The Members of Bhagawati Oxygen Limited Report on the Financial Statements
We have audited the accompanying financial statements of Bhagawati Oxygen Limited ("theCompany1') which comprise the Balance Sheet as at March 31 2014the Statement of Profit and Loss and Cash Flow Statement for the year then ended and asummary of significant accounting policies and other explanatory information
Managements Responsibility (or the Financial Statements
Management is responsible for the preparation of these financial statements that give atrue and fair view of the financial position financial performance and cash flows of theCompany in accordance with the Accounting Standards referred to in sub-section (3C) ofsection 211 of the Companies Act 1956 ("the Act"). This responsibility includesthe design implementation and maintenance of internal control relevant to the preparationand presentation of the financial statements that give a true and fair view and are freefrom material misstatement 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 assurance aboutwhether the 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 control relevant to the Company's preparation of financialstatements and fair presentation of the financial statements ir order to design auditprocedures that are appropriate in the circumstances but not for the purpose ofexpressing an opinion orr the effectiveness of the company's internal control An auditalso includes evaluating the appropriateness of accounting policies used and thereasonableness of the accounting estimates made by management as well as evaluating theoverall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion
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 March31 2014;
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
b) Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order 2003 ("theOrder") issued by the Central Government of India in terms of sub-section (4A) ofsection 227 of the Act we give in the Annexure a statement on the matters specified inparagraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act we report that;
a) we have obtained all the information and explanations which to the best of ourknowledge and 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 appears from our examination of those books;
c) the Balance Sheet Statement of Profit and Loss and Cash Flow Statement dealt withby 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 subsection (3C) of section211 of the Companies Act 1956
e) On the basis of the written representations received from the Directors as on March312014 and taken on record by the Board of Directors we report that none of theDirectors is disqualified as on March 312014 from being appointed as Directors of theCompany in terms of (g) of sub-section(l) of section 274 of the Companies Act 1956
For CHATURVEDI & CO.
Firm Registration No.-302137E
S. C. Chaturvedi
Place : Kolkata
Date : 30th May 2014
ANNEXURE TO THE AUDITORS REPORT
(Referred to in Paragraph 1 of "Other Legal and Regulatory requirements" ofour Audit Report)
a) in respect of Fixed Assets:
1 The Company has maintained proper records showing full particulars includingquantitative details and situation of its Fixed Assets.
2 As explained to us the fixed assets have been physically verified by the managementat reasonable intervals. No serious discrepancies were noticed on such physicalverification.
3 No part of fixed assets has been disposed off during the year.
b) In respect of Inventories:
2. As explained to us the physical verification of inventory has been conducted by themanagement at reasonable intervals. In our opinion the frequency of the verification isreasonable having regard to the size of the Company and nature of its business.
3. In our opinion and according to the information and explanations given to us theprocedures and frequency of physical verification of inventories followed by themanagement are reasonable and adequate in relation to the size of the Company and natureof its business.
4. The Company has maintained proper records of inventory. As explained to us therewas no material discrepancies noticed on physical verification of inventory as compared tothe book records.
c) As informed to us the Company has neither granted nor taken any loans secured orunsecured to/from the companies firms or other parties covered in the registermaintained under section 301 of the Companies act 1956.
d) 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 purchase of goods fixed assets and sale of goodsand services. During the course of our audit no major weakness has been noticed in theinternal control.
e) (a) In respect of contracts or arrangements entered in the register maintained inpursuance to the section 301
of the Companies act 1956 to the best of our knowledge and belief and according tothe information and explanations given to us the particulars of contract referred to inSection 301 that need to be entered into the register maintained under that section havebeen so entered.
(b) In our opinion and according to the information and explanations given to us thetransactions pursuant to such contract have been made at prices which are reasonable tothe prevailing market prices at the relevant time.
f) The Company has not accepted any deposits from the public within the meaning ofsection 58A and 58AA and any other relevant provisions of the act.
g) In our opinion the internal audit system of the Company is commensurate with thesize and nature of its business.
h) The Central government has prescribed to the company for the maintenance of Costrecords as referred under clause (d) of sub section (1) of Section 209 of the Companiesact 1956. We are of the opinion that piima facie
(he prescribed accounts and records have been made and maintained However we are notmade any detailed examination of the records with a view to determine whether they areaccurate and complete
i) a) According to the records of the Company the Company is generally regular indepositing the undisputed statutory dues including Income Tax and other statutory duesapplicable to it with the appropriate authorities. According to the information andexplanations given to us there are no undisputed amounts payable in respect of Incometax wealth Tax service tax Sale tax custom duty and excise duty which are outstandingat the yearend for a period of more than six months from the date they became payable b)According to the information and explanations given to us and as per the records of theCompany examined by us the particulars of dues of Income Tax and Value Added Tax whichhave not been deposited on account of any dispute as at March 312014 are given below:
|Name of the Statute ||Nature of dues ||Amount (in Rs.) ||Period to which the amount relates ||Forum where pending |
|1 Income Tax Act. 1961 ||Income Tax ||167845/- ||2010-2011 ||CIT (Appeal) Kolkata |
| ||Tax deducted at source ||52 100/- ||2007-2008 ||CIT (Appeal) Kolkata |
| || ||67720/- ||2008-2009 ||CIT (Appeal) Kolkata |
| ||. ||53610/- ||2008-2009 ||CIT (Appeal) Kolkata |
a) The Company does not have any accumulated loss at the end of the financial year andthere is no cash loss in the current year and the immediately preceding financial year.
b) As per the books and records maintained by the Company and according to theinformation and explanations given to us the Company has not defaulted in repayment ofdues to any financial institutions or banks or debenture holders.
c) According to the information and explanations given to us and based on thedocuments and records produced to us the Company has not granted loans and advances onthe basis of security by way of pledge of shares debentures and other securities.
d) In our opinion and according to the information and explanations given to us. thenature of activities of the Company does not attract any special status applicable to chitfund and nidhi /mutual benefit fund/ societies
e) As informed and explained to us the Company is not dealing or trading in sharessecurities debentures and other investments during the year. In our opinion and accordingto the information and explanations given to us. proper records have been maintained ofthe transactions and contracts relating to other investment and timely entries have beenmade therein. The shares and other investments have been held by the Company in its ownname.
f) According to the information and explanations given to us the Company has not givenany guarantee for loans taken by others from Banks and financial institutions. during theyear.
g) In our opinion the tern loan has been applied for the purpose for which they wereraised.
h) According to information and explanations and on overall examination of the balancesheet of the Company we report that no funds raised on short term basis which have beenused for long term investments during the year.
i) The Company has not made any preferential allotment of shares to parties orcompanies covered in the register maintained under section 301 of the Companies Act 1556.
j) The Company did not have any outstanding debentures during the year.
k) The Company has not raised any money through public issue during the year.
l) Based on the information and explanations furnished by the management which havebeen relied upon by us there were no frauds on or by the Company noticed or reportedduring the year.
| ||For CHATURVEDI 4 CO. |
| ||Chartered Accountants |
| ||Firm Registration No.-302137E |
|Place : Kolkata ||S. C. Chaturvedi |
|Date : 30th May 2014 ||(Partner) |