| 1. We have audited the attached Balance Sheet of M/s PROTO DEVELOPERS
& TECHNOLOGIES LIMITED (The Company'), as at 31st March 2013, and
also the Statement of Profit and Loss and the Cash Flow Account for the
year ended on that date, annexed thereto (collectively referred as the
'financial statements'). 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.
2. We conducted our audit in accordance with the 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.
3. As required by the Companies (Auditor's Report) Order, 2003
('the order1) (as amended) issued by the Central Government of India
in terms of sub-section (4A) of section 227 of the Companies Act, 1956
of India ('the Act'), and on the basis of such checks of the books
and records of the Company as we considered appropriate and according
to the information and explanations given to us, we enclose in the
Annexure a statement on the matters specified in paragraphs 4 & 5 of
the said order to the extent applicable to the company.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that: '
I) We have obtained all the information & 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 accounts as required by law have
been kept by the company so far as appears from our examination of
those books;
iii) The financial statements dealt with by this report are in
agreement with the books of accounts; .
iv) On the basis of written representations received from the directors
and taken on record by the Board of Directors, none of the directors is
disqualified as on 31 ** March, 2013 from being " appointed as
director in terms of clause (g) of sub-section (1) of section 274 of
the Act;
v) In our opinion and to the best of our information and according to
the explanations given to us, the financial statements dealt with by
this report comply with the accounting standards referred to in
sub-section (3C) of section 211 of the Act and give the information
required by the Act, in the manner so required and give a true and fair
view in the conformity with the accounting principles generally
accepted in India, in the case of;
a) the Balance Sheet, of the state of affairs of the company as at 31st
March, 2013
b) the statement of Profit & Loss, of the profit for the year ended on
that date; and
c) the cash flow statement of the cash flows for the year ended on that
date.
ANNEXURE TO AUDITOR'S REPORT OF EVEN DATE TO THE MEMBERS OF PROTO
DEVELOPERS AND TECHNOLOGIES LIMITED ON THE FINANCIAL STATEMENTS FOR THE
YEAR ENDED 31st MARCH 2013
Based on the audit procedures performed for the purpose of reporting a
true and fair view on the financial statements of the Company and
taking into consideration the information and explanations given to us
and the books of account and other records examined by us in the normal
course of audit, we report that:
(a) The company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) All the assets have been physically verified by the management
during the year. No material discrepancies were noticed on such
verification as compared to the book records. In our opinion frequency
of verification is reasonable.
(c) In our opinion, a substantial part of fixed assets has not been
disposed of during the year.
(ii) (a) The inventory has been physically verified by the management
during the year. In our opinion, the frequency of physical verification
is reasonable. .
(b) In our opinion the procedures of physical verification of
inventories followed by the management are reasonable and adequate in
relation to the size of the company and the nature of its business.
(c) The company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) The company has not taken any loan from companies, firm or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956. There are no parties covered in the register
maintained under section 301 of the Companies Act 1956 to which the
company has granted loans.
(b) In our opinion, the rate of interest and other terms and conditions
on which loans have been given to parties listed in the register
maintained under section 301 of the Companies Act, 1956 are not, prima
facie, prejudicial to the interest of the company.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business for the purchases of inventory, fixed assets and with regard
to the sale of goods. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
controls.
(v) (a) In our opinion, the particulars of all contracts or
arrangements that need to be entered into the register maintained under
section 301 of the Act have been so entered. *
(b) Owing to the unique and specialized nature of the items involved
and in the absence of any comparable prices, we are unable to comment
as to whether the transactions made in pursuance of such contracts or
arrangements have been made at prevailing market prices at the relevant
time.
(vi). The company has not accepted any deposit from the public within
the meaning of sections 58A and 58AA of the Act and the Companies
(Acceptance of Deposits) Rules, 1975. Accordingly, the provisions of
clause 4(vi) of the order are not applicable.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(viii)The Central Government of India has not prescribed the
maintenance of cost records under clause (d) of sub section (!) of
section 209 of the Act of any product of the company.
(ix) (a) In our opinion the company is generally regular in depositing
with appropriate authorities undisputed statutory dues applicable to
it.
(b) As per information and explanations given to us there is no
undisputed amounts payable in. respect thereof were outstanding at the
year end for a period of more than six months from date they became
payable.
(x) In our opinion, the company has no accumulated losses at the end of
the financial year and it has not incurred cash losses in the current
and the immediately preceding financial year.
(xi) The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
Accordingly, the provision of clause 4(xii) of the order are not
applicable.
(xii) The company is not a chit fund or a Nidhi/Mutual Benefit
Fund/Society. Accordingly the provisions of clause 4(xiii) of the Order
are not applicable.
(xiii) The company is not dealing or trading in shares, securities,
debentures and other investments. Accordingly, the provisions of clause
4(xiv) of the Order are not applicable.
(xiv) As per information and explanation given to us in our opinion,
the company has not given guarantees for loans taken by others from
banks or financial institutions. Accordingly, the provision of clause
4(xv) of the Order are not applicable.
(xv) The company has not applied for any term loans for any purpose
during the year.
(xvi) In our opinion, no funds raised on short-term basis have been
used for long-term investment.
(xvii) During the year, the company has not made any preferential
allotment of shares to parties or companies covered in the register
maintained under section 301 of the Act. Accordingly, the provision of
clause 4 (xviii> of the order are not applicable.
(xviii) During the year covered by our audit report, the company has
not issued any debentures,
(xix) The company has not raised any money by public issues during the
year. Accordingly, the provision of clause 4(xx) of the Order are not
applicable.
(xix) According to the information and explanation given to us, no
fraud on or by the company , has been noticed or reported during the
period covered by our audit --
For M.K.SACHDEVA & ASSOCIATES
Chartered Accountants
(MANOJ SACHDEVA)
Proprietor
Firm Registration No: 023644N
Membership No.: 085586
Place: NEW DELHI
Date: 10.05.2013
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