golden tourist resort and developers ltd Auditors report

GOLDEN TOURIST RESORTS & DEVELOPER LTD. ANNUAL REPORT 1999-2000 AUDITORS REPORT The Members of M/S GOLDEN TOURIST RESORTS & DEVELOPER LIMITED. We have audited the attached Balance Sheet of M/S GOLDEN TOURIST RESORTS & DEVELOPER LIMITED as at 31st March, 2000 and Profit & Loss account for the year ended on that date and report that: 1. As required by the Manufacturing and other Companies (Auditors Report) order 1988 issued by the Central Government in terms of Section 227 (4A) of the Companies Act, 1956 we give in the Annexure hereto a Statement on the matters specified in the paragraph 4 and 5 of the said order to the extent applicable to the Company. 2. Further to our comments in the Annexure referred to in the paragraph (1) above 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 accounts as required by law have been kept by the Company so far as appears from our examination of such books. c) The Balance Sheet and the Profit & Loss Account referred to in this report are in agreement with the books of accounts. d) In our opinion Balance Sheet and Profit & Loss account comply with the mandatory accounting standards referred to in sub-section (3C) of the Section 211 of the Companies Act, 1956. e) In our opinion and to the best of our information and according to the explanation given to us, the said accounts subject to Notes to Accounts and Significant Management Policies which may be read along with this report taking the same as integral part of the report and in particular to the Note No. 4,10,12 to 15,18 & 22. The Balance Sheet and Profit & Loss Account give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view: i) In the case of Balance Sheet of the state of affairs of the Company as at 31st March 2000 and ii) In the case of Profit & Loss Account, of the Profit of the Company for the year ended on that date. for KAPOOR BHUSHAN & COMPANY CHARTERED ACCOUNTANTS Sd/- Place : Delhi (PREM BHUSHAN KAPOOR) Dated : 10/08/2000 SENIOR PARTNER ANNEXURE TO AUDITORS REPORT TO THE MEMBERS OF M/S GOLDEN TOURIST RESORTS & DEVELOPER LTD. ON THE ACCOUNTS FOR THE YEAR ENDED 31ST MARCH,2000 1. The Company has maintained proper records to show full particulars including quantitative details and situation of fixed assets. According to the information & explanations given to us, the fixed assets have been physically verified by the management during the year in a phased periodical manner which, in our opinion, is reasonable having regard to the size of the Company and nature of the assets. No material discrepancies were noticed on such verification. 2. None of the fixed assets have been revalued during the year. 3. As explained to us, the stocks of stores, spares and raw materials and finished goods have been physically verified by the management at reasonable intervals during the year. In our opinion, the frequency of such verification is reasonable have regard to the size of the Company and the nature of its business. 4. In our opinion and according to the information and explanations given to us, the procedures of physical verification of stocks followed by management are reasonable and adequate in relation to the size of the Company and the nature of its business. 5. As explained to us, there were no material discrepancies noticed on physical verification of the stock of raw materials, stores & spares and finished goods having regard to the size of the operations of the Company. 6. On the basis of our examination and as certified by the management, valuation of stocks is fair and proper and is in accordance with the normally accepted accounting principles and is on the same basis as in the preceding year. 7. The Company has taken Loans, Secured or Unsecured from Companies, Firms or Other parties listed in the register maintained under Section 301 of the Company Act, 1956 or from the Companies under the same management as defined under sub Section (1 B) of Section 370 of the Companies Act, 1956 which are primafacie not prejudicial to the interest of the company. 8. The Company has not granted any Loans, Secured or Unsecured to Companies, Firms or Other parties listed in the register maintained under Section 301 of the Companies Act, 1956 and/or to the companies under the same management as defined under sub Section (1 B) of Section 370 of the Companies Act, 1956. 9. The Company has not given any Loans and Advances in the nature of Loans. 10. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business for the Purchase of Provisions, Stores, Raw material including components, Plant & Machinery, Equipment & Other Assets, and for the Sale of goods. 11. In our opinion and according to the information and explanations given to us, the Company has entered into transactions of sale of goods, materials and services made pursuant to contracts or agreements entered in the register maintained under Section 301 of the Companies Act, 1956 and aggregating during the year Rs. 50,000/- or more in respect of each party. However, the rates are competitive. 12. As explained to us, there were no unserviceable and damaged stores, raw materials and finished products held by the Company at the close of the year. Hence, no provision is required to be made for the same. 13. The Company has not accepted any deposits from the Public pursuant to Section 58A of Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules, 1975. 14. As explained to us, the Company is Maintaining reasonable records for sale and disposal of realisable by-Products and scrap wherever significant. 15. In our opinion, the Company has an adequate internal audit system commensurate with the size and nature of its business. 16. We were informed that maintenance of cost records has not been prescribed by the Central Government under Section 209(1)(d) of the Companies Act, 1956 for any of the products of the company. 17. According to the information and explanations given to us and the books and records examined by us, there are no undisputed amounts, payable in respect of Income-tax, Wealth tax, Sales Tax, Customs Duty and Excise duty outstanding as at 31st March, 2000 for a period exceeding six months from the date they became payable. 18. According to the information and explanations given to us and on the basis of records examined by us, no personal expenses of employees or Directors have been charged to Revenue Accounts other than those payable under contractual obligations or in accordance with generally accepted business practice. 19. The Provident fund scheme is applicable to the Company & according to the information & explanations given to us the same are being deposited regularly. 20. The Company is not a sick industrial Company with in the meaning of Clause (o) of Sub-Section (1) of Section 3 of Sick Industrial Companies (Special Provisions) Act, 1985. 21. In respect of service activities: a) In our opinion, the Company has a reasonable system of recording receipts, issues and consumption of materials and stores commensurate with its size and nature of its business. The nature of companys operation are such that the question of location of materials and man hours consumed to the relative jobs does not arise. b) There is a reasonable system or authorisation at proper levels with necessary control for the issue of stores. The nature of the Companys operations are such that the question of allocating stores consumed and labour to relative jobs does not arise. For KAPOOR BHUSHAN & COMPANY CHARTERED ACCOUNTANTS Sd/- Place : Delhi (PREM BHUSHAN KAPOOR) Dated : 10/08/2000 SENIOR PARTNER