ANNUAL REPORT 1998-99
PREMIUM INDUSTRIES INDIA LIMITED
AUDITORS' REPORT TO THE MEMBERS OF PREMIUM INDUSTRIES INDIA LIMITED
We have audit the attached Balance Sheet of PREMIUM INDUSTRIES INDIA
LIMITED.,(formerly: Premium Coke Mfg. Co. Pvt. Ltd.) as at 31st March,1999
together with the related Profit & Loss Account for the year ended on that
date and report that:
1. In our opinion and to the best of our information and according to the
explanations given to us, the Balance Sheet and Profit Loss Account read
together with the notes thereon and attached thereto,given in the
prescribed manner, the information required by the Companies Act, 1956 in
the manner so required subject to the notes in Schedule 26 of notes to the
accounts, give a true and fair view
i) in the case of the Balance Sheet of the state of affairs of the Company
as at 31st March,1999 and
ii) in the case of the Profit & Loss Account of the profit for the year
ended on that date.
2. We have obtained all the information and explanations which to the best
of our knowledge and belief were necessary for the purpose of our audit.
3. In our opinion, proper books of accounts as required by the Companies
Act,1956 have been kept by the Company so far as appears from our
examination of those books.
4. The Balance Sheet and Profit & Loss Account are in agreement with the
books of account as submitted to us.
5. In our opinion, the Profit & Loss Account and Balance Sheet comply with
the accounting standards recommended by the Institute of Chartered
Accountants for India except:
(a) Accounting Standard-2 regarding valuation of Work in Progress.
(b) Accounting Standard-10 regarding maintenance of Fixed Asset register.
(a) Accounting Standard 15 regarding provision in respect of retirement
benefits to employees as mentioned in Schedule 26.
6. As required by the Manufacturing and other Companies (Auditors Report)
Order,1988 and according to the informations and explanation given to us
and on the basis of such checks as were considered appropriate, we further
i) The Company has maintained proper record showing full particulars
including quantitative details and situation of its fixed asset The fixed
assets of the Company have been physically verified by the management
during the year, and no discrepancy was noticed on such verification.
ii) The fixed assets have not been revalued during the year.
iii) In our opinion, the procedure of physical verification of finished
goods,raw-materials,stores and spares, followed by the management is
reasonable and adequate in relation to the size of the Company and the
nature of its business.
iv) In our opinion. the basis of valuation of stock is fair and proper and
in accordance with the normally accepted accounting principal and is on the
same basis as in the earlier years.
v) The rate of interest and terms and condition on which the loans have
been taken from companies, firms or other parties listed in the register
maintained under section 301 of the Companies Act, 1956 are not prima
facie, prejudicial to the interest of the Company.
vi) The Company has not granted any loans to the Companies, firms or other
parties listed in the register maintained under Section 301 of the
Companies Act, 1956 and to the Companies under the same management.
vii) The parties to whom loans or advances in the nature of loans have been
granted by the Company are regular in repaying the principal amounts as per
stipulation and also repaying the interest wherever applicable. No
stipulation for repayment have been prescribed the company for interest
from advances in the nature of loans given to staff by the Company.
viii) On the basis of our evaluation of the internal control procedure and
according to the informations and explanations given to us the adequate
internal control commensurate with the size of the Company and the nature
of its business in relation to the purchase store including components,
plant & machinery, equipments and other asset and with regard to sale also.
ix) The unserviceable or damaged stores are determined at the time of
physical verification of the same. As explained to us there is such
unserviceable or damaged stores found on such physical verification.
x) The Company has not received any deposits from public within the meaning
of Section 58A of the Companies Act, 1956.
xi) The Company has got no by-products or scraps generated out of
manufacturing process carried out by the Company.
xii) Internal audit has been carried out by a Firm of Chartered Accountants
during the year under audit.
xiii) Central Government has not prescribed maintenance of cost records
under Section 209(i)(d) of the Companies Act, 1956.
xiv) The Company is generally regular in depositing Provident Fund and
Pension Fund dues.
xv) No undisputed amounts of Income Tax, Wealth Tax, Sales Tax,Customs Duty
were outstanding as on 31.03.99 for more than months from the date they
xvi) No Personal expenses have been charged to revenue except those payable
under contractual obligations or in accordance generally accepted business
xvii) The Company is not a Sick Industrial Undertaking within the meaning
of clause (O) of Sub-Section (i) of Section 3 of the Sick Industrial
Companies (Special Provisions) Act, 1985.
xviii) No provisions of any special statute is applicable to this Company.
For J. GUPTA & CO.
S. P. DUTTA
Place: 12, Waterloo Street,
Dated : the 23rd day of August,1999.