BOMBAY POTTERIES AND TILES LIMITED
ANNUAL REPORT 2011-2012
The members of
BOMBAY POTTERIES & TILES LIMITED
1. We have audited the attached Balance Sheet of BOMBAY POTTERIES & TILES
LIMITED as at 31st March, 2012, the Profit and Loss Account and also the
Cash Flow Statement for the year ended on that date annexed thereto. These
financial statements are the responsibility of the Company's management.
Our responsibility is to express an opinion on these financial statements
based on our audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe
that our audit provides a reasonable basis for our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003 issued by
the Central Government of India in terms of sub-section (4A) of Section 227
of the Companies Act, 1956 (hereinafter referred to as the 'Act'), we annex
hereto a statement on the matters specified in paragraphs 4 and 5 of the
said Order, to the extent applicable.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: -
a) We have obtained all the information and explanations, which to the best
of 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 the Company so far as appears from our examination of the books.
c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt
with by this report are in agreement with the books of account.
d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow
Statement dealt with by this report comply with the Accounting Standards
referred to in sub section (3C) of Section 211 of the Act, to the extent
e) On the basis of the written representations received from the directors
as on 31st March, 2012 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on 31st March, 2012
from being appointed as a director of the Company in terms of Section 274
(1) (g) of the Act.
f) The Company has not complied with the provisions of Section 80 of the
Act inasmuch as that it has neither redeemed the 12% Cumulative Preference
Shares amounting to Rs.19,00,000 (cumulative dividend thereon:
Rs.22,80,000), nor taken approval from Company Law Board to extend the
period of redemption, (Refer Note No. 18 (a)).
g) Subject to the matters referred to at paragraph 4 (f) above, in our
opinion and to the best of our information and according to the
explanations given to us, the said accounts read together with the
significant accounting policies and other notes thereon and those appearing
elsewhere in the accounts, give the information required by the Act in the
manner so required and give a true and fair view in conformity with the
accounting principles generally accepted in India:
i) in the case of the Balance Sheet, of the state of affairs of the Company
as at 31st March, 2012;
ii) in the case of the Profit & Loss Account, of the loss of the Company
for the year ended on that date; and
iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
For ANIL JAYKANT & CO.
Firm Registration No.; 100437W
ANIL J. SHAH
(Membership No. 11584)
Dated: 30th August,2012
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF AUDITORS' REPORT OF EVEN DATE ON THE
FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2012 OF
BOMBAY POTTERIES & TILES LIMITED.
On the basis of such checks as we considered appropriate and according to
the information and explanations given to us during the course of audit, we
1. (i) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
(ii) The physical verification of fixed assets was carried out during the
year, which, in our opinion, is reasonable considering the size of the
Company and the nature of its assets. No discrepancies were noticed on such
(iii) No substantial/major part of fixed assets has been disposed off
during the year.
2. As informed the Company does not have any inventory and as such, Clause
4 (ii) (a) to 4 (ii) (c) of the Companies (Auditor's Report) Order, 2003
(as amended) are not applicable
3. a) The Company has not granted any loans, secured or unsecured, to
Companies, firms or other parties covered in the register maintained under
Section 301 of the Act.
b) The Company has taken unsecured interest free loan from one director
covered in the Register maintained under Section 301 of the Act and there
are no terms and conditions specified in the said loan. The maximum amount
involved during the year was Rs 10562026 as at 31.03.2012 and the year end
balance was Rs 10562026. Thus the terms and conditions are not prima facie
prejudicial to the interest of the Company.
4. In our opinion and according to the information and explanations given
to us, there is adequate internal control system commensurate with the size
of the Company and the nature of its business. During the course of our
audit, no major weaknesses have been noticed in the internal control
5. According to information and explanations given to us, we are of the
opinion that the particulars of contracts or arrangements referred to in
Section 301 of the Act have been entered in the register required to be
maintained under that Section. In our opinion and according to the
information and explanation given to us.
There are no transactions made in pursuance of such contracts or
arrangements exceeding value of rupees five lakhs entered into during the
6. The Company has not accepted any deposits within the meaning of the
section 58A, 58AA or any other relevant provisions of the Act and rules
framed there under.
7. The Company does not have any formal internal audit system, However, as
explained to us, effective internal control is being exercised
8. (i) The Company is generally regular in depositing undisputed statutory
dues including Provident fund, Investor Education and Protection Fund,
Income Tax, Sales Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty,
Cess and other statutory dues applicable to the Company with appropriate
authorities. No undisputed amounts payable in respect of the aforesaid
statutory dues were outstanding as at the last day of the financial year
for a period of more than six months from the date they became payable.
(ii) According to the records of the Company, there are no dues of Income
Tax, Sales Tax, Customs Duty, Wealth Tax, Service Tax, Excise Duty, and
Cess which have not been deposited on account of any dispute.
9. In our opinion, the accumulated losses as at 31st March, 2012 of the
Company are less than fifty percent of its net worth. The Company has
incurred cash losses during the financial year and in the immediately
preceding financial year.
10. According to the information and explanations given to us, the Company
has not granted any loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
11. According to the information and explanation given to us, the Company
has not given any guarantee for loans taken by others from banks or
12. The Company has not raised any term loan during the year.
13. According to the information and explanations given to us and on an
overall examination of the cash flow statement and the balance sheet of the
Company, in our opinion, the funds raised on short term basis have, not
been used for long term investment.
14. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section 301
of the Act.
15. The Company has not issued any debentures during the year.
16. The Company has not raised any money by way of pubic issue during the
17. During the course of our examination of the books and records of the
Company, carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanations given
to us, we have neither come across any instance of fraud on or by the
Company, noticed or repotted during the year, nor have we been informed of
such case by the management.
For ANIL JAYKANT & CO.
Firm Registration No.; 100437W
ANIL J. SHAH
Dated: 30th August, 2012