INDEPENDENT AUDITORS
TO THE MEMBERS OF KASHIPUR HOLDINGS LIMITED
Report on the Financial Statements
1. We have audited the accompanying financial statement of KASHIPUR HOLDINGS
LIMITED ("the Company"), which comprises the Balance Sheet as at March 31,
2014 and the Statement of Profit and Loss and the Cash Flow Statement for the year then
ended, and a summary of significant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
2. 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"). 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
3. 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.
4. 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 Companys 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.
5. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Opinion
6. 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 Sheet of the state of affairs of the Company as at 31Bl March,
2014;
(b) In the case of Statement of Profit and Loss, of the Profit for the year ended on
that date; and
(c) In the case of Cash Flow Statement, of the Cash Flows for the year ended on that
date.
Report on Other Legal and Regulatory Requirements
7. 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 Companies Act 1956 (the Act), we give in the Annexure a statement on
the matters specified in paragraphs 4 and 5 of the Order.
8. 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 appears from our examination of those books; „
c) The Balance Sheet, Statement of Profit & 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 & Loss, and Cash Flow
Statement comply with the Accounting Standards referred to in sub-section (3C) of Section
211 of the Act; &
e) On the basis of the written representations received from the Directors as on 31s1
March, 2014, and taken on record by the Board of Directors, none of the Directors is
disqualified as on 31s1 March, 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 K. N. GUTGUTIA & COMPANY |
|
CHARTERED ACCOUNTANTS |
|
FRN 304153E |
|
(B. R. GOYAL) |
| PLACE : NOIDA |
PARTNER |
| DATE : 12TH AUGUST, 2014 |
M. NO. 12172 |
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 7 of our report-of even date to the members of Kashipur
Holdings Limited on the Financial Statements for the year ended 31st March, 2014)
i) (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of its fixed assets.
(b) As per the information and explanation given to us, physical verification of fixed
assets has been carried out by the Management during the year and no discrepancy was
noticed on such verification.
(c) During the year Company has not disposed off any of its fixed assets.
ii) The company had no inventory during the year.
iii) (a) During the year, the Company has not taken loan from any Company or party
covered in the register maintained under Section 301 of the Companies Act, 1956, Hence,
clause (iii) of para 4 of the said Order is not applicable to it.
(b) There were four companies covered in the Register maintained under Section 301 of
the Companies Act, 1956 to which the loans / deposits were given during the year, the
maximum amount involved during the year was Rs.61,30,42,000/- (including opening Balance
of Rs. 55,37,25,000 ) and the year end balances of loan / deposits given to such companies
was Rs. 61,99,88,000/-.
(c) In our opinion and according to the information and explanations given to us, the
company did not charge any interest on the loans to one company in terms of the
Rehabilitation Schemes and the same is not repayable until the Rehabilitation Schemes are
fully implemented, hence, we are unable to state whether terms & conditions of
the such loan were prima facie, prejudicial to interest of the company or not. In respect
of Deposits with the other companies, the terms and conditions, prima facie, were not
prejudicial to the interest of the company.
(d) There were no over dues in respect of loans given to the company as referred to
above as the same is not repayable until the Rehabilitation Schemes are fully implemented.
In respect of deposits with the other companies the deposits were not due for re-payment.
Interest, whenever applicable, is being received regularly.
iv) In our opinion and according to the information and explanations given to us, there
are adequate internal control systems commensurate with the size of the company and the
nature of its business with regard to purchase of investments and fixed assets. There is
no sale of goods and services. During the course of our audit, we have not observed any
major weakness in the internal control systems.
v) (a) Based on the audit procedures applied by us and according to the information and
explanations provided by the management, we are of the opinion that contracts or
arrangements that needed to be entered into the register maintained under Section 301 of
the Companies Act, 1956 have been so entered.
(b) In our opinion and according to the information and explanations given to us, there
were no transaction made pursuance of contracts or arrangements entered in the register
maintained under Section 301 of the Companies Act, 1956 which exceeded the value of rupees
five lacks in respect of any party during the year (except transactions in respect of
loans as referred to above and subscription of Equity Capital).
vi) The company has not accepted any public deposits.
vii) In our opinion, the company has no formal internal audit system. However, it has
adequate internal controls and check system.
viii) The Central Government has not prescribed maintenance of the cost records under
Section 209 (1) (d) of the Companies Act,1956, in relation to the activities being carried
on by the company.
ix) (a) According to the information and explanations given to us and records examined
by us, the company is regular in depositing with appropriate authorities undisputed
statutory dues including income tax, wealth tax, service tax, cess and other statutory
dues wherever applicable. According to the information and explanations given to us, no
undisputed arrears of statutory dues were outstanding as at 31st March, 2014
for a period of more than six months from the date they became payable,
(b) According to the records of the company, there were no dues of income tax, wealth
tax, service tax, cess and other statutory dues which have not been deposited on account
of disputes.
x) There are no accumulated losses of the Company as on 31 "March, 2014. The
company has not incurred any cash losses during the financial year covered by our audit
and also in the immediately preceding financial year.
xi) Based on our audit procedures and the information given by the management, we are
of the opinion that during the year, company has not defaulted in repayment of dues to
financial Institution or banks.
xii) Based on our examination of the records and the information and explanations given
to us, the company has not granted any loan and or/ advances on the basis of security by
way of pledge of shares, debentures and other securities.
xiii) Clause (xiii) of the Order is not applicable to the Company as the Company is not
a Chit Fund Company or nidhi / mutual benefit fund/ society.
xiv) In our opinion, the Company has maintained proper records of transactions and
contracts of investments and timely entries have been made therein and such shares/
securities were held by the company in its own name.
xv) According to the information and explanations given to us, Company has not given
any guarantees for loan taken by others from bank or financial institutions.
xvi) According to the information and explanations given to us, the term loan
raisedduring the year has been used for the purposes for which the same were obtained.
xvii) According to the information and explanations given to us and on an overall
examination of the balance sheet of the company, we report that the no funds raised on
short terms basis have been used for long term investments as the company feels that the
short terms loans will be rolled over.
xviii) The Company has not made any preferential allotment of shares during the year.
xix) During the year covered by our audit report the Company has not issued secured
debentures.
xx) The Company has not raised any money through a public issue during the year covered
by our report.
xxi) Based upon the audit procedures performed and as per the information and
explanations given to us, no fraud on or by the Company has been noticed or reported
during the year.
|
For K. N. GUTGUTIA & COMPANY |
|
CHARTERED ACCOUNTANTS |
|
FRN 304153E |
|
(B. R. GOYAL) |
| PLACE : NOIDA |
PARTNER |
| DATE : 12TH AUGUST, 2014 |
M. NO. 12172 |
+91-9892691696
