| We have audited the accompanying financial statement of Siddha
Ventures Limited("the Company"), which comprise the Balance Sheet
as at 31st March 2014, the Statement of Profit and Loss and the Cash
Flow Statement for the 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 Management is responsible for the preparation of these
financial statements that gives a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards referred to in sub-section
(3C) of the section 211 of the Companies Act, 1956 ("the Act").
This responsibility includes the design, implementation and
maintenance of internal control 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 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 the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatements.
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 the 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 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.
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 financial statements subject to:
i) note no.24 regarding non- provision of Gratuity Liability,
ii) note no.21 on inventories for the unquoted shares for which
certificate is yet to be received 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 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 flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on matters specified in paragraphs 4 and 5 of the Order.
2. 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, 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 Balance Sheet, Profit and Loss and Cash flow
statement comply with the Accounting Standards referred to in
sub-section (3C) of the section 211 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 are disqualified as on 31st
March'2014 from being appointed as a Director in terms of clause (g)
of sub section (1) of section 274 of the Act.
Annexure to Auditor's Report
On the basis of such checks as we consider appropriate and in terms of
the information and explanations given to us, we state that:
1. a. The Company has generally maintained proper records showing full
particulars including the quantitative details and situations of fixed
assets on the basis of available information.
b. As explained to us, all the fixed assets have been physically
verified by the management, during the year in a phased periodical
manner, which in our opinion is reasonable, having regard to the size
of the Company and nature of its assets. No material discrepancies
were noticed on such physical verification.
c. During the year, Company has not disposed off any substantial/major
part of its fixed asset.
2. a. As explained to us, the inventory, except shares lying with
third parties and the shares accounted for on the basis of allotment
advice, have been physically verified during the year by the
management at reasonable intervals.
b. In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
c. In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and discrepancies noted on physical verification have been
properly dealt with in the books of account.
3. a-c The Company has not taken any loans, secured or unsecured, from
companies, firms or other parties, covered in the register maintained
under Section 301 of the Companies Act,1956;
d The Company has taken unsecured loans from one of the parties
covered in the register maintained Under section 301 of the act. The
Maximum amount involved during the year aggregates to Rs 1, 97,50,526
and the year-end balance is Rs 1, 61, 00,000.
E In our opinion and according to the information and explanations
given to us, the rate of interest wherever applicable and other terms
and conditions are prima facie prejudicial to the interest of the
Company
4. In our opinion and according to the information and explanations
given to us, there are generally adequate internal control procedures
commensurate with the size of the Company and the nature of its
business for the purchase and sale of shares except the unquoted
shares. During the course of our audit, we have not observed any major
weaknesses in the internal control system.
5. In respect of transactions covered under Section 301 of the
Companies Act'1956:
a. In our opinion and according to the information and explanations
given to us, the transaction made in pursuance of contracts or
arrangements, that needed to be entered into in the register
maintained under Section 301 of the Companies Act, 1956 have been so
entered.
b. In our opinion and according to the information and explanations
given to us, there are no transactions in pursuance of contracts or
arrangements entered in the register maintained under Section 301 of
the Companies Act, 1956 aggregating during the year to
Rs.5,oo,ooo/-(Rupees Five Lacs only) or more in respect of any party.
6. The Company has not accepted any deposits from the public during
the year.
7. In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business
8. a. According to the records of the Company, it has been regular in
depositing undisputed Statutory dues including Provident Fund,
Investor Education and Protection Fund, Income Tax, Sales Tax, Wealth
Tax, Service Tax, Custom Duty, Excise Duty, Cess and any other
material statutory dues to the extent applicable with the appropriate
authorities;
b>. According to the information and explanations given to us, details
of disputed income tax have not been deposited on account of matters
pending before appropriate authorities are as under:
Forum where
Sr. No. Name of the Statute Nature of dues dispute is pending Amount
Nil
9. The accumulated losses of the Company have not exceeded fifty
percent of its net worth as at the end of the year. The Company has
not incurred cash losses during the financial year covered by our
audit and in the financial period immediately preceding financial
year.
10. Based on our audit procedures and according to the information and
explanations given to us, we are of the opinion that the Company has
not defaulted in repayment of dues to financial institutions, banks or
debenture holders, as there were no such dues.
11. In our opinion and according to the information and explanation
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities.
12. In our opinion, the Company is not a chit fund or a nidhi/mutual
benefit fund/society. Therefore, clause 4(xiii) of the Companies
(Auditor's Report) Order 2003 as amended is not applicable to the
Company.
13. The Company has maintained proper records of transactions and
contracts in respect of trading in securities, debentures and other
investments and timely entries have been made therein. All shares &
debentures and other investments have been, held by the Company in its
own name, except the shares under process of transfer.
14. In our opinion and according to the information and explanation
given to us the Company has not given any guarantees for loans taken
by others from banks or financial institutions.
15. As informed, the Company has not raised any term loans during the
year.
16. According to the information and explanations given to us and on
an overall examination of the Balance Sheet and Cash Flow Statement of
the Company, we are of the opinion that funds raised on short-term
basis have, prima facie, not been used during the year for long-term
investment and vice-versa.
17. During the year, the Company has not made any preferential
allotment of shares to parties and companies covered in the Register
maintained under Section 301 of the Companies Act, 1956.
18. The Company has not raised any money by way of public issue during
the year.
19. To the best of our knowledge and belief and according to the
information and explanations given to us, no material fraud on or by
the Company was noticed or reported during the year.
For, Damle Dhandhania & Co.
Chartered Accountants
(FRN No.:- 325361E)
Manish Dhandhania
Place: Kolkata Partner
Dated: The 31st Day of May'2014 Membership No. 065901 |