We have audited the accompanying financial statements of M/s Aditya
Spinners Limited. Hyderabad ("the Company"), which comprise the Balance
Sheet as at 3ST March, 201S, the Statement of Profit and Less, the Cash
Flow Statement for Ehe year then ended, and a summary of the
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
-n Section 134< 5) o- the Com pa ries Act. 20\3 (Jthe Act") with
respect te the preparation of these financial statements that give a
tme 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, inciudirrg 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 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 matenal 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 mailers which are required to be included n
the audit report under the provisions of the Act and the Rules made
(hereunder.
We conducted our auoit in accordance with the Standards on Auditing
specifieo under Section 143(1 Q) of the Act. Those Standards require
that we comply with ethical requirements and pian 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 evsaence about
trie amounts and the disclosures in the financial slatenreuts The
procedures selected depend an the auditor s judgment, including the
essessmentof the risks of matenal misstatement of the financial
statements, whether due la fraud or error, in making those risk
assessments, the auditor considers internal financial conlrol relevant
to the Compa ay's preparation of the financial statements that give a
Vue and fair view in order to desig n audit procedures that are
appropriate in the circumstances. An audit also includes evaluating the
appropriateness of the accounting pol-cies used and the reasonableness
of the accounting estimates made by the Company's rectors, as well as
evaluating Ihe overall presentation of the financial statements
We beiieve that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion or the 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 Joy the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India,
fal in the case of the Balance Sheet, of the state of affairs of the
Company as at 31" March, 2015;
(bj tn th e case of the Stare nient of Profit and Loss, of the orofir
of the Company for the year ended on that date; and
tc) En Ihe case of Ihe Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal end Regulatory Requirements
As required by the Companies (Auditor's Report) order, 2)0tSr issued by
the Central Government of India in terms of sub-section {HI of Section
143 of the Companies Act, 2013, we give in the Annexure a statement on
the matters specified in paragraphs 3 and 4 of Ihe order, to the extent
applicable
As required by Section 143 (3} of the Act, we report that:
fa'i 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 apoears from our examination oi
those books
(c) The Balance Sheet, the Statement of Profit and Loss, and Ihe Cash
Flow Statement dealt with by this Repad are in agreement with Ihe books
of account.
idl In our opinion, the aforesaid financial statements comply with the
Accounting Standards specified under Section 133 cf th e AcL read with
R me 7 of the Companies (Accounts) Rules, 2014
i si Based on the Written Representation received from the directors as
on 31 March 2D15, and taken on record by the Board of Directors, we
report that none of the director are c isq u alified as an 31 March, 2D
15 from being ap pointed as a director in terms of Sub-section 2 of
Section 154 of the Act.
(II} With respect to the other matters to be included in tl'.e Auditor's
Report in accordance with Ru le 11 of th b Com pan les (Audit a nd
Auditors) Rules. 2014, In our opinion and to the best of our
information and according to the explanations given to us:
i. The Company does not have any penoing legal litigations.
ii The company dees not have any pending amounts required to be
transferred to the Investor Education and Protection Fund
Annexure referred to in paragraph 3 of the Independent Auditor's Report
of even date of Aditya Spinners Limited, Hyderabad on the financial
statements for the year ended March 31,2015.
i In respect of fixed assets
(a) The company is maintaining proper records shewing mil particulars,
including quantitative details and situation of fixed assets;
(bj As explamed to us, ail the fixed assets hove been physsca:ly
verified by the Management during the year No matenel discrepancies
were noticed on such verification
ii. In reaped of its inventories:
(a) As explained to us, the inventories excepting in case of goods in
transit, stocks lying in Central / Elate Warehouses (where confirmation
were obtained from the parties and relied uporu were physically
verified during the year by the Management at reasonable intervals.
(b) In our opinion, procedures of physical verification of inventory
followed by the Management are reasonable and adequate in relation lo
the size of the Company and the nature of its business.
(c) On the basis at our examination of records of the inventory, in oar
opinkzi, the Company is maintaining proper records of inventory. No
material discrepancies were noted on such verification.
iii In respect of loans"
As informed to usr the company has not granted any loans, secured or
unsecured tc companies, fimts or other parties coveretr in the register
maintained under section 139 of the Companies Act
iv. tn our opinion and according to the information and explanations
given to us, there are adequate into mar control systems commensurate
with [he size of the company and the nature of its business for the
purchase of inventory, fixed assets and for the sale of goods &
services.
v The company has net accepted any deposits, and hence clause (v) of
Companies (Auditor's Report} Order, 2015 is not applicable.
VL We have broadly reviewed the books of account maintained by company
pursuant to rules p nescribed by the centra- government of I nd ia for
maintenance of cost records under Section of the Companies Act 2013 in
respect of products {Yam) of (he company and are of the opinion that
prima facie, the prescribed accounts and records have been made and
maintained However, we have not made a detailed examination of the
records
vii.a} According to the information and explanations given la us and
The records as produced and examined by us, in our opinion, the company
is regular in depositing undisputed statutory dues including income
tax, service tax, Customs Duly and other materia: statutory dues during
the year by the company with the appropnate authorities though there
are no ahnomnar deays in respect at Professional Tax As explained to
us. the company did not have any dues on accounl of Employee's State
insurance, Sales lax, Excise duty. Wealth tax and Investor Education
and Protection Fund.
According to the information ana explanations given to us no undisputed
amounts payable in respect of Provident Fund, fncanTje-tax. Service
tax, Customs duty and other material statutory dues were in arrears as
at 31K March 2D15 for a period of more than six months from the period
they became payable.
b) According to the information and explanations given to us, there are
no dues of income-tax. Service tax and Customs duly which have not been
deposited with the appropriate authorities on account of any dispute As
informed to us, the company did not have any dues on account of Wealth
tax and Excise duly.
c) According to the information and explanations given lo us, there are
no pending amounts required to be transferred to Erie Investor
Education and Protection Fund and hence clause (vii) {c) of Companies
(Auditor's Report) Order. 2D15 is not appNcabhe
viii The Company does not have any accumulated lasses and has not
incurred any cash losses in the current financial year and in Ihe
immediately preceding financial year
ix. in our opinion and according to the information and explanations
given to us, the company has noL defaulted in repayment of loans to its
bankers and financial institutions:
x- According lo the information and explanatory given to us the company
has not given any guarantee for loans taken by others- or banks or
financial institutions. Thus paragraph 3 (x) of the order does not
apply to the company for the year
xi in our option and according to the information and explanations
given to uar the term loans taken by the company have been aopliec for
the purpose for which they wens rais-ea
xii. According to ihe mfomnason a no explanations given to us, no fraud
on or by the company has been noticed or reported dunng the course of
audit.
For C Ramachandram & Co,L
Chartered accountants,
Firm Registration No. 0028645
C.Ramach andram
Partner
M.No:Q25B34
Place: Hyderabad
Date: 29.0B3}15
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