apex intertech ltd Auditors report

APEX INTERTECH LIMITED ANNUAL REPORT 2002-2003 AUDITORS REPORT The Shareholders, Apex lntertech Limited, New Delhi We have audited the attached balance sheet of Apex lntertech Limited as at 31st March, 2003 and also the profit & loss account and Cash flow statement for the year ended on that date annexed thereto. 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. 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 the management as well as evaluating the overall presentation of financial statements. We believe that our audit provides a reasonable basis for our opinion. As required by the Manufacturing and Other Companies (Auditors Report) Order, 1988 issued by the Company Law Board in terms of section 227 (4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4(A) & (C) of the said order. Further to our comments in the Annexure referred to in paragraph 3 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 companys balance sheet and profit & loss account dealt with by this report are in agreement with the books of account. (d) In our opinion, subject to Note 5 on going concern the profit & loss account and balance sheet of the company comply with accounting standards referred to in subsection (3C) of section 211 of the Companies Act, 1956. (e) Based on the representations made by all the Directors and the information and duly certified explanations given to us by the company none of the Directors of the company have prima facie any disqualifications as referred to in clause (g) of subsection (1) of section 274 of the Companies Act, 1956. (f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with the Notes and the statement of Significant Accounting Policies give the information required by The Companies Act, 1956, in the manner so required and give a true and fair view:- (i) In the case of the balance sheet of the state of affairs of the company as at 31st March, 2003; and (ii) In the case of the profit & loss account of the company of the loss for the year ending on that date. (iii) In the case of the cash flow statement, of the cash flows for the year ended on that date. ANNEXURE TO THE AUDITORS REPORT (Referred to in Paragraph (3) of Our Report of Even Date) 1. Since all the fixed assets have been disposed off by the company during the year clauses (i) and (ii) are inapplicable and have not been commented upon. 2. There were no stocks at the end of the year and therefore clauses (iii) to (vi) are inapplicable and have not been commented upon. 3. According to the information and explanations given to us, the company has taken loans from companies, firms or other parties listed in the register maintained under section 301 of The Companies Act, 1956, and/or from companies under the same management as defined under sub-section (1B) of section 370 of the Companies Act, 1956. The rate of interest and other terms and conditions on which loans have been obtained are not prejudicial to the interest of the company. 4. According to the information and explanations given to its, the company has not granted any loans, secured or unsecured, to companies, firms or other parties listed in the register maintained under section 301 of the Companies Act, 1956 or to companies under the same management, within the meaning of section 370 (1B) of the Companies Act, 1956. 5. In respect of loans and advances in the nature of loans given by the company from time to time the repayment of principal and interest is in accordance with stipulated terms. 6.In our opinion and according to the information and explanations given to its during the course of the audit there are adequate internal control procedures commensurate with the size of the company and nature of its business for the purchase of stocks. 7. There were no purchase and sale of goods, materials and services, made in pursuance of contracts or arrangements required to be entered in the register maintained under section 301 of The Companies Act, 1956 and aggregating during the year to Rs. 50,000 or snore in value in respect of each party. 8. As explained to its the company has a reasonable system for the determination of unserviceable or damaged stores, raw materials and finished goods. There was no closing stock at the end of the year. 9. No deposits accepted from the public were outstanding at the end of the year. 10. There were no scrap or by-products since there were no manufacturing activities during the year. 11. The company conducts an internal review of its accounts which is commensurate with its size-and nature of its business. 12. The maintenance of cost records under section. 209 (1) (d) of The Companies Act, 1956, has not been prescribed by the Central Government for any product of the company. 13. According to the records of the company, Provident Fund and Employees State Insurance dues have been regularly deposited during the period with the appropriate authorities. 14. According to the information and explanations given to its, no undisputed amounts payable in respect of income tax, wealth tax, custom duty and excise duty were outstanding for a period of more than six months as at March 31, 2003 from the date they became payable. 15. According to the information & explanations given to us no personal expenses of employees or Directors have been charged to the revenue account. 16. Since the company does not own any industrial undertaking, the Sick Industrial Companies (Special Provisions) Act, 1985 is not applicable to it. 17.There was no trade conducted during the year in the sale and purchases of goods. For V Sahai & Co. Chartered Accountants Place : New Delhi (Mahesh Sahai) Dated : 18.08.2003 Partner M.No.6730