| We have audited the attached financial statements of Wadala Commodities
Limited("the Company"), which comprise the Balance Sheet as at March
31, 2014, the Statement of Profit and Loss and 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
Management is responsible for 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 Standards notified under the Companies Act, 1956 ("the
Act") read with the General Circular 15/2013 dated September 13, 2013,
of the Ministry of Corporate Affairs in respect of section 133 of the
Companies Act, 2013.This responsibility includes the design,
implementation, 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.
Auditor's Responsibility
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.
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, but not for the
purpose of expressing an opinion on the effectiveness of the entity's
internal control. 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. We believe that the audit
evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us the 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 March 31, 2014.
b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and.
c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, 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 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, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) In our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards notified under
the Companies Act, 1956, read with the General Circular 15/2013 dated
September 13, 2013, of the Ministry of Corporate Affairs in respect of
section 133 of the Companies Act, 2013.
e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors, we
report that none of the directors are 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.
Referred to in paragraph 1 under the heading 'Report on Other Legal &
Regulatory Requirements' of our report of even date.
1. The Company does not have any Fixed Assets.
2. The Company does not have any inventory as all its trading
activities are done on back to back basis.
3. The Company has neither granted nor taken any loans, secured or
unsecured to / from companies, firms or other parties listed in the
register maintained under section 301 of the Companies Act, 1956.
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
purchases of inventory, fixed assets and for the sale of goods. During
the course of our audit, no major weakness has been noticed in the
internal control system.
5. Based on the audit procedures applied by us and according to the
information and explanations provided by the Management, the Company
has not entered into any contracts or arrangements during the year that
needed to be entered into the register required to be maintained under
section 301 of the Companies Act, 1956.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public
within the meaning of section 58A, 58AA, or any other relevant
provisions of the Companies Act, 1956 and the rules framed thereunder.
No order has been passed by the Company Law Board, or National Company
Law Tribunal, or Reserve Bank of India, or any Court, or any other
Tribunal.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
8. The Company being a trading company, the maintenance of cost records
is not applicable to the Company.
9. Statutory Dues
a) According to the information and explanation given to us, the
Company is regular in depositing undisputed statutory dues, including
dues pertaining to Investor Education and Protection Fund, Provident
Fund, Employees' State Insurance, Income-tax, Sales-tax, Wealth Tax,
Service Tax, Custom Duty, Cess and any other statutory dues with the
appropriate authorities. We have been informed that there are no
undisputed dues which have remained outstanding as at the end of the
financial year, 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 of income-tax, sales tax, wealth tax, service tax, customs
duty, excise duty or cess outstanding on account of any dispute.
10. The Company's accumulated losses at the end of the financial year
are in excess of fifty percent of its net worth. The Company has not
incurred cash losses in the current financial year or in the
immediately preceding financial year.
11. According to the information and explanations given to us and based
on the documents and records produced before us, there has been no
default in repayment of dues to banks. There are no dues to financial
institutions or debenture holders.
12. According to the information and explanations given to us and based
on the documents and records produced before us, the Company has not
granted any loans or advances on the basis of security by way of pledge
of shares, debentures or other securities.
13. In our opinion and according to the information and explanations
given to us, the nature of activities of the Company does not attract
any special statute applicable to chit fund and nidhi/mutual benefit
funds/ societies.
14. The Company does not deal or trade in shares, securities,
debentures and other investments.
15. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
banks or financial institutions.
16. The Company did not avail any term loans during the year.
17. According to the information and explanations given to us and on an
overall examination of the Balance Sheet, the Cash Flow Statement and
other records examined by us, the Company has not used funds raised on
short term basis for long term investment.
18. The Company has not made any preferential allotment of shares to
parties or 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 through a public issue during
the year.
21. Based upon the audit procedures performed by us, to the best of our
knowledge and belief and according to the information and explanations
given to us by the Management, no fraud on, or by the company, has been
noticed or reported during the year.
For and on behalf of
KALYANIWALLA & MISTRY
CHARTERED ACCOUNTANTS
Firm Regn. No.:104607W
Daraius Z. Fraser
PARTNER
Mumbai, April 30, 2014 M. No. 42454 | 