INDEPENDENT AUDITOR
To the Members of
EXELON INFRASTRUCTURE LIMITED
Report on the Financial Statements :
We have audited the accompanying financial statements of EXELON INFRASTRUCTURE
LIMITED ("The Company"), which comprise the Balance Sheet as at March 31,
2014, and the Statement of Profit and Loss and Cash Flow Statement for the year ended, and
a summary of significant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements :
The Companys 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 the 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
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
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 auditor considers internal control relevant to
the Companys 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 entitys 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 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, 2014; and
(b) In the case of the Statement of Profit and Loss Account, of the profit 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:
1. As required by the Companies (Auditors Report) Order, 2003 ("the Order")
issued by the Central Government of India in terms of sub-section (4A) of section 227 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 purpose of our audit;
b) In our opinion proper books of account as required by law have been kept by the
Company.
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 comply 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 the Ministry of Corporate Affairs in respect of Section 133 of the
Companies Act,2013.
e) On the basis of written representations received from the directors as on March 31,
2014, and taken on record by the Board of Directors, none of the directors is disqualified
as on March 31, 2014, from being appointed as a director in terms of clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956.
|
For P. Murali & Co., |
|
Chartered Accountants |
|
Firms Regn: 007257S |
|
Sd/- |
|
P. Murali Mohana Rao |
|
Partner |
| Place: Hyderabad |
Membership No. 023412 |
| Date: May 30th , 2014 |
|
ANNEXURE TO THE AUDITORS REPORT
I. (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of Fixed Assets.
(b) As explained to us, the fixed assets have been physically verified by the
management at reasonable intervals and no material discrepancies between the book records
and the physical inventory have been noticed on such verification.
(c) During the year the Company has not disposed any Fixed Assets. Hence, applicability
of the clause whether the company has disposed off substantial part of Fixed Asset is not
applicable.
II (a) The Inventory has been physically verified during the year by the Management and
in our opinion, the frequency of verification is reasonable.
(b) In our opinion, the procedures of the physical verification of inventory 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 inventory and as explained to us, no
material discrepancies were noticed on physical verification of stocks as compared to book
records.
III. (a) The Company has not granted loans, secured or unsecured to Companies, Firms or
other parties covered under Sec.301 of Companies Act, 1956.
(b) As the Company has not granted any loan, the clause of whether the interest &
other terms and condition on which loans have been granted to parties listed in the
register maintained under section 301 is prejudicial to the interest of company, is not
applicable.
(c) As no loans are granted by company, the clause of receipt of interest &
principal amount from parties, is not applicable to the company.
(d) No loans have been granted to Companies, Firms and other parties listed in the
register U/S 301of the Companies Act, 1956. Hence, overdue Amount of more than rupees one
Lac does not arise and the clause is not Applicable.
(e) The Company has not taken loans, secured or unsecured from Companies, Firms or
other Parties covered in the register maintained U/s.301of the Companies Act, 1956.
(f) As the Company has not taken loans, the clause of whether the rate of interest and
other terms and conditions on which loans have been taken from parties listed in the
register maintained under section 301 is prejudicial to the interest of company is not
applicable.
(g) As no loans are taken by the Company, the clause of repayment of interest &
principal amount to parties is not applicable to the Company.
IV. In our opinion and according to the information and explanations given to us, there
are generally adequate internal control systems commensurate with the size of the company
and the nature of its business with regard to purchase of inventory and fixed assets and
for sale of goods and services. We have not observed any major weakness in the internal
control system during the course of the audit.
V. a) In our opinion and according to the information and explanations given to us,
during the year, no contracts or arrangements referred to in Section 301 of the Companies
Act, 1956 have been entered into by the Company.
b) According to the information and explanations given to us, as no such contracts or
arrangements have been made by the company, the applicability of the clause of charging
the reasonable price having regards to the prevailing market prices at the relevant time
does not arise.
VI. The Company has not accepted any deposits from the public and hence the
applicability of the clause of directives issued by the Reserve Bank of India and
provisions of section 58A, 58AA or any other relevant provisions of the Act and the rules
framed there under does not arise. As per information and explanations given to us no
order from the Company Law Board or National Company Law Tribunal or Reserve Bank of India
or any Court or any other Tribunal has been received by the Company.
VII. In our opinion, the company is having internal audit system, commensurate with its
size and nature of its business.
VIII. We have broadly reviewed the books of account maintained by the Company in
respect of products where, pursuant to the rules made by the Central Government of India,
the maintenance of cost records has been prescribed under clause (d) of sub section (1) of
Section 209 of the Act, and are of the opinion that, prima facie, the prescribed accounts
and records have been made and maintained. We have not, however, made a detailed
examination of the records with a view to determine whether they are accurate or complete.
IX. (a) The Company is not regular in depositing statutory dues amount outstanding
towards Income Tax which is outstanding for more than 6 months from the date they became
payable are:-
| SI No. |
Year |
Amount in Rs. |
| 1 |
2009-10 |
15,02,815 |
| 2 |
2010-11 |
16,16,590 |
| 3 |
2011-12 |
25,34,460 |
| 4 |
2012-13 |
62,02,530 |
|
Total |
1,18,56,395 |
(b) According to the information and explanations given to us, no disputed amounts
payable in respect of Income Tax and any other statutory dues as at the end of the period.
X. The Company has been registered for a period of not less than 5 years, and the
company has no accumulated losses at the end of the financial year and the company has not
incurred cash losses in this financial year and in the immediately preceding financial
year.
XI. According to information and explanations given to us, the Company has not
defaulted in repayment of dues to financial institutions or banks.
XII. 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 and hence the applicability of the clause regarding
maintenance of adequate documents in respect of loans does not arise.
XIII. This clause is not applicable to this Company as the Company is not covered by
the provisions of special statute applicable to Chit Fund in respect of Nidhi/Mutual
Benefit Fund/Societies.
XIV. According to the information and explanations given to us, the company is not
dealing or trading in shares, securities, Debentures and other investments and hence the
provisions of clause 4(xiv) of the Companies (Auditors Report) Order 2003, are not
applicable to the Company.
XV. According to the information and explanations given to us, the Company has not
given any guarantees on behalf of the loans taken by others.
XVI. According to the information and explanations given to us, the Term Loans obtained
by the company were applied for the purpose for which such loans were obtained by the
Company.
XVII. According to the information and explanations given to us, the funds are raised
by the Company on short-term basis are not being applied for long term investments.
XVIII. According to the information and explanations given to us, 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 and hence the applicability of the
clause regarding the price at which shares have been issued and whether the same is
prejudicial to the interest of the Company does not arise.
XIX. According to the information and explanations given to us, the company does not
have any debentures and hence the applicability of the clause regarding the creation of
security or charge in respect of debentures issued does not arise.
XX. According to information and explanations given to us, the company has not raised
money by way of public issues during the year; hence the clause regarding the disclosure
by the management on the end use of money raised by public issue does not arise.
XXI. According to the information and explanations given to us, no fraud on or by the
Company has been noticed or reported during the year under audit.
|
For P. Murali & Co., |
|
Chartered Accountants |
|
Firm Regn No. 007257S |
|
Sd/- |
|
P.Murali Mohana Rao |
| Place: Hyderabad |
Partner |
| Date: May 30th , 2014 |
Membership No. 023412 |
+91-9892691696
