Shiva Granito Export Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2024

We have audited the accompanying Standalone Ind AS financial statements of Shiva Granito Export Limited (“the
Company”), which comprise the Balance Sheet as at March 31, 2024, the Statement of Profit and Loss, the
Statement of Changes in Equity and the Statement of Cash Flows for the year ended on that date, and notes to the
Standalone Ind AS financial Statements including a summary of the significant accounting policies and other
explanatory information

In our opinion and to the best of our information and according to the explanations given to us, except for the
possible effects of the matter described in the basis for qualified opinion paragraph section the aforesaid Standalone
Ind AS financial statements give the information required by the Companies Act, 2013,as amended (“the Act”) in
the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed
under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended,
(“Ind AS”) and other accounting principles generally accepted in India, of the state of affairs of the Company as at
March 31, 2024, the loss and its cash flows and changes in equity for the year ended on that date.

Basis for Qualified Opinion

1) The company has not ascertained the applicability of provisrons of payment of Graturty to employees and does
not have any actuarial valuation provision in the financial statement against such employee benefits, we are unable
to comment on the correctness of cost of employee benefits charged to statement of profit and loss as per actuarial
valuation and the disclosure as required by the Ind AS-19 in the financial statements

2) Information required to be disclosed as per MSME Act 2006 has not been disclosed. Since company has not
completed the process of collecting the information relating to the small and Micro units rendering services or
supplying goods to the company, we are unable to determine whether there was delay in making payment to such
entities and the resultant interest for such delay as prescribed under MSME Act 2006 not provided in the financial
statement hence profit overstated to the extent of interest provision not provided.

3) The company has no details for recovery from debts pending since a long period, in absence of which we are
unable to comment on realization . Such debtors affect the credit impaired of the company.

In accordance with Ind AS 109 the company applies expected credit loss (ECL) model for measurement and
recognition of impairment loss allowance on trade receivables during the year Rs 755.35 lakhs but company not
recognized as expenses in the statement of Profit and Loss Account as provision for Bad and doubtful debts. The
company in previous year 2022-23 recognized expected loss and debited in profit and loss account amounting Rs
756.19 Lakhs has been reversed and added back in change of equity statement as retaining earning under reserve
and surplus

We conducted our audit of the Standalone Ind AS financial statements in accordance with the Standards on
Auditing (SAs) as specified under section 143(10) of the Act. Our responsibilities under those Standards are further
described in the Auditor’s Responsibilities for the Audit of the Ind AS Financial Statements’ section of our report.
We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered
Accountants of India (ICAI) together with the ethical requirements that are relevant to our audit of the Ind AS
financial statements under the provisions of the Act and the Rules made there under, and we have fulfilled our other
ethical responsibilities in accordance with these requirements and the ICAI’s Code of Ethics.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion on the Ind AS financial statements.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the
Ind AS financial statements of the current period. These matters were addressed in the context of our audit of the Ind
AS financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters.

Information Other than the Financial Statements and Auditor’s Report Thereon

The Company’s Board of Directors is responsible for the preparation of the other information. The other information
comprises the information included in the Annual Report, but does not include the Ind AS financial statements and
our auditor’s report thereon.

Our opinion on the Standalone Ind AS financial statements does not cover the other information and we do not
express any form of assurance conclusion thereon.

In connection with our audit of the Standalone Ind AS financial statements, our responsibility is to read the other
information and, in doing so, consider whether the other information is materially inconsistent with the Ind AS
financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially
misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other
information; we are required to report that fact. We have nothing to report in this regard.

Management’s Responsibility for the Standalone Ind AS Financial Statements.

The Company’s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to
the preparation of these Ind AS financial statements that give a true and fair view of the financial position, financial
performance, total comprehensive income, changes in equity and cash flows of the Company in accordance with the
accounting principles generally accepted in India including the Indian Accounting Standards(Ind AS) specified
under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended. This
responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the
Act for safeguarding the assets of the Company and for preventing and detecting 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 adequate internal financial controls, that were
operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the
preparation and presentation of the standalone financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.

In preparing the Standalone Ind AS financial statements, management is responsible for assessing the Company’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or
has no realistic alternative but to do so.

The Board of Directors are also responsible for overseeing the Company’s financial reporting process.

Auditor’s Responsibilities for the Audit of the Standalone Ind AS Financial Statements.

Our objectives are to obtain reasonable assurance about whether the Standalone Ind AS financial statements as a
whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit
conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can
arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be
expected to influence the economic decisions of users taken on the basis of these Ind AS financial statements.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism
throughout the audit. We also:

? Identify and assess the risks of material misstatement of the Standalone Ind AS financial statements, whether due
to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The nsk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control.

? Obtain an understanding of internal financial controls relevant to the audit in order to design audit procedures that
are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our
opinion on whether the Company has adequate internal financial controls system in place and the operating
effectiveness of such controls.

? Evaluate the appropnateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by management.

? Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the
audit evidence obtained, whether a matenal uncertainty exists related to events or conditions that may cast
significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the
Standalone Ind AS financial statements or, if such disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events
or conditions may cause the Company to cease to continue as a going concern.

? Evaluate the overall presentation, structure and content of the Standalone Ind AS financial statements, including
the disclosures, and whether the Ind AS financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Ind AS financial statements that, individually or in
aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the financial
statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope
of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified
misstatements in the financial statements.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing
of the audit and significant audit findings, including any significant deficiencies in internal control that we identify
during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most
significance in the audit of the Standalone Ind AS financial statements of the current period and are therefore the
key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be
communicated in our report because the adverse consequences of doing so would reasonably be expected to
outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”), issued by the Central Government of
India in terms of sub-section (11) of section 143 of the Companies Act, 2013, we give in the Annexure 1 a statement
on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable

1. As required by Section 143(3) of the Act, based on our audit we report that:

a) We have sought and except the matter described in the basis of qualifying opinion, obtained all the
information and explanations which to the best of our knowledge and belief were necessary for the
purposes of our audit.

b) Except for the possible effects of the matter described in the Basis for Qualified opinion paragraph above in
our opinion, proper books of account as required by law have been kept by the Company so far as it
appears from our examination of those books, except for the matters stated in the paragraph (h-vi.) below,
on reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014

c) Except for the possible effects of the matter described in the Basis for Qualified opinion paragraph The
Balance Sheet, the Statement of Profit and Loss, Statement of Changes in Equity and the Statement of Cash
Flow dealt with by this Report are in agreement with the relevant books of account.

d) Except the matter described in the basis of qualifying opinion, in our opinion, the aforesaid Standalone Ind
AS financial statements comply with the Accounting Standards specified under Section 133 of the Act,
read with Companies (Indian Accounting Standards) Rules 2015 as amended.

e) On the basis of the written representations received from the directors as on March 31, 2024 taken on
record by the Board of Directors, none of the directors is disqualified as on March 31, 2024 from being
appointed as a director in terms of Section 164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls over financial reporting of the Company
with reference to these Standalone Ind AS financial statements and the operating effectiveness of such
controls, refer to our separate Report in “Annexure 2” to this report.

g) In our opinion and to the best of our information and according to the explanations given to us, the
remuneration for the year ended March 31,2024 has been paid /provided by the Company to its directors
during the year is in accordance with the provisions of section 197 read with schedule V to the Act.

h) Except for the possible effects of the matter described in the Basis for Qualified opinion paragraph and the
modifications relating to the maintenance of accounts and other matters connected therewith on reporting
under section 143(3)(b) of the Act and paragraph h-vi below on reporting under Rule 11(g) and with
respect to other matters to be included in the Auditor’s Report in accordance with Rule 11 of The
Companies (Audit and Auditors) Rules, 2014, as amended in our opinion and to the best of our information
and according to the explanations given to us:

l. The Company has disclosed the impact of pending litigations on its financial position in its Standalone
Ind AS financial statements. Refer note 30,31(a)and 31(b) to the Financia 1 Statements.

ii. The Company did not have any long-term contracts including denvative contracts for which there were
any material foreseeable losses.

iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education
and Protection Fund by the Company.

iv a) The management has represented that, to the best of its knowledge and belief, no fund has been advanced
or loaned or invested (either from borrowed funds or share premium or any other sources or kind of
funds) by the company to or in any other person(s) or entity(ies), including foreign
entities(“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the
intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in
any manner whatsoever by or on behalf of the company (“Ultimate Beneficiaries”) or provide any
guarantee, security or the like on behalf of the ultimate Beneficiaries.

b) The management has represented that, to the best of its knowledge and belief, no fund has been

received by the company from any person(s) or entity(ies), including foreign entities (“funding parties”),
with the understanding, whether recorded in writing or otherwise, that the company shall, whether,
directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or
on behalf of the funding Party (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on
behalf of the ultimate Beneficiaries and

c) Based on such audit procedures that were considered reasonable and appropriate in the circumstances,
nothing has come to our notice that has caused us to believe that the representations under sub clause (a)
and (b) contain any material misstatement.

(v) The company has not declared or paid any dividend during the year in contravention of the provisions
of section 123 of the Companies Act, 2013.

(vi) Based on our examination which included test checks, the Company has used accounting software for
maintaining its books of account, which have a feature of recording audit trail (edit log) facility, however the
same has not operated throughout the year for all relevant transaction recorded in the respective software

As proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable fromApril 1, 2023, reporting under Rule
11(g) of the Companies (Audit and Auditors) Rules, 2014 on preservation of audit trail as per the statutory requirements
for recordretention is not applicable for the financial year ended March 31, 2024.

For NENAWATI & ASSOCIATES
Chartered Accountants
(Firm’s Registration No. 002148C)

(CA C-. S. Nenawati)

Place: Udaipur Partner

Dated: 22.06.2024 Membership No. 071341

UDIN 24071341B KCIIS 1189

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Mar 31, 2016

TO,

THE MEMBERS OF SHIVA GRANITO EXPORT LIMITED Report on the Financial Statements

We have audited the accompanying financial statements of Shiva Granito Export Limited which comprises the Balance sheet as at 31st March, 2016, and the statement of Profit & Loss for the year then ended and a summary of the significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statement

The Company''s Board of Directors is responsible for the matters stated 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 and financial performance 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 maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting 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 adequate internal financial controls, 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.

Auditors'' Responsibility

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

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

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement

An audit involves performing procedures to obtain audit evidence about the amounts and the 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 financial control relevant to the

Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements.

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

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the afore said financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31 st March, 2016.

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

Report on other Legal & Regulatory Requirement

As required by the Companies (Auditors'' Report) Order,2016("the Order") issued by the Central Government of India in terms of sub section (11) of section 143 of the Companies Act, 2013. We give in the Annexure statements on the matters specified in paragraphs 3 and 4 of the order, to the extent applicable.

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 it appears from our examination of those books.

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

(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 the written representations received from the directors as on 31/03/2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31/03/2016 from being appointed as a director in terms of Section 164 (2) of the Act.

(f) In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2016.

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

i. The Company does not have any pending litigations which would impact on its financial position.

ii. The Company did not have any long-term contracts including derivative contracts for which there were any Material foreseeable losses,

iii. There was no amount which were required, or required to be transferred, to the Investor Education and Protection Fund by the Company.

Annexure to the Independent Auditors'' Report

(Referred to in paragraph 1 under ''Report on Other Legal and Regulatory Requirements'' section 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 the fixed assets.

(b) The Fixed assets have been physically verified by the management at reasonable intervals; According to the information and explanation given to us no material discrepancies were noticed on such verification.

(c) The land taken on lease and the title deeds held in the name of lease holder.

(2) In respect of Inventory

(a) As explained to us, inventories were physically verified during the year by the management at reasonable Intervals.

(b) In our opinion and according to the information and explanations given to us, the company has maintained Proper records of its inventories and no material discrepancies were noticed on physical verification.

(3) The Company has not granted any loans secured or unsecured to Companies, firms, limited liability Partner ships or other parties covered in the register maintained under section 189 of The Companies Act 2013. Accordingly, the provisions Of clause 3(iii)(a) to (c) of the order are not applicable.

(4) In our opinion and according to the information and explanations given to us, the company has

complied with the provisions of section 185 and 186 of the companies Act,2013 in respect of loans, investments, guarantee, and security.

(5) According to the information and explanations given to us, the company has not accepted any deposit from public during the year hence the directives issued by Reserve Ban oflndia and the provisions of section 73 to 76 or any other relevant provision of the Act and the companies( Acceptance of deposit) Rules,2015 with regard to the deposits accepted from public are not applicable.

(6) According to the information and explanations given to us, the Central Government has not prescribed

maintenance of cost records under sub-section (1) of section 148 of the Companies Act for the products of the company

(7) (a) According to the information and explanations given to us and on the basis of our examination of the books of accounts and records the Company has generally been regular in depositing undisputed statutory dues including income-tax, Sales-tax, service tax, value added tax ,custom duty, Excise duty, cess and any other statutory dues with the appropriate Authorities. .We are informed that the provisions of Employees Provident Fund Act and State Insurance Act is not applicable to the Company. According to the information and explanations given to us, no undisputed amounts payable in respect of the above were in areas as at March 31,2016 for a period of more than six months from the date on when they become payable.

(b) In our opinion and information given to us there are no other disputes pending regarding statutory due of income-tax, Sales-tax, service tax, value added tax, custom duty, Excise duty, cess.

(8) Based on our audit and according to the information and explanations given by the management, we are of the opinion that the company has not defaulted in the repayment of dues to financial institutions and Banks.

(9) Based on our audit and according to the information and explanations given by the management, the company has not raised moneys by way of initial public offer or further public offer including debt instruments and term oans . Accordingly, the provisions of clause 3(ix) of the order are not applicable to the company hence not commented upon.

(10) Based on our audit and according to the information and explanations given by the management, we report that no fraud by the company or on the company by its officers or employees has been notices or reported during the year.

(11) Based on our audit and according to the information and explanations given by the management, the managerial remuneration has been paid or provided in accordance with the requisite approvals by the provisions of section 197 read with schedule V to the Companies Act.

(12) In our opinion, the company is not a Nidhy Company, therefore, the provisions of clause 3(xii) of the order are not applicable to the company.

(13) In our opinion, all transactions with the related parties are in compliance with section 177 and 188 of the Companies Act 2013 and details have been disclosed in the Financial Statements as required by the applicable accounting standards.

(14) Based on our audit and according to the information and explanations given by the management, the company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review except shares issued in exchange of capital of firms which has been acquired by the company. Accordingly, the provisions of clause 3(xiv) of the order are not applicable to the company hence not commented upon.

(15) Based on our audit and according to the information and explanations given by the management, the Company has not entered into any non-cash transactions with directors or persons connected with him. Accordingly, the provisions of clause 3(xv) of the order are not applicable to the company hence not commented upon.

(16) In our opinion, the company is not required to be registered under section 45IA of the Reserve Bank of India Act, 1934 and Accordingly, the provisions of clause 3(xvi) of the order are not applicable to the company hence not commented upon.

The Independent Auditor''s Report.

Referred to in paragraph 1(f) under ''Report on Other Legal and Regulatory Requirements'' section of our report of even date

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")

We have audited the internal financial controls over financial reporting of Shiva Granito Exports limited ("the Company") as of March 31, 2016 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.

Management''s Responsibility for Internal Financial Controls

The Company''s management is responsible for establishing and maintaining internal financial controls based on control criteria of "the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India". These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.

Auditors'' Responsibility

Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note") and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. 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.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.

Meaning of Internal Financial Control Over Financial Reporting

A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion, to the best of our information and according to the explanations given to us, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2016, based on control criteria of "the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of lndia.

FOR NENAWAT & ASSOCIATES.

Chartered Accountants

FRN 02148C

Place: Udaipur Sd/-

Date: 23rd April, 2016 (C.S.NENAWATI)

Partner M.No.071341