Goodwill Hospital & Research Centre Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2011

1. We have audited the attached Balance Sheet of GOODWILL HOSPITAL & RESEARCH CENTRE LIMITED as at 31st March, 2011 and also the Profit and Loss Account and the Cash Flow Statement 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.

2. 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 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 management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

3. As required by the Companies (Auditor's Report) Order 2003, as amended by Companies (Auditors Report) (Amendment) Order 2004, issued by the Central Government of India in terms of sub-section (4A) of Section 227 of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order.

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

(i) 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;

(ii) 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;

(iii) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the books of accounts;

(iv) In our opinion, the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956;

(v) On the basis of information & explanations given to us and representations received from the management of the Company, we report that none of the Directors of the Company, are prima facie, disqualified from being appointed as Directors of the Company as on 31st March 2011, in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956;

(vi) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with Accounting Policies and Notes thereon in Schedule 21, give the information required by the Companies Act, 1956, 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 Balance Sheet, of the state of affairs of the Company as at 31st March, 2011;

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

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

Annexure referred to in our report of even date

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

(b) The fixed assets were physically verified by the management for the year ended 31st March, 2011

(c) Substantial part of the fixed assets has not been disposed off during the year ended 31st March, 2011.

2. (a) The inventories have been physically verified during the year ended 31sl March, 2011 by the management.

(b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) The Company has maintained proper records of inventory. As explained to us there were no material discrepancies noticed on physical verification of stocks, as compared to book records.

3. (a) The Company has granted unsecured loans to companies, firms or other parties listed in register maintained under Section 301 of the Companies Act, 1956. There is one party to whom loan has been granted and the amount outstanding as on 31st March 2011 is Rs. 153,83 Lacs.

(b) The rate of interest & other terms & conditions of loan given by the company are not prima facie prejudicial to the interest of the company.

(c) The principal amounts are repayable on demand and there is no repayment schedule. The Interest, where applicable, are payable on demand.

(d) In respect of the said loans, the same are repayable on demand and therefore the question of overdue amounts does not arise. In respect of interest, where applicable, there are no overdue amounts.

(e) The Company has taken unsecured loans from Companies, firms and other parties, mentioned in the register maintained under section 301 of the Companies Act, 1956. The parties from whom loan is accepted and the outstanding amount as on 31st March, 2011 is Rs.3013.72 Lacs.

(f) The terms & conditions of loan taken by the company are not prima facie prejudicial to the interest of the company.

(g) The principal amounts are repayable on demand and there is no repayment schedule. The Interest, where applicable, are payable on demand.

4. In our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal control system.

5. (a) According to the information and explanations given to us, during the year ended 31st March, 2011, there have been no contracts or arrangements which need to be entered in the register maintained under section 301 of the Companies Act, 1956.

(b) In view of clause 5 (a) above, the clause 5 (b) is not applicable.

6. The Company has not accepted any deposit within the meaning of section 58A of the Companies Act, 1956.

7. In our opinion, Company has an internal audit system commensurate with the size of the company and nature of its business.

8. The Company is not required to maintain cost records pursuant to the rules made by the Central Government under section 209 (1) (d) of the Companies Act, 1956.

9. (a) Undisputed statutory dues including provident fund, investor education and protection fund, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom duty, Excise duty, Cass and other 'Statuary dues have generally been regularly deposited with the appropriate authorities within a period of six month from the date they became payable.

(b) According to the record of the company & explanations given to us there are no disputed statutory dues,. which have not been deposited with concerned authorities.

10. The Company has no accumulated losses and has not incurred cash losses during the year ended 31st March, 2011, covered by our audit and the immediately preceding financial year ended 3131 March, 2010.

11. In our opinion and according to information and explanations given to us,' the company has not defaulted in repayment of dues to Financial Institution or Banks.

12. According to the information and explanations given to us, the Company has not granted any 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 clause 4 (xiii) of the Companies (Auditor's Report) (Amendment) Order 2004, is not applicable to the company.

14. The company is not dealing in or trading in share, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditor's Report) (Amendment) Order 2004, is not applicable to the company.

15. In our opinion and according to the information and explanations given to us, the Company has not given any guarantees for loans taken by others from Banks or Financial Institutions.

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

17. According to information and explanations given to us and on an overall examination of the balance sheet of the company, we are of the opinion that the funds raised on short-term basis have not been used for long-term investment.

18. The company has not made preferential allotment of shares during the year ended 3131 March, 2011, to parties and companies covered in the register maintained under section 301 of the Companies Act 1956.

19. The Company has not issued any debentures during the year ended 31st March, 2011 and accordingly, the provisions of clause 4 (xix) of the Order is not applicable to the Company.

20. During the period under audit, the Company has not raised money by public issue and accordingly, the provisions of clause 4 (xx) of the Order is not applicable to the Company.

21. Based upon the audit procedures performed and the information and explanations given by the management, we report that no material fraud on or by the company has been noticed or reported during the course of our audit.

For CHANDIOK & GULIANI

CHARTERED ACCOUNTANTS

F.R.N.001199N

(V.K. LALLA)

PARTNER

M. NO. 80847

PLACE: NEW DELHI

DATE: DATE: 09.05.2011