities, debentures and other investments. Hence our
comments on maintenance of proper records of the transactions and
contracts, and whether timely entries have been made therein; also
whether the shares, securities, debentures and other securities have
been held by the company, in its own name except to the extent of the
exemption, if any, granted under section 49 of the Act are not
required.
15. Third party guarantee - The Company has not given any guarantee
for loans taken by others from bank or financial institutions. Hence
our comments are not required on whether the terms and conditions are
prejudicial to the interest of the Company.
16. Utilization of Term loans - The term loans taken by the Company
were applied for the purpose for which the loans were obtained.
17. Utilization of short-term funds - The funds raised by the Company
on short-term basis were not used for long-term investment.
18. Preferential allotment of shares - The Company has not made
preferential allotment of shares to parties and companies covered in
the Register maintained under section 301 of the Act. Hence our
comments on whether the prices at which shares have been issued are
prejudicial to the interest of the company or not are not attracted.
19. Debentures - The Company has not issued any debentures. Hence our
comments on whether security or charge has been created in respect of
debentures issued are not attracted.
20. Utilization of funds raised by public issue - The Company has not
raised funds by way of public issue during the year. Hence our comments
on disclosure by the management on the end use of money raised by
public issues and its verification are not attracted.
21. Fraud - No fraud on or by the company has been noticed or reported
during the year. Hence our comments on the nature of fraud and the
amount involved are not required.
22. Reasons for qualification - The reasons for any of our
unfavourable or qualified report/remark are mentioned in the relevant
point itself.
Place - Pune For Godse Joshi & Associates
Date - 3rd December 2009 Chartered Accountants
Anand D. Joshi
Partner
M. No. 113805
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article
More Information on Starlite Components Ltd.
-
Starlite Components Ltd. Tools
- Bulk Deals
-
Starlite Components Ltd. Company Details
- Company Profile
- Company History
- Management Team
- Capital Structure
- Product Mix
- Banker/Auditor/Registrar
-
Company History
- BSE Price History
-
Starlite Components Ltd. Key Financial Ratios
- Ratios
-
Starlite Components Ltd. Results
- Quarterly Results
- Half Yearly Results
- Nine Months Results
- Annual Results
-
Starlite Components Ltd. Financial Data
- Audited Results
- Cash Flow
- Balance Sheet
-
Starlite Components Ltd. Reports
- Accounting Policies
- Auditors Report
- Directors Report
- Notes To Account
-
Starlite Components Ltd. Corporate Announcements
- Book Closure
- Board Meetings
