| We have audited the accompanying financial statements of KAYCEE
INDUSTRIES LIMITED ("the Company"), which comprise the Balance Sheet as
at March 31,2015, the Statement of Profit and loss and the cash flow
statement for the year then ended, a summary of significant accounting
policies and other explanatory information.
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 and presentation of these standalone financial
statements that give a true and fair view of the financial position and
financial performance and cash flow of the Company in accordance with
the accounting principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility
also includes maintenance 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 application of appropriate accounting
policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial 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.
Auditors' Responsibility
Our responsibility is to express an opinion on these standalone
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 the 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 financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, 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 on the standalone
financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid 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:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31,2015;
(b) in the case of the Statement of Profit and Loss, of the loss of the
Company for the year ended on that date and
(c) its cash flows 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 the paragraph 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
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 it appears from our examination of those
books;
(c) the balance sheet, the statement of profit and loss and the cash
flow statement dealt with by this Report are in agreement with the
books of account;
(d) in our opinion, the aforesaid standalone 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 the written representations received from the
directors as on 31 March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 March 2015
from being appointed as a director in terms of Section 164 (2) of the
Act; and
(f) with respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us:
i. there is no pending litigation as on 31 March 2015 and therefore
the Company has not made any disclosure in this regard in its financial
statements;
ii. the Company did not have any long-term contracts including
derivatives contracts and therefore no provision is required to be made
in this regard;
iii. there is no amount of due which is required to be transferred to
Investor Education and Protection Fund.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT
The Annexure referred to in our Independent Auditors' Report to the
members of the Company on the standalone
financial statements for the year ended 31 March 2015, we report that:
1. In respect of its fixed assets:
a) The Company is in the process of updating records showing full
particulars, including quantitative details and situation, of its fixed
assets.
b) All the fixed assets have been physically verified by the management
according to a regular program, which in our opinion, is reasonable
having regard to the size of the company and the nature of its assets.
No material discrepancies with respect to book records were noticed on
such verification.
2. a) The inventory has been physically verified by the respective
Management of the Company and subsidiary Company during the year. In our
opinion, the frequency of verification is reasonable.
b) In our opinion, the procedures of physical verification of inventory
followed by the Management of the Company are reasonable and adequate
in relation to the size of the aforesaid Company and the nature of
their business.
c) The Company is maintaining proper records of inventory. No material
discrepancies were noticed on physical verification of inventory of the
aforesaid Company as compared to the respective book records.
3. The Company has not granted any loans, secured or unsecured, to
companies, firm or other parties covered in the register maintained
under section 189 of the Companies Act, 2013, and hence clause 3(iii)
of the Companies (Auditor's Report) Order 2015 is not applicable to the
company.
4. 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 with regard
to purchase of inventory and fixed assets and for sale of goods and
services. We have not observed any major weakness in the internal
control system during the course of the audit.
5. The Company has not accepted any deposit from the public.
6. As informed to us, the maintenance of Cost Records has not been
prescribed by Central Government under Section 148 of the Act for any
of the goods sold or services rendered by the Company for the for the
accounting year ended on 31st March 2015.
7. In respect of statutory dues:
a. According to the information and explanations given to us and on the
basis of our examination of the records of the Company, amounts
deducted/ accrued in the books of account in respect of undisputed
statutory dues including provident fund, income tax, sales tax, wealth
tax, service tax, duty of customs, value added tax, cess and other
material statutory dues have been regularly deposited during the year by
the Company with the appropriate authorities. As explained to us, the
Company did not have any dues on account of employees' state insurance
and duty of excise.
According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, income tax,
sales tax, wealth tax, service tax, duty of customs, value added tax,
cess and other material statutory dues were in arrears as at 31 March
2015 for a period of more than six months from the date they became
payable.
b. The disputed statutory dues aggregating to Rs 3.96 lacs (P.Y. Rs
3.96 lacs) have not been deposited on account of matters pending before
appropriate authorities are as under:
Name of the Nature of Year Forum where Amount (Rs
Statute the dues dispute is pending in lacs)
The Central Excise 2007-08 Superintendant of 3.96
Excise Act 1944 Excise
c. According to the information and explanations given to us, there is
no amount of due which is required to be transferred to investor
education and protection fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made there
under.
8. The company has no accumulated losses as at 31st March, 2015 and it
has incurred cash loss during the current financial year and has not
incurred cash loss in the immediately preceding financial year.
9. Based on our audit procedures and according to the records,
information and explanation given to us by the Company, there is no
default in repayment of dues to financial institutions or banks. The
Company has not issued any debentures and therefore question of default
in repayment of dues to debenture holders does not arise.
10. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from any
bank or financial institutions.
11. The Company has not raised any term loan.
12. On the basis of examination of books of accounts and other records
of the Company, we have not come across any fraud on or by the Company,
noticed or reported during the course of our audit, nor have we been
informed of such case by the Management.
For N. D. KAPUR & CO.
Chartered Accountants
Firm's Registration No: 001196N
Sd/-
S. K. AGRAWAL
Partner
Membership No. 13968
Mumbai
Dated: May 30, 2015
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