Bharat Line Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2015

1. We have audited the accompanying financial statements of The Bharat Line Limited ("the Company"), which comprise the Balance Sheet as at March 31, 2015, the Statement of Profit and Loss and the 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:

2. The Company's Board of Directors is responsible for the matters in section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes the maintenance of adequate accounting records in accordance with the provision of the Act for safeguarding of the assets of the Company and for preventing and detecting the frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of internal financial control, that were operating effectively for ensuring the accuracy and completeness of the accounting records, 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

3. Our responsibility is to express an opinion on these financial statements based on our audit.

4. We have taken into account the provisions of the Act & the Rules made there under including the accounting standards & matters which are required to be included in the audit report.

5. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the act & other applicable authoritative pronouncements 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.

6. 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. 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.

7. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion:

8. In our opinion and to the best of our information and according to the explanation given to us, the financial statements give the information required by the Act and 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, 2015; and

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

Report on Other Legal and Regulatory Requirements:

9. As required by companies (auditor's report) order, 2015' issued by the Central government of India in terms of sub-section (11) of the section 143 of the act (hereinafter referred to as the "Order"), and on the basis of such checks of the books & records of the company as we considered appropriate & according to the information & explanation given to us, we give in the annexure a statement on the matters specified in paragraph 3 and 4 of the Order.

10. As required by section 143(3) of the Act, we report that:

a) We have sought and 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 those books

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

d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

e) On the basis of written representations received from the directors as on 31 March, 2015, taken on record by the Board of Directors, none of the directors is disqualified as on 31 March, 2015, from being appointed as a director in terms of Section 164(2) of the Act.

f) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit & Auditors) Rules, 2014, In our opinion & to the best of our knowledge & belief & according to information & explanations given to us:

i) The company has disclosed the impact of pending litigations as at March 31, 2015 on its financial position, in its financial statements.

ii) Company has made provision as at March, 31 2015 as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long term contracts including derivative contracts.

iii) There has been no delay in transferring amounts, required to be transferred, to the investor education & protection fund by the company during the year ended 31st march 2015.

ANNEXURE TO AUDITORS' REPORT

The Annexure referred to in the paragraph 9 above Auditor's Report of the even date to the members of The Bharat Line Limited on the accounts for the year ended March 31, 2015, we report that

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

(b) As explained to us, fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification

ii. The Company does not carry inventory. Thus, paragraph 3(ii) of the order is not applicable.

iii. Accordingly to the information & explanations given to us, the company has not granted any loans, secured or unsecured to companies firms or other parties covered in the Register maintained u/s 189 of the companies Act, 2013. Accordingly paragraph 3 (iii) of the order is not applicable.

iv. The Company does not have formal Internal Audit System, however, according to the information and explanation given to us, operating control system commensurate with the size of the company and nature of its business.

v. In our opinion and according to the information and explanations given to us the company has not accepted deposits during the year

vi. As per the information and explanations given to us the Central Government has not prescribed the maintenance of cost records under section 148(1) of the Companies Act 2013.

vii. (a) According to the information and explanation given to us and on the basis of records examined by us, in our opinion, the company is generally regular in depositing with appropriate authorities the undisputed amount of Income Tax, Sales tax, Wealth Tax, Excise duty, Cess and any other statutory dues applicable to it. There are no such dues outstanding as at 31st March 2015 for a period of more than six months from the date they became payable.

(b) According to the records of the company, there are no dues of sales tax/ service tax/ custom duty/ excise duty/ cess which have not been deposited on account of disputes except for Income tax as under.

F.Y. to which Forum where disputes Name of the Statute it relates is pending Amount(Rs.)

The Income Tax Act, 2004-05 Income Tax Appellate 10,50,000/- 1956 Tribunal

2005-06 Income Tax Appellate 4,74,429 Tribunal

2006-07 Income Tax Appellate 15,50,000 Tribunal

2007-08 Income Tax Appellate 15,00,000 Tribunal

2008-09 Income Tax Appellate 2,27,952 Tribunal

2009-10 Income Tax Appellate 7,27,700 Tribunal

2010-11 Income Tax Appellate 5,40,512 Tribunal

2011-12 Commissioner of Income 547740 tax (Appeals)

(c) In our opinion and according to the information and explanations given to us the company has not required to be transferred any amount to investor education and protection fund in accordance with the relevant provisions of the Companies Act,1956 (1 of 1956) and rules made there under.

viii The company does not have any accumulated losses at the end of the financial year and the company has not incurred cash losses in current financial year. Also the Company had incurred cash losses in the immediately preceding financial year.

ix. In our opinion and according to the information and explanations given to us, there are no dues to Financial Institute/Bank and there are no debenture holders in current year. Hence clause 3 (ix) of the order is not applicable.

x. On the basis of the information and explanation give to us, the Company has not given any guarantees for loans taken by others from bank or financial institutions accordingly; Clause 3(x) of the order is not applicable.

xi. According to the information and explanations given to us and on the overall examination of the Balance Sheet of the Company for the year under report, we are of the opinion that no funds raised on short term basis have been used for long term investment.

xii. Based on the audit procedures performed and as per information and explanation given to us by the management, we report that no fraud on or by the company has been noticed or reported during the course or our Audit.

For Vatsaraj & Co. Chartered Accountants FRN: 111327W

CA Mayur Kinsnadwala Place: Mumbai Partner Date: 24th August 2015 M. No. 33994

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Mar 31, 2014

1. We have audited the accompanying financial statements of THE BHARAT LINE LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2014, and the statement of profit and loss account for the year ended on that date, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

2. The Company''s Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position and 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 general circular 15/2003 dated 13th September 2013 of 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.

Auditors'' Responsibility

3. 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.

4. 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. 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.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

6. In our opinion and to the best of our information and according to the explanations given to us, the financial statements subject to our other observation in point No 8 below, 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; and

(b) in the case of the Statement of profit & loss account ,of the profit for the year ended on that date; and

Report on other Legal and Regulatory Requirements

7. As required by the Companies (Auditors'' Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks as we considered appropriate and according to the information and explanations given to us, we annex hereto a statement on the matter specified in paragraphs 4 and 5 of the said Order.

8. Our other observation is as under:

8.1 No provision is made for Bonus to employees for the year.

9. Further to our comments in the Annexure referred to 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 purpose of our audit;

(b) in our opinion, proper books of accounts as required by Law have been kept by the Company so far, as appears from our examination of those books;

(c) the Balance Sheet and the Statement of profit & loss account of the Company dealt with by this report are in agreement with the books of accounts of the Company;

(d) in our opinion, the Balance Sheet and the Statement of profit & loss account dealt with by this report comply with the Accounting Standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956 read with general circular 15/2003 dated 13th September 2013 of Ministry of Corporate Affairs in respect of section 133 of the Companies Act 2013 & subject to our other observation in point No 8 above.

(e) on the basis of written representations received form the Directors, as on March 31, 2013 and taken on record by the Board of Directors, we report that none of the Director 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 of the Auditors Report to the members of The Bharat Line Limited for the year ended March 31,2014. We report that:

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

(b) The management has physically verified all the fixed assets at the year end, which in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No discrepancies were noticed on such verifications.

(c) During the year, the Company has not disposed off any major part of its fixed assets.

ii. The Company does not carry inventory. Accordingly, clauses 4(ii) of the Companies (Auditor''s Report) Order, 2003 (''the Order'') are not applicable.

iii. (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 Companies Act, 1956. Hence Clause 3(b) (c) & (d) of the order is not applicable.

(b) The Company has not taken any loans, secured or unsecured from Companies, firms or other parties covered in the register maintained under section 301 of the Act., Accordingly clause 3 (f) and (g) is not applicable.

iv. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of fixed assets. The activities of the Company do not involve purchase of inventories and the sale of goods. We have not noted any continuing failure to correct major weakness in the internal controls during the course of the audit.

v. (a) According to the information and explanation given to us, there are no transactions that need to be entered in the register maintained under section 301 of the Act.

(b) As explained to us, the Company has not entered into any transactions exceeding the value of Rs. Five lakhs in respect of any party during the year. Accordingly, clause 4(v)(b) of the order is not applicable.

vi. The Company has not accepted any deposits from the public to which the provision of section 58A and section 58AA of the Companies Act, 1956 and the rules framed there under apply.

vii. The company''s paid up capital is below Rs.50 lacs and turnover is below Rs.5 crores and therefore clause 4(vii) of the order regarding internal audit system is not applicable.

viii. According to the information and explanation given to us, the Central Government has not prescribed the maintenance of the cost records under Section 209(1) (d) of the Companies Act, 1956 in respect of services carried out by the Company. Accordingly, clause 4(viii) of the Order is not applicable.

ix. (a) According to the information and explanation given to us, and on the basis of our examination of the books of accounts the company has been regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Income tax and any other statutory dues. There are no such dues outstanding as at 31st March 2013 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 are no dues in respect of Provident Fund, Investor Education & Protection Fund and other statutory dues that have not been deposited with appropriate authority on account of disputes except for income tax pending with commissioner of Income Tax which are given below:

F.Y. to Forum where disputes Name of the Statute which it is pending Amount(Rs.) relates The Income Tax Act, 2004-05 Income Tax Appellate 10,50,000/- 1956 Tribunal

2005-06 Income Tax Appellate 4,74,429 Tribunal

2006-07 Income Tax Appellate 15,50,000 Tribunal

2007-08 Income Tax Appellate 15,00,000 Tribunal

2008-09 Income Tax Appellate 2,27,952 Tribunal

2009-10 Commissioner of Income 7,27,700 tax (Appeals)

2010-11 Commissioner of Income 5,40,512 tax (Appeals)

x. The Company has neither accumulated losses as on 31st March 2014 nor has it incurred any cash losses during the financial year under review as well as in the immediately preceding financial year.

xi. Based on our audit procedure and on the basis of information and explanations given by the management, we are of the opinion that the company has not defaulted in the repayment of dues to banks. The Company did not have any outstanding debenture or any outstanding loans from any financial institutions during the year.

xii. The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and any other securities. Accordingly, clause 4(xii) of the order is not applicable.

xiii. The company is not a chit fund, nidhi, mutual benefit fund or a society. Accordingly, clause 4(xiii) of the order is not applicable.

xiv. The Company is not dealing or trading in shares, securities, debentures and other investments. Accordingly, clause 4(xiv) of the order is not applicable.

xv. According to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from bank or financial institutions. Accordingly, clause 4(xv) of the order is not applicable.

xvi. According to the information and explanations given to us, the company has not raised term loans during the year. Accordingly, clause 4(xvi) of the order is not applicable.

xvii. According to the information and explanations given to us, no funds are raised on short term basis; Accordingly, clause 4(xvii) of the order is not applicable.

xviii. The Company has not made any preferential allotment of shares to parties and Companies covered in register maintained under section 301 of the Act during the year. Accordingly, clause 4(xviii) of the order is not applicable.

xix. The Company has not issued any debentures. Accordingly, clause 4(xix) of the order is not applicable.

xx. The Company has not raised any money by public issues during the year accordingly; clause 4(xx) of the order is not applicable.

xxi. According to the information and explanations given to us, by the management, we report that no frauds on or by the Company has been noticed or reported during the year.

For Vatsaraj & Co. Chartered Accountants FRN : 111327W

CA Mayur Kisnadwala Place : Mumbai Partner Date: 14.08.2014 Membership No. 33994

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Mar 31, 2013

1. We have audited the accompanying financial statements of THE BHARAT LINE LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2013, and the statement of profit and loss account for the year ended on that date, and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

2. The Company''s Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position and 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''). 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.

Auditors'' Responsibility

3. 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.

4. 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. 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.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

6. In our opinion and to the best of our information and according to the explanations given to us, the financial statements subject to our other observation in point No 8 below ,

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, 2013; and

(b) in the case of the Statement of profit & loss account ,of the profit for the year ended on that date; and

Report on other Legal and Regulatory Requirements

7. As required by the Companies (Auditors'' Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, and on the basis of such checks as we considered appropriate and according to the information and explanations given to us, we annex hereto a statement on the matter specified in paragraphs 4 and 5 of the said Order.

8 Our other observation is as under:

8.1 No provision is made for Bonus to employees for the year.

9 Further to our comments in the Annexure referred to 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 purpose of our audit;

(b) in our opinion, proper books of accounts as required by Law have been kept by the Company so far, as appears from our examination of those books;

(c) the Balance Sheet and the Statement of profit & loss account of the Company dealt with by this report are in agreement with the books of accounts of the Company;

(d) in our opinion, the Balance Sheet and the Statement of profit & loss account dealt with by this report comply with the Accounting Standards referred to in Sub-section (3C) of Section 211 of the Companies Act, 1956 & subject to our other observation in point No 8 above.

(e) on the basis of written representations received form the Directors, as on March 31, 2013 and taken on record by the Board of Directors, we report that none of the Director is disqualified as on March 31, 2013 from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274 of the Companies Act, 1956;

ANNEXURE TO AUDITORS'' REPORT

The Annexure referred to in paragraph 1 of the Auditors Report to the members of The Bharat Line Limited for the year ended March 31, 2013. We report that:

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

(b) The management has physically verified all the fixed assets at the year end, which in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No discrepancies were noticed on such verifications.

(c) During the year, the Company has not disposed off any major part of its fixed assets.

2. The Company does not carry inventory. Accordingly, clauses 4(ii) of the Companies (Auditor''s Report) Order, 2003 (''the Order'') 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 Companies Act, 1956. Hence Clause 3(b) (c) & (d) of the order is not applicable.

(b) The Company has not taken any loans, secured or unsecured from Companies, firms or other parties covered in the register maintained under section 301 of the Act., Accordingly clause 3 (f) and (g) is not applicable.

4. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of fixed assets. The activities of die Company do not involve purchase of inventories and the sale of goods. We have not noted any continuing failure to correct major weakness in the internal controls during the course of the audit.

5. (a) According to the information and explanation given to us, there are no transactions that need to be entered in the register maintained under section 301 of the Act.

(b) As explained to us, the Company has not entered into any transactions exceeding the value of Rs. Five lakhs in respect of any party during the year. Accordingly, clause 4(v)(b) of the order is not applicable.

6. The Company has not accepted any deposits from the public to which the provision of section 58A and section 58AA of the Companies Act, 1956 and the rules framed there under apply.

7. The company''s paid up capital is below Rs.50 lacs and turnover is below Rs.5 crores and therefore clause 4(vii) of the order regarding internal audit system is not applicable.

8. According to the information and explanation given to us, the Central Government has not prescribed the maintenance of the cost records under Section 209(1) (d) of the Companies Act, 1956 in respect of services carried out by the Company. Accordingly, clause 4(viii) of the Order is not applicable.

9. According to the information and explanation given to us, and on the basis of our examination of the books of accounts the company has been regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Income tax and any other statutory dues. There are no such dues outstanding as at 31st March 2013 for a period of more than six months from the date they became payable in respect of above except Service Tax Rs. 15,692/-.

10. The Company has neither accumulated losses as on 31st March 2013 nor has it incurred any cash losses during the financial year under review as well as in the immediately- preceding financial year.

11. Based on our audit procedure and on the basis of information and explanations given by the management, we are of the opinion that the company has not defaulted in the repayment of dues to banks. The Company did not have any outstanding debenture or any outstanding loans from any financial institutions during the year.

12. The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and any other securities. Accordingly, clause 4(xii) of the order is not applicable.

13. The company is not a chit fund, nidhi, mutual benefit fund or a society. Accordingly, clause 4(xiii) of the order is not applicable.

14. The Company is not dealing or trading in shares, securities, debentures and other investments. Accordingly, clause 4(xiv) of the order is not applicable.

15. According to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from bank or financial institutions. Accordingly, clause 4(xv) of the order is not applicable.

16. According to the information and explanations given to us, the company has not raised term loans during the year. Accordingly, clause 4(xvi) of the order is not applicable.

17. According to the information and explanations given to us, no funds are raised on short term basis; Accordingly, clause 4(xvii) of the order is not applicable.

18. The Company has not made any preferential allotment of shares to parties and Companies covered in register maintained under section 301 of the Act during the year. Accordingly, clause 4(xviii) of the order is not applicable.

19. The Company has not issued any debentures. Accordingly, clause 4(xix) of the order is not applicable.

20. The Company has not raised any money by public issues during the year accordingly; clause 4(xx) of the order is not applicable.

21. According to the information and explanations given to us, by the management, we report that no frauds on or by the Company has been noticed or reported during the year.

For Vatsaraj & Co.

Chartered Accountants FRN:111327W

CA Mayur Kisnadwala

Place: Mumbai Partner

Date : 27th August 2013 Membership No. 33994

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Mar 31, 2012

We have audited the attached Balance sheet of THE BHARAT LINE LIMITED as at 31st March' 2012 and the Profit and Loss Account of the company 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. We conducted our audit in accordance with 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 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 the management' as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

1. As required by the Companies (Auditors Report) Order' 2003 (as amended) issued by the Central Government in the terms of Section 227(4A) of the Companies Act' 1956' we annex hereto a statement on matters specified in paragraphs 4 and 5 of the said Order.

2. Our other observations are as under:

2.1 No Provision is made for Bonus to employees for the year.

3. Further to the above :

3.1 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.

3.2 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.

3.3 The Balance Sheet' and the Profit & Loss Account dealt with by this report are in agreement with the Books of Accounts.

3.4 In our Opinion' the Balance Sheet and the Profit & Loss Account comply with the accounting standards as referred to in Sub-Section 3C of Section 211 of die Companies Act' 1956 & Subject to our other observations in point no. 2 above.

3.5 Based on representations made by all the Directors of the Company and the information and explanations as made available' we report that no Director of the Company is disqualified from being appointed as Director of the Company under Section 274 (1) (g) of the Companies Act' 1956.

3.6 In our opinion and to the best of our information and according to the explanations given to us' the Balance Sheet and the Profit & Loss Account subject to our other observation in point no. 2 above' the said accounts together with the notes there on and attached thereto' give the information required by the Companies Act' 1956 in the manner so required and give' a true and fair view' in conformity with the accounting principles generally accepted in India.

(a) In case of the Balance Sheet of the state of affairs of the Company as at 31st March' 2012.

AND

(b) In the case of the Statement of Profit & Loss' of the Profit for the year ended on that date. ANNEXURE TO AUDITORS'REPORT

The Annexure referred to in paragraph 1 of the Auditors Report to the members of The Bharat Line Limited for the year ended March 31'2012. We report that:

1. (a) The Company has maintained proper records showing full particulars' including

quantitative details and situation of fixed assets.

(b) The management has physically verified all die fixed assets at the year end' which in our opinion' is reasonable having regard to the size of the Company and the nature of its assets. No discrepancies were noticed on such verifications.

(c) During the year' die Company has not disposed off any major part of its fixed assets.

2. The Company does not carry inventory. Accordingly' clauses 4(ii) of die Companies (Auditor's Report) Order' 2003 ('the Order') are not applicable.

3. (a) The company has not granted any loans secured or unsecured to Companies'

firms or odier Parties Covered in die register maintained under section 301 of die Companies Act' 1956. Hence Clause 3(b) (c) & (d) of the order is not applicable.

(b) The Company has not taken any loans' secured or unsecured from Companies' firms or odier parties covered in die register maintained under section 301 of die Act.' Accordingly clause 3 (f) and (g) is not applicable.

4. In our opinion and according to die information and explanations given to us' mere is an adequate internal control system commensurate widi die size of die Company and die nature of its business for die purchase of fixed assets. The activities of die Company do not involve purchase of inventories and die sale of goods. We have not noted any continuing failure to correct major weakness in die internal controls during die course of die audit.

5. (a) According to die information and explanation given to us' there are no

transactions tiiat need to be entered in die register maintained under section 301 of the Act.

(b) As explained to us' die Company has not entered into any transactions exceeding die value of Rs. Five lakhs in respect of any party during die year. Accordingly' clause 4(v)(b) of die order is not applicable.

6. The Company has not accepted any deposits from die public to which die provision of section 58A and section 58AA of die Companies Act' 1956 and die rules framed there under apply.

7. The company's paid up capital is below Rs.50 lacs and turnover is below Rs.5 crores and therefore clause 4(vii) of die order regarding internal audit system is not applicable.

8. According to the information and explanation given to us' die Central Government has not prescribed die maintenance of die cost records under Section 209(1) (d) of die Companies Act' 1956 in respect of services carried out by die Company. Accordingly' clause 4(viii) of the Order is not applicable.

9. (a) According to the information and explanation given to us' and on the basis of our

examination of die books of accounts die company has been regular in depositing widi appropriate audiorities undisputed statutory dues including Provident Fund' Investor Education and Protection Fund' Income tax and any odier statutory dues. There are no such dues outstanding as at 31st March 2012 for a period of more dian six mondis from the date they became payable in respect of above.

(b) According to die information and explanations given to us' mere are no dues in respect of Provident Fund' Investor Education & Protection Fund and other statutory dues diat have not been deposited widi appropriate authority on account of disputes except for income tax pending with commissioner of Income Tax which are given below:

The Company has neither accumulated losses as on 31st March 2012 nor has it *"HJ incurred any cash losses during the financial year under review as well as in the immediately preceding financial year.

11. Based on our audit procedure and on the basis of information and explanations given by the management' we are of the opinion that the company has not defaulted in the repayment of dues to banks. The Company did not have any outstanding debenture or any outstanding loans from any financial institutions during the year.

12. The company has not granted any loans and advances on the basis of security by way of pledge of shares' debentures and any other securities. Accordingly' clause 4(xii) of the order is not applicable.

13. The company is not a chit fund' nidhi' mutual benefit fund or a society. Accordingly' clause 4(xiii) of the order is not applicable.

14. The Company is not dealing or trading in shares' securities' debentures and other investments. Accordingly' clause 4(xiv) of the order is not applicable.

15. According to the information and explanations given to us' the Company has not given any guarantees for loans taken by others from bank or financial institutions. Accordingly' clause 4(xv) of the order is not applicable.

16. In our opinion' the term loans have been applied for the purpose for which they were raised.

17. According to the information and explanations given to us' no funds are raised on short term basis' Accordingly' clause 4(xvii) of the order is not applicable.

18. The Company has not made any preferential allotment of shares to parties and Companies covered in register maintained under section 301 of the Act during the year. Accordingly' clause 4(xviii) of the order is not applicable.

19. The Company has not issued any debentures. Accordingly' clause 4(xix) of the order is not applicable.

20. The Company has not raised any money by public issues during the year accordingly' clause 4(xx) of the order is not applicable.

21. According to the information and explanations given to us' by the management' we report that no frauds on or by the Company has been noticed or reported during the year. For Vatsaraj & Co.

Chartered Accountants

Place: Mumbai.

Dated: 23.08.2012 CA MAYUR KISNADWALA

Partner

M.N0.33994

Firm Reg. No. 111327W

---

Mar 31, 2010

We have audited the attached Balance sheet of THE BHARAT LINE LIMITED as at 31st March, 2010 and the Profit and Loss Account of the company for the year ended on that date, annexed thereto. 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 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 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 the management, as well as evaluating the overall financial statement presentation.

We believe that our audit provides a reasonable basis for our opinion.

1. As required by the Companies (Auditors Report) Order, 2003 (as amended) issued by the Central Government in the terms of Section 227(4A) of the Companies Act, 1956, we annex hereto a statement on matters specified in paragraphs 4 and 5 of the said Order.

2. Our other observations are as under:

2.1 No Provision is made for Bonus to employees for the year.

3. Further to the above :

3.1 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.

3.2 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.

3.3 The Balance Sheet, and the Profit & Loss Account dealt with by this report are in agreement with the Books of Accounts.

3.4 In our Opinion, the Balance Sheet and the Profit & Loss Account comply with the accounting standards as referred to in Sub-Section 3C of Section 211 of the Companies Act, 1956 & Subject to our other observations in point no. 2 above.

3.5 Based on representations made by all the Directors of the Company and the information and explanations as made available, we report that no Director of the Company is disqualified from being appointed as Director of the Company under Section 274 (1) (g) of the Companies Act, 1956.

3.6 In our opinion and to the best of our information and according to the explanations given to us, the Balance Sheet and the Profit & Loss Account subject to our other observation in point no. 2 above, the said accounts together with the notes there on and attached thereto, give the information required by the Companies Act, 1956 in the manner so required and give, a true and fair view, in conformity with the accounting principles generally accepted in India.

(a) In case of the Balance Sheet of the state of affairs of the Company as at 31st March, 2010.

AND

(b) In the case of the Profit & Loss Account of the Profit for the year ended on that date.

ANNEXURE TO AUDITORS REPORT

The Annexure referred to in paragraph 1 of the Auditors Report to the members of The Bharat Line Limited for the year ended March 31,2010. We report that:

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

(b) The management has physically verified all the fixed assets at the year end, which in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No discrepancies were noticed on such verifications.

(c) During the year, the Company has not disposed off any major part of its fixed assets.

2. The Company does not carry inventory. Accordingly, clauses 4(ii) of the Companies (Auditors Report) Order, 2003 (the Order) 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 Companies Act, 1956. Hence Clause 3(b) (c) & (d) of the order is not applicable.

(b) The Company has not taken any loans, secured or unsecured from Companies, firms or other parties covered in the register maintained under section 301 of the Act., Accordingly clause 3 (f) and (g) is not applicable.

4. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of fixed assets. The activities of the Company do not involve purchase of inventories and the sale of goods. We have not noted any continuing failure to correct major weakness in the internal controls during the course of the audit.

5. (a) According to the information and explanation given to us, there are no transactions that need to be entered in the register maintained under section 301 of the Act.

(b) As explained to us, the Company has not entered into any transactions exceeding the value of Rs. Five lakhs in respect of any party during the year. Accordingly, clause 4(v)(b) of the order is not applicable.

6. The Company has not accepted any deposits from the public to which the provision of section 58 A and section 58AA of the Companies Act, 1956 and the rules framed there under apply.

7. The companys paid up capital is below Rs.50 lacs and turnover is below Rs.5 crores and therefore clause 4(vii) of the order regarding internal audit system is not applicable.

8. According to the information and explanation given to us, the Central Government has not prescribed the maintenance of the cost records under Section 209(1) (d) of the Companies Act, 1956 in respect of services carried out by the Company. Accordingly, clause 4(viii) of the Order is not applicable.

9. (a) According to the information and explanation given to us, and on the basis of our examination of the books of accounts the company has been regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Income tax and any other statutory dues. There are no such dues outstanding as at 31st March 2010 for a period of more than six months from the date they became payable in respect of above.

(b) According to the information and explanations given to us, there are no dues in respect of Provident Fund, Investor Education & Protection Fund and other statutory dues that have not been deposited with appropriate authority on account of disputes except for income tax pending with commissioner of Income Tax which are given below:



Name of the Statute F.Y. to which it Forum where disputes

relates is pending Amount

The Income Tax Act, 2003-04 Commissioner of 9,21,689

1956 2005 - 06 Income Tax (Appeals) 12,45,250



10. The Company has neither accumulated losses as on 31st March 2010 nor has it incurred any cash losses during the financial year under review as well as in the immediately preceding financial year.

11. Based on our audit procedure and on the basis of information and explanations given by the management, we are of the opinion that the company has not defaulted in the repayment of dues to banks. The Company did not have any outstanding debenture or any outstanding loans from any financial institutions during the year.

12. The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and any other securities. Accordingly, clause 4(xii) of the order is not applicable.

13. The company is not a chit fund, nidhi, mutual benefit fund or a society. Accordingly, "clause 4(xiii) of the order is not applicable.

14. The Company is not dealing or trading in shares, securities, debentures and other investments. Accordingly, clause 4(xiv) of the order is not applicable.

15. According to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from bank or financial institutions. Accordingly, clause 4(xv) of the order is not applicable.

16. In our opinion, the term loans have been applied for the purpose for which they were raised.

17. According to the information and explanations given to us, no funds are raised on short term basis, Accordingly, clause 4(xvii) of the order is not applicable.

18. The Company has not made any preferential fallotment of shares to parties and Companies covered in register maintained under section 301 of the Act during the year. Accordingly, clause 4(xviii) of the order is not applicable.

19. The Company has not issued any debentures. Accordingly, clause 4(xix) of the order is not applicable.

20. The Company has not raised any money by public issues during the year accordingly, clause 4(xx) of the order is not applicable.

21. According to the information and explanations given to us, by the management, we report that no frauds on or by the Company has been noticed or reported during the year.

For Vatsaraj & Co.

Chartered Accountants

Place: Mumbai.

Dated:26/08/2010

C A Nitesh Dedhia

Partner

M.No. 114893

Firm Reg. No. 111327W