| 1. We have audited the attached Balance Sheet of NATIONAL WIND POWER
CORPORATION LIMITED as on 31st March, 2014, the Profit and Loss Account
and the Cash Flow Statement of the Company for the year ended on that
date annexed thereto. 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 auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance as to whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amount and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by the 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, issued
by the Central Government in terms of Section 227 (4A) of the Companies
Act. 1956, we give 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 para (3)
above, we report that:
a) The Company has not operated during the whole year, yet the accounts
have been prepared on the basis of Historical Cost Convention and as a
going concern.
b) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit:
c) In our opinion, proper books of account as required by law have been
maintained by the Company so far as it appears from our examination of
those books;
d) The Balance Sheet, the Profit and Loss Account and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
e) In our opinion the Balance Sheet, the Profit and Loss Account and
the Cash Flow Statement comply with the Accounting Standards referred
to in sub-section (3C) of Section 211 of the Companies Act, 1956 to the
extent they are applicable to the Company, except wherever expressly
stated otherwise;
f) On the basis of written representations received from the directors
and taken on record by the Board, we report that none of the directors
is disqualified as on 31st March, 2014 from being appointed as a
director in terms of Section 274 (1) (g) of the Companies Act, 1956;
g) In our opinion and to the best of our information and according to
the expanations given to us. the Balance Sheet, the Profit and Loss
Account and the Cash flow Stateement read together with the Significant
Accounting Policies and Notes on Accounts thereon subject to Note No:
7(11-2) regarding pending confirmation and reconciliations in respect
of current liabilitesgive the information required by the Companies
Act. 1956 in the manner so required and give a true and fair view in
conformity with the accounting principles generally accepted in India:
I) In the case of the Balance sheet, of the state of affairs of the
Company as at 31st March, 2014.
II) In the case of the Profit and Loss Account, of the Loss of the
Company for the year ended on that date; and
III) In the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS'REPORT
(As referred to in Paragraph 3 of our report of even date)
(i) (a). The Company is in the process of updating its records showing
full particulars including qunatitative details and situation of fixed
assets.
(b) During the year, the fixed assets have been physically verified
by the management, during the course of updation of records and the
condition of building is found to be deterionating further.
(c) During the year, the Company has not disposed off substantial
part of its fixed assets and the going concern status of the Company
has not been affected.
(ii) The Company does not have any inventory therefore, physical
verification of inventory does not arise.
(iii) (a) As per the accounts and records made available to us, the
Company has not taken any loans secured or unsecured from comapnies,
firms and other parties listed in the register maintained under
section 301 of the Companies Act, 1956.
(b) As per the accounts and records made available to us, the Company
has not granted any loans secured or unsecured to comapnies, firms and
other parties listed in the register maintained under section 301 of
the Companies Act, 1956.
(iv) As per the records verified by us, there were no transactions
involving purchase or sale of goods or provision of services during the
year which aggregate to Rs. 5.00 Lacs or above, entered into with the
parties listed in the register maintained under Section 301 of the
Companies Act,1956 during the year under review,
(v) The Company has not accepted any deposits from the public within
the meaning of the provisions of section 58A and 58AA of the Companies
Act, 1956 and the rules framed thereunder.
(vi) The Company does not have an internal audit system commensurate
with its size and nature of its business.
(vii) The Central Government has not prescribed the maintenance of cost
records under section 209( 1 )(d) of the Companies Act, 1956.
(viii) (a) The Company does not have any undisputed statutory dues
including provident fund Investor education and protection fund,
Income tax, Sales tax, Wealth tax. Service tax. Custom duty, Excise
duty cess and any other statutory dues.
(b) Following are the details of disputed statutory due:
Name of the Statute Amount Year to which Forum where dispute
(Rs.in demand relates is pending
Lakhs)
Income Tax Act,1961 54.05 1995-96 Income Tax appellateTribunal
Interest and penalty 17.94 1997-98 Income Tax appellateTribunal
Wherever applicable 13.43 1998-99 Income Tax appellateTribunal
(x) Accumulated losses as on 31st March, 2014 are more than fifty per
cent of its net worth. The Company has incurred cash loss in the
current accounting year as well as in the immediately preceding
accounting year.
(xi) During the year under report, the Company has not granted any
loans and/or advances on the basis of security by way of pledge of
shares, debentures and other securities to any party.
(xii) As per the explanations given to us, the Company has not given
any guarantee in respect of loans taken by others from Banks and
Financial Institutions.
(xiii) Based on our verification of the books of accounts during the
year, the Company has not taken any Term Loan.
(xiv) The Company has not made any preferential allotment of shares to
parties and or to concerns listed in the Register maintained under
section 301 of the Companies Act, 1956.
(xv) According to the information and explanations given to us, no
fraud on or by the Company has been noticed or reported during the
course of our audit.
For M.Dinesh Kumar & Co.,
Chartered Accountant
M.Dinesh Kumar
Membership No: 222084
Place: Chennai
Uste-:-30-07-2014
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