To the Members of AXEL POLYMERS LIMITED
Report on the Financial Statements
We haveauditedthe accompanyingfinancial statements of AXEL POLYMERS LIMITED whichcomprise the balance sheet as at 31 March 2015 and the statement of profit and loss andcash flow statement for the year then ended and a summary of significant accountingpolicies andother explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible forthe mattersstated in section 134(5)of the companiesAct 2013("theAct") with respect to the preparation andpresentation of these standalone financial statements that give a true and fair view ofthe financial position and financial performance and cash flows of the company inaccordance with the Accounting principles generally accepted in India includingaccounting Standards specified u/s 133of the Act readwith Rule 7 of the Companies(Accounts) Rules 2014. This responsibility includes maintenance of adequate accountingrecords inaccordance with the provision of the Act for safeguarding the assets of thecompany and 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 duetofraud or error.
Our responsibility is to express an opinion on these standalone financial statementsbased on our audit.We have taken into account the provisions of theAct the accounting andauditing standards and matters which are required to beincluded in the audit report underthe provisions of the act andthe rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified u/s143(10) of the Act.Those Standards require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether the financialstatements arefreefrom material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on theauditor'sjudgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal control relevant to the company's preparation of the financialstatements that give true and fair viewin order to design audit procedures that areappropriate inthe circumstances but notfor the purpose ofexpressing an opinionon whetherthe Company has in place an adequate internal financial controls system over financialreporting and the operating effectiveness of such controls.An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of theaccounting estimates made by management as well as evaluating theoverallpresentationofthefinancial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basisfor ouraudit opinion onthe standalone financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the above 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:
1) in the case of the balance sheet of the state of affairs of the company as at 31March 2015;
2) in the case of the statement of profit and loss of the Profit for the year ended onthat date;
3) in the case of the Cash Flow Statement of the cash flows for the year ended on thatdate.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2015 ("the Order")issued bythe Central Government of India in terms of sub-section (11) ofsection 143of theAct we give in theAnnexure a statement on the matters specified in paragraphs 3 and4oftheOrder.
2. As required bysection 143(3) of theActwe reportthat:
a. we have obtained all the information and explanations which to the best of ourknowledge andbeliefwere necessaryfor the purpose ofouraudit;
b. in our opinion proper books of account as required by law have been kept by thecompanysofar asappearsfromourexaminationofthosebooks;
c. the Balance Sheet .Statement of Profit and Lossand cashflow statement dealt withbythis Reportare in agreement with the booksof account;
d. in our opinionthe Balance Sheet andStatement of Profit and Loss comply withtheAccounting Standards referred to in section 133the Act read with rule 7 of the Companies(Accounts) Rules2014
e. on the basis of written representations received from the directors as on 31 March2015 and taken-on record by the Board of Directors none of the directors is disqualifiedas on 31 March 2015 from being appointed as a director in terms of section 164(2) oftheAct.
f. With respect to the matter to be included in the Auditor's report in accordance withRule 11 of the Companies (Audit and Auditors) Rules2014 in our opinion and to the bestofour information and accordingto the explanations given to us: .
i The Company has disclosed the impact of pending litigations on its financial positionin Note2.25(2) ofthe standalone financial statements.
ii. The Company did not have any long term contracts including derivatives contractsforwhich there werean material foreseeablelosses;
iii. There is no such amount which is required to be transfer to the Investor educationand protection fund in accordance with the relevant provisions of the CompaniesAct 1956and rules madethere under.
| ||For SHAH & BHANDARI |
| ||Chartered Accountants |
| ||Firm No: 118852W |
|Place : Vadodara ||YOGES H BHANDARI |
|Date: 30.05.2015 ||Partner |
| ||M.No.046255 |
ANNEXURE TO THEAUDITOR'S REPORT
1 (a) The company has maintained proper records showing full particulars includingquantitative details and situation of its fixed assets; however the same remainstobeupdated.
(b) As explained to us fixed assets are physically verified by the management at theyear-end which in our opinion is reasonable looking to the size of the company and itsnature of business and no material discrepancies were noticed onsuch verification.
2 (a) As explained to us Inventories has been physically verified during the year andat the year-end.
(b) In our opinion the procedures of physical verification of inventory followedby themanagement are reasonable and adequate in relation to the size of the Company andthenature of its business.
(c) The company is maintaining proper records of inventory. As informed to us the nomaterial discrepancies were noticed on physical verification of stocks as comparedto bookrecords were.
3 (a) The company has notgranted any loans secured or unsecured to companies firms orother parties covered in the register maintained under section 189 of theAct. HenceClause (03) (a)to (b) ofthe Order is notapplicable.
4. In our opinion and according to the information and explanations given to us thereare adequate internal control procedures commensurate with the size of the company and thenature of its business with regard to purchases of inventory fixed assets and with regardto the sale of goods and sale of services. During the course of our audit we have notobservedany continuing failure to correct majorweakness in internal controls.
5. The Companyhas not accepted any deposits during the year from the public within themeaning of the provisions of Section 73 & 74 of the CompaniesAct 2013 and rulesmadethere under.
6. We are informed that the Central Government has not prescribed maintenance of costrecords pursuant to Rules prescribed under Section 148(1) of theAct; henceclause (viii)ofthe order is not applicable.
7. (a) The company is not regular in depositing undisputed statutory dues includingprovident fund income-tax service tax duty of customs duty of excise value added taxor cess dues with the appropriate authorities. There are no undisputed amounts payable asat 31.03.2015 for a period of more than six months from the date they became payableexcept Income tax of Rs.3.12 Lacs.
(b) According to the information and explanation given to us there are noduesofincome-tax sales-tax service tax duty of customs duty of excise value added tax orcess dues under dispute as on 31st March 2015 except Income Tax dues:
|Name of Statue ||Nature of Dues ||Amount (Rs.) ||Period to which it relates ||Forum where the dispute is pending |
|Income.TaxAct 1961 ||IncomeTax ||38370/- ||A.Y. 2007-08 ||AssessingOfficer |
| || ||161437/- ||A.Y. 2008-09 || |
| || ||161437/- ||A.Y.2009-10 || |
8. The accumulated losses of the company exceed 50% of its net worth at the end of theFinancial year. The Company has not incurred cash losses in the current year however cashloss was incurred in immediately preceding financial year.
9. Based on our audit procedures and on the information and explanation given t o uswe are of the opinion that the company hasnot defaulted in repayment of its Loan andInterest to the bank.
10. According to the information and explanations given to us the company has notgiven any guarantee for loans taken by others from bank or financial institutions.
11. Accordin gto the information and explanations givento us no newterm loans wereavailed during the year.
12. To the best of our knowledge and belief and according to information andexplanation given to us no fraud on or by the company has been noticed or reported duringthe year under report.
| ||For SHAH & BHANDARI |
| ||Chartered Accountants |
| ||Firm No.: 118852W |
| ||(Yogesh Bhandari) |
|Place: Vadodara ||Partner |
|Date: 30.05.2015 ||M.No.046255 |