Management's Responsibility for the Financial Statements

2. The Company's 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 Flow of the Company in accordance with the Accounting Standards notified under the Companies Act, 1956 of India (the "Act ") read with the General Circular Number 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 and 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

3. Our responsibility is to express an opinion on these financial statements based on our audit. We have conducted 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.

4. 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.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

6. In our opinion and to the best of our information and according to the explanations given to us, the accompanying 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; and

b) in the case of the Profit and Loss Account, of the profit for the year ended on that date.

c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other legal & Regularity Requirements

7. As required by the Companies (Auditor's Report) Order, 2003 as amended by the Companies (Auditor's Report) (Amendment) Order, 2004, issued by the Central Government of India in terms of Sub Section (4A) of Section 227 of the Act, ( hereinafter referred to as the 'Order'), 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 set out in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

8. 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 Account 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 Account and Cash Flow Statement dealt with by the report comply with the accounting Standards notified under the Act read with the General Circular No. 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 the written representations received from the Directors as on March 31,2014, and taken on record by the Board of Directors of the Company, none of the Directors is 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 Act;

ANNEXURE TO THE AUDITORS REPORT

i (a) The Company has maintained proper records showing full particulars including quantitative details and situation of Fixed Assets

(b) As informed to us a portion of these fixed assets have been physically verified by the management during the period. The discrepancies noticed, if any, from the book records and physical inventory of Fixed Assets Register were not material.

(c) The fixed assets disposed off during the year, in our opinion, do not constitute substantial part of the fixed assets of the company and such disposal has, in our opinion, not affected the going concern status of the company.

ii (a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

(b) 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. In our opinion and according to the information and explanation given to us no material discrepancies were noticed on physical verification.

iii (a) The company has not granted any loans secured or unsecured to the companies, firms or other parties covered under section 301 of the Act. Accordingly clauses iii(b) to iii (d) of the paragraph 4 of the order are not applicable to company for the current year.

(b) The company obtained an unsecured loan from a company listed in the register maintained under section 301 of the Companies Act, 1956 in earlier year against which the outstanding balance is Rs. 5.00 Crores. The terms & conditions 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 size of the company and the nature of its business with regard to purchase of inventory, fixed 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.

v. (a) According to the information and explanations given to us, we are of the opinion that the transaction that need to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or

(c) Arrangements entered in the register maintained under section 301 of the Companies Act, 1956 and exceeding the value of Rs. 5.00 lacs in respect of each party, during the year have been made at prices which appear reasonable as per the information available with the company.

vi. As per the information and explanations given to us and as per our examination of books of accounts, the company has not taken any deposit, hence there is no contravention of the provisions of Section 58A, 58AA or any other relevant provisions of the Companies Act, 1956.

vii. In our opinion, the company has an internal audit system commensurate with the size and nature of its business. In view of the increased size and nature of the transactions, it is advisable to strengthen it more, in the ensuing year.

viii. We have broadly reviewed the cost records maintained by the company pursuant to the Companies (Cost Accounting Records) Rules, 2011 prescribed by the Central Government under Section 209 (1) (d) of the Companies Act, 1956 and are of the opinion that prima facie the prescribed cost records have been maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.

ix (a) The company is generally regular in depositing with appropriate authorities undisputed statutory dues including provident fund, employees state insurance, income tax, service tax, custom duty, excise duty, cess and other material statutory dues applicable to it.

(b) According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, service tax, custom duty, excise duty and cess were in arrears, as at 31st March 2014 for a period of more than six months from the date they became payable.

x. The company has no accumulated losses, hence this clause is not applicable.

xi. In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to banks.

xii. The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

xiii. 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, 2003 are not applicable to the company.

xiv. In our opinion, the company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditor's Report) order, 2003 are not applicable to the company.

xv. As per the explanations and as per the records of the company, no guarantee has been given by the company for loans taken by the others from banks or financial institutions.

xvi. The Company has obtained Term Loan amounting to Rs. 8.00 lacs during the year. The said Term Loan has been applied, for the purposes for which it was raised.

xvii. According to the information and explanations given to us, and on an overall examination of the balance sheet of the company, we are of the opinion that there are no funds raised on short-term basis that have been used for long-term investment. No long-term fund have been used to finance short-term assets except permanent working capital.

xviii. During the FY 2013-14 the company has made Preferential Allotment of 2500000 equity shares at a face value of Rs. 10/- each, at an issue price of Rs. 20/- each to a company covered in the Register maintained under Section 301 of the Companies Act, 1956 and in accordance with the Security & Exchange Board Of India ( Issue of Capital & Disclosure Requirements) Regulations, 2009 and other applicable provisions. The terms and issue price are not prejudicial to the interest of the company.

xix Since the company has not issued debentures this clause is not applicable.

xx. The Company has not raised any monies by way of public issue during the year.

xxi. In our opinion 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 SHASHI DINESH & CO.

                                          Chartered Accountants
                                     Firm's Regn No. 004975 C

                                             (CA Sudhir Kapoor)

                                                       Partner

Place : Delhi                            Membership No. 073456