| We have audited the accompanying Financial Statements of SKYLINE
MILLARS LIMITED ("the Company"), which comprise the Balance Sheet as at
March 31, 2015, 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
The management and Board of Directors of the Company are 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 principles generally accepted in India, including the
Accounting Standards specified under Section 133 of the Act, read with
rule 7 of Companies (Accounts) Rules, 2014. This responsibility
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; design,
implementation and maintenance of adequate internal financial controls,
that are 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 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 accounting policies used and the reasonableness of
the accounting estimates made by the Company's management and Board of
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.
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 of the state of affairs of the Company as
at 31st March 2015, its loss and its cash flows for the year ended on
that date.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order, 2015, issued by
the Central Government of India in terms of sub-section (11) of section
143 of the Act ("the Order"), we give in the Annexure a statement on
the matters specified in paragraphs 3 and 4 of the Order.
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 it 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
applicable 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.
f) With respect to 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, we report as under::
i. The Company has disclosed the impact oMf penAdiPng litigation on
its financial position in its financial statements. Refer Note 29 of
the financial statements;
ii. The Company did not have any long-term contracts including
derivative contracts for which there are any material foreseeable
losses;
iii. There has been no delay in transferring amounts required to be
transferred to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 1 under " Report on other Legal and
Regulatory Requirement " section of our report of even date.)
On the basis of such checks as we considered appropriate and according
to the information and explanations given to us during the course of
our audit, we report that:
1. (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets;
(b) As explained to us, fixed assets have been physically verified by
the management at regular intervals; as informed to us no material
discrepancies were noticed on such verification;
2. (a) The inventory have been physically verified by the Management
at the end of the year or after the close of the year.
(b) The procedure of physical verification of stocks followed by the
management are 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 physical verification of stocks as compared to
the books records were not material and the same has been properly
dealt with in the books of accounts.
3. The company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under section 189 of the Companies Act 2013.Therefore the provisions of
the clause (iii) (a) and (b) of the Companies (Auditors Report)
Order,2015 are not applicable for the year under report.
4. In our opinion and according to the information and explanations
given to us, there is adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of fixed assets and for the sale of services. Further, on the
basis of our examination of the books and records of the Company and
according to the information and explanations given to us, no major
weakness has not been noticed or reported.
5. In our opinion and according to the explanation given to us, the
Company has not accepted any deposits from the public within the
meaning of Section 73 to 76 of the Companies Act, 2013 and the rules
framed there under.
6. The provisions of clause 3(vi) of the order are not applicable to
the company as the company is not covered by the Companies ( Cost
Records and Audit )Rules, 2014.
7. (a) According to the information and explanations given to us and
based on the records of the company examined by us, the company is
generally regular in depositing the undisputed statutory dues,
including Provident Fund , Employees' State Insurance, Income-tax,
Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty, value
added tax, cess and other material statutory dues, as applicable, with
the appropriate authorities ;
According to the information and explanations given to us and the
records of the Company examined by us, in our opinion, no undisputed
amounts payable in respect of Provident Fund , Employees' State
Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty,
Excise Duty, value added tax, cess and any other material statutory
dues, as applicable, were in arrears as at last day of financial year
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 as
per the records of the Company, the particulars of dues of income tax,
sales tax, wealth tax, service tax, duty of customs duty of excise,
value added tax or cess as at last day of financial year which have not
been deposited on account of dispute, is as follows:
Financial Year Forum where
Name of the Amount
Nature of
dues to which the the dispute
statute (Rs.) amount relates is pending
Central Sales
Deputy
Tax, Local
Sales 2001-2002 to
CST, BST &
WCT 4,39,27,
899/- Commissioner
Tax and Works 2004-2005 Appeal
Contract Tax
(c ) The amounts required to be transferred to the Investor Education
and Protection Fund in accordance with the relevant provisions of the
Companies Act ,1956 ( 1 of 1956) and the rules made there under has
been transferred to the fund within time.
8. The Company has no accumulated losses as at 31st March 2015 and has
incurred cash losses in the financial year ended on that date but it
has not incurred cash loss in the immediately preceding financial year.
9. According to the records of the Company examined by us and the
information and explanation given to us, the Company has generally not
defaulted in repayment of dues to any financial institution or banks.
The Company has not issued any debentures. MAP
10. In our opinion, and according to the information and explanations
given to us, the Company has not given any guarantee for loan taken by
others from a bank or financial institution during the year
11. In our opinion, and according to the information and explanations
given to us, the term loans have been applied for the purposes for
which they were obtained.
12. According to the information and explanations given to us , no
fraud on or by the company has been noticed or reported during the
year.
For Manubhai & Shah
Chartered Accountants
(Firm's Registration No.: 106041W)
Kshitij M Patel
(Partner)
Place : Mumbai
(Membership No.: 045740)
Date : 15 May 2015
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