TO THE MEMBERS OF Alka India Limited
Report on the Financial Statements
We have audited the accompanying financial statements of Alka India Limited ("thecompany")which comprise the Balance Sheet as at 31 March 2016 the Statement ofProfit and Loss the Cash Flow Statement for the year then ended and a summary ofsignificant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
The Companys Board of Directors is responsible for the matters in section 134(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 the maintenance of adequate accounting records in accordancewith the provision of the Act for safeguarding of the assets of the Company and forpreventing and detecting the frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of internal financial control thatwere operating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.
Our responsibility is to express an opinion on these financial statements based on ouraudit. We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified undersection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on theauditors judgment including the assessment of the risks of material misstatement ofthe financial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal financial control relevant to the Companyspreparation of the financial statements that give true and fair view in order to designaudit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of theaccounting estimates made by Companys Directors as well as evaluating the overallpresentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the 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 state of affairs of the Company as at March31 2016;
b) in the case of the Statement of Profit and Loss of the profit for the year ended onthat date; and
c) in the case of the Cash Flow Statement of the cash flows for the year ended on thatdate.
Emphasis of Matters
The reports should be read together with the Notes to the financial statements.
Report on other Legal and Regulatory Requirements
As required by section 143(3) of the Act we report that:
a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion proper books of account as required by law have been kept by theCompany so far as appears from our examination of those books.
c) the Balance Sheet the Statement of Profit and Loss and Cash Flow Statement dealtwith 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 FlowStatement comply with the Accounting Standards referred to in section 133 of the CompaniesAct 2013 read with rule 7 of the Companies (Accounts) Rules 2014.
e) On the basis of written representations received from the directors as on 31 March2016 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2016 from being appointed as a director in terms of Section 164(2) of theAct.
f) With respect to the other matters included in the Auditors Report and to ourbest of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financialposition in its financial statements;
ii. The Company does not have any long-term contracts including derivatives contractsfor which any provision is required;
iii. The Company is not required to transfer amounts to the Investor Education andProtection Fund.
For Agrawal Jain & Gupta.
Firm Registration No.:013538C
CA Narayan Swami
Partner M. No 409759
Place : Mumbai
Date : May 11 2016
ANNEXURE TO AUDITORS REPORT
Additional Information annexed to the Independent Auditors Report
(i) (a) The company is maintaining proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) We are informed that fixed assets have been physically verified by the managementat reasonable intervals; no material discrepancies were noticed on such verification. (c)We are informed that the title deeds of immovable properties are held in the name of thecompany.
(ii) (a) As explained to us physical verification of inventory has been conducted atreasonable intervals by the management in our opinion the frequency of such verificationis reasonable.
(b) As per the information given to us the procedures of physical verification ofinventory followed by the management are in our opinion reasonable and adequate inrelation to the size of the company and the nature of its business;
(c) The company is maintaining proper records of inventory and in our opiniondiscrepancies noticed on physical verification of inventory were not material in relationto the operations of the Company and the same have been properly dealt with in the booksof account.
(iii) As explained to us the company has not granted any loans secured or unsecuredto companies firms Limited Liability Partnerships or other parties covered in theregister maintained under section 189 of the Companies Act 2013.
(iv) As explained to us in respect of loans investments guarantees and securityprovisions of section 185 and 186 of the Companies Act 2013 have been complied with.
(v) As explained to us the company has not accepted any deposits whether thedirectives issued by the Reserve (vi) We are informed that maintenance of cost recordsspecified by the Central Government under sub-section (1) of section 148 of the CompaniesAct 2013 are not applicable to the company.
(vii) (a) According to information and explanation given to us and records examined byus the company is generally regular in depositing undisputed statutory dues includingprovident fund employees state insurance income-tax sales-tax service tax dutyof customs duty of excise value added tax cess and any other statutory dues to theappropriate authorities and there were no undisputed arrears of outstanding statutorydues as on the 31.03.2016 for a period of more than six months from the date they becamepayable.
(b) As explained to us there are no dues of income tax or sales tax or service tax orduty of customs or duty of excise or value added tax which have not been deposited onaccount of any dispute except demand of Rs. 11.65 lacs u/s 271(1C) for the assessmentyear 2007-08.
(viii) As explained to us the company has not defaulted in repayment of loans orborrowing to a financial institution bank Government or dues to debenture holders.
(ix) As explained to us no moneys were raised by way of initial public offer orfurther public offer (including debt instruments) and no term loans were applied for thepurposes other than for which those are raised.
(x) According to information and explanation given to us and records examined by us nofraud by the company or any fraud on the Company by its officers or employees has beennoticed or reported during the year.
(xi) According to information and explanation given to us and records examined by usmanagerial remuneration has been paid or provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct.
(xii) This clause is not applicable to the company.
(xiii) According to information and explanation given to us and records examined by usall transactions with the related parties are in compliance with sections 177 and 188 ofCompanies Act 2013 where applicable and the details have been disclosed in the FinancialStatements etc. as required by the applicable accounting standards;
(xiv) The company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review.
(xv) According to information and explanation given to us and records examined by usthe company has not been entered into any non-cash transactions with directors or personsconnected with him.
(xvi) The company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.
For Agrawal Jain & Gupta Chartered Accountants
CA Narayan Swami
Partner M. No - 409759
May 11 2016