| Report on the Financial Statements
1. We have audited the accompanying financial statements of M/s
NARDHANA INFRASTRUCTURE LIMITED (the "Company"),, which comprise the
Balance Sheet as at March 31, 2013, and 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,
which we have signed under reference to this report.
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 flows of the Company
in accordance with the Accounting Standards referred to in sub-section
(3C) of section 211 of 'the Companies Act, 1956' of India (the "Act").
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.
Auditors' Responsibility
3. 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.
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 auditors' 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 auditors consider 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, 2013;
(b) in the case of the Statement of Profit and Loss, of the loss 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.
Report on Other Legal and Regulatory 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 give 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, 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 dealt with by this report comply with the
Accounting Standards referred to in sub-section (3C) of section 211 of
the Act;
(e) On the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Act.
NOTE U ANNEXURE REFERRED TO IN PARAGRAPH 3 OF AUDITORS' REPORT OF EVEN
DATE ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31. 2013 OF
NARDHANA INFRASTRUCTURE LIMITED.
(i) In respect of fixed assets
a. The company ,has maintained proper records showing full particulars
including quantitative details and situation of fixed assets.
b. According to the information and explanations given to us, the
fixed assets have been physically verified by the management during the
year. No material discrepancies were noticed on such physical
verification. In our opinion the frequency of physical verification of
fixed assets is reasonable having regard to the size of the company and
nature of its business.
c. According to information and explanations given to us, the company
has not disposed off substantial part of its fixed assets during the
year and the going concern status of the company is not affected.
(ii) In respect of inventory :-
a. According to the information and explanations given to us, the
inventory and capital work in progress has been physically verified by
the management during and at the close of the year.
b. In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventory and
followed by the management as evidenced by the written procedures and
instructions are reasonable and adequate in relation to the size of the
company and nature of its business.
c. The company is maintaining proper records of inventory. As
explained to us, no discrepancies were noticed on physical verification
between physical stocks and book records.
(iii) In respect of the loans, secured or unsecured, granted or taken
by the Company to/from companies, firms or other parties covered in the
Register maintained under Section 301 of the Companies Act, 1956:
a. According to the information and explanations given to us, the
company has not granted any new unsecured loans during the current
financial year ending March 31, 2013.
b. According to the information and explanations given to us, the
company has not taken unsecured loans during the current year ending
March 31, 2013.
c. The company is not paying/receiving any interest from these
unsecured loans parties.
(iv) In our opinion and according to the information and explanations
given to us, the company further needs to strengthen its internal
control system for the purchase of inventory and fixed assets and for
the sale of goods and services commensurate with the size of the
company and the nature of its business. During the course of our audit,
we have not observed any continuing failure to correct major weaknesses
in internal control.
(v) According to the information and explanations given to us, we are
of the opinion that all contracts or arrangements which need to be
entered into the register maintained under section 301 of the Companies
Act, 1956 has been entered. None of the transactions made in pursuance
of such contracts or arrangements have been made at prices which are
reasonable having regard to the prevailing market prices at the
relevant time
(vi) According to the information and explanations given to us, the
company has not accepted deposits from public during the year covered
under the provision of section 58A or 58AA or any other relevant
provisions of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975.
(vii) The company does not have an internal audit system commensurate
with its size and nature of its business.
(viii) The Central Government has not prescribed maintenance of cost
records for the products of the company under section 209(1) (d) of the
Companies Act, 1956. > (ix) In respect of statutory dues relating to
Provident Fund, Investor Education and Protection Fund,
Employees' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise
Duty, Cess and any other statutory dues:-
a. Due to Non-Availability of Required information, we are unable to
comment on this point.
b. According to the information and explanation given to us there are
no statutory dues which have not been deposited on account of any
disputes.
c. In our opinion there are instances where the company has not
deducted/paid statutory dues in respect of expenses incurred/payment
made.
(x) The company has accumulated losses of Rs. 6245550 and Capital
Reserve of Rs. 3729000 as at March 31, 2013 and it has incurred cash
loss of Rs.43598 ended on that date or in immediately preceding
financial year.
(xi) According to the records of the company examined by us and the
information and explanations given to us, the company has not defaulted
in repayment of dues to any bank or financial institution as at the
balance sheet date. However we would to draw attention to Point No. I
to the Notes to Accounts (NOTE E).
(xii) According to the information and explanations given to us, 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) The provisions of clause 4(xiii) of the above said order are not
applicable to the company.
(xiv) According to the information and explanations given to us, the
company has not dealt or traded in shares, securities, debentures and
other investments. Therefore, the provisions of clause 4(xiv) of the
above said order are not applicable to the company.
(xv) According to the information and explanations given to us, the
company has not given any guarantees for loans taken by others from
banks. Therefore, the provisions of clause 4(xv) of the above said
order are not applicable to the company.
(xvi) In our opinion and according to the information and explanations
given to us, the company has not taken term loans during the year, the
provisions of clause 4(xvi) of the above said order are not applicable
to the company.
(xvii) According to information and explanations given to us and on an
overall examination of the balance sheet, the company has not raised
short-term funds during the year; therefore the provisions of clause
4(xvii) of the above said order are not applicable to the company.
(xviii) According to information and explanations given to us during
the current financial year the company has not made any preferential
allotment section 301 parties.
(xix) According to the information and explanations given to us, the
company has not issued debentures during the year. Accordingly, the
provisions of clause 4(xix) of the order are not applicable to the
company.
(xx) According to the information and explanations given to us, the
company has not raised any money by way of public issue during the
year. Accordingly the provisions of clause 4 (xx) of the above said
order are not applicable to the company.
(xxi) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practice in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management..
For Ashish Vyas & Co
Chartered Accountants
Sd/-
(Ashish Vyas)
Proprietor
M. No - 078527
Place: MUMBAI
Date: 28/05/2013
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