To the Members of
Advance Powerinfra Tech Limited
Report on the Financial Statements
We have audited the accompanying financial statements of Advance Powerinfra Tech Ltd("the company") which compromise the Balance Sheet as at 31st March 2015 andthe statement of Profit and Loss and Cash Flow Statement for the period from 01.04.14 to31.03.15 and a summary of signification policies and other explanatory information.
Managements Responsibility for the Financial Statements
The Companys Board of Directors is responsible for the matters stated in section134(5) of the Companies Act 2013 (the Act) with respect to the preparation of thesefinancial statements that give a true and fair view of the financial position financialperformance and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards specified under section133 of the Act read with Rule 7 of the Companies (accounts ) Rules 2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provision of the Act for safeguarding the assets of the company and for preventing anddetecting frauds and other irregularities selection and application of appropriateaccounting policies ; making judgements and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the Accounting recordsrelevant to the preparation and presentation of the financial statements that give a trueand fair view and are free from material misstatements whether due to fraud or error.
Our responsibility is to express an opinion on these financial statements based on ouraudit. We conducted our audit in accordance with the Standards on Auditing issued by theInstitute of Chartered Accountants of India. Those standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable about whether thefinancial statements are free from material misstatement. An audit involves performingprocedures to obtain audit evidence about the amounts and disclosures in the financialstatements. The procedures selected depend on the auditors judgment including theassessment of risk of material misstatement of the financial statements whether due tofraud or error. In making those risk assessments the auditor considers internal controlrelevant to the companys preparation and fair presentation of the financialstatements in order to design audit procedures that are appropriate in the circumstances.An audit also includes evaluating the overall presentation of the financial statements. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our qualified audit opinion on the financial statement.
Basis of Qualified Opinion
The Management of Advance Powerinfra Tech Limited has considered that no provision isrequired against fall in the value of investment held at a cost of Rs. 279.93 Lacs inshares of quoted and unquoted Companies. Attention is invited to the following a. Note 11a regarding the opinion framed by the Company for non provision of diminution In the valueof quoted investments. b. Note 11-b regarding non provision for diminution in value ofunquoted investments.
The overall effect of the aforesaid matters on the financial statements for period from1st April 2014 to 31st March 2015 and the corresponding figures for the period from 1stApril 2014 to 31st March 2015 could not be determined.
In our opinion and to the best of our information and according to the explanation sgiven to us except for the effects of the matter described in the Basis for QualifiedOpinion paragraph the financial statements give the information required by the Act inthe manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India: a. In the case of the Balance Sheet of the stateof affairs of the Company as at March 31st 2015; b. In the case of the Profit and LossAccount of the profit for the period from 1st April 2014 to 31st March 2015; and c. Inthe case of the Cash Flow Statement of the cash flows for the period from 1st April 2014to 31st March 2015
Emphasis of matter
We draw attention towards certain debts and loans receivables due for over three yearsor more specifically described in note no.26 which are subject to confirmation and noprovision has been made by the management for the same.
Report on Other Legal and Regulatory Requirements
1. As required by the Company (Auditors Report) Order 2015 (" theOrder") issued by the Central
Government of India we give in the Annexure a statement on the matters specified inparagraph 3 and 4 of the order.
2. As required by Section 143(3) of the Act we report that:
a. We have obtain all information and explanations which to the best of our knowledgeand belief were necessary for the purpose of our audit;
b. In our opinion proper books of account as required by law have been kept by theCompany so far as appear s from our examination of those books.
c. The Balance sheet Statement of Profit and Loss and Cash flow statement dealt withby the Report are in agreement with the books of account.
d. In our opinion the Balance Sheet Statement of Profit and Loss and the Cash Flowstatement comply with the Accounting Standards specified under Section 133 of the Actread with Rule 7 of the Companies (Accounts) Rules 2014.
e. On the basis of written representation received from the directors as on 31st March2015 and taken on record by the Board of Directors none of the directors is Disqualifiedas on 31st March 2015 from being appointed as a director in terms of Section 164 (2) ofthe Act.
| ||For K . M ROY |
| ||CHARTERED ACCOUNTANTS |
| ||K. M. ROY |
|Place: Kolkata ||PROPRIETOR |
|Date: 30th May 2015 ||Membership no : 53720 |
The Annexure referred to in paragraph 1 of the Our Report of even date to the membersof Advance Powerinfra Tech Limited on the accounts of the Company for the year ended 31stMarch 2015.
On the basis of such checks as we considered appropriate and according to theinformation and Explanation given to us during the course of our audit we report that
1. The company has maintained proper records showing full particulars includingquantitative details and situation of its fixed assets. As explained to us fixed assetshave been physically verified by the management at reasonable intervals; no materialdiscrepancies were noticed on such verification. In our opinion and according to theinformation and explanations given to us no fixed assets has been disposed during theyear and therefore does not affect the going concern assumption. As explained to usinventories have been physically verified during the period by the management atreasonable intervals.
2. In our opinion and according to the information and explanations given to us theprocedures of physical verification of inventories followed by the management arereasonable and adequate in relation to the size of the company and the nature of itsbusiness. In our opinion and the basis of our examination of the records the company isgenerally maintaining proper records of its inventories. No material discrepancy wasnoticed on physical verification of stock by the management as compared to book records.
3. (a ) According to the information and explanations given to us and on the basic ofour examination of the books of account the company has granted Rs. 10.78 as loans unsecured to related other parties listed in the register maintained under section 189 ofthe Companies Act 2013. (b) The Loans provided are free of interest in our opinion whichmay prejudice to the Interest of the Company
4. In our opinion and according to the information and explanations given to us thereis generally an adequate internal control procedure commensurate with the size of thecompany and the nature of its business for the purchase of inventories & fixed assetsand payment for expenses & for sale of goods. During the course of our audit no majorinstance of continuing failure to correct any weakness in the internal controls has beennoticed.
5. As per information & explanations given to us in our opinion the transactionentered into by the company with parties covered u/s 189 of the Act are reasonable. TheCompany has not accepted any deposits from the public covered under section 73 and 76 ofthe Companies Act 2013.
6. As per information & explanation given by the management maintenance of Recordshas not been prescribed by the Central Government under section 148 of the Act.
7. a) Accordingly to the information and explanations given to us and the recordsexamined by us the company has no undisputed outstanding statutory dues as at 31st March2015 for period of more than six months from the date they became payable. b) According tothe records of the company the dues outstanding of income tax wealth tax central taxcentral excise and cess as at 31st March 2015 which have not been deposited withrespective authorities on any account of any dispute are as follows:
|Name of the statute ||Nature of Dues ||Amounts (Rs.) ||Period to which the amount related ||Forum whether dispute is pending |
|Income Tax Act1961 ||Income Tax ||Rs.270608/= ||A.Y 2003-2004 ||CIT- appeal |
|Income Tax Act1961 ||Income Tax ||Rs. 12733941/= ||A.Y.2007-2008 ||CIT- appeal Tribunal |
|Income Tax Act1961 ||Income Tax ||Rs.200000/- ||A.Y. 2008-2009 ||CIT- appeal |
|Central Excise Rules 2002 ||Central Excise ||Rs.1690706/- ||P.Y. 2009-2010 ||Central Excise & Service Tax Tribunal. |
** All the aforesaid disputed pending liabilities are of erstwhile M/S Advance PowerTechnologies Ltd Which has been merged with company as per the order of Honble Highcourt of Calcutta dated 26.7.2012.
8. The company does not have any accumulated loss and has not incurred cash loss duringthe financial year covered by our audit and in the immediately preceding financial year.
9. Based on our audit procedures and on the information and explanations given by themanagement we are of the opinion that the company has not defaulted in repayment of duesto a financial institution bank or debenture holders.
10. According to the information and explanations given to us the company has notgiven any guarantees for loan taken by others from a bank or financial institution.
11. Based on our audit procedures and on the information given by the management wereport that the company has not raised any term loans during the given financial period.
12. Based on the audit procedures performed and the information and explanations givento us we report that no fraud on or by the company has been noticed or reported duringthe year nor have we been informed of such case by the management.
| ||For K.M.ROY |
| ||CHARTERED ACCOUNTANTS |
| ||(C.A. K.M.ROY) |
|Place: Kolkata ||PROPREITOR |
|Date: 30th May 2015 ||Membership no.: 053720 |