yogi polyesters ltd share price Auditors report

YOGI POLYESTERS LIMITED ANNUAL REPORT 1999-2000 AUDITORS REPORT To The Members of YOGI POLYESTERS LIMITED Vadodara. We have audited the attached Balance Sheet of Yogi Polyesters Limited as at 31st March 2000 and also the annexed Profit and Loss Account of the Company for the year ended on that date and report that: 1. 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. 2. 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 the books. 3. The Balance Sheet and Profit and Loss Account dealt with by this Report are in agreement with the books of Account. 4. In our opinion, Company has complied with accounting standards as referred in Section 211 (3C) of the Companies Act, 1956. 5. In our opinion and to the best of our information and according to the explanation given to us, the accounts, read with the notes thereon give the information required by the Companies Act, 1956 in the manner so required and give true and fair view: a} in the case of Balance Sheet of the state of affairs of the Company as at 31st March 2000 and b} in the case of Profit and Loss Account of the loss of the Company for the year ended that date. 6. As required by the manufacturing and other Companies (Auditors Report) Order, 1988, issued by the Central Government and on the basis of such checks as we considered appropriate, we further state that:- i) According to the information given to us the Company has maintained a Fixed Assets Register however, the same has not been produced before us for verification. The Company has physically verified its Fixed Assets at the year end. ii) The Company has not revalued fixed assets. iii) The stock of Finished Goods, Raw Materials have been physically verified by the management at the end of the year. In our opinion same is reasonable with regard to size of the Company. iv) According to the information and explanation given to us, in our opinion the procedures of physical verification of stocks followed by the management are reasonable in relation to the size of the Company and the nature of its business. v) The discrepancies noticed on such verification between the physical stock and book records were not material, having regard to the size of the operations of the Company, Reconciliation for the same has been done. vi) In our opinion, on the basis of our examination of stock records the valuation of stock is fair and proper in accordance with the normally accepted accounting principles and is on the same basis as in the accounting year. vii) The Company has taken interest free loans, secured or unsecured from Companies, firms or other parties listed in the Register maintained u/s 301, -370 (1 C) of the Companies Act, 1956. The other terms and conditions of such loans have not been stipulated. viii) The company has not granted loans, secured or unsecured to Companies, firms or other parties listed in the Register maintained u/s 301 and 370 (1C) of the Companies Act, 1956. ix) The principal amount and interest thereon in respect of loans and advances in the nature of loans given by the Company to employees and others etc. have been recovered regularly as stipulated wherever applicable. x) In our opinion and according to the information and explanation given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of stores including components, plant and machinery, equipment, other assets and sale of goods. xi) In our opinion and information and explanations given to us the price paid for the purchase of stores, raw materials including components, sale of goods and service rendered in excess of Rs.50,000/- in value for each type from firms or Companies in which the Directors are interested as listed in the Register maintained u/s. 301 of the Companies Act, 1956 are reasonable as compared to the prices of similar goods or services supplied by other parties. xii) According to the information and explanations given to us, the Company has no unserviceable or damaged consumable stores. xiii) The Company has not accepted Deposits within the stipulation of Section 58A of the Companies Act, 1956. xiv) The Company has accounted for scrap/waste generated during the year. The Company does not have a by-product. xv) We have been informed that maintenance of cost records has not been prescribed by the Central Government under section 209 (i) (d) of the Companies Act, 1956. xvi) The Company does not have any formal internal audit system. Management has confirmed that steps have been taken to introduce internal audit system. xvii) In our opinion and as per information and explanation given to us, Provident Fund and ESI are not applicable to the Company. xviii) According to information and explanations given to us, there is no undisputed amount payable in respect of Income Tax, Wealth Tax, Sales Tax, Custom Duty and Excise Duty which has remained outstanding as at 31st March, 2000 for a period of more than six months from the date it becomes payable. xix) According to information and explanations given to us, and on the basis of records examined by us no personal expenses, have been charged to revenue account other than those payable under contractual obligation or in accordance with the generally accepted business practice. xx) The Company is a Sick Industrial Company within the meaning of clause (O) of sub section (1) of Section-3 of the Sick Industrial Companies (Special Provisions) Act, 1985 and reference has been made to the Board for Industrial and Financial Reconstruction under section 15 of that Act. For and on behalf of D.N.SHUKLA & CO. Chartered Accountants (P.J.Mankad) Partner DATE : 5th September 2000 Place: MUMBAI