INDEPENDENT AUDITOR
To The Members of M/s Dina Iron and Steels Limited REPORT ON THE FINANCIAL STATEMENTS:
We have audited the attached Balance Sheet of M/s Dina Iron & Steels Limited ("the
company”) as at 31st March 2014 and the Statement of Profit & Loss
and Cash flow statement for the year ended on that date and a summary of significant
accounting policies and other explanatory information for the period ended on that date
annexed thereto.
Management’s Responsibility for the Financial Statements:
Management is responsible for the preparation of these financial statements that give a
true and fair view of the financial position, financial performance and cash flows of the
Company in accordance with the Accounting Standards referred to in sub-section (3C) of
section 211 of the Companies Act, 1956 (“the Act”) read with the General
Circular 15/2013 dated 13 September 2013 of Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013. This responsibility includes the design,
implementation and maintenance of internal control relevant to the preparation and fair
presentation of the financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor’s Responsibility:
Our responsibility is to express an opinion on these financial statements based on our
audit. We conducted our audit in accordance with the Standards on Auditing issued by the
Institute of Chartered Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the
auditor’s judgment, including the assessment of the risks of material misstatement of
the financial statements, whether due to fraud or error. In making those risk assessments,
the auditor considers internal control relevant to the Company’s preparation and fair
presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity’s internal control. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall presentation of the
financial statements..
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
Opinion:
In our opinion and to the best of our information and according to the explanations
given to us, the financial statement give the information required by the Act in the
manner so required and give a true and fair view in conformity with the accounting
principles generally accepted in India:
i. In the case of the Balance Sheet, of the State of affairs of the Company as at 31st
March 2014;
ii. In the case of the Statement of Profit & Loss, of the Profit of the company for
the year ended on that date and
iii. In the case of the Cash Flow Statement of the Cash Flows for the year ended on
that date.
Report oil Other Legal and Regulatory Requirements:-
L As required by Companies Auditor’s Report Order, 2003 as amended by the
Companies (Auditors Report) (Amendment) Order, 2004 issued by the Central Government of
India in terms of sub-section (4A) of section 227 of Act we enclose in the annexure a
statement on the matters specified in the paragraph 4 and 5 of said order
2. As required by section 227(3) of the Act, 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 at the head office and its branch so far as appears from our examination of those
books.
c) The Balance Sheet, Statement of Profit & Loss and Cash Flow Statement dealt with
by this report are in agreement with the books of account.
d) In our opinion, the Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement dealt with by this report comply with the Accounting Standards referred to in
section 211 (3C) of the Companies Act, 1956 read with General Circular 15/2013 dated 13
September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the
Companies Act, 2013.
e) On the basis of written representation received from the Directors of the Company as
on 31st March ’2014 and taken on record by the Board of Director, we
report that none of the Directors is disqualified as on 31st March ’2014
from being appointed as Director in terms of section 274 (1) (g) of the Companies Act,
1956.
|
For Subodh Goel & Co. |
|
Chartered Accountants |
|
(SVBODH KUMAR GOEL) |
| Place: Patna |
M.NO.-74835 |
| Datel 5.05.2014 |
Partner |
|
Firm Reg. No- 006103C |
ANNEXURE-A
Further to our comments in the annexure referred to above, we report that: -
(i) (a) The company is maintaining proper records showing full particulars, including
quantitative details and situation of fixed assets;
(b) The fixed assets have been physically verified by the management at reasonable
intervals and material discrepancies noticed on such verification have been properly dealt
with in the books of account.
(c) The company has not disposed substantial part of fixed assets during the year.
During the year the fixed assets which have become obsolete were retired by the
management. The fixed asset retired does not constitute substantial part of fixed assets.
(ii) (a) The inventory has been physically verified by the management at regular
interval during the year.
(b) Procedures adopted for the physical verification of inventory by the management are
reasonable and adequate in relation to the size of the company and the nature of its
business.
(c) The company is maintaining proper records of inventory and material discrepancies
noticed on physical verification have been properly dealt with in the books of account.
(iii) (a) The Company has not granted loans to companies/firm/or other parties, covered
in the register maintained under Companies Act, 1956.
(b) Since no loans have been granted by the company during the year, there is no rate
of interest and the terms and conditions which can be prima-facie said to be prejudicial
to the interest of the company.
(c) There is no such receipt of principal amount and interest during the year as the
company has not granted any such loan.
(d) The company is not in need to take any steps for the recovery of the principal and
interest amount, if overdue amount is more than Rs. 1,00,000 as there is no such loan
granted during the year.
(e) The Company has taken loan from companies / firm / other parties, covered in the
register maintained under Companies Act, 1956. Maximum amount of loan taken amounts to
Rs.76.35 Lacs and having year end balance of Rs 831.63 Lacs
(f) The rate of interest and the terms and condition on which the loans were taken from
the companies, firm or other parties listed in the register covered under Companies Act,
1956, is not prima-facie prejudicial to the interest of the company.
(g) The Company has been regular in making payment of principle and the interest
amount.
(iv) There is an adequate internal control procedure commensurate with the size of the
company and the nature of its business, for the purchase of inventory and fixed assets and
for the sale of goods and services according to the explanation and information given to
is No continuing failure to correct major weaknesses in internal control system, were
noticed while conducting the audit.
??? or any arrangement entered into by the company referred to in section 301 requiring
to be entered in the register.
(b) The company had not entered into any transaction in pursuance of the contract or
arrangement as referred in section 301 thus there is no price which needs to be
reasonable.
(vi) The company has not accepted any deposits from the public which is ought to be
covered under the Section 5SA and 58AA and other relevant provisions of Companies Act,
1956 and the Companies (Acceptance of Deposits) Rules, 1975.
(vii) The company has an internal audit system commensurate with its size and nature of
its business.
(viii) We have broadly reviewed the books of account relating to material, labour and
other items of cost maintained by the company pursuant to the Rules made by the Central
Government for the maintenance of cost records under section 209 (1) (d) of the Companies
Act, 1956 and are of the opinion that prima -facie, the prescribed accounts and records
have been made and maintained.
(ix) (a) The company is regular in depositing undisputed statutory dues including
Provident
Fund, Investor Education and Protection Fund, Employees’ State Insurance, Income -
Tax, Sales-Tax Wealth Tax, Custom Duty, Excise Duty, cess and any other statutory dues
with the appropriate authorities.
(b) There are no dues in respect of Sales Tax / Income Tax / Custom Duty / Wealth Tax /
Excise Duty / Cess which have not been deposited on account of any dispute.
(x) The company does not have any accumulated losses. Further it has not incurred cash
losses in the last financial year and in the financial year immediately preceding the last
financial year.
(xi) The company has not defaulted in repayment of dues to a financial institution or
bank or debenture holders.
(xii) The company has not granted any loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
(xiii) The company is not a chit fund or a nidhi mutual benefit fund/ society. Hence
the provisions of the clause 4(xiii) of the Companies (Auditor’s Report) Order, 2003
is not applicable to the company
(xiv) The company is not engaged in trading in shares securities, debentures and other
investments. Thus the provision of the clause 4(xiv) of the Companies (Auditor’s
Report) Order, 2003 is not applicable to the company
(xv) The company has not given any guarantee for loans undertaken by others from bank
or financial institutions.
(xvi) The term loan has been applied for the purpose for which it was obtained by the
company.
(xvii) ??? balance sheet and information and explanation given to us, we state that
there had been no funds raised for short term purpose been utilized for the long term
investment.
(xviii) The company has not made any preferential allotment of shares to parties and
companies covered in the Register maintained under section 301 of the Act.
(xix) The company has not issued any debentures.
(xx) The company has not raised any funds through public issue during the year.
(xxi) There is no fraud on or by the company that has been noticed or reported during
the year.
|
For Subodh Goel & Co. |
|
Chartered Accountants |
| Place: Patna |
M.NO.-74835 |
| Date: 15-05-2014 |
Partner |
|
Firm Reg. No- 006103C |
+91-9892691696
