tpl plastech share price Auditors report

AKZO NOBEL CHEMICALS (INDIA) LIMITED ANNUAL REPORT 2010-2011 AUDITORS REPORT To The Members of Akzo Nobel Chemicals (India) Limited We have audited the attached Balance Sheet of Akzo Nobel Chemicals (India) Limited (the Company) as at 31 March 2011 and also, the related Profit and Loss Account and the 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 management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. 1. As required by the Companies (Auditors Report) Order, 2003, (CARO), issued by the Central Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, (the Act) we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order. 2. Further to our comments in the Annexure referred to 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 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 appears from our examination of those books; (c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the books of account; (d) In our opinion, the Balance Sheet, Profit and Loss Account 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 Companies Act, 1956; (e) On the basis of written representations received from the directors, as on 31 March 2011, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31 March 2011 from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274 of the Act; and (f) In our opinion and to the best of our information and according to the explanations given to us, the said financial statements give the information required by the Companies Act, 1956 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 31 March 2011; ii. In the case of the Profit and Loss Account, of the profit 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. For B S R & Co. Chartered Accountants Firm Registration No: 101248W Juzer Miyajiwala Partner Membership No.: 047483 Place: Pune Date : 5 September 2011 ANNEXURE TO AUDITORS REPORT - 31 MARCH 2011 With reference to the Annexure referred to in paragraph 1 of the Auditors Report to the Members of Akzo Nobel Chemicals (India) Limited (the Company) on the financial statements for the year ended 31 March 2011, we report that: 1. (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets. (b) The Company has a regular programme of physical verification of its fixed assets by which the fixed assets are verified in a phased manner over a period of three years. In accordance with the programme the Company has verified its fixed assets during the year. In our opinion, the periodicity of physical verification 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) Fixed assets disposed off during the year were not substantial and therefore do not affect the going concern assumption. 2. (a) The inventory, except for goods-in-transit, has been physical verified by the management during the current year. In our opinion, the frequency of such physical verification is reasonable. (b) In our opinion and according to the information and explanations given to us, the procedures for physical verification of inventories followed 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 inventories. The discrepancies noted on verification of inventories as compared between the physical stocks and the book records were not material. 3. The Company has neither granted nor taken any loans, secured or unsecured, to or from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Accordingly, paragraph 4(iii) of the Order is not applicable. 4. In our opinion and according to the information and explanations given to us and having regard to the explanation that purchase of most of the items of inventory are for Companys specialized requirements and similarly certain goods sold and all services rendered by the Company are for the specialized requirements of the buyers and suitable alternative sources are not available to obtain comparable quotations, there is an adequate internal control system commensurate with the size of the Company and the nature of its business with regard to purchase of inventories and fixed assets and with regard to sale of goods and services. We have not observed any major weakness in the internal control system during the course of our audit. 5. In our opinion, and according to the information and explanations given to us, there are no contracts and arrangements the particulars of which need to be entered into the register maintained under section 301 of the Companies Act, 1956. 6. The Company has not accepted any deposits from the public. 7. In our opinion and according to the information and explanations given to us, the Company has an internal audit system commensurate with its size and the nature of its business. 8. According to the information and explanations given to us, the Central Government has not prescribed the maintenance of cost records under section 209(1)(d) of the Companies Act, 1956, for any of the products of the Company. 9. (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted / accrued in the books of account in respect of undisputed statutory dues including Provident Fund, Sales Tax, Income Tax, Wealth Tax, Customs Duty, Service tax, Excise Duty and other material statutory dues have generally been regularly deposited during the year by the Company with the appropriate authorities. As explained to us, the Company did not have any dues on account of Employees State Insurance. There were no dues on account of Cess under section 441A of the Companies Act, 1956, since the aforesaid section has not yet been made effective by the Central Government. According to the information and explanations given to us, no undisputed amounts payable in respect of Provident Fund, Income Tax, Wealth Tax, Sales Tax, Service tax, Customs Duty, Excise Duty and other material statutory dues were in arrears as at 31 March 2011 for a period of more than six months from the date they became payable. (b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues of Sales Tax, Income Tax, Customs Duty, Wealth Tax, Service Tax and Excise Duty which have not been deposited with the appropriate authorities on account of any dispute, except those stated in Appendix I to this report. 10. The Company does not have any accumulated losses as at 31 March 2011. The Company has not incurred cash losses during the financial year covered by our audit and the immediately proceeding financial year. 11. According to the information and explanations given to us, the Company did not have any dues to banks, financial institutions or debenture-holders during the year. 12. According to the information and explanations given to us, the Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures and other securities. 13. In our opinion and according to the information and explanations given to us, the Company is not a chit fund/nidhi/mutual benefit fund/ society. 14. In our opinion and according to the information and explanations given to us, the Company is not dealing in or trading in shares, securities, debentures and other investments. 15. According to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from banks or financial institutions during the year. 16. According to the information and explanations given to us, the Company did not have any term loans outstanding during the year. 17. According to the information and explanations given to us and an overall examination of the Balance Sheet of the Company, we are of the opinion that the funds raised on short term basis have not been used for the purpose of long-term investments. 18. The Company has not made any preferential allotment of shares to companies/firms/other parties covered in the register required to be maintained under section 301 of the Companies Act, 1956 during the year. 19. The Company did not have any outstanding debentures during the year. 20. According to the information and explanations given to us, the Company has not raised any money by way of public issues during the year. 21. According to the information and explanations given to us no fraud on or by the Company has been noticed or reported during the course of our audit. For B S R & Co. Chartered Accountants Firm Registration No: 101248W Juzer Miyajiwala Partner Membership No.: 047483 Place: Pune Date : 5 September 2011 Appendix - I Clause 9(b) of CARO Details of statutory dues, which have not been deposited on account of dispute Name of Nature of Dues Amount in Period to Forum where the Statute Rupees which the dispute is pending amount relates Income Disallowance of 400,785 2000-2001 The Commissioner of Tax Act, expenses Income Tax (Appeals) 1961 related to dividend income computed on a proportionate Kolkatta basis Income Disallowance of 3,272,516 2001-2002 The Commissioner of Tax Act, Royalty rates 2002-2003, Income Tax (Appeals) 1961 and basis of 2005-2006 Pune calculation Income Disallowance of 1,153,549 2002-2003 The Commissioner of Tax Act, various expenses Income Tax (Appeals) 1961 Kolkatta Income Addition of Sales Income Tax Appellate Tax Act, Tax deferral 857,665 2004-2005 Tribunal, Pune 1961 loan waiver to income and penalty thereof. Finance Payment of service 365,154 2004-2005 Assistant Act, 1994 tax on Royalty and 2005-2006 Commissioner of Goods Transport Central Excise Agency services and Service Tax, Manad Income Disallowance of 3,900,449 2006-2007 Dispute resolution Tax Act, Royalty rates and pannel, Pune 1961 basis of calculation