INDEPENDENT AUDITOR
TO THE MEMBERS OF PHARMAX CORPORATION LIMITED
Report on the Financial Statements
We have audited the accompanying financial statements of Pharmax Corporation 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 then ended, and a summary of
significant accounting policies and other explanatory information, which we have signed
under reference to this report.
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 13th 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
judgement, 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;
b. in the case of 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
As required by the Companies (Auditors Report) Order, 2003, as amended by the
Companies (Auditors Report) (Amendment) Order 2004, issued by the Central Government in
terms of sub-section 4A of section 227 of the Companies Act, 1956, (hereinafter referred
to as the Order) and on the basis of such checks of the books and records of the Company
as we considered appropriate and according to the information and explanations given to
us, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of
the said Order.
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 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, 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 dealt with by this Report comply with the requirements of Accounting Standards
referred to in sub-section (3C) of Section 211 of the Companies Act, 1956 read with the
General Circular 15/2013 dated 13th 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 are disqualified
as on March 31, 2014 from being appointed as a Director of the Company in terms of clause
(g) of sub-section (1) of Section" 274 of the Companies Act, 1956.
|
For Nangia & Co. |
|
Chartered Accountants |
|
Firm Registration No.: 002391C |
| Signed at New Delhi on May 27, 2014 |
Vikas Gupta |
|
Partner, |
|
Membership No. 076879 |
The Annexure referred to in our report to the members of Pharmax Corporation Limited
(the Company) for the year ended March 31, 2014. We report that
1. (a) The Company is maintaining proper records showing full particulars, including
quantitative details and situation of fixed assets.
(b) As explained to us, all the fixed assets have been physically verified by the
management according to a regular program of verification which in our opinion is
reasonable having regard to the size of the Company and the nature of its assets. No
material discrepancies between book records and the physical inventory have been noticed
on such verification.
(c) During the year, the Company has not disposed off a substantial part of the fixed
assets. Based on the information and explanation given by the management of the Company
and on the basis of audit checks performed by us, we are of the opinion that the sale of
fixed assets during the year has not affected the going concern status of the Company.
2. The Company being in the field of management of real estate, carries no inventories,
hence the provisions of Clause 4(ii)(a) to 4(ii)(c) of the Companies (Auditors Report)
(Amendment) Order, 2004 are not applicable.
3. (a) According to the information and explanations given to us, the Company has not
granted any loans, secured or unsecured to companies, firms or other parties covered in
the register maintained under Section 301 of the Companies Act, 1956. Accordingly the
provisions of clause 4(iii) (a) to (d) of the Order are not applicable to the Company and
hence not commented upon, (b) According to the information and explanations given to us,
the Company has not taken any loans, secured or unsecured from companies, firms or other
parties covered in the register maintained under Section 301 of the Companies Act, 1956.
Accordingly the provisions of clause 4(iii) (e) to (g) of the Order are not applicable to
the Company and hence not commented upon.
4. In our opinion and according to the information and explanations given to us, there
is an adequate internal control system commensurate with the size of the Company and the
nature of its business with regard to purchase of fixed assets and for sale of sen/ices.
The activities of the Company do not involve purchase of inventory and the sale of goods.
During the course of our Audit, we have not observed any major weaknesses or continuing
failure to correct any major weakness in the internal control system of the Company in
respect of these areas.
5. According to the information and explanations given to us, there have been no
contracts or arrangements that need to be entered in the register maintained under section
301 of the Companies Act, 1956.
6. In our opinion and according to information given to us, the Company has not
accepted deposits from the public within the meaning of Section 58A and 58AA of the
Companies Act, 1956 and rules framed there under.
7. In our opinion, the Company has an internal audit system, which is commensurate with
the size and nature of its business.
8. The Central Government of India has not prescribed the maintenance of cost records
under Section 209(1)(d) of the Companies Act, 1956 for any of the products of the Company.
9. (a) In our opinion and according to the information and explanations given to us and
according to the books and records as produced and examined by us, the Company is
generally regular in depositing undisputed statutory dues including Provident Fund,
Employees State Insurance, Income-Tax, Service Tax, Cess and any other statutory dues as
applicable with the appropriate authorities.
(b) According to the information and explanations given to us, there were no undisputed
amounts payable in respect of Provident Fund, Employees State Insurance, Income-Tax,
Wealth Tax, Service Tax, Cess and any other statutory dues as applicable, outstanding as
at the last day of the financial year concerned for a period of more than six months from
the date they became payable.
(c) According to the records of the Company, there are no dues of Provident Fund,
Employees State Insurance, Income-tax, Service Tax, Cess and any other statutory dues as
applicable to it, which have not been deposited on account of any dispute.
10. The Company does not have accumulated losses as at the end of the financial year
and has not incurred cash losses during the financial year covered by our audit and during
the immediately preceding financial year.
11. Based on our audit procedures and according to the information and explanations
given by the management, we are of the opinion that the Company has not defaulted in
repayment of its dues of any financial institution or bank during the year.
12. The Company has not granted any loans and advances on the basis of security by way
of pledge of shares and other securities.
13. The provisions of any special statute applicable to chit fund/nidhi/mutual benefit
fund/societies are not applicable to the Company.
14. Based on our examination of the records and documents of the Company, and according
to the information and explanation given to us, we are of the opinion that the Company is
not dealing or trading in shares, securities, debentures and other investments, and
therefore clause (xiv) of the Order is not applicable to the Company.
15. In our opinion, the terms and conditions on which the Company has given guarantees
for loans taken by others from banks or financial institutions are not prejudicial to the
interests of the Company.
16. Based on the information and explanations, the Company has not obtained any term
loans that were not applied for the purposes for which these were raised
17. Based on the information and according to the information and explanations given to
us and on an overall examination of the balance sheet of the Company, in our opinion,
there are no funds raised on a short term basis which have been used for long term
investment or vice versa.
18. 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
during the year.
19. The Company has not issued any debentures during the year.
20. The Company has not raised any money by public issue during the year.
21. Based upon audit procedures performed and information and explanations given by the
management of the Company, we report no fraud on or by the Company has been noticed or
reported during the course of our audit.
|
For Nangia & Co. |
|
Chartered Accouritants |
|
Firm Registration No.: 002391C |
| Signed at New Delhi on May 27, 2014 |
Vikas Gupta |
|
Partner, |
|
Membership No. 076879 |
+91-9892691696
