AUDITORS
To
The Members,
ARVIND ACCEL LIMITED
Ahmedabad.
1. We have audited the attached Balance Sheet of Arvind Accel Limited as at 31st
March, 2012, Statement of Profit and Loss 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.
2. 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 misstatements. 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.
3. As required by the Companies (Auditors 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 the Companies Act, 1956, and on the
basis of such checks as we considered appropriate and according to information and
explanations given to us, we enclose in the Annexure a statement on the matters specified
in paragraph 4 and 5 of the said order.
4. Further to our comments in the Annexure refer 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, 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, Statement of Profit and Loss and Cash Flow
Statement 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 representation received from the directors of the company as
at March 31st, 2012 and taken on record by the board of directors, we report that none of
the directors is disqualified from being appointed as director of company under clause (g)
of sub-section (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 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 31st
March, 2012,
ii. in the case of the Statement of Profit and Loss, of the loss for the year ended on
that date
and
iii. in the case of the Cash Flow Statements for the year ended on that date.
|
FOR G. K. CHOKSI & CO. |
|
[Firm Registration No. 101895W] |
|
Chartered Accountants |
|
ROHIT K. CHOKSI |
| Place : Ahmedabad |
Partner |
| Date : 21st April, 2012 |
Mem. No.: 31103 |
ANNEXURE TO THE AUDITORS REPORT
The annexure referred to in the Auditors Report to the members of Arvind Accel Limited
(the company) for the year ended 31st March 2012. We report that:
1 (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) The fixed assets have been physically verified by the management during the year at
reasonable intervals and no material discrepancies were noticed on such verification.
(c) During the year the company has not disposed off any substantial/major part of
fixed assets.
2 (a) In our opinion, physical verification of inventory comprising of construction
materials and traded goods has been conducted by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations given to us, the
procedure of physical verification of inventory followed by the management is reasonable
and adequate in relation to the size of the company and the nature of its business.
(c) On the basis of our examination of records of inventory, in our opinion, the
Company is maintaining proper records of inventory. No material discrepancy was noticed on
physical verification of the inventory.
3 (a) The Company has not granted any loans, secured or unsecured, from companies,
firms or other parties covered in the register maintained under section 301 of the
Companies Act, 1956. Accordingly in our opinion paragraphs 4(iii)(a) to 4(iii)(d) of the
order are not applicable.
(b) The company has taken unsecured loan from the Holding company. The maximum amount
involved during the year was Rs.2142.39 lacs and the year end balance is Rs. 249.72
lacs.
(c) The terms and conditions of such loan are not prima facie prejudicial to the
interest of the company.
(d) According to the information and explanations given to us, the principal amount of
such loan is repayable on demand.
4 In our opinion and according to information and explanation given to us; there is
adequate internal control system commensurate with the size of the Company and the nature
of its business, with regard to purchase of inventory comprising construction materials
and traded goods, fixed assets and with regard to the sale of goods and services.
During the course of our audit, we have not observed any major weakness in the internal
controls.
5 (a) In our opinion and according to the information and explanations given to us, the
particulars of contracts or arrangements referred to in section 301 of the Companies Act,
1956 have been entered in the register required to be maintained under that section.
(b) In our opinion and according to the information and explanations given to us, the
transactions made in pursuance of contracts and arrangements referred to in (a) above and
exceeding the value of Rs. 5 lacs with any party during the year have been made at
prices which are reasonable having regard to the prevailing market prices at the relevant
time.
6 The company has not accepted any deposits from the public within the meaning of
Section 58A and 58AA of the Companies Act, 1956.
7 According to information and explanations given to us, the company has set up an in
house internal audit department the internal audit system is adequate looking to the size
and nature of the business.
8 According to information and explanation given to us, the central government has not
prescribed maintenance of cost records under section 209(1)(d) of the Companies Act, 1956
in respect of services carried out by the company.
9 (a) According to information and explanation given to us, and on the basis of our
examination of the books of accounts, the company has been regular in depositing with
appropriate authorities undisputed statutory dues including provident fund, investor
education protection fund, employees state insurance, income tax, sales tax, wealth tax,
service tax, custom duty, excise duty, cess and other material statutory dues applicable
to it.
(b) According to the information and explanations given to us, the Company had no
disputed outstanding statutory dues as at 31st March, 2012.
10 Since the company has not completed five years of incorporation, the paragraph
4(iii)(x) is not applicable.
11 According to the records of the company examined by us and on the basis of
information and explanations given to us, the company has neither taken any loans from a
financial institutions and a bank nor issued any debentures. Accordingly paragraph 4(xi)
of the order is not applicable.
12. The company has not granted any loans and advances on the basis of securities by
way pledge of shares, debentures and other securities. Accordingly paragraph 4(xii) of the
order is not applicable.
13. The company is not Chit fund, Nidhi, Mutual Benefit Funds or a Society. Accordingly
paragraph 4(xiii) of the order is not applicable.
14. The Company is not dealing or trading in shares, securities, debentures or other
investments and hence the requirements of paragraph 4 (xiv) are not applicable to the
company.
15. In our opinion and according to the information and explanation given to us, the
company has not given any guarantee for loans taken by others from banks and financial
institutions during the year. Accordingly paragraph 4(xv) of the order is not applicable.
16. On the basis of an overall examination of the balance sheet of the company in our
opinion and according to the information and explanations given to us, we report that
company has utilised funds raised on short term basis for long term investments to the
tune of Rs. 1838.55 lacs (previous year Rs. 38.43 Lacs).
17. On the basis of an overall examination of the balance sheet of the company in our
opinion and according to the information and explanations given to us, the company has not
raised any funds on short term basis which has been used for long term investment.
18. The company has not made any preferential allotment to parties and companies
covered under register maintained under section 301 of The Companies Act, 1956 during the
year. Accordingly paragraph 4(xviii) of the order is not applicable.
19. During the period covered by audit report, the company has not issued any
debentures. Accordingly paragraph 4(xix) of the order is not applicable.
20. The company has not raised any money by public issues during the year. Accordingly
paragraph 4(xx) of the order is not explicable.
21. According to the information and explanations given to us, no fraud on or by the
Company has been noticed or reported during the period under review.
|
FOR G. K. CHOKSI & CO. |
|
[Firm Registration No. 101895W] |
|
Chartered Accountants |
|
ROHIT K. CHOKSI |
| Place : Ahmedabad |
Partner |
| Date : 21st April, 2012 |
Mem. No.: 31103 |
+91-9892691696
