AUDITOR
To,
The Members of,
Pressure Sensitive Systems (India) Limited.
1. I have audited the attached Balance Sheet of Pressure Sensitive
Systems(India) Limited; as at March 31,2009 and also the Profit and Loss Account
and Cash Flow Statement of the company for the year ended on that date annexed thereto.
These financial statements are the responsibility of the company's management, my
responsibility is to express an opinion on these financial statements based on my Audit.
2. I conducted my audit in accordance with auditing standards generally accepted in
India. Those standards require that I plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material misstatements. An
audit includes examining on test basis ,evidence supporting the amounts and disclosures in
financial statements. An audit also includes assessing the accounting principals used and
significant estimate made by management as well as evaluating the overall financial
statement presentation. I believe that my audit provides a reasonable basis for my
opinion.
3. As required by the Companies (Auditor's Report) Order ,2003, (as amended) issued by
the Central Government of India in terms of sub-section (4A) of section 227of the
Companies Act.,1956,1 enclose in the Annexure a statement on the matters specified in
paragraph 4 and 5 of the said order.
4. Further to my comments in the Annexure referred to above, I report that;
a) I have obtained all the information and explanation which to the best of my
knowledge and belief were necessary for the purpose of my audit;
b) In my opinion .proper Books of Accounts as required by law have been kept by the
company so far as appears from my examination of those books;
c) The Balance Sheet, the Profit and Loss Account and Cash Flow Statement dealt with by
this report are in agreement with the books of accounts;
d) In my opinion , the Balance Sheet, the Profit and Loss Account and Cash Flow
Statement dealt with by this report, subject to non compliance of Accounting Standard -28
for non assessment of impairment in the value of cash generating units ( see Note no. 6 to
Schedule -18) as at balance sheet date, comply with the Accounting Standard referred to in
sub-section (3C) of section of Companies Act, 1956
e) On the basis of written representation received from the directors, as on March
31,2009, and taken on record by the Board Of Directors , I report that none of the
directors is disqualified as on March 31,2009 from being appointed as a director in terms
of clause section 274 (l)(g) of Companies Act. 1956 ;
f) lam unable to form an opinion about realisability or otherwise of Inter- Corporate
Deposits of Rs. 18,50,000/- ( see Note no. 2(a) to Schedule -18) and non provision of
interest thereon (see Note no. 2(b) to Schedule-18 ) and non provision of doubtful debts
in respect of Sundry Debtors of Rs,18,64,199/ ( see Note no.5 to Schedule -18 ) as no
payment was received since long time and the confirmation of balance is not obtained for
the same . The effect of the same on Loss, Reserves and Assets could not be quantified.
g) In my opinion and to the best of my information and according to the explanation
given to me the said accounts subject to notes give a true and fair view in conformity
with the accounting principals generally accepted in India;
(i) In the case of Balance Sheet, of the state of affairs of the company as at March31,
2009;
(ii) In the case of the Profit and Loss Account , of the Loss of the company for the
year ended on that date ;and
(iii) In the case of cash Flow Statement, of the cash flow of the company for the year
ended on that date.
|
For DULANI & CO. |
|
Chartered Accountants |
|
Mr P.T. Dulani |
| Navi Mumbai |
[ Proprietor ] |
| 31ST , JULY ,2009. |
(M. No.31405 ) |
ANNEXTURE TO THE AUDITORS' REPORT
The Annexure referred to in auditors' report to the members of Pressure Sensitive
Systems (India ) Limited , for the year ended March , 31, 2009.I report that:
I) The company has maintained proper records showing full particulars , including
quantitative details and situation of fixed assets. The fixed assets have been physically
verified by the management during the year, and no material discrepancies were noticed on
such verification . In my opinion , the frequency of verification is reasonable / having
regard to the size of the company and nature of its business. There was no substantial
disposal of fixed assets during the year.
II) The inventories have been, physically verified during the year by the management.
In my opinion, the frequency of the verification is reasonable. In my opinion and
according to the information and explanations given to me procedure of physical
verifications of inventories followed by the management are reasonable and adequate in
relation to the size of the company and the nature of its business. The Company is
maintaining proper records of inventory and discrepancies noticed on physical verification
were not material and have been properly dealt in the books of accounts.
III) The company has neither granted nor taken any loans, secured or unsecured ,to or
from companies, firms or other parties covered in the register maintained under section
301 of the Companies Act, 1956. accordingly, paragraph 4 (iii) of the order is not
applicable.
IV) In my opinion and according to the information and explanations given to me, there
are adequate internal control procedure commensurate with the size of the company and the
nature of its business with regard to purchase of inventory and fixed assets and for the
sale of good. I have not observed any major weakness in the internal controls during the
course of the audit.
V) In my opinion and according to the information and explanations given to me, the
transactions that need to be entered in to register in pursuance of section 301 of the
Companies Act, 1956 have bee entered. In my opinion and according to the information and
explanation given to me, no transactions have been made in pursuance of such contracts or
arrangement exceeding the value of five lakhs rupees
VI) The company has not accepted any deposits from the public .Accordingly paragraph
4(vi)of the order is not applicable.
VII) In my opinion, the company has an internal audit systems commensurate with the
size and the nature of its business.
VIII) The Central Government has not prescribed the maintenance of cost records under
section 209 (1) (d) of the Companies Act, 1956 in respect of companies products.
Accordingly paragraph 4(viii)of the order is not applicable.
IX) According to the information and explanation given to me and on the basis of my
examination of the records of the company amounts deducted / accrued in the books of
accounts in respect of undisputed statutory dues including provident fund, income tax,
sales tax, custom duty, excise duty, service tax and other statutory dues have been
regularly deposited during the year by the company with the appropriate authorities. As
explained to me the company did not have any dues on account of employees state insurance.
According to the information and explanation given to me no undisputed dues payable in
respect of provident fund, income tax, sales tax, custom duty, excise duty, service tax
where outstanding at march 3i, 2009 for period of more than six months from the date they
become payable. According to the information and explanation given to me there are no dues
of income tax, sales tax, custom duty, excise duty, service tax, and wealth tax which have
not been deposited with the appropriate authorities on account of any dispute.
X) The accumulated losses of the company as on 31st March 2009 are more than fifty
percent of its net worth. The company has incurred cash losses during the financial year,
and in the immediately presiding financial year.
XI) According to the information and explanation given to me, the company has not
defaulted in repayment of dues to bank. The companies has neither taken any loan from the
financial institution nor issued any debenture and other securities.
XII) The company has not granted loans and advances on the basis of security by way of
pledge of shares, debentures, and other securities. Accordingly paragraph 4(xii)of the
order is not applicable.
XIII) In my opinion and according to the information and explanation given to me the
company is not a chit fund or nidhi / mutual benefit fund / society. Accordingly paragraph
4(xiii)of the order is not applicable.
XIV) According to the information and explanation given to me, the company is not
dealing or trading in the shares ,securities, debentures, and other investments.
Accordingly paragraph 4(xiv)of the order is not applicable.
XV) According to the information and explanation given to me, the company has not given
any guarantee for loans taken by others from bank or financial institutions. Accordingly
paragraph 4(xv)of the order is not applicable.
XVI) The company did not have any term loans outstanding during the year. Accordingly
paragraph 4(xvi)of the order is not applicable.
XVII) The company has not raised any funds on short term basis. Accordingly paragraph
4(xvii)of the order is not applicable.
XVIII) The Company has not made any preferential allotment of shares to
companies/firms/parties covered in the register maintained under section 301 of the
companies act, 1956. Accordingly paragraph 4(x viii)of the order is not applicable.
XIX) The company did not have any outstanding debentures during the year. Accordingly
paragraph 4(xix)of the order is not applicable.
XX) The company has not raised any money by public issues during the year. Accordingly
paragraph 4(xx)of the order is not applicable.
XXI) According to the information and explanation given to me, no fraud on or by
company has been noticed or reported during the course of my audit.
|
For DULANI & CO. |
|
Chartered Accountants |
|
Mr P.T. Dulani |
| Navi Mumbai |
[ Proprietor ] |
| 31ST , JULY ,2009. |
(M. No.31405 ) |