We have audited the attached Balance Sheet of Epic Energy Limited, as
at March 31, 2014 and also the Profit and Loss Account and the Cash
Flow Statement 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.
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 about whether the financial
statements are free of material misstatement. 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 statement
presentation.Webelieve that our audit provides a reasonable basis for
ouropinion.
As required by the Companies (Auditor's Report) Order, 2003, ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of Section 227 of the Companies Act, 1956, we enclose
in the Annexure a statement on the matters specified in paragraphs 4
and 5 of the said Order.
Further to our comments in the Annexure referred to above, we report
that:
I. 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;
ii. In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from ourexamination of
those books;
iii. The Balance Sheet, Profit and Loss Account and Cash Flow
Statement dealt with by this report are in agreement with the books of
accounts; iv. In our opinion, the Balance Sheet, Profit and Loss
Account 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 Companies Act, 1956; v. On the basis of written representations
received from the directors as on March 31, 2014, and taken on record
by the Board of Directors, we report that none of the directors were
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;
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
notes thereon, give 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:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31 st March, 2014;
(b) In the case of Profit and Loss Account, of the Profit for the year
ended on that date; and
(c) In the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
Annexure to the Auditors' report of even date to the Members of
EPIC ENERGY LIMITED
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and the situation of its
fixed assets;
(b) The company has verified the fixed assets twice during the year. No
discrepancies were noticed during this verification.
(ii) (a) As explained to us, inventories have been physically verified
by management at reasonable intervals during the year. In our opinion
the frequency of such verification is reasonable. (b)As per the
information given to us, the procedures of physical verification of
inventory followed by management are, in our opinion, 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. The
discrepancies noticed on verification between the physical stocks and
the book records were not material.
(iii) (a) During the year, the Company has not granted loans to any
Company listed in the register maintained under Section 301 of the
Companies Act, 1956. (b) The Company has not taken loans from
Companies covered in the register maintained under Section 301 of the
Companies Act, 1956.
(iv) In our opinion and according to the information and explanations
provided to us, there are adequate internal control procedures
commensurate with the size of the Company and the nature of its
business with regard to purchase of inventory, and fixed assets and for
sale of goods and services.
(v) (a) Based on the audit procedures applied by us and according to
the information and explanations given to us, we are of the opinion
that the transactions 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, there were no transactions required to be
entered in the register maintained under Section 301 and exceeding the
value of rupees five lakhs in respect of any party during the year.
(vi) The Company has not accepted any deposits from the public.
(vii) The Company has an internal audit system which is commensurate
with the size and nature of its business.
(viii) According to the information and explanations given to us, the
requirement for maintenance of cost records u/s 209 (1 )(d) of the
Companies Act, 1956 is not applicable to the Company.
(ix) (a) Based on test-verification of records and information and
explanations given to us, the Company is generally regular in
depositing with appropriate authorities undisputed amount of statutory
dues including income- tax and sales-tax.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of income tax and sales tax was
outstanding as at 31st March, 2014 for a period of more than six months
from the date they became payable.
(c) According to the information and explanations given to us, the
Investor Education and Protection Fund, Employees State Insurance,
Wealth-Tax, Customs Duty and Excise Duty are not applicable to the
Company.
(d) According to the information and explanations given to us, there
are no dues of sales tax, income tax, provident fund and profession
tax, which have not been deposited, on account of any dispute.
(x) In our opinion, 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 and in the
immediately preceding financial year.
(xi) Based on our audit procedures and on the information and
explanations given by the management, the Company has not defaulted in
repayment of dues to any financial institution or bank and has not
issued any debentures.
(xii) Based on our examination of records and according to the
information and explanations given to us, the Company has not granted
loans and advances on the basis of security by way of pledge of shares,
debentures and other securities.
(xiii) The Company is not a chit/nidhi/mutual benefit fund/society and
therefore provisions of clause 4 (xiii) of the Order are not applicable
to the Company.
(xiv) The Company is not dealing or trading in shares, securities,
debentures and other investments.
(xv) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
(xvi) In our opinion and according to the information and explanations
given to us, the term loan as applied by the company for the purpose
for which it was taken.
(xvii) According to the information and explanation given to us and on
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
investment.
(xviii) During the year, the Company has not made any preferential
allotment of shares to parties and companies covered in the Register
maintained under Section 301 of the Act.
(xix) The Company did not have any outstanding debentures at the
year-end.
(xx) The Company has not raised any money by public issues during the
year.
(xxi) 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 PMURALI & CO
Chartered Accountants
P Murali Mohana Rao
Patrner
Membership No:023412
FRN No :007257S
Place: Mumbai
Date :30thMay,2014
|