Management's Responsibility for the Financial Statements

The company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to 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 specified under Section 133 of the Act, read with Rule 7 of the Companies (accounts) Rules, 2014. This responsibility also includes maintainance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the company and for preventing and detecting frauds and other irregularities; selection and maintainance of appropriate accounting policies; making judgements and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, 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.

Auditor's Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the Audit report under the provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. 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 auditor's 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 auditor considers 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 the 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 of the state of affairs of the company as at 31st march, 2015 and its loss and its cash flow for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order, 2015 ("the Order") issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

2. As required by section 143(3) of the Act, we report that:

a) We have sought and 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 aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts ) Rules, 2014;

e) On the basis of written representations received from the directors as on March 31 2015, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2015, from being appointed as a director in terms of Section 164 (2) of the Act.

Annexure to Auditors Report

The Annexure referred to in our report to the members of the Company for the year ended 331st March, 2015. We report that

i. a. The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

b. As explained to us, the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the company and the nature of its business. No material discrepancies were noticed on such physical verification.

ii. a. The inventories have been physically verified during the year by the management. In our opinion the frequency of verification is reasonable.

b. The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size and nature of its business.

c. The Company has maintained proper records of its inventories. The discrepancies noticed on verification between physical stocks and book records were not material.

iii. a. The Company has not granted any loans, secured or unsecured to companies, firms or other parties listed in the register maintained under Section 189 of the Act.

iv. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of inventory, fixed assets and for the sale of goods. During the course of our audit, no major weakness has been noticed in the internal control system in respect of these areas.

v. The company has not accepted any deposits within the meaning of the Section 73 to 76 of the Act and the rules framed thereunder.

vi. Maintenance of cost records by the company has not been prescribed by central government of India under Sub-Section (1) of Section 148 of the Companies Act, 2013.

vii. a. According to the information and explanations given to us and records of the Company examined by us the company is regular in depositing undisputed statutory dues including Provident Fund, Smployees State insurance, Income Tax, Sales Tax, value Added tax, Service Tax, Customs Duty, Excise Duty, cess and any other statutory dues as applicable with the appropriate authorities and there was no arrears of outstanding statutory dues as on the last day of the financial year concerned for a period of more than six months from the date they became payable.

b. According to the information and explanations given to us and records of the Company examined by us, there are no disputes pending against the company as at 31st March, 2015.

c. There are no amounts which are required to be transferred to the Investor Education and Protection Fund by the company.

viii. The company has accumulated losses at the end of the financial year exceeding fifty percent of its net worth and it has incurred cash losses during the financial year and in the immediately preceding financial year.

ix. In our opinion and according to the information and explanations given to us, the Company has not taken any loan from financial institutions, bank or through debentures. Accordingly, the provisions of clause 3(ix) of Companies (Auditor's Report) Order, 2015 are not applicable to the Company.

x. In our opinion and according to the information and explanations given to us, the Company has not given any gurantee for loan taken by others from banks or financial institutions Accordingly, the provisions of clause 3(ix) of Companies (Auditor's Report) Order, 2015 are not applicable to the Company.

xi. In our opinion and according to the information and explanation given to us, the Company has not taken any term loans. Accordingly, the provisions of clause 3(ix) of Companies (Auditor's Report) Order, 2015 are not applicable to the Company.

xii. To the best of our knowledge and belief and according to the information and explanations given to us, no fraud on or by the Company was noticed or reported during the year.

                                               For M. Anandam & Co.,
                                               Chartered Accountants
                                               (Firm Regn.No.000125S)

                                                        Sd/-
                                                    A.V.Sadasiva
Place: Secunderabad                                   Partner
Date: 30th May, 2015                                 M.No.18404