1. Report on the Financial Statements
We have audited the accompanying financial statements of ALLIED HERBALS
LIMITED (formerly known as Rajdhani Leasing & Industries Limited),
which comprise the Balance Sheet as at 31st March 2015, 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.
2. 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 principles
generally accepted in India, including Accounting Standards specified
under Section 133 of the Companies Act, 2013 read with rule 7 of
Companies (Accounts) Rules, 2014. This responsibility also includes
maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding of 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
3. 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
there under.
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 financial
statements.
4. Emphasis of Matter
We draw attention to the following matters in the Notes to the
financial statements:
i. The company has not complied with the listing requirements of
clause 47(a) in respect of the appointment of Company Secretary to act
as Compliance Officer of the company as defined in the listing
agreement with Bombay Stock Exchange.
ii. The company has not complied with provisions of section 149(1) of
the Companies Act 2013 and the Rule 3 of Companies (Appointment and
Qualification of Directors) Rules, 2014 in respect of appointment of
women director in the company.
iii. The company has not complied with the provisions of Section 203
of the Companies Act 2013 and Rule 8 Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 in respect
appointment of key managerial personnel (CEO/MD/Manager, CS, WTD, CFO)
in the company.
iv. The company has not complied with provisions of section 177 of the
Companies Act 2013 read with Rule 6 of Companies (Meetings of Board and
its Powers) Rules, 2014 in respect of constitution of Audit committee.
v. The company has not complied with the provisions of section 149 of
the Companies Act, 2013 and Rule 4 of Companies (Appointment and
Qualification of Directors) Rules, 2014 in respect of appointment of
independent director.
vi. The company has not complied with the provisions of section 138 of
the Companies Act 2013 and the Companies (Accounts) Rules, 2014 in
respect of appointment of internal auditor. Our opinion is not
modified in respect of these matters.
5. 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 flows for the year ended on that date.
6. Report on Other Legal and Regulatory Requirements
1. 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, 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 Companies Act 2013, 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 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 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 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. The Company has disclosed the impact of pending litigations on its
financial position in its financial statements Refer Note 2(j) to the
financial statements; and
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses; and
iii. There were no amounts which were required to be transferred to
the Investor Education and Protection Fund by the Company.
1) In respect of its Fixed Assets:
(a) As per the explanation & information given to us, there are no
fixed assets in the company; hence provisions of the Clause (i) of
paragraph 3 of the order are not applicable to the company.
2) In respect of its inventories:
(a) As per the explanation & information given to us, there have been
no any stock held by the company; hence provisions of the Clause (ii)
of paragraph 3 of the order are not applicable to the company.
3) In respect of the loans, secured or unsecured, granted by the
Company to companies, firm or other parties covered in the register
maintained under section 189 of the Companies Act, 2013:
(a) As per the information and explanations provided to us, the company
has not granted any unsecured loan to any party during the year which
is covered in the register maintained under section 189 of the
companies Act, 2013. Therefore, the provisions of the Clause (iii)(a),
(iii)(b) of paragraph 3 of the order are not applicable to the company.
4) In our opinion and according to 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 expenses incurred and income earned. The
activities of the Company do not involve the purchase and sale of goods
and services. During the course of our audit we have not observed any
continuing failure to correct major weaknesses in the internal control
system, except for the matter specified in the Para 4 "Emphasis on
Matter" of our Main Audit Report.
5) According to information and explanations provided to us, the
Company has not accepted any deposits from the public under Section 73
to 76 or any other relevant provision of the Companies Act, 2013 and
the rules made there under during the year.
6) As per information and explanations given to us, Company is not in
the business of manufacturing of any products and for the same the
Central Government has not prescribed the maintenance of cost records
under section 148 of the Companies Act, 2013. Therefore, the provisions
of the Clause (vi) of paragraph 3 of the order are not applicable to
the company.
7) In respect of statutory dues:
(a) According to the information and explanations given to us, the
company is regular in depositing undisputed statutory dues including
Provident Fund, Employee's State Insurance, Income Tax, Wealth Tax,
Sales tax, Customs duty, Excise duty, service tax, Cess and any other
statutory dues with the appropriate authorities. However, there has
been an amount of Rs.10,000/- in respect of Tax Deduction at source at
the end of the year which were outstanding for a period of more than
six months from the date, these became payable by the company.
(b) In respect of disputed dues:
According to information and explanations provided to us, details of
disputed Income Tax Dues of the Company are as follows: which were
outstanding for a period of more than six months from the date, these
became payable by the company.
A.Y. Nature of Dues Order Passed By Amount
(Rs.) Disputed
Authority
2007-08 Income Tax DCIT, Central
Circle-9, 85,349/- No Details
available *
Penalty u/s New Delhi
271(1)(c)
2009-10 Income Tax DCIT, Central
Circle-9, 1,24,01,610/- Hon'ble ITAT,
Delhi
Demand New Delhi dismissed the
appeal vide
order dated
27.04.2015
and as per
management
they are in
process of
filing further
appeal.
* Due to change of management during the previous financial years; the
current status of the demand of Rs.85,349/- raised by way of penalty
order u/s 271(1)(c) of the Income Tax Act,1961 is not available with
the company.
(c) According to information and explanation given to us, there were no
amounts which were required to be transferred to the Investor Education
and Protection Fund by the Company in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made there
under.
8) As per the information and the explanations given to us, the company
does not have accumulated losses at the end of the financial year for
more than 50% of the net worth of the Company. The company has incurred
cash losses during the financial year covered by the audit for
Rs.3,57,215/- and in the immediately preceding financial year to the
tune of Rs. 1,94,652/-.
9) Based on our audit procedures and according to information and
explanations given to us, we are of the opinion that the Company has
not taken any loans from any financial institutions, banks. Therefore,
the provisions of the Clause (ix) of paragraph 3 of the order are not
applicable to the company.
10) According to information and explanations provided to us, the
company has not given any corporate guarantee for loan taken by others.
Therefore, the provisions of the Clause (x) of paragraph 3 of the order
are not applicable to the company.
11) According to the information and explanations given to us, the
company has not raised any term loans from Banks and Financial
institutions. Therefore, the provisions of the Clause (xi) of paragraph
3 of the order are not applicable to the company.
12) In our opinion and according to information and explanations given
to us, no material fraud on or by the company has been noticed or
reported during the year
For AGARWAL KAMAL KUMAR & ASSOCIATES
Chartered Accountants
Sd/-
ARUN GUPTA
(Partner)
Place : New Delhi Membership No. 511816
Date : 28.05.2015 Firm Regn No. 005931N |