mk Aromatics Ltd Share Price Auditors Report
MK AROMATICS LIMITED
ANNUAL REPORT 2010-2011
AUDITORS REPORT
To
The Members of
MK AROMATICS LIMITED
I have audited the attached Balance sheet of MK AROMATICS LIMITED as at
31st March, 2011 and also the profit and loss account for the year ended on
that date annexed thereto. These financial statements are the
responsibility of the Company management. My responsibility is to express
an opinion on the financial statements based on my audit.
1. I have conducted my audit in accordance with auditing standards accepted
in India. These standards require that I plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit Included examining, on a test basis,
evidence supporting the amounts disclosing 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. I believe that my audit provides a
reasonable basis for my opinion.
2. As required by the Companies (Auditors Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section 227
of Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
3. Further My comments in the Annexure referred to above, I report that:
(i) I have obtained all the information and explanations which, to the best
of my knowledge and belief, were necessary for the purpose of my audit.
(ii) In my opinion, proper books of accounts as required by law have been
kept by the company so far as appears from my examination of these books.
(iii) The Balance sheet and Profit and Loss Account is dealt with by this
report are in agreement with the books of account.
(iv) In my report, the Balance Sheet and Profit and Loss Account dealt with
by the report comply with the accounting standards referred to in sub
section (3C) of section 211 of the companies Act.
(v) On the basic if written representations received from the directors as
on 31st March 2011, and taken on record by the Board of directors, I report
that none of the directors are disqualified as on 31st March, 2011 forming
appointed as a director in terms of clause (g) of sub-section (1) Select
274 of the Companies Act, 1956.
(vi) In my opinion and to the best my information and according to the
Explanations given to me the Balance Sheet and Profit and Loss Account 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 31st March 2011; and
(b) In the case of the Profit and Loss Account of the profit for the year
ended on that date.
G. SIVAPRAKASH
Chartered Accountant
Membership No. 24556
Place: Chennai
Date : 14.07.2011.
ANNEXURE REFERRED TO IN PARAGRAPH 2 OF MY REPORT OF EVEN DATE TO THE
MEMBERS OF MK AROMATICS LIMITED ON THE ACCOUNTS AS AT AND FOR THE YEAR
ENDED 31st MARCH, 2011:
1. The Company generally maintained proper records showing full particulars
including quantitative details and location of its Fixed Assets. The
management has physically verified the Fixed Assets at reasonable intervals
and on material discrepancies are reported to have been observed on such
verification as compared to book records.
2. None of the Fixed Assets of the Company have been revalued during the
year.
3. The stocks, finished goods, stores and spares, raw materials etc., have
been physically verified by the management at reasonable intervals during
the year.
4. The Company has taken loans, secured or unsecured from the companies,
firms or other parties listed in the register maintained under section 301
of the Companies Act, 1956. I am informed that there is no Company under
the same management as defined under section 370 (IB) of the Companies Act,
1956.
5. The Company has granted loans, secured or unsecured, to the companies,
firms or other parties listed in the register maintained under section 301
of the Companies Act, 1956. I am informed that there is no Company under
the same management as defined under section 370 (1B) of the Companies Act,
1956.
6. In my opinion and according to the information and explanations given to
me, there are adequate internal control procedures commensurate with the
size of the Company and the nature of the business with regard to purchase
of spares and stores, raw materials, plant and machinery equipment and
other assets and for the sale of goods.
7. According to the information and explanation given to me, there is no
transactions of purchase of goods and sale of medicines made in pursuance
of contracts or arrangements entered in the register maintained under
Section 301 or more during the year in respect of each party have been made
at prices, which were reasonable having regards to the prevailing market
prices for such medicines or prices at which the transactions for similar
goods have been made with other parties.
8. As informed to me, the Company generally has a reasonable system of
determination of unserviceable or damage stores and spares, raw materials,
and finished goods, and adequate provision for the loss arising on such
items has been made during the year and review.
9. The Company has not accepted any deposited from the public within the
meaning of section 58A of the Companies Act, 1956 and the rules framed
there under.
10. In my opinion, the Company has maintained reasonable records for the
sale of disposal of its realizable scrap.
11. The Company is yet to install an internal Audit System commensurate
with the size and nature of business.
12. According to the information and explanations given to us no personal
expenses of employees of directors have been charged to revenue account,
other than those payable under contractual obligations or in accordance
with generally accepted business practice.
13. I have been informed that the Central Government has not prescribed
maintenance of cost records under section 209 (1) (d) of the Companies Act
1956 for any of the products of the Company.
14. The Company does not have any Provident Fund Scheme.
15. The Company has generally been regular in depositing Employees State
Insurance with appropriate authorities in time.
16. According to the information and explanation given to me and the books
records examined by me, there is no undisputed amounts payable is respect
of Income-tax, Wealth Tax, Sales tax, Customs duty and Excise duty
outstanding as at 31st March 2011 for a period exceeding six months from
the date it became payable.
17. The Company is not a sick industrial Company as defined in the sick
industrial Companies (Special provisions) Act, 1956.
G. SIVAPRAKASH
Chartered Accountant
Membership No. 24556
Place: Chennai
Date : 14.07.2011.