Report on the Financial Statements
1. We have audited the accompanying financial statements of CHANKYA
INVESTMENTS LIMITED which comprise the Balance Sheet as at 31st March,
2014, the statement of Profit and Loss and Cash Flow Statement for the
year ended on that date, and summary of the significant accounting
policies and other explanatory information.
Management's Responsibility for the Financial Statements
2. The company's Management is responsible for the preparation of
these financial statements that give a true and fair view of the
financial position, financial performance and cash flow of the Company
in accordance with the Accounting Standards referred to in Section
211(3C) of the Companies Act, 1956 and in accordance with the
accounting principles generally accepted in India. This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditors' Responsibility
3. Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the 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 misstatement.
4. 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 judgement, including the assessment of the risk of
material misstatement of the financial statements, whether due to fraud
or error. In making those risk assessments, the auditor considers
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 the accounting policies used
and the reasonableness of the accounting estimates made by the
Management, as well as evaluating the overall presentation of the
financial statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanation given to us, the aforesaid financial statements subject
to NOTE NO 1 (C) REGARDING DEPRECIATION PROVIDED AS PER INCOME TAX
RULES INSTEAD OF PROVIDING AS PER SCHEDULE XIV OF THE COMPANIES ACT
1956, 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 Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
(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) in the case of the Cash Flow Statement, of the cash flow of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
7. As required by the Companies (Auditor's Report) Order, 2003 issued
by the Central Government in terms of Section 227 (4A) of the Act, we
give in the Annexure a statement on the matters specified in the
paragraphs 4 and 5 of the Order.
8. 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 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 Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting Standards
referred to in Section 211 (3C) of the Act.
(e) On the basis of the written representations received from the
Directors as on 31st March, 2014 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2014
from being appointed as a director in terms of Section 274(1) (g) of
the Act.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT
(Referred to in paragraph 7 under 'Report on Other Legal and Regulatory
Requirements' section of our report of even date)
1. a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
b) Fixed Assets have been physically verified by the management during
the year and no serious discrepancies have been noticed on such
verification.
c) In our opinion, the company has not disposed off a substantial part
of fixed assets during the year and therefore paragraph 4 (i) (c) of
the companies (Auditor's Report) order, 2003 (hereinafter referred to
as the said order) is not applicable.
2. The company does not have any inventory other than quoted shares
and securities and in our opinion and according to the records verified
by us and information and explanations given to us, the Company has
maintained proper records of its.
3. The Company has neither granted nor taken any loans, secured or
unsecured, to/from companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956 and
therefore paragraph 4 (iii) of the said order is not applicable.
4. In our opinion, the Company has an adequate internal control
procedure commensurate with its size and the nature of its Business.
5. In our opinion and according to the information and explanations
given to us, there are no transactions that need to be entered in the
register maintained under section 301 of the Companies Acts, 1956 and
therefore paragraph 4 (v) of the said order is not applicable.
6. In our opinion and according to the information and explanations
given to us, the company has not accepted deposits from the public to
which the provisions of section 58A and 58AA of the Companies Act, 1956
and the Rules framed there under are applicable, and therefore
paragraph 4 (vi) of the said order is not applicable.
7. The Company does not have a formal internal audit system at any
time during the year.
8. Maintenance of cost record is not applicable to the company under
clause (d) of sub section (1) of section 209 of the Companies Act,
1956, therefore paragraph 4 (viii) of the said order is not applicable.
9. As per the financial and other records verified by us, the Company
is generally regular in depositing undisputed statutory dues in respect
of Income-Tax, and other dues with the appropriate authorities.
Considering the present operations of the Company, there can be no
liability on account of Excise Duty, Sales Tax, Customs Duty and Cess.
As explained to us, there were no dues arising to the Company in
respect of the Investor Education and Protection Fund, Wealth Tax
during the year.
10. The Company has not incurred cash loss in the Financial Year and
it has not accumulated losses.
11. The Company has not taken any loan from bank or Financial
institutions therefore clause 4 (xi) of the said order is not
applicable.
12. The company has not granted any loans or advances on the basis of
security by way of pledge of shares, debentures and other securities
and therefore paragraph 4 (xii) of the said order is not applicable.
13. The provisions of any special Statue applicable to chit fund and
nidhi / mutual benefit fund/society are not applicable to the company
and therefore paragraph 4 (xiii) of the said order is not applicable.
14. The Company is dealing in shares, securities and in our opinion
and according to the records verified by us and information and
explanations given to us, the Company has maintained proper records of
its.
15. Other investments therefore paragraph 4 (xiv) of the said order is
applicable.
16. According to the information and explanations given to us, during
the year the company has not given any guarantee for loans taken by
others from banks or financial institutions and therefore paragraph 4
(xv) of the said order is not applicable.
17. The Company has not taken term loan during the year and therefore
paragraph 4 (xvi) of the said order is not applicable.
18. According to the information and explanations given to us and on
an overall examination of the Balance Sheet of the company, in our
opinion, there are no funds raised on short term basis which have been
used for long term investments and vice versa.
19. The company has not made any preferential allotment of shares
during the year and therefore paragraph 4 (xviii) of the said order is
not applicable.
20. The Company has not issued any debentures during the year and
therefore paragraph 4(xix) of the said order is not applicable.
21. The Company has not raised any money by way of public issues
during the year and therefore paragraph 4 (xx) of the said order is not
applicable.
22. Based upon the audit procedures performed and as per the
information and explanations given to us by the management, we report
that no fraud on or by the company has been noticed during the year.
For S. JAIN BOHRA & CO.
CHARTERED ACCOUNTANTS.
FIRM REGD. NO. 114855W
Sd/-
(R. C. BOHRA)
PLACE : MUMBAI Partner
DATE : 15/05/2014 (M. NO. 73480) |