| We have audited the attached Balance Sheet of TRINETHRA INFRA VENTURES
LIMITED as at 31st March 2010 the Profit and Loss Account and also the
Cash Flow Statement of the Company for the year ended on that date
annexed thereto. 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.
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 misstatement. 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.
As required by the Companies(Auditors Report)Order,2003 duly amended
by DCA notification G.S.R.766(E) dated 25th November 2004(hereinafter
to be referred to as "the Order") 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.
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 purposes of our
audit;
(ii) 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;
(iii) The Balance Sheet, Profit and Loss Account and Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
(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 written representations received from the
directors, on 31st March, 2010 and taken on record by the Board of
Directors, we report that none of the directors is disqualified from
being appointed as a director 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 give the information
required by the Companies Act, 1956, 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 31st March, 2010;
(b) In the case of the Profit and Loss Account, of the profit for the
year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Annuxere to the Auditors Report
Referred to in paragraph 3 of our Report of even date
1. (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of all fixed
assets.
(b) Physical verification of major assets was conducted by the
management during the year, 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 verification as compared with the
book records. During the year, the Company has not disposed off
substantial part of its fixed assets.
(c) During the year, the Company has not disposed off substantial part
of its fixed assets.
2. (a) The inventory of stocks or stores and spare parts has been
physically verified during the year by the Management. In our opinion,
the frequency of verification is reasonable.
(b) In our opinion, the procedures of physical verification of
inventory followed by the Management are reasonable and adequate in
relation to the size of the company and nature of its business.
(c) In our opinion, the Company is maintaining proper records of
inventory. The discrepancies noticed on physical verification of
inventory as compared to book records were not material.
3. The company has neither granted nor taken any loans, secured or
unsecured, from companies, firms or other parties listed in the
Register maintained u/s 301 of the Companies Act, 1956.
Since the company has not granted or taken any loans from parties
listed in the register maintained u/s 301, clauses 3(b), 3(c) and 3(d)
are not applicable.
4. In our opinion and according to the information and explanations
given to us, there exists an adequate internal control system
commensurate with the size of the Company and the nature of its
business with regard to the purchases of stores, raw materials
including components, plant and machinery, equipment and other 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 controls.
5. To the best of our knowledge and belief and according to the
information and explanations given to us, we are of the opinion that
there were no contracts or arrangements that need to be entered in the
register maintained under Section 301 of the Companies Act, 1956.
Consequently, requirement of clauses (5A) and (5B) of paragraph 4 of
the order are not applicable.
6. The Company has not accepted any deposits from the public.
7. The Company has an internal audit system, which in our opinion is
commensurate with the size of the company and the nature of its
business.
8. According to the information given to us the Central Government has
not prescribed maintenance of cost records u/s 209(1) (d) of the
Companies Act in respect of the business of the company.
9. (a) The Company is generally regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund,
Employees State Insurance, Income Tax, Sales Tax, Wealth Tax, Service
Tax, Customs duty, Excise duty, Cess and Other material statutory dues
applicable to it.
(b) There are no undisputed amounts outstanding as at March 31, 2010
for a period of more than six months from the date they became payable.
(b) As per the information furnished to us the amounts lying with the
company in unpaid dividend account and the interest accrued thereon
which have remained unclaimed or unpaid for a period of 7 years or more
have not been transferred to the account of the Central Government as
required by Sec 205A (5) of the Companies Act, 1956.
10. The company has no accumulated losses as at 31st March, 2010 and
it has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
11. In our opinion and according to the information and explanations
given to us, The Company has not defaulted in repayment of dues to any
financial institutions or bank or debenture holders, as at the Balance
Sheet.
12. The company has not granted any loans or 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 provisions of clause (xiii) of paragraph 4 of
the order are not applicable.
14. The company is maintaining proper records and recording the
transactions and contracts and timely entries have been made therein;
also the shares, securities, debentures and other investments have been
held by the company, in its own name except to the extent of the
exemption, if any, granted under section 49 of the Act;
15. In our opinion and 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. To the best of our knowledge and belief and according to the
information and explanations given to us, in our opinion, the term
loans obtained during the year were, prima facie, applied by the
Company for the purpose for which they were obtained, other than
temporary deployment pending application.
17. According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, the funds
raised on short term basis have not been used for long term investments
and vice versa.
18. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares to parties
and companies listed in the register maintained u/s 301 of the
Companies Act, 1956.
19. According to the information and explanations given to us and on
the basis of records examined by us, the Company has not issued any
debentures during the year and outstanding as at the end of the year.
20. The company has not raised any money by issue of shares to public.
21. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the Company
has been noticed or reported during the year.
For P.S.Nagaraju & Co.,
Chartered Accountants
Sd-
CA P.S.Nagaraju
M.No.210268
(Firm No:011447S)
Place: Hyderabad
Date : 31-05-2010
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