Maplle Infraprojects Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2014

We have audited the attached Balance Sheet of Maplle Infraprojects Limited (Formerly known as Maple Infraprojects Limited) as at 31st March 2014 and the profit and loss Account for the year ended on that date annexed thereto and Cash flow statement for the year ended on that date. 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.

1. 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 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.

2. As required by the Companies (Auditor''s Report) order, 2003 issued by the Central Government of India in terms of sub-section (4A) of the section 227 of the Companies Act, 1956, we enclose in the annexure hereto a statement on the matters specified in paragraphs 4 and 5 of the said order.

3. Furtherto ourcomments in the Annexure referred to in paragraphs 2 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 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, Profit and Loss Account and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

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

e. In our opinion, and based on information and explanations given to us, none of the directors are disqualified as on 31s1 March, 2014 from being appointed as directors in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the significant Accounting policies and other notes, give the information required by the Companies Act, 1956, in the manner so required, and present a true and fair view, in conformity with the Accounting Principles generally accepted in India:

a. In so far as it relates Balance Sheet, of the state of affairs of the Company as at 31s1 March 2014;

b. In so far as it relates to the Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c. In so far as relates to the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

Annexure to Auditor''s Report Referred to in Paragraph 2 of our report of even date

1. In respect of Fixed Assets:

a. The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

b. As explained to us, the fixed assets have been physically verified by the management during the year, in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verifications.

c. In our opinion, the Company has not disposed off substantial part of fixed assets during the year and going concern status of the Company is not affected.

2. In respect of its inventories;

a. As explained to us, inventories have been physically verified by the management, at regular intervals during the year.

b. In ouropinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

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

3. In respect of loans, secured or unsecured, granted or taken by the Company to/from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956:

a. The Company has not taken any loans from the parties during the year (Previous year Rs. Nil) and has not granted any loans to the parties except business advances (Previous year Rs. Nil) during the year.

b. In our opinion and according to explanations given to us, the amount transacted is in regular course of business and is without any interest, and other terms and conditions are not prima facie prejudicial to the interest of the Company.

4. In our opinion and according to information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of inventory, fixed assets and also for the sale of goods. During the course of our audit, we have not observed any major weaknesses in internal controls.

5. In respect of transactions covered under section 301 of the Companies Act, 1956:

a. In our opinion and according to information and explanations given to us, the transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to information and explanations given to us, the Company has entered into transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956, aggregating during the year to Rs. 5,00,000/- (rupees Five Lacs) or more in respect of some of the parties, and the terms and conditions of the same are reasonable.

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

7. In our opinion, the internal control system of the Company is commensurate with its size and nature of its business.

8. The central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 1956 in respect of any of the manufacturing activities of the Company.

9. Inrespectofstatutorydues:

a. According to the records of the Company, undisputed statutory dues including Provident Fund, Investor''s Education and Protection Fund, Employee''s State Insurance, Income Tax, Sales tax, Wealth-Tax, Custom''s Duty, Excise Duty, Cess and other statutory dues have not been regularly deposited with the appropriate authorities.

According to information and explanations given to us, following undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March, 2014 for a period of more than six months from the date of becoming payable.

VAT 4% Rs. 143710.26(2008-09)

Professional Tax Rs. 93375.00

b. There were no disputed statutory dues pending to be deposited on account of matters pending before appropriate authorities.

10. The Company has not incurred cash losses during the financial year covered by our audit. The accumulated losses of the Company as at the end of financial year has been Rs. 2,76,54,683/- which are more than fifty percent of its net worth.

11. The Company has not taken any business loan during the year, except temporary overdraft facility against fixed deposits from Union bank of India. The Company has also not issued any debentures.

12. In our opinion and according to information and explanations given to us, no loans and advances have been granted by the Company on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion, the Company is not a Chit fund or a Nidhi/Mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor''s Report) order 2003 is not applicable to the Company.

14. The Company has maintained proper records of transactions and contracts in respects of trading in securities, debentures and other investments and timely entries have been made therein. All shares, debentures and other investments have been held by the Company in its own name.

15. The Company has not given any guarantees for loans taken by others from banks and financial institutions.

16. The Company has not raised any new term loans during the year. The Company had been regular in repayment of Installments of Principal and interest amount for the term loans for car taken from various private financing agencies/banks.

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 Company has not utilized any amount of short-term sources towards repayment of long-term borrowings and acquisition of fixed assets.

18. During the year Company has not made any preferential allotment of shares 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.

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

21. In our opinion and according to information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated, Note No.1

For M AK & Associates Chartered Accountants [Registration No. 3060-C]

Sd- L. K. Khatri Partner M. No. 73345 Dated: 26th May 2014.

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Mar 31, 2013

We have audited the attached Balance Sheet of Maplle Infraprojects Limited (Formerly known as Maple Infraprojects Limited ) as at 31st March 2013 and the profit and loss Account for the year ended on that date annexed thereto and Cash flow statement for the year ended on that date. 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.

1. 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 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.

2. As required by the Companies (Auditor''s Report) order, 2003 issued by the Central Government of India in terms of sub- section (4A) of the section 227 of the Companies Act, 1956, we enclose in the annexure hereto a statement on the matters specified in paragraphs 4 and 5 of the said order.

3. Further to our comments in the Annexure referred to in paragraphs 2 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 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, Profit and Loss Account and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

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

e.ln our opinion, and based on information and explanations given to us, none of the directors are disqualified as on 31s'' March, 2013 from being appointed as directors in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the significant Accounting policies and other notes, give the information required by the Companies Act, 1956, in the manner so required, and present a true and fair view, in conformity with the Accounting Principles generally accepted in India:

a. In so far as it relates Balance Sheet, of the state of affairs of the Company as at 31- March 2013;

b. In so far as it relates to the Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c. In so far as relates to the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

Referred to in Paragraph 2 of our report of even date

1. In respect of Fixed Assets:

a. The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

b. As explained to us, the fixed assets have been physically verified by the management during the year, in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. No material discrepancies were noticed on such physical verifications.

c. In our opinion, the company has not disposed off substantial part of fixed assets during the year and going concern status of the company is not affected.

2. In respect of its inventories;

a. As explained to us, inventories have been physically verified by the management, at regular intervals during the year.

b. In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

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

3. In respect of loans, secured or unsecured, granted or taken by the company to/from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956:

a. The company has not taken any loans from the parties during the year (Previous year Rs. 8432621/-) and has not granted any loans to the parties except business advances (Previous year Rs. 5426172/-) during the year.

b. In our opinion and according to explanations given to us, the amount transacted is in regular course of business and is without any interest, and other terms and conditions are not prima facie prejudicial to the interest of the company.

4. In our opinion and according to information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of inventory, fixed assets and also for the sale of goods. During the course of our audit, we have not observed any major weaknesses in internal controls.

5. In respect of transactions covered under section 301 of the Companies Act, 1956:

a. In our opinion and according to information and explanations given to us, the transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to information and explanations given to us, the company has entered into transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956, aggregating during the year to Rs. 5,00,000/- (rupees Five Lacs) or more in respect of some of the parties, and the terms and conditions of the same are reasonable.

6. The company has not accepted any deposits from the public.

7. In our opinion, the internal control system of the Company is commensurate with its size and nature of its business.

8. The central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 1956 in respect of any of the manufacturing activities of the Company.

9. In respect of statutory dues:

a. According to the records of the company, undisputed statutory dues including Provident Fund, Investor''s Education and Protection Fund, Employee''s State Insurance, Income Tax, Sales tax, Wealth-Tax, Customs Duty, Excise Duty, Cess and other statutory dues have not been regularly deposited with the appropriate authorities.

According to information and explanations given to us, following undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31'' March, 2013 for a period of more than six months from the date of becoming payable.

VAT 4% Rs. 143710.26 (2008-2009)

Professional Tax Rs. 75900.00

b. There were no disputed statutory dues pending to be deposited on account of matters pending before appropriate authorities.

10. The Company has not incurred cash losses during the financial year covered by our audit. The accumulated losses of the company as at the end of financial year has been Rs. 27765083/- which are more than fifty percent of its net worth.

11. The company has not taken any business loan during the year, except temporary overdraft facility against fixed deposits from Union bank of India. The company has also not issued any debentures.

12. In our opinion and according to information and explanations given to us, no loans and advances have been granted by the Company on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion, the Company is not a Chit fund or a Nidhi/Mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor''s Report) order 2003 is not applicable to the Company.

14. The Company has maintained proper records of transactions and contracts in respects of trading in securities, debentures and other investments and timely entries have been made therein. All shares, debentures and other investments have been held by the Company in its own name.

15. The Company has not given any guarantees for loans taken by others from banks and financial institutions.

16. The Company has not raised any new term loans during the year. The company had been regular in repayment of Installments of Principal and interest amount for the term loans for car taken from various private financing agencies/banks.

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 Company has not utilized any amount of short-term sources towards repayment of long-term borrowings and acquisition of fixed assets.

18. During the year company has not made any preferential allotment of shares 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.

20. The company has not raised any money by way of public issue during the year.

21. In our opinion and according to information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated,

For MAK & Associates

Chartered Accountants

[Registration No. 3060-C]



Sd /-

L.K. Khatri

Partner

M. No.73345

Dated: 3" May 2013

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Mar 31, 2012

We have audited the attached Balance Sheet of Maplle Infraprojects Limited (Formerly known as Maple Infraprojects Limited) as at 31st March, 2012 and the profit and loss Account for the year ended on that date annexed thereto and Cash flow statement for the year ended on that date. 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.

1. 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 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.

2. As required by the Companies (Auditor's Report) order, 2003 issued by the Central Government of India in terms of sub-section (4A) of the section 227 of the Companies Act, 1956, we enclose in the annexure hereto a statement on the matters specified in paragraphs 4 and 5 of the said order.

3. Further to our comments in the Annexure referred to in paragraphs 2 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 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, Profit and Loss Account and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

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

e. In our opinion, and based on information and explanations given to us, none of the directors are disqualified as on 31st March, 2012 from being appointed as directors in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the significant Accounting policies and other notes, give the information required by the Companies Act, 1956, in the manner so required, and present a true and fair view, in conformity with the Accounting Principles generally accepted in India:

a. In so far as it relates Balance Sheet, of the state of affairs of the Company as at 31st March, 2012;

b. In so far as it relates to the Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c. In so far as relates to the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

Annexure to Auditor's Report

Referred to in Paragraph 2 of our report of even date

1. In respect of Fixed Assets:

a. The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

b. As explained to us, the fixed assets have been physically verified by the management during the year, in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. No material discrepancies were noticed on such physical verifications.

c. In our opinion, the company has not disposed off substantial part of fixed assets during the year and going concern status of the company is not affected.

2. In respect of its inventories;

a. As explained to us, inventories have been physically verified by the management, at regular intervals during the year.

b. In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

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

3. In respect of loans, secured or unsecured, granted or taken by the company to/from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956:

a. The company has taken loans from some of the parties aggregating to Rs. 8432621/- and has not granted any loans to the parties except business advances of Rs. 5426172/- during the year.

b. In our opinion and according to explanations given to us, the amount transacted is in regular course of business and is without any interest, and other terms and conditions are not prima facie prejudicial to the interest of the company.

4. In our opinion and according to information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of inventory, fixed assets and also for the sale of goods. During the course of our audit, we have not observed any major weaknesses in internal controls.

5. Inrespectoftransactionscoveredundersection301 of the Companies Act, 1956:

a. In our opinion and according to information and explanations given to us, the transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to information and explanations given to us, the company has entered into transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956, aggregating during the year to Rs. 5,00,000/- (rupees Five Lacs) or more in respect of some of the parties, and the terms and conditions of the same are reasonable.

6. The company has not accepted any deposits from the public.

7. In our opinion, the internal control system of the Company is commensurate with its size and nature of its business.

8. The central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 1956 in respect of any of the manufacturing activities of the Company.

9. In respect of statutory dues:

a. According to the records of the company, undisputed statutory dues including Provident Fund, Investor's Education and Protection Fund, Employee's State Insurance, Income Tax, Sales tax, Wealth-Tax, Custom's Duty, Excise Duty, Cess and other statutory dues have not been regularly deposited with the appropriate authorities.

According to information and explanations given to us, following undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March, 2012 for a period of more than six months from the date of becoming payable.

Provident Fund Rs. 106844.00 (Prior to March, 2003)

Income Tax on A/c of TDS Rs. 675221.00 (Prior to March, 2004)

VAT 4% Rs. 143710.26

FBT Rs. 61826.00

Professional Tax Rs. 49710.00

TDS Rs. 6809.00

b. There were no disputed statutory dues pending to be deposited on account of matters pending before appropriate authorities.

10. The Company has not incurred cash losses during the financial year covered by our audit. The accumulated losses of the company as at the end of financial year has been Rs. 28036893/- which are more than fifty percent of its net worth.

11. The company has not taken any business loan during the year, except temporary overdraft facility against fixed deposits from Union bank of India. The company has also not issued any debentures.

12. In our opinion and according to information and explanations given to us, no loans and advances have been granted by the Company on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion, the Company is not a Chit fund or a Nidhi/Mutual benefit fund/society. Therefore, clause 4(xiii) of the Companies (Auditor's Report) order 2003 is not applicable to the Company.

14. The Company has maintained proper records of transactions and contracts in respects of trading in securities, debentures and other investments and timely entries have been made therein. All shares, debentures and other investments have been held by the Company in its own name.

15. The Company has not given any guarantees for loans taken by others from banks and financial institutions.

16. The Company has not raised any new term loans during the year. The company had been regular in repayment of Installments of Principal and interest amount for the term loans for car taken from various banks.

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 Company has not utilized any amount of short-term sources towards repayment of long-term borrowing and acquisition of fixed assets.

18. During the year company has not made any preferential allotment of shares 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.

20. The company has not raised any money by way of public issue during the year.

21. In our opinion and according to information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated,

For MAK & Associates Chartered Accountants (Registration No. 3060-C)

sd/-

L. K. Khatri Partner M. No. 73345

Dated: 2nd May, 2012

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Mar 31, 2010

We have audited the attached Balance Sheet of Maplle Infraprojects Limited (Formerly known as Maple Industries (Laminates) Limited ) as at 31st March 2010 and the profit and loss Account for the year ended on that date annexed thereto and Cash flow statement for the year ended on that date. 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.

1. 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 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.

2. As required by the Companies (Auditors Report) order, 2003 issued by the Central Government of India in terms of sub-section (4A) of the section 227 of the Companies Act, 1956, we enclose in the annexure hereto a statement on the matters specified in paragraphs 4 and 5 of the said order.

3. Further to our comments in the Annexure referred to in paragraphs 2 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 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, Profit and Loss Account and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

d. In our opinion the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with this report comply with the Mandatory Accounting Standards referred in sub-section (3C) of section 211 of the Companies Act, 1956; 4

e. In our opinion, and based on information and explanations given to us, non of the directors are disqualified as on 31st March, 2010 from being appointed as directors in terms of clause (g) of sub- section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the significant Accounting policies and other notes thereon and more particularly Note No. 7 for the non provision for the diminution in the value of investments in Aurica Laminates Ltd., to the extent of Rs. 213.25 Lacs give the information required by the Companies Act, 1956, in the manner so required, and present a true and fair view, in conformity with the Accounting Principles generally accepted in India:

a. In so far as it relates Balance Sheet, of the state of affairs of the Company as at 31st March 2010;

b. In so far as it refates to the Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c. In so far as relates to the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

ANNEXURE TO AUDITORS REPORT Referred to in Paragraph 2 of our report of even date

1. In respect of Fixed Assets :

a. The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information.

b. As explained to us, the fixed assets have been physically verified by the management during the year, in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the company and nature of its assets. No material discrepancies were noticed on such physical verifications.

c. In our opinion; the company has not disposed off substantial part of fixed assets during the year and going concern status of the company is not affected.

2. In respect of its inventories :

a. As explained to us, inventories have been physically verified by the management, at regular intervals during the year.

b. In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

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

3. In respect of loans, secured or unsecured, granted or taken by the company to/from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956:

a. The company has taken loans from some of the parties aggregating to Rs. 10111000/- and has granted loans of Rs. 4996000/- to some of the parties during the year.

b. In our opinion and according to explanations given to us, the amount transacted is in regular course of business and is without any interest, and other terms and conditions are not prima facie prejudicial to the interest of the company.

4. In our opinion and according to information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business for the purchase of inventory, fixed assets and also for the sale of goods. During the course of our audit, we have not observed any major weaknesses in internal controls.

5. In respect of transactions covered under section 301 of the Companies Act, 1956 :

a. In our opinion and according to information and explanations given to us, the transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to information and explanations given to us, the company has entered into transactions made in pursuance of contracts or arrangements, that needed to be entered into the register maintained under section 301 of the Companies Act, 1956, aggregating during the year to Rs. 5,00,000/- (rupees Five Lacs) or more in respect of some of the parties, and the terms and conditions of the same are reasonable.

6. The company has not accepted any deposits from the public.

7. In our opinion, the internal control system of the Company is commensurate with its size and nature of its business.

8. The central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 1956 in respect of any of the manufacturing activities of the Company.

9. In respect of statutory dues :

a. According to the records of the company, undisputed statutory dues including Provident Fund, Investors Education and Protection Fund, Employees State Insurance, Income Tax, Sales tax, Wealth-Tax, Customs Duty, Excise Duty, Cess and other statutory dues have not been regularly deposited with the appropriate authorities.

According to information and explanations given to us, following undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March, 2010 for a period of more than six months from the date of becoming payable.

Provident Fund Rs. 106844.00 (Prior to March, 2003)

Income Tax on A/c of TDS Rs. (175221.00 (Prior to March 2004)

VAT 4% Rs. 143710.26

FBT Rs. 61826.00

Professional Tax Rs. 15935.00 (2008-09)

TDS Rs. 5439.00 (2008-09)

b. There were no disputed statutory dues pending to be deposited on account of matters pending before appropriate authorities.

10. The Company has not incurred cash losses during the financial year covered by our audit. However there were cash losses of Rs. 2539189/- in the immediate previous year. The accumulated losses of the company as at the end of financial year has been Rs. 28472567A which are more then fifty percent of its net worth.

11. The company has not taken any business loan during the year, except temporary overdraft facility against fiXed deposits from Union bank of India. The company has also not issued any debentures.

12. In our opinion and according to information and explanations given to us, no loans and advances have been granted by the Company on the basis of security by way of pledge1 of shares, debentures and other securities.

13. In our opinion, the Company is not a Chit fund or a Nidhi/Mutual benefit fund/society. Therefore, clause " 4(xiii) of the Companies (Auditors Report) order 2003 is not applicable to the Company.

14. The Company has maintained proper records of transactions and contracts in respects of trading in securities, debentures and other investments and timely entries have been made therein. All shares, debentures and other investments have been held by the Company in its own name.

15. The Company has not given any guarantees for loans taken by others from banks and financial institutions.

16. The Company has not raised any new term loans during the year. The company had been regular in repayment of Installments of Principal and interest amount for the term loans for car taken from various banks.

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 Company has not utilized any amount of short-term sources towards repayment of long-term borrowings and acquisition of fixed assets.

18. During the year company has not made any preferential allotment of shares 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.

20. The company has not raised any money by way of public issue during the year.

21. In our opinion and according to information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year, that causes the financial statements to be materially misstated,

For MAK & Associates

Chartered Accountants



Sd/-

L.K. Khatri

Partner

M. No. 73345

Dated: 29:08:10