Mar 31, 2018
Report on the Financial Statements
We have audited the accompanying financial statements of VIRAT CRANE INDUSTRIES LIMITED (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss (including other comprehensive income), the Statement of Changes in Equity and the Statement of Cash Flows for the year then ended and a summary of the significant accounting policies and other explanatory information.
Managementsâ Responsibility for the Financial Statements
The Companyâs 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 financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorsâ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit.
In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder and the Order issued under Section 143(11) oftheAct.
We conducted our audit of the financial statements 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 auditorâs judgment, including the assessment of the risks of material misstatement of the s financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2018, and its profit, total comprehensive income, the changes in equity and its cash flows for the year ended on that date.
Other Matter
The audited financial statements for the year ended 31st March 2017 was carried out and reported by M/s Nagaraju &Co., vide their unmodified audit report dated 21th May 2017, whose report has been furnished to us b the management and which has been relied upon by us for the purpose of our audit of the financial statements. Our audit report is not qualified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit, we report that:
a. we have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b. in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c. the Balance Sheet, the Statement of Profit and Loss including other comprehensive income, Statement of Changes in Equity and the Statement of Cash Flows dealt with by this Report are in agreement with the books of account.
d. in our opinion, the aforesaid financial statements comply with the Indian Accounting Standards prescribed under Section 133 oftheAct.
e. on the basis of the written representations received from the directors of the Company as on March 31,2018 taken on record by the Board of Directors, none of the directors is disqualified as on March 31,2018 from being appointed as a director in terms of Section 164(2) of the Act.
f. with respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in âAnnexure Bâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
g. with respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us:
1. The Company has disclosed the impact of pending litigations on its financial position in its financial statements.
ii. The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There are no amounts which are required to be transferred, to the Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of Section 143(11) of the Act, we give in âAnnexure Aâ a statement on the matters specified in paragraphs 3 and 4 of the Order
Annexure A to the Independent Auditorsâ Report
(Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ section of our report to the members of Infosys Limited of even date)
i. In respect of the Companyâs fixed assets:
a. The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.
b. The Company has a program of verification to cover all the items of fixed assets in a phased manner which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. Pursuant to the program, certain fixed assets were physically verified by the Management during the year. According to the information and explanations given to us, no material discrepancies were noticed on such verification.
c. According to the information and explanations given to us, the records examined by us and based on the examination of the conveyance deeds provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the Balance Sheet date. In respect of immovable properties of land and building that have been taken on lease and disclosed as fixed assets in the financial statements, the lease agreements are in the name of the Company.
ii. In respect of the Companyâs Inventory:
a. As explained to us, inventories have been physically verified during the year by the management at reasonable intervals.
b. No material discrepancies were noticed on physical verification of inventories by the management as compared to the books.
iii. According to the information and explanations given to us, the Company has granted unsecured loans to three bodies corporate, covered in the register maintained under Section 189 of the Companies Act, 2013, in respect of which:
a. The terms and conditions of the grant of such loans are, in our opinion, prima facie, not prejudicial to the Companyâs interest.
b. The terms of repayment does not stipulate any repayment schedule and the loans are repayable on demand. The loans bear no interest. The loans to Virat Crane Bottling Limited and Virat Crane Agri Tech Limited are outstanding for a long time and no provision has been considered by the management in the accounts.
Nature of Transaction |
Party & Relation |
Max. Amount involved (Rs. In Lakhs) |
Closing Balance as on 31.03.2018 (Rs. In Lakhs) |
Advance |
Virat Crane Agri Tech Limited |
631.57 |
631.57 |
Advance |
Crane Infrastructure Limited |
136.51 |
136.51 |
Advance |
Crane Global Solutions Ltd |
200.00 |
200.00 |
Advance |
Virat Crane Bottling Limited |
3.50 |
3.50 |
The above transactions are related by virtue of GVSL Kantha Rao being director in their respective boards,
c. There are no overdue amounts in respect of the above loans granted to the bodies corporate as there is no repayment schedule and bear no interest.
iv. In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Act in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
v. The Company has not accepted deposits during the year and does not have any unclaimed deposits as at March 31, 2018 and therefore, the provisions of the clause 3 (v) of the Order are not applicable to the Company.
vi. The Company has not accepted deposits during the year and does not have any unclaimed deposits as at March 31,2018 and therefore, the provisions of the clause 3 (v) of the Order are not applicable to the Company.
vii. According to the information and explanations given to us, in respect of statutory dues:
a. The Company has generally been regular in depositing undisputed statutory dues, including Provident Fund, Employeesâ State Insurance, Income Tax, Sales Tax, Service Tax, Goods and Service Tax, Value Added Tax, Customs Duty, Excise Duty, Cess and other material statutory dues applicable to it with the appropriate authorities.
b. There were no undisputed amounts payable in respect of Provident Fund, Employeesâ State Insurance, Income Tax, Sales Tax, Service Tax, Value Added Tax, Goods and Service Tax, Customs Duty, Excise Duty, Cess and other material statutory dues in arrears as at March 31,2018 for a period of more than six months from the date they became payable.
c. Details of dues of Income Tax, Sales Tax, Service Tax, Excise Duty and Value Added Tax which have not been deposited as at March 31, 2018 on account of dispute are given below for which liability is not created:
Nature of Statute |
Nature of Dues |
Forum where Dispute is pending |
Period to which the amount relates |
Amount (Rs) |
Agriculture Market Committee Cess |
Cess |
Supreme Court |
1994-95 to 2000-01 |
10,55,689 |
Agriculture Market Committee Cess |
Cess |
Secretary, AMC (Vijayawada) |
2011-12 to 2015-16 |
1,06,29,410 |
Sales Tax & VAT Act |
Sales Tax |
AP High Court |
2006-07 to 2011-12 |
73,27,091 |
Sales Tax Act |
Sales Tax |
Sales Tax Appellate Tribunal |
1999-20 |
1,95,000 |
Luxury Tax |
Luxury Tax |
AP High Court |
2005-06 |
3,47,484 |
viii. Based on our audit procedures and on the information and explanations given by the management, we are of the opinion that the company has not defaulted in repayment of dues during the ear to financial institutions and banks.
ix. The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) or term loans and hence reporting under Clause 3 (ix) of the Order is not applicable to the Company.
x. To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company or no material fraud on the Company by its officers or employees has been noticed or reported during the year.
xi. In our opinion and according to the information and explanations given to us, the Company has paid/provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Act.
xii. The Company is not a nidhi company and hence, reporting under Clause 3 (xii) of the Order is not applicable to the Company
xiii. In our opinion and according to the information and explanations given to us, the Company is in compliance with Section 177 and 188 of the Companies Act, 2013 where applicable, for all transactions with the related parties and the details of related party transactions have been disclosed in the financial statements as required by the applicable accounting standards.
xiv. During the year, the Company has not made any preferential allotment or private placement of shares or fully or partly paid convertible debentures and hence, reporting under Clause 3 (xiv) of the Order is not applicable to the Company.
xv. In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any non-cash transactions with its directors or persons connected to its directors and hence provisions of Section 192 of the Companies Act, 2013 are not applicable to the Company.
xvi. The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934.
Annexure B to the Independent Auditorsâ Report
(Referred to in paragraph 1(f) under âReport on Other Legal and Regulatory Requirementsâ section of our report to the members of VIRAT CRANE INDUSTRIES LIMITED of even date)
Report on the Internal Financial Controls Over Financial Reporting 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 VIRAT CRANE INDUSTRIES LIMITED (âthe Companyâ) as of March 31, 2018 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
Managementsâ Responsibility for Internal Financial Controls
The Board of Directors of the Company 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, 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.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the internal financial controls over financial reporting of the Company 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) issued by the Institute of Chartered Accountants of India and the Standards on Auditing prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls. 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 auditorâs 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 Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companyâs 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 companyâs 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 authorizations of the management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
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 subj ect 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, to the best of our information and according to the explanations given to us, 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, 2018, 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 ANATHA& ASSOCIATES
Chartered Accountants
FRN: 010642S
Guntur CA Srinivasulu Anantha
May 30,2018 Partner M. No: 214253
Mar 31, 2016
To the Members of Virat Crane Industries Limited
We have audited the accompanying financial statements of VIRAT CRANE INDUSTRIES LIMITED (âthe Company â), Which comprise the Balance Sheet as at 31st March,
2016, 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 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 and presentation of the 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 recoils in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies: making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments; the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial control system over financial reporting and the operating effectiveness of such controls. 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 on the financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:
a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31 st March, 2016;
b) In the case of the Statement of Profit and Loss Account, of the profit for the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors'' Report) Order, 2015 (âthe Orderâ) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 3 and
4 of the Order, to the extent applicable.
2. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of account;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of written representations received from the directors as on March 31,2016 and taken on record by the Board of Directors, none of the directors is disqualified as on 31 st March, 2016 from being appointed as a director in terms of section 164(2) of the Companies Act, 2013; and
f) With respect to 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 disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note: 1 (Notes to accounts) to the financial statements.
ii. the Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses. -Refer Note: 8(Notes to accounts) to the financial statements.
iii. There were no amounts which are required to be transferred to Investor Education and Protection Fund by the Company.
Annexure to the Independent Auditor''s Report:
(The Annexure referred to in our Independent Auditor''s Report to the members of the Company on the financial statements for the year ended 3131 March, 2016). we report that:
i. a) The Company has maintained proper records showing full particulars, including quantitative details and situation of its fixed assets.
b) As explained to us, fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification.
ii. a) As explained to us, inventories have been physically verified during the year by the management at reasonable intervals.
b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.
c) In our opinion and on the basis of our examination of the records, the company is generally maintaining proper records of its inventories. No material discrepancy was noticed on physical verification of stocks by the management as compared to book records.
iii. a) The Company has granted loans to two bodies corporate listed in the register maintained under section 189 of the Companies Act, 2013 (âthe Actâ).
b) The terms of arrangement does not stipulate any repayment schedule and the loans are repayable on demand. The loans bear no interest. The loan to Virat Crane Agritech Ltd is outstanding for more than three years.
c) There are no overdue amounts of more than one lakh in respect of loans granted to the bodies corporate listed in the register maintained under section 189 of the Act.
iv. In our opinion and according to the information and explanations given to us, there is generally an adequate internal control procedure commensurate with the size of the company and the nature of its business, for the purchase of inventories, fixed assets and with regards to sale of goods. During the course of our audit, no major instance of continuing failure to correct any weaknesses in the internal controls has been noticed.
v. The Company has not accepted any deposits from the public.
vi. The Central Government has not prescribed the maintenance of cost records under section 148(1) of the Act, for any of the goods produced by the Company.
Nature of the Statute |
Nature of the Dues |
Amount (Rs) |
Period to which the amount relates |
Review Status/Position |
1. Agricultural Market Committee Cess |
Cess |
10,55,689 |
1994-95 to 2000 |
Stay given by the Supreme Court. Case is pending. |
2. Agricultural Market Committee Cess |
Cess |
1,06,29,410 |
2011-12 to 2015-16 |
Contested with Secretary, AMC, Vijayawada. Case is pending. |
3.AP VAT |
Commercial Tax Department |
73,27,091 |
2006-07 to 2011-12 |
Interim stay given by the AP, High Court order dated 10.09.2014. Case has not yet come for hearing. |
4. APGST |
Sales Tax Authority |
1,95,000 |
1999-2000 |
The Sales Tax Appellate Tribunal has in their order dated 12.04.2013 has struck down the case, allowed the appeal and remanded the case. |
5. Luxury Tax |
Commercial Tax Department |
3,47,484 |
2005 - 06 |
Pending with the AP, High Court. In their order dated 24.06.2008, asked to deposit 50% of demand, Rs.1,73,742/- which has been deposited by the Company with CTO, Guntur on 13.08.2008. |
vii. a) According to information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including Provident Fund, Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Cess to the extent applicable and any other material statutory dues have generally been regularly deposited with the appropriate authorities.
b) According to the information and explanations given to us and on the basis of the documents the disputed statutory dues which have not been deposited with the appropriate authorities are as under:
Demands for which liability is not created
c) According to the information and explanation given to us, there were no amounts which were required to be transferred to Investor Education and Protection Fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules there under.
viii) The Company does not have any accumulated losses as at 31st March, 2016 and has not incurred cash losses in the current and immediate preceding financial year.
ix) Based on our audit procedure and on the information and explanations given by the management, we are of the opinion that, the Company has not defaulted in repayment of dues during the year to financial institutions, banks.
x) According to the information and explanations given to us, the Company has given Corporate Guarantees to IDBI for the term loan of Rs. 10 Crores taken by Virat Crane Bottling Limited and Virat Crane Agritech Ltd for the term loan of Rs. 13.24 Crores and the same is not prejudicial in the interest of the company.
xi) In our opinion and according to the information and explanations given to us, no term loan is raised during the year.
xii) According to the information and explanations given to us, no material fraud on or by the Company has been noticed or reported such a case by the management during the year.
for Nagaraju & Co.,
Chartered Accountants
FRN: 02271S
K. Nagaraju
Proprietor
M.No: 020474
Place: Guntur
Date: 26.05.2016
Mar 31, 2015
We have audited the accompanying financial statements of VIRAT CRANE
INDUSTRIES LIMITED ("the Company " ), Which comprise the Balance Sheet
as at 31st March, 2015, 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 Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation and presentation of the financial statements that
give a true and fair view of the financial position, financial
performance and cash flows of the company in accordance with the
accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding the assets of the
Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies: making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require that
we comply with ethical requirements and plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor's judgement, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal financial control relevant to the Company's
preparation of the financial statements that give a true and fair view
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial control
system over financial reporting and the operating effectiveness of such
controls. 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 on the financial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2015;
b) In the case of the Statement of Profit and Loss Account, of the
profit for the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditors' Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 3 and 4 of the Order,
to the extent applicable.
2. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to best of our knowledge and belief were necessary for the
purposes of our audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards specified
under Section 133 of the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014.
e) On the basis of written representations received from the directors
as on March 31, 2015 and taken on record by the Board of Directors,
none of the directors is disqualified as on 31st March, 2015 from being
appointed as a director in terms of section 164(2) of the Act; and
f) With respect to other matters to be included in the Auditor's Report
in accordance with Rule 11 of the Companies (Audit and Auditors) Rules,
201 4, in our opinion and to the best of the our information and
according to the explanations given to us:
i. the Company has disclosed the impact of pending litigations on its
financial position in its financial statements - Refer Note: 1 (Notes
to accounts) to the financial statements.
ii. the Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses. - Refer Note: 7(Notes to accounts) to the financial statements.
iii. There were no amounts which are required to be transferred to
Investor Education and Protection Fund by the Company.
Annexure to the Independent Auditor's Report
The Annexure referred to in our Independent Auditor's Report to the
members of the Company on the financial sttements for the year ended
31st March, 2015, we report that:
i. a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of its fixed
assets.
b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
ii. a) As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
c) In our opinion and on the basis of our examination of the records,
the company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
iii. a) The Company has granted loans to two bodies listed in the
register maintained under section 189 of the Companies Act, 2013 ("the
Act").
b) The terms of arrangement does not stipulate any repayment schedule
and the loans are repayable on demand.
c) There are no overdue amounts of more than one lakh in respect of
loans granted to the bodies corporate listed in the register maintained
under section 189 of the Act.
iv. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories, fixed assets and with
regards to sale of goods. During the course of our audit, no major
instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
v. The Company has not accepted any deposits from the public.
vi. The Central Government has not prescribed the maintenance of cost
records under section 148(1) of the Act, for any of the goods produced
by the Company.
vii. a) According to information and explanations given to us and on
the basis of our examination of the records of the Company, amounts
deducted/ accrued in the books of account in respect of undisputed
statutory dues including Provident Fund, Employees' State Insurance,
Income-tax, Sales-tax, Wealth Tax, Service Tax, Cess to the extent
applicable and any other material statutory dues have generally been
regularly deposited with the appropriate authorities.
b) According to the information and explanations given to us and on the
basis of the documents the disputed statutory dues which have not been
deposited with the appropriate authorities are as under:
Nature of the Statute Nature of Amount Period to which
the Dues (Rs.) the amount
relates
Agricultural Market cess 10,55,689 1994-95 to
Committee Cess 2000
Income Tax Act, 1961 Income Tax 7,30,591 2002-03
AP VAT commercial 73,27,091 2006-07 to
Taxes 2011-12
Department
Nature of the Statute Forum where dispute is pending
Agricultural Market Supreme Court of
Committee Cess India
Commissioner of
Appeals, Income
Income Tax Act, 1961 Tax (Hyderabad)
AP VAT commercial Tax offcier,
Nandigama Circle
ii) The demand made by Sales Tax Authority towards APGST for the year
1999-2000 is Rs.1.95 Lakhs against which appeal is preferred with
Tribunal. The demand against Luxury Tax made by Commercial Tax Officer
for Rs.3,47,484/- for the year 2005-06 in April 2008 is contested by
appeal before Hon'ble High Court Of Andhra Pradesh by remitting
Rs.1,73,742/- (which is 50% of demand).
c) According to the information and explanation given to us, there were
no amounts which were required to be transferred to Investor Education
and Protection Fund in accordance with the relevant provisions of the
Companies Act, 1956 (1 of 1956) and rules there under.
viii) The Company does not have any accumulated losses as at 31st
March, 2014 and has not incurred cash losses in the current and
immediate preceding financial year.
ix) Based on our audit procedure and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to financial
institutions, banks or debenture holders.
x) According to the information and explanations given to us, the
Company has given Corporate Guarantees to IDBI for the term loan of Rs.
10 Crores taken by Virat Crane Bottling Limited and Virat Agritech for
the term loan of Rs. 13.24 Crores and the same is not prejudicial in
the interest of the company.
xi) In our opinion and according to the information and explanations to
given to us, the term loan raised was utilized for the purpose for
which it was obtained.
xii) According to the information and explanations given to us, no
material fraud on or by the Company has been noticed or reported during
the course of our audit.
for Nagaraju & Co.,
Chartered Accountants
FRN:02271S
K.Nagaraju
Proprietor
M.No: 020474
Place: Guntur
Date: 30.05.2015
Mar 31, 2014
We have audited the accompanying financial statements of VIRAT CRANE
INDUSTRIES LIMITED ("the Company"), Which comprise the Balance Sheet
as at 31st March, 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 RESPONSIBILTY 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 Standards referred to in sub section (3C) of section 211
of the Companies Act, 1956. 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 misstatements, 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 judgement, 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 entity''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 financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
b) In the case of the Statement of Profit and Loss Account, of the
profit for the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditors'' 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;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956;
e) On the basis of written representations received from the directors
as on March 31, 2014 and taken on record by the Board of Directors,
none of the directors is disqualified as on 31st March, 2014 from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE TO AUDIT REPORT:
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1) In respect of Fixed Assets:
a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of its fixed assets.
b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
c) In our opinion and according to the information and explanations
given to us, substantial part of fixed assets has not been disposed off
during the year.
2) In respect of Inventories:
a) As explained to us, inventories have been physically verified during
the year by the management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
c) In our opinion and on the basis of our examination of the records,
the company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
3) a) i) According to the information and explanations given to us and
on the basis of our examination of the books of account, the Company
has granted interest free unsecured loan to Virat Crane Agri Tech Ltd
and Crane Infrastructure Ltd as per Register maintained under Section
301 of the Companies Act, 1956. The maximum amounts outstanding during
the year are Rs.631.44 lakhs and Rs.213.53 lakhs and year end balances
amounts to Rs. 631.44 lakhs and Rs. 208.71 lakhs respectively.
ii) The other terms and conditions of such loans are not prejudicial to
the interests of the Company.
iii) The amount is repayable on demand.
b) According to the information and explanations given to us and on the
basis of our examination of the books of account, the Company has not
taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus sub
clauses iii (f) & iii (g) are not applicable to the company.
4) In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories, fixed assets and with
regards to sale of goods and services. During the course of our audit,
no major instance of continuing failure to correct any weaknesses in
the internal controls has been noticed.
5) Based on the audit procedures applied by us and according to the
information and explanations provided by the management, we are of the
opinion that there were no contracts or arrangements that need to be
entered in the register maintained under section 301 of the Companies
Act 1956. Thus clauses v (a) and v (b) are not applicable to the
Company.
6) The Company has not accepted deposits from the public within the
meaning of Sections 58A and Section 58AA of the Companies Act, 1956 and
the Companies (Acceptance of Deposits) Rules, 1975.
7) As per information & explanations given by the management, the
Company has an internal audit system commensurate with its size and the
nature of its business.
8) As per the section 209(1) (d) of the Companies Act, 1956 maintenance
of the cost records is not compulsory.
9) In respect of Statutory Dues:
a) According to the records of the company, undisputed statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, Cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities.
b) According to the information and explanations given to us there were
disputed outstanding statutory dues as on 31st of March, 2014 as given
in 9(c) below for a period of more than six months from the date they
became payable
c) According to the information and explanations given to us and on the
basis of the documents the disputed statutory dues which have not been
deposited with the appropriate authorities are as under:
b) The demand made by Sales Tax Authority towards APGST for the year
1999-2000 is Rs.1.95 Lakhs against which appeal is preferred with
Tribunal. The demand against Luxury Tax made by Commercial Tax Officer
for Rs.3,47,484/- for the year 2005-06 in April 2008 is contested by
appeal before Hon''ble High Court Of Andhra Pradesh by remitting
Rs.1,73,742/- (which is 50% of demand).
10) The Company does not have any accumulated losses as at 31st March,
2014 and has not incurred cash losses in the current and immediate
preceding financial year.
11) Based on our audit procedure and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to financial
institutions and banks.
12) According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
13) The Company is not a chit fund or a nidhi / mutual benefit fund /
society. Therefore, the provision of this clause of the Companies
(Auditors'' Report) Order, 2003 (as amended) is not applicable to the
Company.
14) In our opinion, the Company is not dealing in or trading in shares,
securities, debentures and other investments.
15) According to the information and explanations given to us, the
Company has given Corporate Guarantees to IDBI for the term loan of Rs.
10 Crores taken by Virat Crane Bottling Limited and Virat Agritech for
the term loan of Rs. 13.24 Crores and the same is not prejudicial in
the interest of the company.
16) In our opinion, the company has not raised any term loans during
the year under audit.
17) Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2014, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18) Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares to parties and
companies covered in the register maintained under section 301 of the
Act during the year.
19) The Company has not issued any debenture and hence no securities
have been created.
20) The Company has not raised any money by public issue during the
year.
21) Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
As per our report of even date
for NAGARAJU & Co.,
Chartered accountants for and on behalf of the board
Firm Registration No: 02271S for VIRAT CRANE INDUSTRIES LIMITED
Sd/-
K. NAGARAJU Sd/- Sd/-
Proprietor P.BHASKARA RAO G.V.S.L KANTHA RAO
M.NO: 020474 DIRECTOR MANAGING DIRECTOR
Date: 30.05.2014
Place: Guntur
Mar 31, 2013
We have audited the accompanying financial statements of VIRAT CRANE
INDUSTRIES LIMITED, Which comprise the Balance Sheet as at 31st March,
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 RESPONSIBILTY 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 Standards referred to in sub section (3C) of section 211
of the Companies Act, 1956. 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 misstatements, 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 judgement, including the assessment of
the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our audit opinion
OPINION
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2013;
b) In the case of the Statement of Profit and Loss Account, of the
profit for the year ended on that date; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditors'' 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;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report arein agreement with the books of
account;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956;
e) On the basis of written representations received from the directors
as on March 31, 2013 and taken on record by the Board of Directors,
none of the directors is disqualified as on 31st March, 2013 from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE TO AUDIT REPORT:
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1." a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of its fixed
assets.
b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
c) In our opinion and according to the information and explanations
given to us, substantial part of fixed assets has not been disposed off
during the year and therefore does not affect the going concern
assumption.
2) a) As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
c) In our opinion and on the basis of our examination of the records,
the company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by '' the management as compared to book records.
3) a) i) According to the information and explanations given to us and
on the basis of our examination of the books of account, the Company
has granted interest free unsecured loan to V1RAT CRANE AGR1TECH LTD
and CRANE INFRASTRUCTURE LTD register maintained under Section 301 of
the Companies Act. 1956. The maximum amounts involved during the year
are Rs. 510.86 lakhs and Rs. 138.62 lakhs and year end balances amounts
to Rs. 510.86 lakhs and Rs. 138.62 lakhs respectively.
ii) The other terms and conditions of such loans are not prejudicial to
the interests of the Company.
iii) The amount is repayable on demand.
b) According to the information and explanations given to us and on the
basis of our examination of the books of account, the Company has not
taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses iii(f) & iii(g) are not applicable to the company.
4) In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories, fixed assets and with
regards to sale of goods and services. During the course of our audit,
no major instance of continuing failure to correct any weaknesses in
the internal controls has been noticed.
5) Based on the audit procedures applied by us and according to the
information and explanations provided by the management we are of the
opinion that there were no contracts or arrangements that need to be
entered in the register maintained under section 301 of the Companies
Act 1956. Thus clauses v (a) and v (b) are not applicable to the
Company.
6) The Company has not accepted deposits from the public within the
meaning of Sections 58A and Section 58AA of the Companies Act, 1956 and
the Companies (Acceptance of Deposits) Rules, 1975.
7) As per information & explanations given by the management, the
Company has an internal audit.system commensurate with its size and the
nature of its business.
8) As per the section 209( 1 )(d) of the Companies Act, 1956
maintenance of the cost records is not compulsory.
9) a) According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax. Service
Tax, Custom Duty, Excise Duty, Cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities.
b) According to the information and explanations given to usJhere were
no disputed outstanding statutory dues as on 31st of March, 2013 for a
period of more than six months from the date they became payable
10) The Company does not have any accumulated losses as at 31st March,
2013 and has not incurred cash losses in the current and immediate
preceding financial year
11) Based on our audit procedure and on the information and
explanations given by the management, we are of the opinion that, the
Company has not defaulted in repayment of dues to financial
institutions and banks.
12) According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
13) The Company is not a chit fund or a nidhi / mutual benefit fund /
society. Therefore, the provision of this clause of the Companies
(Auditors'' Report) Order, 2003 (as amended) is not applicable to the
Company.
14) In our opinion, the Company is not dealing in or trading in shares,
securities, debentures and other investments.
15) According to the information and explanations given to us, the
Company has given Corporate Guarantees to IDBI for the term loan of Rs.
10 Crores taken by Virat Crane Bottling Limited and Virat Agritech for
the term loan of Rs. 13.24 Crores and the same is not prejudicial in
the interest of the company.
16) In our opinion, the company has not raised any term loans during
the year under audit.
17) Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2013, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
18) Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares to parties and
companies covered in the register maintained under section 301 of the
Act during the year.
19) The Company has not issued any debenture and hence no securities
have been created.
20) The Company has not raised any money by public issue during the
year.
21) Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For Nagaraju & Co
Chartered Accountants
Registration No: 00227,S
Sd/-
K. Nagaraju
Place: Guntur Membership No: 020474
Date: 30th May, 2013
Mar 31, 2012
- We have audited the attached Balance Sheet of M/s.Virat Crane
Industries Limited as at 31sl March, 2012 the Profit and Loss account
and the cash flow statement for the year ended on that date annexure
there to. These finan- cial 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 the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial state- ments are free of material misstatement. An audit
includes examining, on a test basis, evi- dence supporting the amounts
and disclosures in the financial statements. An audit also in- cludes
assessing the accounting principles used and significant estimates made
by man- agement, as well as evaluating the overall fi- nancial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
- As required by the Companies (Auditor''s Re- port) Order, 2003 issued
by the Central Gov- ernment of India in terms of sub-section (4A) of
section 227 of the Companies Act, 1956, we enclose in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the said
order. Subject to
- Further to our comments in the Annexure re- ferred to above, we
report that:
- We have obtained all the information and ex- planations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
- 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.
- The Balance Sheet, Profit and Loss Account and cash flow statement
dealt with by this re- port is in agreement with the books of account.
- In our opinion, the Balance Sheet, Profit and Loss Account and cash
flow statement dealt with by this report comply with the account- ing
standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956 except AS-15 retirement benefit to employees.
- On the basis of written representations re- ceived from the
directors, as on 31st March, 2012 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2012 from being appointed as a director in terms of clause
(g) of sub-section (1) of section 274 of the Companies Act, 1956.
- In our opinion and to the best of our informa- tion 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
a true and fair view in conformity with the accounting prin- ciples
generally accepted in India.
- in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012.
- in the case of the Profit and Loss account of the profit for the year
ended on that date and
- in the case of the cash flow statement of the cash flows for the year
ended on that date.
ANNEXURE TO AUDIT REPORT
Ref: Virat Crane Industries Ltd., Guntur Referred to in paragraph 3 of
our report of even date,
(i) (a)The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
- According to Information and explanations given to us, There is a
regular program of verification which, in our opinion, is reasonable
having regard to the size of the company and the nature of its assets.
No material discrepancies were noticed on such verification.
- During the year, the company has not disposed off any part of the
fixed assets.
(ii) (a) The inventory has been physically verified during the year by
the management. In Our opinion, the frequency of verification is
reasonable.
(b)The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on verification between the physical stocks and
the book records were not material.
(iii)
(a) The Company has granted interest free unsecured loans to Virat
Crane Agri Tech Ltd. a parties covered under register maintained under
section 301 of the companies act.
- As per the explanation given to us the loan the terms and conditions
on which the loans has been granted to the body corporate listed in the
register maintained under section 301 of the Companies Act 1956are not
prima facie prejudicial to the interest of the company.
- In case of loans granted to the body corporate listed in the register
maintained under section 301 of the Companies Act 1956, the borrower
has been regular in the payment principal amount as and when demanded.
The terms of the loan agreement does not stipulate any repayment
schedule and is repayable on demand.
- There are no overdue amounts of more than one lakh rupees in respect
of loans graned to a body corporate listed in the register maintained
under section 301 of the Companies Act 1956.
Nature of Party & Max. Amount Closing Balance
Transaction Relation involved as on 31.03.2012
Rs. In Lakhs Rs. In Lakhs
Advance Virat Came
Agri Tech Ltd. 5.04 Crores 5.04 Crores
(The above company is related by virtue of common
director Mr. .G V S L Kantha Rao)
- The Company has not obtained any loans dur- ing the year from
companies and parties cov- ered in the register maintained u/s 301 of
Com- panies Act 1956. Consequently the requirements of Para iii (f) &
(g) are not applicable.
- On the basis of selective checks carried out during the course of
audit. In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with re- gard to purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
- (a) According to the information and explana- tions given to us, we
are of the opinion that the transactions that need to be entered into
the reg- ister maintained under section 301 of the Com- panies Act,
1956 have been so entered.
(b) In our opinion and according to the infor- mation and explanations
given to us, the trans- actions made in pursuance of contracts or ar-
rangements entered in the register maintained under section 301 of the
Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
- In our opinion and according to the informa- tion and explanations
given to us, the Company has not collected any deposits from the public
as per the provisions of section 58A and 58AA of the Companies Act,
1956 and the Compa- nies (Acceptance of Deposits) Rules, 1975.
- In our opinion, the Company has an internal audit system commensurate
with the size and nature of its business.
- As per the section 209( 1 )(d) of the Companies Act, 1956 maintenance
of the cost records is not compulsory.
(ix) (a) The Company is generally regular in depositing monies except
with P.F/ESI au- thorities .
- According to the information and explanations given to us, there are
no undisputed statutory dues outstanding for a period of more than six
months from the date they became due except in respect of P.F.-
Rs.205242
(c) According to the information and explanation given to us, there are
statutory dues which were deposited under dispute. They are
Ghee Division
Nature of Nature of Amount Forum where
the Stature the Dues (Rs)Lacs dispute is pending
Agricultural Cess 10.55 Lacs Supreme Court of
market India
committee
Income Tax Income tax 07.30 Lacs Commissioner of
Act, 1961 Appeals Income tax
(Hyderabad)
(x) The accumulated losses of the company are not more than fifty
percent of net worth. The company has not incurred any cash loss during
the financial year under audit.
(xi) In our opinion and according to the informa- tion and explanations
given to us, during the year the Company has not borrowed any loans
from any financial institution, bank or deben- ture holders.
Accordingly, the provisions of clause 4(xi) of the Companies (Auditor''s
Re- port) Order, 2003 are not applicable to the company.
(xii) In our opinion and according to the informa- tion and
explanations given to us, the Com- pany has not granted loans and
advances on the basis of security by way of pledge of shares,
debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidlii /
mutual benefit fund / society.
Therefore, the provisions of clause 4(xiii) of the Companies (Auditor''s
Report) Order. 2003 are not applicable to the company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provi- sions of clause 4(xiv) of the Companies (Auditor''s Report)
Order, 2003 are not appli- cable to the company.
(xv) In our opinion and according to the informa- tion and explanations
given to us, company has given corporate guarantees to IDBI for the
term loan of Rs. 10 Crore taken by Virat Crane Bottling Limited and
Virat Agritech for the term loan of Rs 13.24 Crores and the same is not
prejudicial in the interest of the company
(xvi) In our opinion, the company has not raised any term loans during
the year under audit.
(xvii) According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the company, we report
that the funds raised on short-term basis not been used for long-term
purpose.
(xviii) According to the information and explanations given to us, the
Company has not made pref- erential allotment of shares to parties and
Companies covered in the register maintained under section 301 of the
Companies Act, 1956.
(xix) According to the information and explanations given to us, during
the period covered by our audit report, the Company had not issued any
debentures.
(xx) As per the information and explanation given to us the company
have not raised any mon- ies through public issue.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For Jawahar & Associates
Chartered Accountants
Firm Regn. No: 001281S
V.UMAPATHI
Place: Guntur Partner
Date: 30-8-2012 M.No. 21887
Mar 31, 2010
1. We have audited the attached Balance Sheet of M/s.Virat Crane
Industries Limited as at 31st March, 2010 the Profit and Loss account
and the cash flow statement for the year ended on that date annexure
there to. 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.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis
for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government of India in terms of sub-section (4A) of
section 227 of the Companies Act, - 1956, we enclose in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the said
order.
Further to our comments in the Annexure referred to above, we report
that:
(i) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
(ii) 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.
(iii) The Balance Sheet, Profit and Loss Account and cash flow
statement dealt with by this report is in agreement with the books of
account.
(iv) In our opinion, the Balance Sheet and Profit and Loss Account,
cash flow statement dealt with by this report comply with the
accounting standards referred to in sub- section (3C) of section 211 of
the Companies Act, 1956 except AS-15 retirement benefit to employees.
.
(v) On the basis of written representations received from the
directors, as on 31st March, 2010 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2010 from being appointed as a director in terms of clause
(g) of sub-section (1) of section 274 of the Companies Act, 1956.
(vi) 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
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 31sl March, 2010.
(b) in the case of the Profit and Loss account of the Loss for the year
ended on that date.
(c) In the case of the cash flow statement, of the cash flows for the
year ended on that date.
ANNEXURE TO AUDIT REPORT
Ref: Virat Crane Industries Ltd., Guntur Referred to in paragraph 3 of
our report of even date,
(i) (a)The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The management during the year has physically verified all the
assets. There is a regular program of verification which, in our
opinion,is reasonable having regard to the size of the company and the
nature of its assets. No material discrepancies were noticed on such
verification.
(C) During the year, the company has not disposed off any part of the
fixed assets.
(ii) (a) The inventory has been physically verified during the year by
the management. In Our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on verification between the physical stocks and
the book records were not material.
(iii) (a)The Company has not granted any loans secured or unsecured to
parties covered under register maintained under section 301 of the
companies act. So the provisions of (b), (c), and (d) are not
applicable.
(e) The Company has obtained Inter Corporate Deposits from the
following and details as follows:
Name of the Maximum Year end
Company amount due balance
Virat Crane 2 Lacs 2 Lacs (Cr.)
Bottling Ltd.,
Virat Crane 98.85 Lacs 98.85 Lacs (Cr.)
Agri-Tech Ltd.,
Apex 50.39 Lacs 33.12 Lacs (Cr.)
Solutions Ltd.,
(f) As per the information and explanations given to us, the loans are
payable on demand and there is ratewftipterest for the said loan.
Hence, the question of whether the interest is prejudicial to the
interests of the company or not does not arise.
(g) As per the information and explanation given to us, the loans are
repayable on demand.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
(v) (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
(vi) In our opinion and according to the information and explanations
given to us, the Company has not collected any deposits
from the public as per the provisions of section 58A and 58AA of the
Companies Act,. 1956 and the Companies (Acceptance of Deposits) Rules,
1975.
(vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
(viii) As per the section 209(l)(d) of the Companies Act, 1956
maintenance of the cost records is not compulsory.
(ix) (a) The Company is generally regular in depositing monies except
with P.F/ESI authorities.
(b) According to the information and explanations given to us, there
are no undisputed statutory dues outstanding for a period of more than
six months from the date they became due.
(c) According to the information and explanation given to us, there are
statutory dues which were deposited under dispute. They are
Nature of Nature of Amount Forum where dispute is
the Stature the Dues (Rs)Lacs pending
Sales Tax Dept APGST 1.95 Sales tax Tribunal
(Hyderabad)
CST 0.33 C.T.O, Guntur,
Andhra Pradesh
(x) The accumulated losses of the company are not more than fifty
percent of net worth. The company has not incurred any cash loss during
the financial year under audit.
(xi) In our opinion and according to the information and explanations
given to us, during the year the Company has not borrowed any loans
from any financial institution, bank or debenture holders.
Accordingly, the provisions of clause 4(xi) of the Companies (Auditors
Report) Order, 2003 are not applicable to the company.
(xii) In our opinion and according to the information and explanations
given to us, the Company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund / society. Therefore, the provisions of clause
4(xiii) of the Companies (Auditors Report) Order, 2003 are not
applicable to the company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xi v) of the Companies (Auditors Report) Order,
2003 are not applicable to the company.
(xv) In our opinion and according to the information and explanations
given to us, company has given corporate guarantees to IDBI for the
term loan of Rs. 10 Crore taken by Virat Crane Bottling Limited.
(xvi) In our opinion, the company has not raised any term loans during
the year under audit.
(xvii) According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the company, we report
that there are funds raised on short-term basis have been not used for
long-term purpose.
(xviii)According to the information and explanations given to us, the
Company has not made preferential allotment of shares to parties and
Companies covered in the register maintained under section 301 of the
CompaniesAct, 1956.
(xix) According to the information and explanations given to us, during
the period covered by our audit report, the Company had not issued any
debentures.
(xx) As per the information and explanation given to us the company
have not raised any monies through public issue.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For Jawahar & Associates
Chartered Accountants
Sd/-
V.Umapathi
Partner
Membership Number: 21887
Place : Guntur,
Date : 02.12.2010
Mar 31, 2009
1. We have audited the attached Balance Sheet of M/s. Virat Crane
Industries Limited as at 31st March, 2009 the Profit and Loss account
and the cash flow statement for the year ended on that date annexure
there to. These financial statements are the responsibility of the
Companys management. Our responsi bility is to express an opinion on
these financial statements based on our audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, oil a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis
for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government of India in terms of sub-section (4A) of
section 227 of the Companies Act, 1956, we enclose in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the said
order.
4. Further to our comments in the Annexure referred to above, we
report that:
(i) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit.
(ii) 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.
(iii) The Balance Sheet, Profit and Loss Account and cash flow
statement dealt with by this report is in agreement with the books of
account.
iv) In our opinion, the Balance Sheet and Profit and Loss Account, cash
flow statement dealt with by this report comply with the accounting
standards referred to in sub- section (3C) of section211 of the
Companies Act, I956except AS-15 retirement benefit to employees.
(v) On the basis of written representations received from the
directors, as on 31" March, 2009 and taken on record by the Board of
Directors, we report that none of the directors is disqualified -as on
31" March, 2009 from being appointed as a director in terms of clause
(g) of subsection (1) of section 274 of the Companies Act, 1956.
(vi) 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
a true and fair view in conformity with the accounting principles
generally accepted in India.
(a) in the case of the Balance Sheet, of the.state of affairs of the
Company as at 31st March, 2009.
(b) in the case of the Profit and Loss account of the Loss for the year
ended on that date.
(c) In the case of the cash flow statement, of the cash flows for the
year ended on that date.
ANNEXURE TO AUDIT REPORT
Ref: Virat Crane Industries Ltd., Guntur Referred to in paragraph 3 of
our report of even date,
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The management during the year has physically verified all the
assets. There is a regular program of verification which, in our
opinion, is reasonable having regard to the size of the company and the
nature of its assets. No material discrepancies were noticed on such
verification.
(c) During the year, the company has not disposed off any part of the
fixed assets.
(ii) (a) The inventory has been physically verified during the year by
the management. In Our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
the company and the nature of its business.
(c) The Company is maintaining proper records of inventory. The
discrepancies noticed on verification between the physical stocks and
the book records were not material.
(iii) (a)The Company has not granted any loans secured or unsecured to
parties covered under register maintained under section 301 of the
companies act. So the provisions of (b), (c), and (d) are not
applicable.
(e) The Company has obtained Inter Corporate Deposits from the
following and details as follows:.
Name of the Maximum Year end
Company amount due balance
ViratCrane 2 Lacs 2 Lacs (Cr.)
Bottling Ltd.,
ViratCrane 117,67 Lacss 117.04 Lacs
Agri Tech Ltd., (Cr)
Apex 44.66 Lacs 33.34 Lacs
Solutions Ltd., (Cr)
(f) As per the information and explanations given to us, the loans are
payable on demand and there is rate of interest for the said loan.
Hence, the question of whether the interest is prejudicial to the
interests of the company or not does not arise.
(g) As per the information and explanation given to us, the loans are
repayable on demand.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
(v) (a) According to the information and explanations given to us, we
are of the opinion that the transactions that need to be entered into
the register maintained under section 301 of the Companies Act, 1956
have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of contracts or
arrangements entered in the register maintained under section 301 of
the Comapnies Act, 1956 and exceeding the value of rupees five lakhs in
respect of any party during the year.
(vi) In our opinion and according to the information and explanations
given to us, the Company has not collected any deposits section 58 A
and 58AA of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975.
(vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
(viii) As per the section 209(1 )(d) of the - Companies Act,
1956,maintenance of the cost records is not compulsory.
(ix) (a) The Company is generally regular in depositing monies with
P.F/ESI authorities,
(b) According to the information and explanations given to us, there
are no undisputed statutory dues outstanding for a period of more than
six months from the date they became due except in respect of P.F. Rs.
2,15,287.64.
(C) According to the information and explanation given to us, there are
statutory dues which were deposited under dispute.
Nature of Nature of Nature of Forum where dispute is
the Stature the Dues the Dues pending
Sales Tax Dept APGST 1.95 Sales tax Tribunal (Hyderabad)
CST 0.33 C.T.O.Guntur.Andhra Pradesh
(x) The accumulated losses of the company are not more than fifty
percent of net worth. The company has not incurred any cash loss during
the financial year under audit.
(xi) In our opinion and according to the information and explanations
given to us, during the year the Company has not borrowed any loans
from any financial institution, bank or debenture holders.
Accordingly, the provisions of clause 4 (xi) of the companies
(Auditors Report) Order, 2003 are not applicable to the company.
(xii) In our opinion and according to the information and explanations
given to us, the Company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund/ society. Therefore, the provisions of clause 4
(xiii) of the Companies (Auditors Report) Order, 2003 are not
applicable to the company.
(xiv) In our opinion, the Comapny is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the company.
(xv) In our opinion and according to the information and explanations
given to us, company has given corporate guarantees to IDBI for the
term loan of Rs. 10 Crore taken by Virat Crane Bottling Limited.
(xvi) In our opinion, the company has not raised any term loans during
the year under audit.
(xvii) According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the company, we report
that there are fumis raised on short-term basis have been not used for
long-term purpose.
(xviii) According to the information and explanations given to us, the
Company has not made preferential allotment of shares to parties and
Companies covered in the register maintaine a under section SOI of
the Companies Act, 1956.
(xix) According to the information and explanations given to us, during the
period covered by our audit report, the Company had not issued any
debentures.
(xx) As per the information and explanation given to us the company have
not raised any monies through public issue.
(xxi) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For Jawahar & Associates
Chartered Accountants
Sd/-
V.Umapathi
Partner
Membership Number; 21887
Place: Guntur
Date : 30.08.2009.
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