Jun 30, 2011
We have audited the attached Balance Sheet of Vision Technology India
Limited as at 30th June 2011, the Profit and Loss Account for the year
ended on that date and the cash flow statement of the of the Company
for the year ended on that date annexed thereto. These financial
statements are the responsibility of the Company's management. Our
responsibility is to express our opinion on these financial statements
based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those Standards require that we plan and perform
the audit to obtain 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.
1. As required by the Companies (Auditor's Report) Order, 2003 as
amended by the Companies (Auditors Report) Order, 2004 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.
2. We draw attention to:
- The amounts recoverable from Vasanth Color Laboratories Limited,
which are doubtful. Further the company has not provided for the same,
hence the Loss is understated by Rs.4,79,94,770/- with respect to
Loans and Advances.
3. Further to our comments in the Annexure referred to in Para 1 and
also Para 2 above, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance, Profit and Loss Account and Cash Flow
Statement dealt with by this report have been prepared in compliance
with the Accounting Standards referred to in Section 211 (3C) of the
Companies Act, 1956;
e) On the basis of written representations received from the directors,
as on 30th June 2011 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on 30th June 2011
from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956;
f) In our opinion, and according to the best of our information and
according to the explanations given to us, the said accounts read with
the Accounting Policies and Notes thereon in Schedule 28, give the
information required by the Companies Act, 1956 in the manner so
required and gives a true and fair view in conformity with the
accounting principles generally accepted in India:
a) In the case of Balance Sheet, of the state of affairs of the company
as 3f 30 June 2011,
b) In the case of Profit and Loss Account, of the profit for the year
ended on that date, and
c) In the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
ANNEXURE
Re: M/s. VISION TECHNOLOGY INDIA LIMITED, Bangalore
(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) As per the information and explanations given to us, fixed assets
have not been physically verified by the management during the year.
c) The Company has not disposed off any fixed assets during the year
and hence provisions of this clause are not applicable to the Company.
ii) The company has not held any inventory at any time during the year
and hence in our opinion, the provisions of Clause 4(ii)(a), (b) and
(c) of the said order are not applicable to the company.
iii) a) The company has not granted any loans secured/unsecured to
companies, firms, or other parties covered in the register maintained
under the Section 301 of the Companies Act 1956 during the year. Hence
provisions of sub-clause (b) to (d) of clause (iii) of the order are
not applicable.
e) The Company has taken interest free unsecured loans from Directors,
who are covered in the register maintained under the Section 301 of the
Companies Act, 1956. The maximum amount involved in such transactions
is Rs.4.5 crores and the balance as at the end of the year is Rs.2.56
crores.
f) The terms and conditions on which unsecured loans taken from parties
covered under section 301 of the Companies Act, 1956 are not prima
facie prejudicial to the interest of the company.
g) The Company is regular in repaying the principal amount as
stipulated.
iv) In our opinion and according to the information and explanations
given to us, the internal control should be further strengthened in
order to be commensurate with the size of the company and the nature of
its business with regard to purchase of plant 8t machinery, equipment
and with regard to the sale of goods and services. However, on the
basis of our examination and information and according to the
explanations given to us, we have neither come across, nor have we been
informed of any instance of major weaknesses and continuing failure to
correct major weaknesses in the aforesaid internal control procedures.
v) a) According to the information and explanations given to us, we are
of the opinion that all 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 respect of each of the transactions exceeding the value of five
lakhs rupees in respect of any party in the financial year under review
made in pursuance of contracts or arrangements entered in the register
maintained under section 301 of the Companies Act, 1956, they have been
made at prices which are reasonable with regard to the prevailing
market prices at the relevant time.
vi) The company has not accepted any deposit from the public and as
such the provisions of paragraph 4(vi) of the said Order are not
applicable.
vii) In our opinion the company has an internal audit system
commensurate with the nature and size of business.
viii) The Central Government has not prescribed the maintenance of cost
records as required under clause (d) of sub-section (1) of section 209
of the Companies Act, 1956.
ix) a) According to the information and explanations given to us and on
the basis of our examination of books of accounts, the company has not
been regular in depositing with appropriate authorities any undisputed
statutory dues including, Provident Fund, Investor Education and
Protection Fund, Employees' State Insurance, Income- Tax, Sales-Tax,
Wealth-Tax, Customs duty, Excise Duty, Cess and other material
statutory dues applicable to the company. Following are the Statutory
Dues which are outstanding for a period of more than Six Months from
the date they became payable:
a) Tax Deducted At Source Rs.2,32,294/-
b) Service Tax Rs.11,02,845/-
c) Profession Tax Rs.53,405/-
d) VAT Rs.82,229/-
b) According to the information and explanations given to us, there are
no dues of Sales Tax, Income Tax, Customs Duty Wealth Tax, Excise Duty
and Cess, which have not been deposited on account of any dispute.
x) In our opinion, the Company's accumulated losses at the end of the
financial year are less than fifty percent of its net worth and it has
not incurred any cash losses in the financial year and in the
immediately preceding financial year.
xi) According to 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 and hence provisions
of this clause is not applicable.
xii) According to 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.
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(xiv) of the Companies (Auditor's Report) Order,
2003 are not applicable to the Company.
xv) According to information and explanations given to us, in our
opinion, the Company has not given any guarantee for loans taken by
others from banks or financial institutions.
xvi)ln our opinion, the company has not raised any term loans during
the year. Accordingly, the provisions of clause 4(xvi) of the Companies
(Auditor's Report) Order, 2003 are not applicable to the Company.
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 no funds raised on short-term basis have been used for long-term
investment.
xviii) During the year, the company has not made preferential allotment
of shares to parties and Companies covered in the register maintained
under section 301 of the Companies Act, 1956 except in the case of two
parties to whom shares have been allotted on a preferential basis and
in our opinion, the price at which the shares have been issued is not
prejudicial to the interest of the Company.
xix) During the year, the company has not issued any debentures.
xx) The Company has not raised any money by public issues during the
year and hence, the provisions of paragraph 4(xx) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted accounting
practices in India and according to the information and explanations
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For S.JANARDHAN a ASSOCIATES
CHARTERED ACCOUNTANTS
Registration No. 00531 OS
Sd/-
Place : Bangalore (VIJAY BHATIA)
Date : 16.11.2011 PARTNER
Membership No.201862
Jun 30, 2010
We have audited the attached Balance Sheet of Vision Technology India
Limited as at 30th June 2010 and the Profit and Loss Account for the
year ended on that date and also the cash flow statement of the of the
Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express our opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those Standards require that we plan and perform the
audit to obtain 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.
1. As required by the Companies (Auditors Report) Order, 2003 as
amended by the Companies (Auditors Report) Order, 2004 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.
2. We draw attention to:
à The amounts recoverable from Vasanth Color Laboratories Limited,
which are doubtful. Further the company has not provided for the same,
hence the Loss is understated by Rs. 4,78,46,889/- with respect to
Loans and Advances.
3. Further to our comments in the Annexure referred to in Para 1 and
also Para 2 above, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance , Profit and Loss Account and Cash Flow
Statement dealt with by this report have been prepared in compliance
with the Accounting Standards referred to in Section 211 (3C) of the
Companies Act, 1956;
e) On the basis of written representations received from the directors,
as on 30th June 2010 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on 30th June 2010
from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956;
f) In our opinion, and according to the best of our information and
according to the explanations given to us, the said accounts read with
the Accounting Policies and Notes thereon in Schedule 28, give the
information required by the Companies Act, 1956 in the manner so
required and gives a true and fair view in conformity with the
accounting principles generally accepted in India:
a) In the case of Balance Sheet, of the state of affairs of the company
as at 30th June 2010,
b) In the case of Profit and Loss Account, of the profit for the period
ended on that date, and
c) In the case of Cash Flow Statement, of the cash flows for the period
ended on that date.
Re: M/s. VISION TECHNOLOGY INDIA LIMITED, Bangalore
(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) As per the information and explanations given to us, fixed assets
have not been physically verified by the management during the year.
c) The Company has not disposed off any fixed assets during the year
and hence provisions of this clause are not applicable to the Company.
ii) The company has not held any inventory at any time during the year
and hence in our opinion, the provisions of Clause 4 (ii) (a), (b) and
(c) of the said order are not applicable to the company.
iii)
a) The company has not granted/taken any loans secured/unsecured
from/to the company, firms, other parties covered in the register
maintained under the Section 301 of the Companies Act 1956.
iv) In our opinion and according to the information and explanations
given to us, the internal control should be further strengthened in
order to be commensurate with the size of the company and the nature of
its business with regard to purchase of plant St machinery, equipment
and other assets if any. However, on the basis of our examination and
information and according to the explanations given to us, we have
neither come across, nor have we been informed of any instance of major
weaknesses and continuing failure to correct major weaknesses in the
aforesaid internal control procedures.
v)
a) According to the information and explanations given to us, we are of
the opinion that all 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 respect of each of the transactions exceeding the value of five
lakhs rupees in respect of any party in the financial year under review
made in pursuance of contracts or arrangements entered in the register
maintained under section 301 of the Companies Act, 1956, they have been
made at prices which are reasonable with regard to the prevailing
market prices at the relevant time.
vi) The company has not accepted any deposit from the public and as
such the provisions of paragraph 4(vi) of the said Order are not
applicable.
vii) In our opinion the company has an internal audit system
commensurate with the nature and size of business.
viii) The Central Government has not prescribed the maintenance of cost
records as required under clause (d) of sub-section (1) of section 209
of the Companies Act, 1956.
ix)
a) According to the information and explanations given to us and on the
basis of our examination of books of accounts, the company has not been
regular in depositing with appropriate authorities any undisputed
statutory dues including, Provident Fund, Investor Education and
Protection Fund, Employees State Insurance, Income-Tax, Sales-Tax,
Wealth-Tax, Customs duty, Excise Duty, Cess and other material
statutory dues applicable to the company. Following are the Statutory
Dues which are outstanding for a period of more than Six Months from
the date they became payable:
a) Tax Deducted At Source Rs. 2,20,768/-
b) Service Tax Rs. 11,02,845/-
c) Profession Tax Rs. 53,405/-
d) VATRs. 82,229/-
b) According to the information and explanations given to us, there are
no dues of Sales Tax, Income Tax, Customs Duty Wealth Tax, Excise Duty
and Cess, which have not been deposited on account of any dispute.
x) In our opinion, the Companys accumulated losses at the end of the
financial year are less than fifty percent of its net worth and it has
not incurred any cash losses in the financial year and in the
immediately preceding financial year.
xi) According to 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 and hence provisions
of this clause is not applicable.
xii) According to 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)ln our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/society.
xiv)ln our opinion, the company 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) According to information and explanations given to us, in our
opinion, the Company has not given any guarantee for loans taken by
others from banks or financial institutions.
xvi)ln our opinion, the company has not raised any term loans during
the year. Accordingly, the provisions of clause 4(xvi) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
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 no funds raised on short-term basis have been used for long-term
investment.
xviii) During the year, the company has not made any preferential
allotment of shares to parties and Companies covered in the register
maintained under section 301 of the Companies Act, 1956.
xix) During the year, the company has not issued any debentures.
xx) The Company has not raised any money by public issues during the
year and hence, the provisions of paragraph 4(xx) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
xxi) During the course of our examination of the books of account
carried out in accordance with the generally accepted accounting
practices in India and according to the information and explanations
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For S.JANARDHAN a ASSOCIATES
CHARTERED ACCOUNTANTS
egistration No.00531OS
Sd/-
Place: Bangalore (VIJAY BHATIA)
Date: 25.11.2010 PARTNER
Membership No.201862
Jun 30, 2009
We have audited the attached Balance Sheet of Vision Technology India
Limited as at 30th June 2009 and the Profit and Loss Account for the
year ended on that date and also the cash flow statement of the of the
Company for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Companys
management. Our responsibility is to express our opinion on these
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those Standards require that we plan and perform the
audit to obtain 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.
1. As required by the Companies (Auditors Report) Order, 2003 as
amended by the Companies (Auditors Report) Order, 2004 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.
2. We draw attention to:
- The amounts recoverable from Vasanth Color Laboratories Limited,
which are doubtful. Further the company has not provided for the same,
hence the Loss is understated by Rs. 22,634,789 with respect to Loans
and Advances.
3. Further to our comments in the Annexure referred to in Para 1 and
also Para 2 above, we report that:
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of the
books;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance , Profit and Loss Account and Cash Flow
Statement dealt with by this report have been prepared in compliance
with the Accounting Standards referred to in Section 211 (3C) of the
Companies Act, 1956;
e) On the basis of written representations received from the directors,
as on 30th June 2009 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on 30th June 2009
from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956;
f) In our opinion, and according to the best of our information and
according to the explanations given to us, the said accounts read with
the Accounting Policies and Notes thereon in Schedule 28, give the
information required by the Companies Act, 1956 in the manner so
required and gives a true and fair view in conformity with the
accounting principles generally accepted in India:
a) In the case of Balance Sheet, of the state of affairs of the company
as at 30th June 2009,
b) In the case of Profit and Loss Account, of the profit for the period
ended on that date, and
c) In the case of Cash Flow Statement, of the cash flows for the period
ended on that date.
ANNEXURE
Re: M/s. VISION TECHNOLOGY INDIA LIMITED, Bangalore
(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) As per the information and explanations given to us, fixed assets
have not been physically verified by the management during the year.
c) The Company has not disposed off any fixed assets during the year
and hence provisions of this clause are not applicable to the Company.
ii) The company has not held any inventory at any time during the year
and hence in our opinion, the provisions of Clause 4 (ii) (a), (b) and
(c) of the said order are not applicable to the company.
iii) a) The company has not granted/taken any loans secured/unsecured
from/to the company, firms, other parties covered in the register
maintained under the Section 301 of the Companies Act 1956.
iv) In our opinion and according to the information and explanations
given to us, the internal control should be further strengthened in
order to be commensurate with the size of the company and the nature of
its business with regard to purchase of plant 6t machinery, equipment
and other assets if any. However, on the basis of our examination and
information and according to the explanations given to us, we have
neither come across, nor have we been informed of any instance of major
weaknesses and continuing failure to correct major weaknesses in the
aforesaid internal control procedures.
v) a) According to the information and explanations given to us, we are
of the opinion that all 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 respect of each of the transactions exceeding the value of five
lakhs rupees in respect of any party in the financial year under review
made in pursuance of contracts or arrangements entered in the register
maintained under section 301 of the Companies Act, 1956, they have been
made at prices which are reasonable with regard to the prevailing
market prices at the relevant time.
vi) The company has not accepted any deposit from the public and as
such the provisions of paragraph 4(vi) of the said Order are not
applicable.
vii) The company does not have a system for internal audit, and in our
opinion, the internal audit system should be implemented considering
the Companys size and nature of its business.
viii)The Central Government has not prescribed the maintenance of cost
records as required under clause (d) of sub-section (1) of section 209
of the Companies Act, 1956.
ix) a) According to the information and explanations given to us and on
the basis of our examination of books of accounts, the company has not
been regular in depositing with appropriate authorities any undisputed
statutory dues including, Provident Fund, Investor Education and
Protection Fund, Employees State Insurance, Income-Tax, Sales-Tax,
Wealth-Tax, Customs duty, Excise Duty, Cess and other material
statutory dues applicable to the company. Following are the Statutory
Dues which are outstanding for a period of more than Six Months from
the date they became payable:
a) Tax Deducted At Source Rs. 206,105/-
b) Service Tax Rs. 1,043,176/-
c) Profession Tax Rs. 53,405/-
d) VAT Rs. 82,229/-
b) According to the information and explanations given to us, there are
no dues of Sales Tax, Income Tax, Customs Duty Wealth Tax, Excise Duty
and Cess, which have not been deposited on account of any dispute.
x) In our opinion, the Companys accumulated losses at the end of the
financial year are less than fifty percent of its net worth and it has
not incurred any cash losses in the financial year and in the
immediately preceding financial year.
xi) According to 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 and hence provisions
of this clause is not applicable.
xii) According to 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)ln our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/society.
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(xiv) of the Companies (Auditors Report) Order,
2003 are not applicable to the Company.
xv) According to information and explanations given to us, in our
opinion, the Company has not given any guarantee for loans taken by
others from banks or financial institutions.
xvi)ln our opinion, the company has not raised any term loans during
the year. Accordingly, the provisions of clause 4(xvi) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
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 no funds raised on short-term basis have been used for long-term
investment.
xviii) During the year, the company has not made any preferential
allotment of shares to parties and Companies covered in the register
maintained under section 301 of the Companies Act, 1956.
xix) During the year, the company has not issued any debentures.
xx) The Company has not raised any money by public issues during the
year and hence, the provisions of paragraph 4(xx) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
xxi)During the course of our examination of the books of account
carried out in accordance with the generally accepted accounting
practices in India and according to the information and explanations
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the management.
For S.JANARDHAN a ASSOCIATES
CHARTERED ACCOUNTANTS
Sd/-
Place: Bangalore (VIJAY BHATIA)
Date: 25.11.2009 PARTNER
Membership No. 201862