| Report on Financial Statements
We have audited the accompanying financial statements of Calcom Vision
Limited, which comprise the Balance Sheet as at March 31, 2013, 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.
Management's Responsibility for the Financial Statements
Management is responsible for the presentation 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 referred to in sub-section (3C) of section 211
of the Companies Act 1956. 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.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with 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 misstatements.
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 risks of material misstatements of financial statements, whether due
to fraud or error. In making those risk assessments, the auditor
considers the internal control 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. 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 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 subject to Emphasis
of Matter Paragraph, give a true and fair view in conformity with the
accounting principles generally accepted in India.
(a) In case of the Balance Sheet, of the state of affairs of the
Company as at March 31,2013;
(b) In case of the Statement of Profit and Loss, of the loss for the
year ended on that date;
(c) In case of the Cash Flow Statement, of the cash flows for the year
ended on that date.
Emphasis of Matter
(a) We draw attention to Note No. 34 regarding non provision of
interest due to banks. Had this provision been made, the 'Net loss
for the year 2012-13 and 'Interest Accrued and due' would have been
higher by such amount.
(b) Further Attention is also invited to Note No. 16, regarding
management opinion that Sundry Debtors outstanding for a period of more
than six months, considered good amounting to Rs. 28.76 Lacs are fully
recoverable and hence no provision is made there against.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) order, 2003,
issued by the Central Government of India in terms of sub - section
(4A) of section 2.21 of the Companies Act, 1956, we give in Annexure a
statement on the matters specified in paragraph 4 and 5 of the said
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 accounts 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 arrangement with the books
of accounts;
(d) in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards referred
to in Sub-section (3C) of section 211 of the Companies Act, 1956;
(e) on the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the director is disqualified as on March 31, 2013,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 cess is to be paid, no cess is due and
payable by the Company.
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) As explained to us, all the fixed assets have been physically
verified by the management during the year and we are informed that no
material discrepancies were noticed on such verification.
(c) The company has not sold/ disposed off any substantial part of its
fixed Assets during the year which has an impact on the going concern
of the Entity.
(ii) (a) The Inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable
(b) The procedure of physical verification of inventory followed by the
management is reasonable and adequate in relation to the size of the
company and the nature of its business.
(c) The company is maintaining the records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records, which were not material, have been properly dealt with
in the books of account.
(iii) (a) The company has not granted any secured or unsecured loans to
companies, firms or other parties covered in the registers maintained
under Section 301 of the Companies Act, 1956 so clause iii(a), (b),(c)
& (d) of the Companies (Auditor Report) Order 2003 (as amended) are not
applicable. The company has not granted any secured or unsecured loans
to companies, firms or other parties covered in the registers
maintained under Section 301 of the Companies Act, 1956.
(b) The company has taken fresh unsecured loans of RS. 250000/- from a
person covered in the register maintained under section 301 of the
Companies Act, 1956.
(iv) 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 with regard to purchase of inventory, fixed assets and with
regard to the sale of goods and services. During the course of our
audit, we have not observed any continuing failure to correct major
weaknesses in internal controls.
(v) (a) According to the information and explanations given to us, we
are of the opinion that, the particulars of contract or arrangement
referred to in section 301 of the Companies Act, 1956 have been entered
in the register maintained under that section.
(b) In our opinion and according to information and explanations given
to us, the transactions made in pursuance of contracts or arrangements
entered in the register maintained under Section 301 of the Companies
Act, 1956 and exceeding the value of rupees five lakhs in respect of
any party during the year have been made at prices which are reasonable
having regard to prevailing market prices at the relevant time.
(vi) The company has not accepted any deposits from the public; hence,
provisions of Section 58A and 58AA of the Companies Act, 1956 and
Companies (Acceptance of Deposit) Rules, 1975 with regard to the
deposits accepted from the public are not applicable.
(vii) As per the information and explanation received by us from the
management we report that, the company has an internal audit system
commensurate with the size and nature of its business.
(viii) The company has maintained cost records as prescribed by Central
Government under clause (d) of sub-section (1) of Section 209 of the
Companies Act, 1956.
(ix) (a) According to the records of the Company, it is generally
regular in depositing with appropriate authorities undisputed statutory
dues including provident fund, investor education protection fund,
employee's state insurance, income tax, sales tax, wealth tax, custom
duty, excise duty, cess and other material statutory dues applicable to
it.
(b) According to the records of the Company and the information and
explanations given to us, the following are particular of dues on
account of excise duty / sales tax that have not been deposited on
account of any dispute:
Name of the
Statute Nature of
the Dues Amount Period to
which the Forum where
(Rs. In Lakhs) amount
relates pending
Delhi Sales
Tax Act DST 3.61 1996-97 Dy.Comm.
(Appeals) - Delhi
Central Sales
Act. CST 2.34 1996-97 Dy.Comm.
(Appeals) - Delhi
Delhi Sales
Tax Act DST 53.48 1997-98 Add.Comm.
(Appeals)
Central Sales
Act. CST 2.03 1997-98 Add.Comm.
(Appeals)
Delhi Sales
Tax Act DST 17.42 1998-99 Add.Comm.
(Appeals)
Central Sales
Act. CST 1.82 1998-99 Add.Comm.
(Appeals)
Delhi Sales
Tax Act DST 3.34 1999-00 Dy.Comm.
(Appeals) - Delhi
Central Sales
Act. CST 0.16 1999-00 Dy.Comm.
(Appeals) - Delhi
Central Sales
Tax Act CST 0.20 2007-08 Dy. Comm.
(Assessment)
Gautam Budh Nagar
U.P Trade
Tax Act UPTT 0.09 2007-08 Dy. Comm.
(Assessment)
Gautam Budh Nagar
U.P. Trade
Tax Act UPTT 2.45 2002-03 Tribunal
(Appeal)-UP
U.P. Trade
Tax Act UPTT 14.63 2002-03 Tribunal
(Appeal)-UP.
U.P. Trade
Tax Act UPTT 4.11 2007-08 Dy. Comm.
(Assessment)
Gautam Budh Nagar
U.P. Trade
Tax Act UPTT 0.08 2008-09 Dy. Comm.
(Assessment)
Gautam Budh Nagar
U.P. Trade
Tax Act UPTT 0.24 2008-09 Dy. Comm.
(Assessment)
Gautam Budh Nagar
(x) The accumulated losses at the end of the financial year are more
than its net worth. The company has not incurred any cash losses during
the current financial year covered by our audit as well as in the
immediately preceding financial year.
(xi) In our opinion and according to the information and explanations
given to us, the company has defaulted in repayment of dues to banks.
The details of period and amount of default as ascertained by the
management is as follows:
Name of Bank Principal Amount Interest accrued
and due Period to which
relates
(Rs. in lakhs) (Rs. in lakhs) (reworked)
State Bank of
Patiala -
Cash Credit 421.10 391.15 Oct. 03 to Mar. 13
State Bank of
Patiala
- Working
Capital Term
Loan 168.00 156.80 Dec. 03 to Mar. 13
Bank of India
- Cash Credit 332.17 315.90 Sep. 03 to Mar. 13
Bank of India
- Term Loan 371.15 355.92 Jun. 03 to Mar. 13
Canara Bank 348.07 335.27 Sep. 03 to Mar. 13
ICICI Bank Ltd. 311.66 303.32 Mar. 02 to Mar.13
An amount of Rs.1952.14 Lacs (Principal) as above is overdue for
repayment in respect of Secured Loans/Cash credit facilities taken from
the banks and other financial institutions as above. As explained to
us, reasonable steps have been taken for payment of principal.
(xii) According to information and explanations given to us, the
company has not granted any 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 fund or a nidhi / mutual benefit
fund/society. Therefore, the Provisions of clause 4(xiii) of the
Companies (Auditor's Report) Order, 2003 (as amended) are not
applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accord- ingly,
the provisions of clause 4(xiv) of the Companies (Auditor's Report)
Order, 2003 (as amended), are not applicable to the company.
( xv) As informed 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 Company has not availed any fresh term loan from banks
or financial institutions during the financial year covered by our
audit so this clause is not applicable on the company.
(xvii) According to the information and explanations given to us and on
an 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. No long-term funds have been used to finance short-term
assets.
(xviii) 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 financial year
covered by our audit.
(xix) The Company has not issued any debentures.
(xx) The Company has not raised any money by public issue during the
financial year covered by our audit.
(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 SHANTI PRASHAD & COMPANY
CHARTERED ACCOUNTANTS
PLACE: DELHI (ASHISH KUMAR AGGARWAL)
DATED: 30-05-2013 PARTNER
Membership No. 522443/
FRN No.019923N |