YOGI POLYESTERS LIMITED
ANNUAL REPORT 1999-2000
The Members of
YOGI POLYESTERS LIMITED
We have audited the attached Balance Sheet of Yogi Polyesters Limited as at
31st March 2000 and also the annexed Profit and Loss Account of the Company
for the year ended on that date and report that:
1. We have obtained all the information and explanations which to the best
of our knowledge and belief were necessary for the purpose of our audit.
2. In our opinion, proper Books of account as required by law, have been
kept by the Company, so far as appears from our examination of the books.
3. The Balance Sheet and Profit and Loss Account dealt with by this Report
are in agreement with the books of Account.
4. In our opinion, Company has complied with accounting standards as
referred in Section 211 (3C) of the Companies Act, 1956.
5. In our opinion and to the best of our information and according to the
explanation given to us, the accounts, read with the notes thereon give the
information required by the Companies Act, 1956 in the manner so required
and give true and fair view:
a} in the case of Balance Sheet of the state of affairs of the Company as
at 31st March 2000
b} in the case of Profit and Loss Account of the loss of the Company for
the year ended that date.
6. As required by the manufacturing and other Companies (Auditors Report)
Order, 1988, issued by the Central Government and on the basis of such
checks as we considered appropriate, we further state that:-
i) According to the information given to us the Company has maintained a
Fixed Assets Register however, the same has not been produced before us for
verification. The Company has physically verified its Fixed Assets at the
ii) The Company has not revalued fixed assets.
iii) The stock of Finished Goods, Raw Materials have been physically
verified by the management at the end of the year. In our opinion same is
reasonable with regard to size of the Company.
iv) According to the information and explanation given to us, in our
opinion the procedures of physical verification of stocks followed by the
management are reasonable in relation to the size of the Company and the
nature of its business.
v) The discrepancies noticed on such verification between the physical
stock and book records were not material, having regard to the size of the
operations of the Company, Reconciliation for the same has been done.
vi) In our opinion, on the basis of our examination of stock records the
valuation of stock is fair and proper in accordance with the normally
accepted accounting principles and is on the same basis as in the
vii) The Company has taken interest free loans, secured or unsecured from
Companies, firms or other parties listed in the Register maintained u/s
301, -370 (1 C) of the Companies Act, 1956. The other terms and conditions
of such loans have not been stipulated.
viii) The company has not granted loans, secured or unsecured to Companies,
firms or other parties listed in the Register maintained u/s 301 and 370
(1C) of the Companies Act, 1956.
ix) The principal amount and interest thereon in respect of loans and
advances in the nature of loans given by the Company to employees and
others etc. have been recovered regularly as stipulated wherever
x) In our opinion and according to the information and explanation 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 purchase
of stores including components, plant and machinery, equipment, other
assets and sale of goods.
xi) In our opinion and information and explanations given to us the price
paid for the purchase of stores, raw materials including components, sale
of goods and service rendered in excess of Rs.50,000/- in value for each
type from firms or Companies in which the Directors are interested as
listed in the Register maintained u/s. 301 of the Companies Act, 1956 are
reasonable as compared to the prices of similar goods or services supplied
by other parties.
xii) According to the information and explanations given to us, the Company
has no unserviceable or damaged consumable stores.
xiii) The Company has not accepted Deposits within the stipulation of
Section 58A of the Companies Act, 1956.
xiv) The Company has accounted for scrap/waste generated during the year.
The Company does not have a by-product.
xv) We have been informed that maintenance of cost records has not been
prescribed by the Central Government under section 209 (i) (d) of the
Companies Act, 1956.
xvi) The Company does not have any formal internal audit system. Management
has confirmed that steps have been taken to introduce internal audit
xvii) In our opinion and as per information and explanation given to us,
Provident Fund and ESI are not applicable to the Company.
xviii) According to information and explanations given to us, there is no
undisputed amount payable in respect of Income Tax, Wealth Tax, Sales Tax,
Custom Duty and Excise Duty which has remained outstanding as at 31st
March, 2000 for a period of more than six months from the date it becomes
xix) According to information and explanations given to us, and on the
basis of records examined by us no personal expenses, have been charged to
revenue account other than those payable under contractual obligation or in
accordance with the generally accepted business practice.
xx) The Company is a Sick Industrial Company within the meaning of clause
(O) of sub section (1) of Section-3 of the Sick Industrial Companies
(Special Provisions) Act, 1985 and reference has been made to the Board for
Industrial and Financial Reconstruction under section 15 of that Act.
For and on behalf of
D.N.SHUKLA & CO.
DATE : 5th September 2000