Link Pharma Chem Ltd Auditors Report.

to The Members of LINK PHARMA CHEM LIMITED

REPORT ON THE STANDALONE FINANCIAL STATEMENTS

1. We have audited the attached financial statements of LINK PHARMA CHEM LIMITED ( " The Company" ) which comprises the Balance Sheet as at 31st March, 2018 , the statement of Profit and Loss (Including Other Comprehensive Income), Statement of changes in Equity and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management Responsibility for the Financial Statements

2. The Companys Board of Directors is responsible for the matters stated in sec 134(5) of the Companys Act 2013("the Act") with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position , financial performance including other comprehensive income and cash flows and changes in equity of the company in accordance with the Indian Accounting Standards (Ind AS) prescribed under Sec 133 of the Act, read with Companies Indian Accounting Standard Rule 2015 as amended and other accounting principles generally accepted in India .This responsibility also includes maintenance of adequate accounting records in accordance with provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Standalone financial statements that give a true and fair view and are free from material misstatements, whether due to fraud or error.

Auditors Responsibility

3. Our responsibility is to express an opinion on these Standalone financial statements based on our audit.

4. In conducting our audit , we have taken into account the provisions of the Act , the Accounting and Auditing Standards and matters which are required to be included in the auditors report and the rules made there under and the Order issued under section 43(11) of the Act .

5. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurances about whether the standalone financial statements are free from material misstatement.

6. An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in standalone financial statements. The procedure selected depends 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 these risk assessments, the auditor considers internal financial controls relevant to the companys preparation of the standalone financial statements that give true and fair view in order to design audit procedures that are appropriate in the circumstances. An Audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the companys directors , as well as evaluating the overall presentation of the standalone financial statements.

7. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

8. In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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 Ind AS and accounting principles generally accepted in India, of the state of affairs of the Company as at 31st march 2018 and its Profit, total comprehensive income, the changes inequity and its Cash flows for the year ended in that date.

Report on Other Legal and Regulatory Requirements

9. As required by section 143 of the Act based on our audit , we report that a) we have sought and 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 accounts 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 & Loss account includes other comprehensive income , statement of changes in Equity and the Cash Flow statement dealt with by this report are in agreement with the books of account. d) In our opinion, the aforesaid Financial Statements comply with the Indian Accounting Standards prescribed under section 133 the Act. e) On the basis of the written representations received from the directors as on 31st March 2018 taken on record by the Board of Directors, none of the Directors is disqualified as on March 31st 2018 from being appointed as a Director in terms of section 164(2) of the Act. f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in Annexure A. Our report expresses an unmodified opinion on the adequacy and operative effectiveness of the companys internal financial controls over financial reporting . g) With respect to the other matters to be included in the Auditors Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to explanations given to us : i) The company has disclosed the impact of pending litigations on its financial position in its standalone financial statements in accordance with the generally accounting practice - also refer note 28 to the standalone financial statement. ii) The Company did not have any long term contracts including Derivative contracts for which there were any material foreseeable losses. iii) There were no amounts which were required to be transferred to Investor Education and protection Fund by the Company.

10. As required by the Companies ( Auditor Report) Order, 2016 ( "th Order") issued by the Central Government in terms of Section 143(11) of the Act, we give in "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order.

For Sanjay Soni & Associates

Chartered Accountants

ICAI Firm Registration No. 113251W

CA Sanjay Soni

Partner

Membership No. 040616

Place : Vadodara Date : 29.05.2018

ANNEXURE B TO THE INDEPENDENT AUDITORS REPORT

Referred to in paragraph 10 of the Independent Auditors Report to the members of Link Pharma Chem Limited on the standalone financial statements of the even date.

i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation, of Property, plant and Equipment.

(b) The property , plant and Equipment were physically verified during the year by the management in accordance with the regular program of verification, which in our opinion, provides for physical verification of all the property, plant and equipment at reasonable intervals. According to the information and explanations given to us, no material discrepancies were notice on such verification.

(c) With respect to the immovable properties of acquired land and buildings , according to the information and explanation given to us and the record examined by us and based on the examination of the Sale deed/ Transfer deed/Conveyance deed , we report that he Title Deeds of immovable properties, as disclosed in the Notes of Property, Plant & Equipment to the financial statements, are held in the name of the Company as at the balance sheet date.

ii) The physical verification of inventory excluding stocks in transit has been conducted at reasonable intervals by the Management during the year. In respect of inventory lying with third parties, these have substantially been confirmed by them. The discrepancies noticed on physical verification of inventory as compared to book records were not material and have been appropriately dealt with in the books of accounts.

iii) The Company has not granted any loans, secured or unsecured to any companies, firms, limited liability partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013.

iv) According to the records of the Company examined by us and the information and explanations given to us, There are no loans, investments made or guarantees and securities provided by the company as per provisions of section 185 and 186 of the Companies Act, 2013.

v) The Company has not accepted any deposits from public within the meaning of Sections 73,74, and 76 of the Act .

vi) The Central Government has not prescribed the maintenance of cost accounts for the type of activities of the Company pursuant to the rules made by the Central Government of India for the maintenance of cost records under clause (d) of sub section (1) of section 148 of the Act .

(a) According to the information and explanations given to us and the records of the company examined by us, in our opinion, the Company is generally regular in depositing with appropriate authorities the undisputed statutory dues including provident fund, employees state insurance, Income tax, Goods and Service Tax, Sales Tax ,service tax, duty of customs, Value Added Tax , duty of excise, cess and other material statutory dues, as applicable to it.

(b) Details of dues of VAT and CST which have not been deposited as on 31st March, 2018 on account of disputes , are given below.

Nature of statute

Nature of Dues

Amount

Period for which it relates

Forum where dispute is pending

(Rs. In lacs)

Value Added

VAT

132.34

2008-09

Dy. Commissioner
Tax Laws
Central Sales

CST

46.86

2008-09

(Appeals), Vadodara
Tax

viii) According to the records of the Company examined by us and the information and explanations given to us, the Company has not defaulted in repayment of loans or borrowings to Banks. The Company did not have any loans or borrowings from any financial institution or Government or debenture holders during the year.

ix) In our opinion, and according to the information and explanations given to us, the term loans have been applied for the purposes for which they were obtained.

x) During the course of our examination of the books and records of the Company, carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations give to us, we have neither come across any instance of material fraud by the Company, by its officers or employees, noticed or reported during the year, nor have we been informed of any such case by the management.

xi) In our opinion and according to the information and explanations given to us, the company has paid/provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with schedule 5 to the Companies Act, 2013.

xii) As the Company is not a Nidhi Company and the Nidhi Rules, 2014 are not applicable to the provisions of Clause 3(xii) of the Order are not applicable to the Company.

xiii) In our opinion and according to the information and explanations given to us and based on our examination of the records of the company, all transactions with the related parties and details of related party transactions have been disclosed in the standalone financial statement as required by the applicable Indian Accounting Standard.

xiv) The Company has not made preferential allotment or private placement of shares or debentures during the year under review.

xv) The Company has not entered into any non cash transactions with its directors or associate company or persons connected with them.

xvi) The Company is not required to be registered under Section 45 -IA of The Reserve Bank of India Act, 1934.

For Sanjay Soni & Associates

Chartered Accountants

ICAI Firm Registration No. 113251W

CA Sanjay Soni

Partner

Membership No. 040616

Place : Vadodara Date : 29.05.2018

ANNEXURE A TO INDEPENDENT AUDITORS REPORT

Referred to in paragraph 9 (f) of the Independent Auditors Report of even date to the members of Link Pharma Chem Limited on the standalone financial statements of the even date.

Report on the Internal Financial Controls over financial reporting under clause ( i ) of sub- section 3 of Section 143 of the Companies Act, 2013 ( the "Act")

1. We have audited the internal financial controls over financial reporting of Link Pharma Chem Ltd. ( "the company") As of march 31, 2018 in conjunction with our audit of the standalone Ind As financial statements of the Company for the year ended on that date.

Managements responsibility for internal Financial Controls

2. The Companys Management is responsible for establishing and maintaining Internal financial controls based on the Internal Control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companys policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records and the timely preparation of reliable financial information, as required under the Act.

Auditors Responsibility

3. Our responsibility is to express an opinion on the Companys Internal financial controls over financial reporting based on our audit. We conducted our audit accordance with the Guidance Note on Audit of internal Financial Controls Over Financial Reporting ( " the Guidance Note") and the Standards on Auditing prescribed under section 143 (10) of the Act to the extent applicable to an audit of internal financial controls, both applicable to an audit of internal financial controls and both issued by the ICAI. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

4. Our audit involves performing audit procedures to obtain audit evidence about the adequacy of internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining effectiveness. Our audit of internal financial controls over financial reporting included obtaining and understanding of internal financial controls over financial reporting , assessing the risk that material weakness exists and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditors judgement, including the assessment of the risk of material misstatement of the financial statements whether due to fraud or error.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companys internal financial controls system over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

6. A companys internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companys internal financial control over financial reporting includes those policies and procedures that

(1) Pertain to the maintenance of records, that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company;

(2) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and

(3) Provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition , use or disposition of the companys assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

7. Because of the inherent limitations of internal financial controls over financial reporting , including the possibility of collusion or improper management override of controls , material misstatements due to error or fraud may occur and not to be detected . Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

8. In our opinion , the Company has , in all material respect an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance note on Audit of Internal Financial Controls over Financial reporting issued by the Institute of Chartered Accountants of India.

For Sanjay Soni & Associates

Chartered Accountants

ICAI Firm Registration No. 113251W

CA Sanjay Soni

Partner

Membership No. 040616

Place : Vadodara Date : 29.05.2018