| 1. We have audited the attached Balance Sheet of M/S NEXCEN
SOFTECHLIMITED as at March, 31, 2012, Profit and Loss Account and 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 ah opinion On
these financial statements based on our audit.
2. We have conducted our audit in accordance with auditing standards
generally accepted in India These standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material mis-statements. An audit
includes examining on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003, as
amended by Companies Auditor's Report (amended) order,2004, issued by
the Central Government of India in terms of section 227 (4A) of the
Companies Act, 1956, we annex hereto a statement on the matters
specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the annexure referred to above, 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 purposes 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 the
books;
c) The balance sheet, profit & 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, Profit & Loss Account and Cash
Flow Statement comply with the Accounting Standards referred to in
sub-section (3C) of section 21 ] of the Companies Act, 1956.
e) On the basis of written representations received from the directors
of the company, that none of its directors are disqualified as on March
31,2012 from being appointed as a , director in terms of clause (g) of
sub section (1) of section 274 of the Companies Act, 1956.
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts together with Notes to
Accounts, give the information required by the Companies Act, 1956 in
the manner so required and and fair view in conformity with
the accounting principles generally accepted iffier India: %
c) In the case of the cash flow statement, of the cash flow statement
of the Company for the year ended on that date. tote
Annexure referred to in paragraph `3' of the Auditors' Report to
the Members of NEXCEN SOFTECH LIMITED on the accounts for the year
ended March 31, 2012_
1. a) The Company has maintained proper records showing full
particulars including quantitative details and situation of the fixed
assets
]
b) As explained to us physical verification of a major portion of Fixed
Assets as at March 31st,2012 was conducted by the management during the
year. In our opinion, the frequency of physical verification is
reasonable. Having regard to the size of the operations of the company
and on the basis of explanations received, no material discrepancy was
noticed on verification.
c) No Fixed Assets have been disposed off during the year.
2. In our opinion according to information and explanation given to
us, The Company has no Stock of Finished Goods , Store and Spare Parts
and Raw Material as such no physical verification was done by the
management.
3. According to the information and explanation given to us, the
Company has not taken/granted any loans secured or unsecured to / from
companies, firms or other parties covered in the register maintained
under section 301 of the companies act, 1956. Therefore the provisions
of clause 4 (iii) of the Companies (Auditor's Report) Order, 2003 are
not applicable to the company
4. 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. During the course of our audit, we have not observed any.
continuing failure to correct major weaknesses in initial controls.
5. According to the information and explanations given to us, and on
the basis of the records produced before us, we are of the opinion that
there are no transactions that need to be entered in the register
maintained under section 301 of the Companies Act, 1956
6. According to the information and explanations given to us, and on
the basis of the records produced before us, the Company has not
accepted any deposits from the public. Therefore the provisions of
clause 4 (iv) of the Companies (Auditor's Report) Order, 2003 are not
applicable to the company
7. In our opinion, the Company does not have any internal audit system
commensurate with the size and nature of its business.
8. According to the information and explanations given to us, cost
records have been prescribed by the rules made by the Central Govt.,
for maintenance of cost record u/s 209(1) (d) of the Companies Act,
1956.We have, however, not made a detailed examination of the cost
records with a view to determine where they are accurate or complete.
9. According to the information and explanations given to us, the
Company is regular; in depositing with appropriate authorities'
undisputed statutory dues, including provident
fund, investor education protection fund, employees' state insurance,
income tax, sales tax, wealth tax, service tax, excise duty, cuss and
other material statutory dues wherever applicable to it. According to
the information and explanations given to us, no undisputed amounts
payable in respect of income tax, wealth tax, service tax, customs
duty, excise duty and cess were in arrears, as at 31.03.12 for a period
of more than six months from the date they became payable.
According to the information and explanations given to us, there are no
dues of sales tax, income tax; custom duty, wealth tax, service tax,
excise duty and cess which have not been deposited on account of any
dispute.
10. According to the information and explanations given to us, the
accumulated losses of the company are not more than fifty percent of
its net worth. The Company has not incurred cash losses during the
financial year covered by our audit.
11. Based on our audit procedures and on the basis of information's
and explanations given by the management, the Company has not taken any
loans from any financial institution, bank or debenture holders, so
there is no question of default in repayment.
12. According to the information and explanations given to us, the
Company has not granted any loans or advances on the basis of security
by way of pledge of shares, debentures or other securities.
13. 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 said Order are not applicable to the Company.
14. In our opinion the Company is not dealing in trading in shares,
securities, debentures and other investments and maintained proper
records of the transactions and contracts, made
timely entries therein .The shares and other investments have been held
by the company in its own name.
15. According to the information and explanations given to us, the
Company has not given any guarantees for loans taken by others from
banks or financial institutions. As such, the provisions of clause
4(xv) of the said Order are not applicable to the Company. -
16. According to the information and explanations given to us, the
Company has not taken any term loan. Accordingly, the provisions of
clause 4(xvi) of the said Order are not applicable to the Company. ,
17. According to the information and explanations given to us and
overall examination of the Balance Sheet of the company, we report that
no funds raised on short term basis have been used for long term
investments.
18. According to the information and explanations given to us, the
Company has not made any preferential allotment of shares to parties
and Companies covered in the register maintained under section 301 of
the Companies Act, 1956, during the year. Accordingly, the provisions
of clause 4(xviii) of the said Order are not applicable to the Company.
19. According to the information and explanations given to us, the
Company has not issued any Debentures during the year. As such, the
provisions of clause 4(xix) of the said Order are not applicable to the
Company.
20. 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 said Order are
not applicable to the Company.
21. As explained to us, no fraud on or by the Company has been noticed
or reported during the year. Accordingly, provisions of clause 4(xxi)
of the said Order are not applicable to the Company.
For A.C. Mehta & Co.
Chartered Accountants
Manish Mehta
(Prop.)
M. No. 504641
Place: Faridabad
Dated: 24.08.2012
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