INDEPENDENT AUDITORS REPORT
TO THE MEMBERS OF STANES MOTOR PARTS LIMITED
Report on the Financial Statements
We have audited the accompanying financial statements of STANES MOTOR PARTS LIMITED (
the Company ), which comprise the Balance Sheet as at 31st March, 2014, the
Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a
summary of the significant accounting policies and other explanatory information.
Management s Responsibility for the Financial Statements
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 performance
and cash flows of the Company in accordance with the Accounting Standards notified under
the Companies Act, 1956 ( the Act ) (which continue to be applicable in respect of Section
133 of the Companies Act, 2013 in terms of General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs) and in accordance with the
accounting principles generally accepted in India. This responsibility includes the
design, implementation and maintenance of internal control relevant to the preparation and
presentation 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
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
the 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 Company s internal control. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness of the accounting
estimates made by the 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 aforesaid 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 31st
March, 2014;
(b) in the case of the Statement of Profit and Loss, of the profit of the Company for
the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows of the Company for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor s Report) Order, 2003 ( the Order ) issued by
the Central Government in terms of Section 227(4A) of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the 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 purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the
Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement
dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement comply with the Accounting Standards notified under the Act (which continue
to be applicable in respect of Section 133 of the Companies Act, 2013 in terms of General
Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate
Affairs).
(e) On the basis of the written representations received from the directors as on 31st
March, 2014 taken on record by the Board of Directors, none of the directors is
disqualified as on 31st March, 2014 from being appointed as a director in terms
of Section 274(1)(g) of the Act.
|
For FRASER AND ROSS |
|
Chartered Accountants |
|
(Firm s Registration No.000829S) |
|
C.R. Rajagopal Partner |
| Coimbatore, 19th May, 2014 |
(Membership No.23418) |
ANNEXURE TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 1 under Report on Other Legal and Regulatory Requirements
section of our report of even date)
Having regard to the nature of the Company s business/activities/results during the
year, clauses (vi), (viii), (xii), (xiii), (xiv), (xvi), (xviii), (xix) and (xx) of
paragraph 4 of the Order are not applicable to the Company.
(i)In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars, including
quantitative details and situation of fixed assets.
(b) The fixed assets were physically verified during the year by the Management in
accordance with a regular programme of verification which, in our opinion, provides for
physical verification of all the fixed assets at reasonable intervals. According to the
information and explanation given to us, no material discrepancies were noticed on such
verification.
(c) The fixed assets disposed off during the year, in our opinion, do not constitute a
substantial part of the fixed assets of the Company and such disposal has, in our opinion,
not affected the going concern status of the Company.
(ii) In respect of its inventories:
(a) As explained to us, the inventories were physically verified during the year by the
Management at reasonable intervals.
(b) In our opinion and according to the information and explanations given to us, the
procedures of physical verification of inventories followed by the Management were
reasonable and adequate in relation to the size of the Company and the nature of its
business.
(c) In our opinion and according to the information and explanations given to us, the
Company has maintained proper records of its inventories and no material discrepancies
were noticed on physical verification.
(iii) The Company has neither granted nor taken any loans, secured or unsecured,
to/from companies, firms or other parties covered in the Register maintained under Section
301 of the Companies Act, 1956.
(iv) In our opinion and according to the information and explanations given to us,
there is an 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 the sale
of goods and services and during the course of our audit we have not observed any major
weaknesses in such internal control system.
(v) To the best of our knowledge and belief and according to the information and
explanations given to us, there are no contracts or arrangements that needed to be entered
in the Register maintained in pursuance of Section 301 of the Companies Act, 1956.
(vi) In our opinion, the Company has an adequate internal audit system commensurate
with the size and the nature of its business.
(vii) According to the information and explanations given to us, in respect of
statutory dues:
(a) The Company has generally been regular in depositing undisputed statutory dues,
including Provident Fund, Investor Education and Protection Fund, Employees State
Insurance, Income-tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise
Duty, Cess and other material statutory dues applicable to it with the appropriate
authorities.
(b) There were no undisputed amounts payable in respect of Provident Fund, Investor
Education and Protection Fund, Employees State Insurance, Income-tax, Sales Tax, Wealth
Tax, Service Tax, Customs Duty, Excise Duty, Cess and other material statutory dues in
arrears as at March 31, 2014 for a period of more than six months from the date they
became payable.
(c) There are no dues of Income-tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty,
Excise Duty and Cess which have not been deposited as on March 31, 2014 on account of
disputes.
(viii) The Company does not have accumulated losses at the end of the financial year
and the Company has not incurred cash losses during the financial year covered by our
audit and in the immediately preceding financial year.
(ix) According to the information and explanations given to us, the Company has not
raised any loans from financial institutions, banks and debenture holders, therefore the
provisions of Clause xi of the Order is not applicable to the Company.
(x) According to the information and explanations given to us, the Company has not
given guarantees for loans taken by others from banks and financial institutions.
(xi) In our opinion and according to the information and explanations given to us, and
on an overall examination of the Balance Sheet of the Company, we report that funds raised
on short-term basis have, prima facie, not been used during the year for long-term
investment.
(xii) To the best of our knowledge and according to the information and explanations
given to us, no fraud by the Company and no fraud on the Company has been noticed or
reported during the year.
|
For FRASER AND ROSS |
|
Chartered Accountants |
|
(Firm s Registration No.000829S) |
|
C.R. Rajagopal Partner |
| Coimbatore, 19th May, 2014 |
(Membership No.23418) |
+91-9892691696
