Abhayam Trading Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2014

Report on the Financial Statements

We have audited the accompanying financial statements of Apple Credit Corporation Limited ("the Company"), which comprise the Balance Sheet as at March 31, 2014, the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 ("the Act") read with the General circular 15/2013 dated 13th September of the Ministry of Corporate Affairs in respect of section 133 of the Companies Act, 2013. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor''s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company''s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Basis for Qualified Opinion

Attention is invited to Note No. 19 to the Financial Statements regarding preparation of the financial statements on "Going Concern" basis, while the net worth being completely eroded and registration to carry on the principal business as a Non Banking Finance Company being cancelled by the regulators, the Company is currently pursuing the realization of dues to the Company and settlement of existing Lenders. Other than this, the Company has not been carrying on business activity , notwithstanding this, the financial statements have been prepared as that of a going concern and consequently the terminal values of various assets and liabilities have not been determined, and we are therefore unable to express our opinion whether the preparation of the financial statements on a going concern assumption is appropriate or not

Qualified Opinion

In our opinion and to the best of our information and according to the explanations given to us, except for the effects of the matters described in the Basis for Qualified Opinion Paragraph, the financial statements 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:

a) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2014;

b) in the case of the Statement of Profit and Loss, of the loss for the year ended on that date; and

c) In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2003 ("the Order") issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 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 our knowledge 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 the Company so far as appears from our examination of those books

c) the Balance Sheet, Statement of Profit and Loss dealt with by this Report are in agreement with the books of account.

d) in our opinion, the Balance Sheet, Statement of Profit and Loss, comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956 read with the General circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of section 133 of the Companies Act, 2013;

e) On the basis of written representations received from the directors as on March 31,2014, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2014, from being appointed as a director in terms of clause (g) of sub- section (1) of section 274 of the Companies Act, 1956

The Annexure referred to in paragraph 1 under Our Report on other legal and regulatory requirements section of even date to the members of Apple Credit Corporation Limited on the accounts of the company for the year ended 31st March, 2014.

On the basis of such checks as we considered appropriate and according to the information and explanation given to us during the course of our audit, we report that:

1. (a) The company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets.

(b) According to the information and explanations given to us, fixed assets have been physically verified by the management at reasonable intervals.

(c) In our opinion and according to the information and explanations given to us, no fixed asset has been disposed during the year and therefore does not affect the going concern assumption.

2. The Company is in the business of rendering services and consequently, does not hold any inventory. Therefore the provisions of Clause 4(ii) of the said order are not applicable to the Company

3. (a) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not granted any loans, secured or unsecured, to companies, firms or other parties listed in the register maintained under Section 301 of the Companies Act, 1956. Consequently, the provisions of clauses iii (b), iii(c) and iii (d) of the order are not applicable to the Company.

(b) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not taken loans from companies, firms or other parties fisted in the register maintained under Section 301 of the Companies Act, 1956. Thus sub clauses (f) & (g) are not applicable to the company.

4. In our opinion and according to the information and explanations given to us, there is generally an adequate internal control procedure commensurate with the size of the company and the nature of its business.

5. As per information & explanations given to us and in our opinion, the Company has not entered into any contract with parties covered u/s 301 of the Act.

6. The Company has not accepted any deposits from the public covered under section 58A and 58AA of the Companies Act, 1956.

7. As per the information and explanation given by the management, the Company does not have an internal audit system for the year.

8. As per information & explanation given by the management, the Central Government has not prescribed the maintenance of cost records under clause (d) of sub-section (1) of section 209 of the Act.

9. (a) According to the records of the company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, cess to the extent applicable and any other statutory dues have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us there were no outstanding statutory dues as on 31st of March, 2014 for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us, there is no amounts payable in respect of income tax, wealth tax, service tax, sales tax, customs duty and excise duty which have not been deposited on account of any disputes.

10. The Company''s accumulated losses are more than fifty per cent of its Net Worth and the Company has continued incurring cash loss during the financial year covered by our audit.

11. Based on our audit procedure and on the information and explanations given by the management, we are of the opinion that the company has not defaulted in repayment of dues to bank. The company does not have any borrowing from financial institutions, or by issue of debentures.

12. According to the information and explanations given to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13. The Company is not a chit fund or a nidhi /mutual benefit fund/society. Therefore, the provision of this clause of the Companies (Auditor''s Report) Order, 2003 (as amended) is not applicable to the Company.

14. According to information and explanations given to us, the Company is trading in Shares, Mutual funds and other Investments. Proper records and timely entries have been maintained in this regard and further investments specified are held in their own name.

15. According to the information and explanations given to us, the Company has not given any guarantees for loan taken by others from a bank or financial institution.

16. Based on our audit procedures and on the information given by the management, we report that the company has not raised any term loans during the year.

17. Based on the information and explanations given to us and on an overall examination of the Balance Sheet of the Company as at 31st March, 2014, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

18. Based on the audit procedures performed and the information and explanations given to us by the management, we report that the Company has not made any preferential allotment of shares during the year

19. The Company has no outstanding debentures during the period under audit.

20. The Company has not raised any money by public issue during the year.

21. Based on the audit procedures performed and the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year, nor have we been informed of such case by the management.

For BRAHMAYYA & CO. Chartered Accountants Firm Regn No. 00051 IS

N. SRIKRISHNA Partner Place : Chennai Date : 29th May 2014 Membership No.26575

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Mar 31, 2011

We have audited the attached Balance Sheet of Apple Credit Corporation Limited ("the Company") as at 31st March 2011 and the Profit and Loss Account and also the Cash Flow Statement for the year ended on that date annexed thereto (the Financial Statements). 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.

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 misstatements. An audit includes examining, on the 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.

As required by the Companies (Auditor's Report) Order, 2003 ("the Order") issued by the Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956 ("the Act"), we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order to the extent applicable.

Further to our comments in the Annexure referred to above, we report that:

1) 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.

2) In our opinion, the Company has kept proper books of account as required by law so far, as appears from our examination of those books.

3) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.

4) In our opinion, the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub-section (3C) of Section 211 of the Act.

5) On the basis of written representations received from the Directors and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March 2011 from being appointed as a Director in terms of clause (g) of sub-section (1) of Section 274 of the Act.

6) Having regard to Note No. 1 of Schedule 'M' to the financial statements regarding going concern assumption of the Company we report that other than pursuing the realization of dues to the Company and settlement of existing Lenders the company has not been carrying on business activity notwithstanding the same the financial statement have been prepared as that of going concern and the terminal values of various assets and liabilities have not been determined, and we are, therefore, unable to express our opinion whether adopting the going concern assumption is appropriate or not, especially in view of various business plans explained by the management in the referred notes.

7) In our opinion and to the best of our information and according to the explanations given to us, the said accounts, subject to matter given in Para 6 above, and read with the other notes thereon give the information required by the Act, in the manner so required and give a true and fair view in conformity with accounting principles generally accepted in India:

a) In the case of the Balance Sheet of the state of affairs of the Company as at 31st March 2011.

b) In the case of the Profit and Loss Account, of the loss for the year ended on that date.

c) In the case of the Cash Flow Statement, of cash flows for the year ended on that date.



Annexure to the Auditors' Report (Referred to in our Report of even date) Matters required as per paragraph 4 and 5 of the Order.

1. a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

b) The Company has not verified all the assets during the year; hence we are unable to comment on the material discrepancies, if any, to the book records.

c) The Company has disposed of certain portion of immovable properties during the year; however, we are unable to comment on its impact on the Company's ability to continue as going concern, especially having regard to nature of its business.

2. The company has no stock in trade; hence the clause (ii) of paragraph 4 of the Order is not applicable for the year under review.

3. The Company has not taken or granted any loans from/to companies, firms and other parties listed in the Register maintained under Section 301 of the Act.

4. In our opinion and according to the information and explanations given to us, there are in general, adequate internal control procedures, commensurate with the size of the Company and the nature of its business, with regard to purchase of fixed assets and we have not observed any major weaknesses in internal control.

5. According to the information and explanations given to us, the Company has not entered into any transactions requiring to be entered in the Register maintained in pursuance of the Section 301 of the Act.

6. The Company has not accepted any deposits from the public during the year.

7. The Company does not have an Internal Audit system.

8. We have been informed that the Central Government has not prescribed the maintenance of Cost records under Section 209 (1) (d) of the Act.

9. According to the information and explanations given to us, the Company has been generally regular in depositing all the undisputed statutory dues including Provident Fund, Employees' State Insurance Scheme, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Cess and any other dues, wherever applicable. There is no undisputed amount not deposited due over six months since they became payable as on the last day of the financial year.

10. The Company's accumulated losses at the end of the financial year are more than fifty per cent of its net worth and the Company has not incurred cash losses in the current financial year. The company also did not incur cash losses during the preceding financial year.

11. The Company has not defaulted in payments of dues to Banks, financial institutions and debenture holders (the lenders) during the year, notwithstanding its one time settlement reached and paid in relation to its lenders in the earlier years.

12. As per records furnished and according to the information and explanations given to us the company has maintained proper and adequate records in respect of loans and advances granted on the basis of security by way of pledge of shares, debentures and other securities .

13. The Company is not a chit fund or a nidhi / mutual benefit fund / society. Hence the clause (xiii) of paragraph 4 of the Order is not applicable for the year under review.

14. In our opinion, the Company has maintained proper records of the transactions and contracts in respect of investments in shares, securities, debentures and other investments and timely entries have been made therein. All the investments are held by the Company in its own name.

15. The Company has not given any guarantee for loans taken by others from bank or financial institutions; hence clause (xv) of paragraph 4 of the Order is not applicable to the Company.

16. The Company has not obtained any term loans during the year; hence clause (xvi) of paragraph 4 of the Order is not applicable to the Company.

17. The Company has not raised any funds during the year; hence clause (xvii) of paragraph 4 of the Order is not applicable to the Company.

18. During the year, no preferential allotment of shares has been made to the parties and companies covered in the Register maintained under Section 301 of the Act.

19. There are no debentures outstanding as at the year end hence the question of security does not arise.

20. The Company has not raised any money through Public Issue during the year.

21. 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 not come across any fraud on or by the company, noticed or reported during the year, nor have we been informed of such case by the management

For BRAHMAYYA & CO.

Chartered Accountants

Firm Regn No.000511S

Place: Chennai N. SRIKRISHNA

Date : 30th May 2011 Partner

Membership No. 26575

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Mar 31, 2010

We have audited the attached Balance Sheet of Apple Credit Corporation Limited ("the Company") as at 31st March 2010 and the Profit and Loss Account and also the Cash Flow Statement for the year ended on that date annexed thereto (the Financial Statements). These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

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 misstatements. An audit includes examining, on the 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.

As required by the Companies (Auditors Report) Order, 2003 ("the Order") issued by the Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956 ("the Act"), we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order to the extent applicable.

Further to our comments in the Annexure referred to above, we report that:

1) 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.

2) In our opinion, the Company has kept proper books of account as required by law so far, as appears from our examination of those books.

3) The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account.

4) In our opinion, the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub-section (3C) of Section 211 of the Act .

5) On the basis of written representations received from the Directors and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 3 1st March 2010 from being appointed as a Director in terms of clause (g) of sub-section (1) of Section 274 of the Act.

6) In our opinion and to the best of our information and according to the explanations given to us. the said accounts subject to

i) Note No. 1 of Schedule M regarding going concern assumption of the Company we report that other than pursuing the realisation of dues to the Company and settlement of existing Lenders the company has not been carrying on business activity not withstanding the same the financial statement have been prepared as that of going concern and the terminal values of various assets and liabilities have not been determined and consequently the impact of such determination of terminal values on the financial statements is not ascertainable.

and read with the other notes thereon give the information required by the Act, in the manner so required and give a true and fair view in conformity with accounting principles generally accepted in India:

a) In the case of the Balance Sheet of the state of affairs of the Company as at 3f March 2010.

b) In the case of the Profit and Loss Account, of the loss for the year ended on that date.

c) In the case of the Cash Flow Statement, of cash flows for the year ended on that date.

ANNEXURE TO THE AUDITORS REPORT (Referred to in our Report of even date) Matters required as per paragraph 4 and 5 of the Order.

1. (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

(b) The Company has not verified all the assets during the year; hence we are unable to comment on the material discrepancies, if any, to the book records.

(c) The Company has disposed off substantial part of Fixed Assets during the earlier years however, we are unable to comment on its impact on the Companys ability to continue as going concern.

2. The company has no stock in trade; hence the clause (ii) of paragraph 4 of the Order is not applicable for the year under review.

3. The Company has not taken or granted any loans from/to companies, firms and other parties listed in the Register maintained under Section 301 of 7 the Act.

4. In our opinion and according to the information and explanations given to us, there are, in general, adequate internal control procedures, commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and we have not observed any major weaknesses in internal control.

5. According to the information and explanations given to us, the Company has not entered into any transactions requiring to be entered in the Register maintained in pursuance of Section 301 of the Act.

6. The Company has not accepted any deposits from the public during the year.

7. The Company does not have an Internal Audit system.

8. We have been informed that the Central Government has not prescribed the maintenance of Cost records under Section 209 (1) (d) of the Act.

9. We have been informed that during the year under review, the Company has been generally regular in depositing all the undisputed statutory dues including Provident Fund, Employees State Insurance Scheme, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Cess and any other dues, wherever applicable. There is no undisputed amount not deposited due over six months since they became payable as on the last day of the financial year.

10. The Companys accumulated losses at the end of the financial year are more than fifty per cent of its net worth and the Company has incurred cash losses in the current financial year. However the company did not incur cash losses during the preceding financial year.

11. The Company has not defaulted in payments of dues to Banks, financial institutions and debentures holders (the Lenders) during the year.

12. As per records furnished and according to the information and explanations given to us the company has maintained proper and adequate records in respect of loans and advances granted on the basis of security by way of pledge of shares, debentures and other securities

13. The Company is not a chit fund or a nidhi I mutual benefit fund / society. Hence the clause (xiii) of paragraph 4 of the Order is not applicable for the year under review.

14. In our opinion, the Company has maintained proper records of the transactions and contracts in respect of investments in shares, securities, debentures and other investments and timely entries have been made therein. All the investments are held by the Company in its own name.

15. Clause 4(xv) with regard to guarantee given for loans taken by others from bank or financial institutions is not applicable as the company has not given any guarantees.

16. The Company has not obtained any term loans during the year; hence clause (xvi) of paragraph 4 of the Order is not applicable to the Company.

17. The Company has not raised any funds during the year; hence clause (xvii) of paragraph 4 of the Order is not applicable to the Company.

18. During the year, no preferential allotment of shares has been made to the parties and companies covered in the Register maintained under Section 301 of the Act.

19. There are no debentures outstanding as at the year end hence the question of security does notarise.

20. The Company has not raised any money through Public Issue during the year.

21. 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 not come across any fraud on or by the company, noticed or reported during the year, nor have we been informed of such case by the management

For BRAHMAYYA & CO

Chartered Accountants

N. Srikrishna

Partner

Membership No. 26575

Firm Reg. No. 000511S

Place : Chennai

Date : 24-05-2010