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MEENAKSHI STEEL INDUSTRIES LIMITED
ANNUAL REPORT 2004-2005
AUDITORS' REPORT
To,
The Members of
Meenakshi Steel Industries Limited
1) We have audited the attached Balance Sheet of Meenakshi Steel Industries
Limited as at 31st March, 2005 and also the Profit and Loss Account and the
Cash Flow Statement for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Company's management.
Our responsibility is to express an opinion on these financial statements
based on our audit.
2) 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 misstatements. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used
and significant estimates made by 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 (Auditor's Report) Order, 2003 issued by
the Central Govt. of India in terms of Section 227 (4A) of the Companies
Act, 1956 and in terms of the information and explanations given to us and
also on the basis of such checks, as we considered appropriate, we enclose
in the Annexure, a statement on the matters specified in paragraph 4 & 5 of
the said order.
4) Further to our comments in Annexure referred to in paragraph 3 above we
report that :-
a) We have obtained all the information and explanation, 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 it appears from our examination of the books.
VIJAY R. TATER & CO.
Chartered Accountants
(Suresh G. Kothari)
Place : Mumbai Partner
Date : 27 August 2005 M.No.47625
Annexure to the Auditors' Report
(Referred to in paragraph 3 of our report of even date to the members of
Meenakshi Steel Industries Limited for the year ended 31.03.2005)
1. a) The Company has maintained proper records to show full particulars
including quantitative details and situation of fixed assets.
b) The company has only freehold land under the fixed assets, which has
been verified by the management during the year, and no discrepancies have
been noticed on such verification.
c) No substantial part of fixed assets of the company has been disposed of
during the year.
2. According to information and explanations given to us, during the year,
the company does not have any trading activity and hence does not have any
inventory. Therefore the question of physical verification, adequacy of
procedures of physical verification and maintenance of proper records of
inventories does not arise.
3. According to the information and explanations given us, the company has
neither granted nor taken any loans, secured or unsecured, to/from
companies, firms or other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, the clauses 4(iii) (b)
to (g) of the Order is not applicable to the Company.
4. In our opinion and according to the information and explanations given
to us, it appears that there are adequate internal control system
commensurate with the size of the Company and the nature of its business
with regard to purchase of shares & securities and other assets, and for
the sale of shares & securities and services. We have not observed any
major weakness in the internal control system during the course of the
audit.
5. According to the information and explanations given to us, during the
year no contracts or arrangements referred to in section 301 of the Act,
have been entered by the company. Accordingly, the Clause 4(v) (b) of the
order is also not applicable.
6. In our opinion and according to the information and explanations given
to us, the Company has not accepted any deposit from public during the
year, within the meaning of Section 58-A and 58AA and other relevant
provisions of the Companies Act, 1956 and rules framed there under.
7. The Company does not have an internal audit system.
8. According to the information and explanations given to us, the
maintenance of Cost records has not been prescribed by the Central
Government under Section 209 (1) (d) of the Companies Act, 1956.
9. a) According to the records of the Company and information and
explanations given to us, the Company has been regular in depositing
undisputed statutory dues including Provident Fund, Employees State
Insurance, Income tax, Sales-Tax, Wealth Tax, Custom Duty, Investor
Education and Protection Fund, Excise Duty, Cess, service tax or any other
statutory dues, wherever applicable, with the appropriate authorities and
there were no arrears under the above heads which were due for more than
six months from the date they became payable as at the close of the year.
b) According to the information and explanations given to us and records of
the Company examined by us, stamp duty of Rs. 9,64,935/- on free hold land
has been disputed and the said matter is pending before District
Magistrate.
10. The Company has no accumulated losses at the end of the financial year
and has not incurred any cash losses in the current financial year and in
the immediately preceding financial year.
11. No amounts were borrowed by the Company from bank and through
debentures or financial institutions. Therefore, question of default in
repayment of dues of such borrowings does not arise.
12. The Company has not granted any loans or advances on the basis of
security by way of pledge of shares, debentures or other securities.
13. The provisions of any Special Statute applicable to Chit Fund, Nidhi or
Mutual Benefit Fund / Societies are not applicable to the Company.
14. The Company has maintained proper records of transactions and contracts
in respect of investments in shares, securities debentures and other
investments and that timely entries have been made therein. The shares,
securities debentures and other investments have been held by the Company
in its own name except to the extent of the exemption granted under section
49(4) of the Companies Act, 1956.
15. According to the information and explanations given to us, the Company
has not given any guarantee for loans taken by others from banks and
financial institutions.
16. The Company has not taken any terms loans during the year.
17. According to the Cash Flow Statement and other records examined by us
and the information and explanation given to us, on an overall basis, the
Company has not raised any short funds during the year. Hence, the question
of use of such fund for long term investments does not arise.
18. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section 301
of the Companies Act, 1956 during the year.
19. The Company has not issued any Debentures and hence no securities or
charges are required to be created in respect thereof.
20. The Company has not raised any money by way of public issues during the
year.
21. On the basis of our examination and according to the information and
explanations given to us, no fraud, on or by the Company, has been noticed
or reported during the year.
For VIJAY R. TATER & CO.
Chartered Accountants
(Suresh G. Kothari)
Partner
Membership No. 47625
Place: Mumbai
Date : 27 August 2005
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