to the members of Hemo Organic Limited
(Formerly known as Dinesh Allorga Limited)
Report on the Financial Statements
We have audited the accompanying financial statements of Hemo Organic Limited formerlyknown as Dinesh Allorga Limited ("the company'')which comprise the Balance Sheet asat 31 March 2015 the Statement of Profit and Loss the Cash Flow Statement for the yearthen ended and a summary of significant accounting policies and other explanatoryinformation.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters in section 134(5) ofthe 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.
This responsibility also includes the maintenance of adequate accounting records inaccordance with the provision of the Act for safeguarding of the assets of the Company andfor preventing and detecting the frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of internal financialcontrol that were operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.
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 there under.
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 the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give true and fair view in order to design audit procedures thatare appropriate in the circumstances. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of the accountingestimates made by Company's Directors as well as evaluating the overall presentation ofthe 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 2015;
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
We draw attention to the following matters in the Notes to the financial statements:
a) Since there is no pending litigation against the Company the disclosure of itsimpact in Company's financial position is not required.
b) Note 30 in the financial statement which indicates that the Company has accumulatedlosses and its Net worth has been substantially eroded the Company has incurred a netcash loss during the current year and previous year. These conditions along with othermatters indicate the existence of a material uncertainty that cast significant doubt aboutthe Company's ability to continue as a going concern. However the financial statements ofthe Company have been prepared on a going concern basis for the reasons stated in the saidNote.
Our opinion is not modified in respect of these matters.
Report on other Legal and Regulatory Requirements As required by section 143(3) ofthe 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 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) The going concern matter described in sub-paragraph (b) under the Emphasis ofMatters paragraph above in our opinion may have an adverse effect on the functioning ofthe Company.
f) On the basis of written representations received from the directors as on 31 March2015 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2015 from being appointed as a director in terms of Section 164(2) of theAct.
g) With respect to the other matters included in the Auditor's Report and to our bestof our information and according to the explanations given to us :
i. The Company does not have any pending litigations which would impact its financialposition
ii. The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses.
iii. There were no amounts which required to be transferred to the Investor Educationand Protection Fund by the Company.
| ||For Darji & Associates |
| ||Chartered Accountants |
| ||FRN.116519W |
| ||CA L.B. Darji |
|Date: 29.05.2015 ||Partner |
|Place: V.V.Nagar ||MRN. 030992 |
Report on the standalone financial statement
For the year ended March 31 2015
To the Members of Hemo Organic Limited (formerly known as Dinesh Allorga Limited)
(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) All fixed assets have not been physically verified by the management during theyear but there is a regular programme of verification which in our opinion is reasonablehaving regard to the size of the Company and the nature of its assets. No materialdiscrepancies were noticed on such verification.
(ii) (a) The management has conducted physical verification of inventory at reasonableintervals during the year.
(b) The procedures of physical verification of inventory followed by the management arereasonable and adequate in relation to the size of the Company and the nature of itsbusiness.
(c) The Company is maintaining proper records of inventory and no materialdiscrepancies were noticed on physical verification.
(iii) According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms or other parties covered inthe register maintained under section 189 of the Companies Act 2013. Accordingly theprovisions of clause3(iii)(a) and (b) of the Order are not applicable to the Company andhence not commented upon.
(iv) In our opinion and according to the information and explanations given to usthere is an adequate internal control system commensurate with the size of the Company andthe nature of its business for the purchase of inventory and fixed assets and for thesale of goods and services. During the course of our audit we have not observed any majorweakness or continuing failure to correct any major weakness in the internal controlsystem of the Company in respect of these areas.
(v) According to the information and explanations given to us the Company has notaccepted any deposit from the public. Therefore the provisions of Clause (v) of paragraph3 of the CARO 2015 are not applicable to the Company.
(vi) The Central Government has not prescribed the maintenance of cost records underclause (d) of sub-section (1) of section 148 of the Companies Act 2013 for any of itsproducts. Therefore the provisions of clause 4 (viii) of the Order are not applicable tothe Company.
(vii) (a) The Company is regular in depositing with appropriate authorities undisputedstatutory dues including provident fund income-tax sales-tax wealth-tax service taxcustoms duty excise duty value added tax cess and other material statutory duesapplicable to it. The provisions relating to employees' state insurance are not applicableto the Company.
(b) According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income-tax wealth-tax service tax sales-taxcustoms duty excise duty value added tax cess and other material statutory dues wereoutstanding at the year end for a period of more than six months from the date theybecame payable. The provisions relating to employees' state insurance are not applicableto the Company.
(c) According to Information & explanation given to us there is no dues ofincome-tax sales-tax wealth-tax service tax customs duty excise duty value added taxand cess etc:
(d) There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company in accordance with the relevant provisions ofthe Companies Act1956 (1 of 1956) and rules made there under.
(viii) The Company has accumulated losses at the end of the financial year more thanfifty per cent of its net worth and it has incurred cash losses in the current andimmediately preceding financial year.
(ix) The Company did not have any outstanding dues in respect of a bank financialinstitution or debenture holders during the year.
(x) 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.
(xi) The Company did not have any term loans outstanding during the year.
(xii) Based upon the audit procedures performed for the purpose of reporting the trueand fair view of the financial statements and as per the information and explanationsgiven by the management we report that no material fraud on or by the Company has beennoticed or reported during the year.
For Darji & Associates
Chartered Accountants FRN. 116519W CA L.B.Darji
Partner MRN. 030992.
Place: V.V. Nagar