INDEPENDENT AUDITORS
To the members of Shrenuj Lifestyle Limited
Report on Financial Statement
1. We have audited the accompanying financial statements of SHRENUJ LIFESTYLE
LIMITED (the ‘Company) which comprise the Balance Sheet as at March 31,2013, the
Statement of Profit Cash Flow Statement for the year then ended and a
summaryofsignificantaccounting policies and other explanatory information, which we have
signed under reference to this audit.
Managements Responsibility for the Financial Statements
2. The Company’s Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position, financial
performances 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 of India (the
Act). This responsibility includes the design, implementation and maintenance of internal
control relevant to the preparation of the financial statements that give a true and fair
view and are free from material misstatement, whether due to fraud or error.
Auditors’ Responsibility
3. 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.
4. An audit involves performing procedures to obtain audit evidence, about the amounts
and disclosures in the financial statements. The procedures selected depend on the
auditors’ 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 auditors consider 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. 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.
5. We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
Opinion
6. In our opinion, and to the best of our information and according to the explanations
given to us, the accompanying financial statements 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:
(a) In the case of the Balance Sheet, of the state of affairs of the Company as at
March 31, 2013;
(b) In the case of the Statement of Profit and Loss, of the loss for the year ended on
that date; and
(c) In the case of the Cash Flow Statement, of the cash flows for the year ended on
that date.
Report on Other Legal and Regulatory Requirements
7. As required by ‘the Companies (Auditor’s Report) Order, 2003’,as
amended by ‘the Companies (Auditor’s Report) (Amendment) Order,
2004’,issued by the Central Government of India in terms of sub-section (4A) of
Section 227 of the Act (hereinafter referred to as the "Order"), and on the
basis of such checks of the books and records of the Company as we considered appropriate
and according to the information and explanations given to us, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
8. 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 so far as appears from our examination of those books;
(c) The Balance Sheet, Statement of Profit and 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 and Loss and Cash Flow
Statement dealt with by this report comply with the Accounting Standards referred to in
sub-section (3c) of section 211 of the Act;
(e) On the basis of written representation received from the directors as on March 31,
2013, and taken on record by the Board of Directors, none of the directors is disqualified
as on March 31, 2013, from being appointed as a director in terms of clause (g) of
sub-section (1) of Section 274 of the Act.
|
For Prakash S. Doshi & Company |
|
Chartered Accountants |
|
Firm Registration No. : 108097W |
|
Proprietor |
|
P. S. Doshi |
| Mumbai : 20-05-2013 |
Membership No. 011532 |
ANNEXURE TO THE AUDITOR’S REPORT
(Referred to in paragraph 7 of Auditors Report of even date to the members of SHRENUJ
LIFESTYLE LIMITED on financialstatements for the year ended 31 st March, 2013)
1. (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) All the assets have not been physically verified by the management during the year
but there is a regular program of verification which, in our opinion, is reasonable having
regard to the size of the Company and the nature of its assets. No material discrepancies
were noticed on such verification
(c) The Company has not disposed off substantial part of fixed assets.
2. (a) The inventory has been physically verified during the year by the management. In
our opinion, the frequency of verification is reasonable.
(b) The procedures of physical verification of inventories followed by the management
are adequate in relation to the size of the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory. The discrepancies verification
noticed between the physical stocks and the book records were not material.
3. (a) The Company has not granted any loans, secured or unsecured to companies, firms
or other parties covered in the register maintained under section 301 of the Companies
Act, 1956. Accordingly clauses (iii)(b) to (iii)(d) of the Para 4 of the order are not
applicable to the Company.
(b) The Company has taken an interest free unsecured loan from one party covered in the
register maintained under section 301 of the Companies Act, 1956.The maximum amount
involved during the year aggregates Rs.110230127/- and year end balance of the loan taken
was Rs. 110230127/-.
(c) In our opinion, the terms and conditions on which loan has been taken from the
party listed in the register maintained under section 301 of the Companies Act, 1956 are
not, prima facie, prejudicial to the interest of the Company.
(d) During the year, the principal amount for loan taken is not due for payment.
4. In our opinion and according to the information and explanations given to us, there
is adequate internal control system commensurate with the size of the Company and the
nature of its business for the purchase of inventory and fixed assets and for sale of
goods and services. During the course of our audit, we have not observed any continuing
failure to correct major weaknesses in internal controls system.
5. (a) On the basis of the audit procedures applied to us and according to the
information and explanations. provided by the management, we are of the opinion that
particulars of contracts or arrangements that need to be entered into the register
maintained under section 301 have been so entered.
(b) In our opinion and according to the information and explanations given to us, the
transactions made in pursuance of contracts or arrangements entered in the register
maintained under section 301 of the Companies Act, 1956 and exceeding the value of Rs.5
lacs in respect of any party during the year have been made at prices which are reasonable
having regard to prevailing market prices at the relevant time.
6. The Company has not accepted deposits from the public. No order has been passed by
the Company Law Board or National Company Law Tribunal or Reserve Bank of India or any
Court or any other Tribunal.
7. In our opinion, the Company has an internal audit system commensurate with the size
and the nature of its business.
8. As represented to us by the management, maintenance of cost records under section
209(1)(d) of the Companies Act, 1956 is not applicable to the Company
9. (a) According to the information and explanations given to us in respect of
statutory and other dues the Company is regular in depositing with appropriate authorities
undisputed statutory dues including provident fund, investor education protection fund,
employee’s state insurance, income tax, sales tax, wealth tax, service tax, custom
duty, excise duty, cess and other statutory dues applicable to it. There are no arrears as
at 31st March, 2013 which were due for more than six months from the date they became
payable.
(b) According to the information and explanations given to us, there are no statutory
dues pending to be deposited on account of disputes pending at various forums.
10. The Company has accumulated losses at the end of the financial year and has
incurred cash losses during the financialyear and in the immediately preceding financial
year.
11. In our opinion and according to the records of the Company, it has not defaulted in
repayment of dues to the bank and has nothing due to financial institution. The Company
has not issued any debentures.
12. The Company has not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
13. In our opinion, the Company is not a chit fund or a nidhi/ mutual benefit fund/
society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditor’s
Report) Order, 2003 are not applicable to the Company.
14. In our opinion the Company is not dealing in or trading in shares, securities,
debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the
Companies (Auditor’s Report) Order, 2003 are not applicable to the Company.
15. According to the information and explanations given to us the Company has not given
guarantees for loans institutions. taken by others from banks or financial
16. On the basis of review of utilization of funds pertaining to term loans on overall
basis and related information as made available to us, the term loans taken by the Company
were applied during the year for the purpose for which they were obtained.
17. On the basis of review of utilization of funds on overall basis, related
information as made available to us, and as represented to us by the management, funds
raised on short term basis have not been used for long term investment during the year.
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.
19. The Company has not issued debentures.
20. The Company has not raised monies by public issue during the year.
21. During the course of an examination of the books of account carried out in
accordance with the generally accepted auditing practices in India, we have neither come
across any instance of fraud on or by the Company nor have we been informed of such case
by the management.
|
For Prakash S. Doshi & Company |
|
Chartered Accountants |
|
Firm Registration No. : 108097W |
|
Proprietor |
|
P. S. Doshi |
| Mumbai : 20-05-2013 |
Membership No. 011532 |
+91-9892691696
