The Member of
M/S RELICAB CABLE MFG. PVT. LTD.
Report on the Financial Statements
We have audited the accompanying financial statements of M/S RELICAB CABLE MFG. PVT.LTD. (" the Company) which comprises the Balance Sheet as at March 31 2013 andthe statement of Profit and Loss Account for the year then ended and a summary ofsignificant accounting policies and other explanatory information.
Management Responsibility for 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 is in accordance with the Accounting Standards referred to in sub-section (3) ofsection 211 of the Companies Act1956 ("the Act" ). This responsibility includethe design implementation and maintenance of internal control relevant to the preparationand presentation of financial statement that give a true an fair view and are free frommaterial 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 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 control relevant to the Company's preparation and fair presentation ofthe financial statements in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of accountingpolicies used and the reasonableness of the accounting estimates made by management aswell as evaluating the overall presentation of the financial statements.
Fe believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis r our audit opinion.
In our opinion and to the best of our information and according to the explanationsgiven to us the inancial statements give the information required by the Act in themanner so required and give a rue 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 2013; and
b) in the case of the Profit and Loss Account of the profit for the year ended on thatdate.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2003 ("the Order")as amended 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 and Statement of Profit and Loss dealt with by this Report are inagreement with the books of account.
d) in our opinion the Balance Sheet and Statement of Profit and Loss comply with theAccounting Standards referred to in subsection (3C) of section 211 of the Companies Act1956;
e) on the basis of written representations received from the directors as on March 312013 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2013 from being appointed as a director in terms of clause (g) ofsub-section (1) of section 274 of the Companies Act 1956.
| ||FOR D. K. VORA & CO. |
| ||CHARTERED ACCOUNTANTS |
| ||(REGISTRATION NO. U1622W) |
| ||(D.K. VORA) |
|PLACE:- MUMBAI. ||PROPRIETOR |
|DATE: - 28TH AUGUST 2013 ||MEMBERSHIP NO. 31809. |
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph  of our report of even date)
(a) The company is maintaining proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) The management has physically verified the fixed assets during the year and nomaterial discrepancies were noticed on such verification between the physical and bookrecords. In our opinion the frequency of verification is reasonable having regard to thesize of the company and nature of its fixed assets.
(c) Since there is no disposal of substantial part of fixed assets during the yearparagraph 4(i) (c) of the said Order is not applicable.
(a) The inventories were physically verified by the management at reasonable intervals.
(b) The procedures of physical verification of inventories followed by the managementare reasonable and adequate in relation to the size of the company and the nature of itsbusiness.
(c) The company has maintained proper records of its inventories and no discrepancieswere noticed on such physical verification between physical stock and the book records.
(a) As informed to us the company has not granted loans secured or unsecured tocompanies firms or other parties covered in the register maintained under section 301 ofthe companies Act 1956. The company has taken loans from parties covered in the registermaintained under section 301 of the Companies Act. The maximum amount involved during theyear was Rs. 87.61 lakhs and the year end balance of such loans taken was Rs. 87.61 Lakhsin respect of six parties.
(b) Rate of interest and other terms and conditions on which loans have been taken bythe company are not prima facie prejudicial to the interest of the company.
(c) The payment of principal amount and interest are regular as stipulated.
(d) Company has taken reasonable steps for payment of principal and interest whereoverdue amount is more than Rs.One Lakh.
4) In cur opinion and according to the information and explanation given to us thereare adequate internal control procedures commensurate with the size of the company and thenature of its business for the purchase of inventory and fixed assets and for the sale ofgoods. During the course of our audit no major weakness has been noticed in the internalcontrol.
5) Based on the audit procedures applied by us and according to the information andexplanations provided by the management we are of the opinion that the transactions thatneed to be entered into the register maintained under section 301 have been so entered. Inrespect of transaction with parties with whom transactions exceeding value of Rupees fivelakhs have been entered during the financial year are at prices which are reasonablehaving regards to the prevailing market prices at the relevant time.
6) The Company has taken unsecured loans from the directors shareholders and theirrelatives. However company has not filed the return of deposit with the Registrar ofCompanies and/or Reserve bank of India.
7) In our opinion the Company has an internal audit system commensurate with the Sizeand nature of business.
8) To the best of our knowledge and as explained the Central Government has notprescribed maintenance of the cost records under section 209(1)(d) of the Companies Act1956.
9) According to the records of the Company the Company is generally regular indepositing undisputed statutory dues including Sales Tax and other statutory duesapplicable to it with the appropriate authorities. According to information andexplanation given to us no undisputed amounts payable in respect of income tax salestax custom duty excise duty were outstanding at the year end for a period of more thansix months from the date they became payable.
According to the records of the Company there are no dues outstanding of sales taxincome tax custom duty wealth tax and cess on account of any dispute.
10) The Company has no accumulated losses at the end of the financial year and it hasnot incurred any cash losses in the current and immediately preceding financial year.
11) Based on our audit procedures and on the information and explanations given by themanagement we are of the opinion that the Company has not defaulted in repayment of duesto a financial institution and bank. The Company does not have any borrowings by way ofdebentures.
2) Based on our examination of document and records we are of the opinion that theCompany has not granted loans and advances on the basis of security by way of pledge ofshares debentures and other securities accordingly the provisions of clause 4(xiv) of theCompanies (Auditor' s Report) order 2003 are not applicable to the company.
3) In our opinion and according to the information and explanations given to us thenature of activities of the Company does not attract any special statute applicable tochit fund and nidhi/mutual benefit fund/societies.
4) In our opinion the company is not dealing in or trading in shares securitiesdebentures and other investments. Accordingly the provisions of clause 4(xiv) of theCompanies (Auditor' s Report) order 2003 are not applicable to the company.
15) According to the information and explanations given to us the Company has notgiven any guarantee for loans taken by its subsidiaries and associates from banks orfinancial institutions.
16) The Company has taken Term Loan from Bank. The Term Loan has been applied for thepurpose for which they were realized.
17) According to information and explanations given to us and on an overall examinationof the balance sheet of the company we report that no funds raised on short-term basishave been used for long-term investment. No long term funds have been used to financeshort term assets.
18) During the year company has not allotted any shares.
19) The Company did not have any outstanding debentures during the year.
20) The Company has not raised any money through a public issue during the year.
21) Based upon the audit procedures performed and information and explanations given bythe management we report that no material fraud on or by the Company has been noticed orreported during the course of our audit.
| ||FOR D.K. VORA & CO. |
| ||CHARTERED ACCOUNTANTS |
| ||(REGISTRATION NO. 111622W) |
| || |
| ||(D.K. VORA) |
|PLACE: - MUMBAI ||PROPRIETOR. |
|DATE: - 28th AUGUST 2013 ||MEMBERSHIP NO. 31809. |