Simco Trading & Finance Co. Ltd.की ऑडीटर रिपोर्ट

Mar 31, 2009

Annexure to the Auditors Report (Referred to in paragraph 3 of our report of even date)

In terms of the information and explanation given to us and the books and records examined by us and on the basis of such checks, as we considered appropriate, we further reports as under:

(i) The Company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets. As explained to us, these fixed assets were physically verified by the management during the year and there were no discrepancies upon physical verification.

During the year, the Company has not disposed off any Fixed Assets. (ii) There was no inventory with the Company at any time during the year.

(iii) During the year under review, the Company has not granted unsecured loans to any party listed in the register maintained under section 301 of the Companies Act, 1956. The company has however continued with the unsecured loans taken in the earlier years from four parties listed in the Register maintained under section 301 of the Companies Act, 1956. In our opinion, the rate of interest and other terms and conditions of the said loan are not prima facie prejudicial to the Companys interests. The details of the same are as follows:

Nature of the Opening Balance Outstanding Loans Repaid Closing balance as Party as on 1st April08 Interest added to during the year on 31st March09 (Rs) Loans (Rs.) (Rs) (Rs.)

Bodies 19,10,855 1,77,343 2,05,000 18,83,198 Corporate-4

There is no overdue amount of loan given to companies, firms or other parties in the register maintained under section 301 of the Companies Act, 1956.

(iv) The Company has updated the register required to be maintained under Section 301 of the Companies Act, 1956. The transactions required to be entered in the Register maintained under section 301 of the Companies Act, 1956 have been so entered.

(v) In our opinion, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business, for the purchase of fixed assets and for the provision of services. During our audit, we have not come across any continuing failure to correct major weaknesses in the internal controls prevailing in the Company, except to the extent mentioned in para (i) and (ii) above.

(vi) The Company has not accepted any deposits from the public within the purview of the directives issued by the Reserve Bank of India and the provisions of sections 58A and 58AA of the Companies Act, 1956 and the rules framed there under.

(xviii) The Company has not made any preferential allotment of shares during the year.

(xix) The Company has not issued any Debentures and hence no securities are required to be created in respect thereof.

(xx) No money has been raised by way of public issue by the Company during the year under review.

(xxi) As per the books examined by us and based on the explanations given to us no fraud on or by the Company has been noticed or reported during the year.

For Malpani & Associates Chartered Accountants

Shyam Malpani Proprietor Membership No. F-34171