The Members of Alpa Laboratories Limited
Report on the Financial Statements
1. We have audited the accompanying standalone financial statements of AlpaLaboratories Limited ("the Company") which comprise the Balance Sheet as at 31stMarch 2015 the Statement of Profit and Loss the Cash Flow Statement for the year thenended and a summary of significant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
2. The Companys Board of Directors is responsible for the matters stated inSection 134(5) of the Companies Act 2013 ("the Act") with respect topreparation of these financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
3. Our responsibility is to express an opinion on these financial statements based onour audit.
4. 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 there under.
5. 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.
6. An audit involves performing procedures to obtain audit evidence about the amountsand the disclosures 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 a true and fair view in order to designaudit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of the accounting policies used and the reasonableness ofthe accounting estimates made by the Companys Directors as well as evaluating theoverall presentation of the financial statements.
7. We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
8. In our opinion and to the best of our information and according to the explanationsgiven to us the financial statements give the information required by the Act in themanner 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 31stMarch 2015;
(b) in the case of the Profit and Loss Account of the loss for the year ended on thatdate; and
(c) in the case of the Cash Flow Statement of the cash flows for the year ended onthat date.
Report on Other Legal and Regulatory Requirements
9. As required by the Companies (Auditors Report) Order 2015 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Act and on the basis of such checks of the books and records of theCompany as we considered appropriate and according to the information and explanationsgiven to us we give in the Annexure a statement on the matters specified in paragraphs 3and 4 of the Order.
10. 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 it appears from our examination of those books;
c. The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statementdealt with by this Report are in agreement with the books of account;
d. In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014;
e. On the basis of the written representations received from the directors as on 31stMarch 2015 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2015 from being appointed as a director in termsof Section 164 (2) of the Act;
f. With respect to the other matters to be included in the Auditors Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigation as at 31stMarch 2015 on its financial position in its financial statements.
ii. The Company has made provision as at 31st March 2015 as required underthe applicable law or accounting standards for material foreseeable losses if any onlong-term contracts including derivative contracts.
iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company during the year ended 31stMarch 2015.
For and on behalf of C. H. PADLIYA & CO.
S. C. Padliya
Indore 29th May 2015
ANNEXURE REFERRED TO IN PARAGRPH 8 OF OUR AUDITORS REPORT OF EVEN DATE ON THESTANDALONE FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED ON 31st MARCH 2015OF ALPA LABORATORIES LIMITED
The following statement is based on the comments in the Auditors reports on thestandalone financial statements of the Holding Company and subsidiary.
(i) (a) The Holding Company and its subsidiary have maintained proper records showingfull particulars including quantitative details and situation of fixed assets.
(b) All the assets have not been physically verified by the Holding Company and itssubsidiary during the year but there is a regular program of verification which in ouropinion is reasonable having regard to the size of the Company and the nature of itsassets. No material discrepancies were noticed on such verification.
(ii) (a) We have been informed that the inventory excluding inventory with thirdparties (which have been substantially confirmed) has been physically verified during theyear by the management. In our opinion the frequency of verification is reasonable.
(b) In our opinion and according to the information and explanations given to us theprocedures of physical verification of inventory followed by the management are reasonableand adequate in relation to the size of the Company and the nature of its business.
(c) On the basis of our examination of the records of inventory in our opinion theCompany has maintained proper records of inventory and the discrepancies noticed onphysical verification between the physical stocks and the book records were not materialin relation to the operations of the Company.
(iii) The Company has not granted loans secured or unsecured to companies firms orother parties covered in the Register maintained under section 189 of the Companies Act2013. Therefore the provisions of clause 3(iii) (b) and (c) of the Companies(Auditors Report) 2015 are not applicable to the Company.
(iv) In our opinion and according to the information and explanations given to usthere are adequate internal control systems commensurating with the size of the Companyand the nature of its business with regard to purchase of inventory fixed assets and forthe sale of goods and services. Further on the basis of our examinations and according tothe information and explanations given to us we have neither come across nor have we beeninformed of any continuing failure to correct major weaknesses in the aforesaid internalcontrol systems.
(v) In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits within the meaning of section 73 and 76 of theCompanies Act 2013 and the rules framed there under.
(vi) We have broadly reviewed the books of accounts maintained by the Company pursuantto the order of the Central Government for the maintenance of cost records under subsection (1) of section 148 of the Companies Act 2013 in respect of the products dealtwith by the Company and are of the opinion that prima facie the prescribed accounts andrecords have
been made and maintained. However we have not made a detailed examination of therecords.
(vii) (a) According to the information and explanations given to us and accordingto the books and records as produced and examined by us in our opinion the Company isgenerally regular in depositing with appropriate authorities undisputed statutory duesincluding provident fund employees state insurance income tax sales tax wealthtax service tax custom duty excise duty value added tax and other statutory dues asmay be applicable to it from time to time.
According to the information and explanations given to us no undisputed statutory duesin respect of provident fund employees state insurance income tax sales taxwealth tax service tax custom duty excise duty value added tax and other statutorydues were in arrears as at 31st March 2015 for a period of more than six monthsfrom the date they became payable.
(b) According to the information and explanations given to us and records of theCompany the dues of Sales Tax Income Tax and Service Tax which have not been depositedon account of any dispute are as follows:
|Nature of Dues ||Amount ' in lacs ||Period to which the matter pertains ||Forum where dispute pending |
|Value Added Tax ||2.68 ||2002-03 ||Second appeal filed before Madhya Pradesh Appeal Board Bhopal. |
|Central Sales Tax ||12.28 ||2002-03 ||Second appeal filed before Madhya Pradesh Appeal Board Bhopal. |
|Value Added Tax ||14.25 ||2004-05 ||Second appeal filed before Madhya Pradesh Appeal Board Bhopal. |
|Central Sales Tax ||19.24 ||2004-05 ||Second appeal filed before Madhya Pradesh Appeal Board Bhopal. |
|Income Tax ||21.00 ||2007-08 ||Litigation Pending in the High Court. |
|Central Sales Tax ||1.10 ||2012-13 ||First appeal filed before Addl. Comm. of Comm. Tax Indore. |
(c) According to the records of the Company there was no amount which was required tobe transferred to investor education and protection fund in accordance with the relevantprovisions of the Companies Act 2013 and rules made thereunder.
(viii) The Company has neither accumulated losses as at 31st March 2015 norit has incurred cash loss either during the year ended on that date or in the immediatelypreceding financial year.
(ix) According to the information and explanations provided by the management Companyhas neither defaulted in repayment of dues to bank or financial institution nor has issuedany debentures.
(x) According to the records of the Company and the information and explanationprovided by the management the Company has not given any guarantees for loans taken byothers from banks or financial institutions.
(xi) As per records of the Company and information and explanations provided to us bythe management the Company has not obtained any term loans.
(xii) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstances of fraud on or by the Company noticed or reported during the year nor we havebeen informed of such case by the management.
For and on behalf of C. H. PADLIYA & CO.
S. C. Padliya
Membership Number 071666
Indore 29th May 2015