| We have audited the accompanying Standalone financial statements of
"SUPER DOMESTIC MACHINES LIMITED" which comprise the Balance Sheet as
at March 31, 2015, the Statement of Profit and Loss for the year then
ended, Cash flow Statement for the year then ended and a summary of
significant accounting policies and other explanatory information.
Managements' Responsibility for Standalone Financial Statements:
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 standalone 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 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 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.
Auditor's Responsibility
Our responsibility is to express an opinion on these standalone
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 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. 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, 2015;
b) in the case of the Statement of Profit and Loss, of the profit/ loss
for the year ended on that date; and
c) in case of Cash Flow Statement for the year ended 31st March 2015.
Emphasis of Matter:
There is no such matter came across to put emphasis on during the
course of our Audit.
1. As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by section 143(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, the Statement of Profit and Loss dealt with by
this Report are in agreement with the books of account.
d) In our opinion, the Balance Sheet, the Statement of Profit and Loss
comply with the Accounting Standards referred to in section 133 of the
Companies Act, 2013; except AS 22 relating to the Taxes on Income read
with notes forming part of accounts.
e) In our Opinion and Explanation provided to us, to the best of our
knowledge and belief there is not any financial transaction that affect
adversely on the functioning of the company.
f) On the basis of written representations received from the directors
as on March 31, 2015, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2015, from being
appointed as a director in terms of sub-section (2) of section 164 of
the Companies Act, 2013.
g) To the best of our knowledge and belief and explanation provided to
us Financial Control System in place are adequate and it is operating
effectively.
h) It may be noted that at present, no Rules relating to the amount of
cess for rehabilitation or revival or protection of assets of sick
industrial companies, payable by a company under section 269 of the Act
have been notified by the central Government. Thus, it would not be
possible for the auditor to comment on the regularity or otherwise
about the cess till the time relevant rules or regulations are issued.
Annexure referred to in paragraph 1 of our report even date.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
(i) In Respect of the Fixed Assets:
a) Proper records showing full particulars including quantitative
details and situation of Fixed Assets of the company are being updated.
b) The management physically verifies the fixed assets of the Company.
No material discrepancies were noticed on verification.
c) No substantial parts of the fixed assets have been disposed off
during the year. As per the new rules of Companies Act, 2013 remaining
balance of computers is transferred to Reserves.
(ii) In respect of its Inventories:
a) The companies is having the inventory and are maintaining proper
records except that for the purpose of valuation the accounting system
is not perfect enough to value inventory and for which company relies
on its own valuations systems. Records are verified and certified by
management.
(iii) In respect of Loan:
a) The company has not taken any loans from Companies, Firms or other
parties and directors and relative of the Director; Register maintained
under section 189 of the Act.
b) In our opinion, the terms and conditions, on which loans have been
taken from companies, firms or other parties listed in the register
maintained under section 189 of the Companies Act 2013 and from the
companies under the same management, 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 with regards to purchases of inventory, fixed assets and with
regards 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.
(v) In respect of Contracts or arrangements referred to in Section 189
of the Companies Act, 2013:
According to the information and explanations given to us, we are of
the opinion that the transactions that need to be entered in into the
register maintained under section 189 of the Companies Act, 2013 have
been so entered.
In our opinion and according to the information and explanation given
to us, There is no any transaction more than Rs. 500000/- or more of
purchase of goods and materials and sale of goods, materials and
services, made in pursuance of contracts or arrangements entered in the
registers maintained under section 301 and aggregating during the year
in respect of each party, so this provision is not applicable.
(vi) In our opinion and according to the information and explanations
given to us, since the company has not accepted any deposits from the
public the compliance with the provisions of sections 73 or any other
relevant provisions of the Act and the rules frame there under with
regard to the deposits accepted from the public are not applicable to
the company. No order has been passed by the applicable authorities.
(vii) In respect of Statutory Dues:
a) According to the information and explanation given to us, the
company is generally regular in depositing with the appropriate
authorities, undisputed statutory dues including Provident Fund, ESIC,
Income Tax, Sales Tax, Excise Duty, Cess and any other material
statutory dues applicable to it.
b) According to the information and explanations given to us, no
disputed amounts payable in respect of income tax, wealth tax, sales
tax, custom duty, excise duty and cess were outstanding, as at 31st
March, 2015 for a period of more than six months from the date they
become payable.
(viii) The company have accumulated losses of Rs. 1,47,61,807/-, during
the year company has not incurred any losses.
(ix) According to the information and explanations given to us, the
company has not granted loans and advances on the basis of securities
by way of pledge of shares, debentures and other securities. Therefore
the provisions of clause 4(xii) of the Companies (Auditors Report)
order, 2015 are not applicable to the company
(x) In our opinion, the company is not a Chit Fund or a NIDHI Mutual
Benefit Fund/Society. Therefore the provisions of clause 4(xiii) of the
Companies (Auditors Report) order, 2015 are not applicable to the
company.
(xi) In our opinion the company is dealing in or trading in shares,
securities, debentures and other investments. Accordingly, the
provisions of the clause 4 of CARO 2015 are applicable to the company
as regards dealing in or trading in shares, securities and other
investments. No records available for verification purpose.
(xii) As informed to us, the company has not given guarantees for loans
taken by others from banks or financial institutions.
(xiii) In our opinion, on the basis of information & explanations given
to us, the term loans were not applied for the purpose for which they
were raised.
(xiv) In our opinion, on the basis of information and explanations
given to us funds raised on Short term basis have not been used for
Long-term investment.
(xv) The company has not made issue of preferential allotment of shares
to parties and companies covered in the register maintained under
section 189 of the Act.
(xvi) The company has not issued any debentures during the period
covered by our audit report.
(xvii) The company has not made public issue of shares during the
period covered by our audit report.
(xviii) According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
year.
Date : 30th May,2015 For, Vishves A. Shah & Co.
Place : Ahmedabad Chartered Accountants
Firm No.121356w
Sd/-
(Vishves A. Shah)
Proprietor
M. No. 109944
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