| We have audited the accompanying financial statements of Asahi India
Glass Limited ("the Company"), which comprise the Balance Sheet as at
March 31, 2014, 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.
Managements' Responsibility for the Financial Statements
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 notified under the Companies Act, 1956 ("the
Act") read with the General Circular 15/2013 dated 13th September, 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.
Auditors' Responsibility
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.
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 controls 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, but not for the
purpose of expressing an opinion on the effectiveness of the Company's
internal control. 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 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, 2014;
b. In the case of the Statement of Profit and Loss, 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 and Regulatory Requirements
1. As required by the Companies (Auditors' Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of Section 227 of the Act, we give in the Annexure, a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. 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
the Cash Flow Statement comply with the Accounting Standards notified
under the Companies Act, 1956 read with the General Circular 15/2013
dated 13th September, 2013 of the Ministry of Corporate Affairs in
respect of section 133 of the Companies Act, 2013;
e) On the basis of written representations received from the directors,
as on March 31, 2014 and taken on record by the Board of Directors,
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 Companies Act, 1956;
f) Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the company.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT (Referred to in Paragraph
(1) of our Report of even date)
I. In view of the fact that premises, records, fixed assets and stocks
remained sealed by the official liquidator during the year. there is no
comment to offer in respect of sub-paragraph (ia), (ib), (ic), (iia),
(iib), (iic), (iv), (vii) and (viii) of paragraph (4) of the Companies
(Auditor's Report) Order, 2003.
2 a) The company has not granted any loans, secured or unsecured
,during the year to companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956 as per
information and explanations given to us Consequently paras 4(iii)(b),
(iii)(c) and (iii)(d) of the order are not applicable to the company.
2 b) i) The company has not taken any loans, secured or unsecured, from
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956 except interest free loans
from two directors and six relatives of directors .The maximum amount
involved during the year was Rs. 597.33lakhs and Rs 597.33 lakhs was
outstanding at the year end.
ii) In our opinion the term and conditions of the above loans taken are
not prima-facie prejudicial to the interest of the company.
iii) As informed to us, there is no stipulation for re-payment of
loans, Hence we are unable to offer our comments on the same.
3. a) In our opinion, and according to the information and
explanations given to us, the transactions that needed to be entered in
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, there are no transactions made in pursuance of contracts
or arrangements entered into the register in pursuance of Section 301
of the Companies Act 1956 and aggregating during the year to Rupees
five lacs or more in respect of any party.
4. The company has not accepted any deposits from the public within
the meaning of Section 58A and 58AA of the Companies Act 1956 and Rules
framed there under.
5. a) According to the information and explanations given to us and
the records of the company examined by us, the provision of Provident
Fund, Investor Education and Protection Fund, Employees' State
Insurance, Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty,
Cess & Service Tax are not applicable to the company. b) There are no
dues in respect of sale tax, wealth tax , service tax custom duty,
Excise duty and cess that have not been deposited with the appropriate
authorities on account of any dispute.
6. The company has accumulated losses of more than fifty percent of
its networth as at 31st March 2014. The company has not incurred cash
losses during the current financial year but in the immediately
preceding financial year.
7. According to the records of the Company examined by us and the
information and explanations given to us, the company has neither taken
loan or credit facility from any financial institution or bank nor
issued any Debentures.
8. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
9. The provisions of special statutes applicable to Chit fund, Nidhi
or mutual benefit fund/ Society are not applicable to the company.
10. According to the information and explanations given to us , the
company is not dealing or trading in shares, securities, debentures and
other investments. Accordingly, clause 4 (xiv) of the order is not
applicable.
II. As informed to us, the company has not given any guarantee during
the year for loans taken by others from banks or financial
institutions.
12. The Company has not taken any term loan during the year.
13. According to the information and explanations given to us, no funds
raised on short-term basis have been used for long-term investments.
14. According to the information and explanations given to us, no
preferential allotment of shares has been made by the Company to
companies, firms or other parties listed in the Register maintained
under section 301 of the companies Act, 1956
15. The company has not issued any debentures. Hence the requirements
of clause (xix) of paragraph 4 of the Order is not applicable to the
company.
16. The company has not raised any money by way of public issue.
17. During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have not come across any instance of fraud
on or by the company nor have we been informed by the management of any
such instance being noticed or reported during the year.
For Jagdish Sapra& Co.
Chartered Accountants
(Firm Registration No. 001378N)
Sd/-
Place : New Delhi CA Vipal Kalra
Dated : 28/05/2014 Partner
Membership No. 084583
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