| 1. We have audited the accompanying financial statements of M/s
Piccadily Sugar & Allied Industries Limited (the "Company"), which
comprise the Balance Sheet as at March 31, 2015, the Statement of Proft
& Loss account, the Cash Flow Statement of the Company for the year
then ended, and a summary of significant accounting policies and other
explanatory information, which we have signed under reference to this
report.
Management's Responsibility for the Financial Statements
2. The Company's Management 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 fow of the
Company in accordance with accounting principles generally accepted in
India including the Accounting Standards specifed under Section 133 of
the Act, read with Rule 7 of the Companies (Accounts) Rule, 2014. The
responsibility also 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; and the design; and 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.
Auditor's Responsibility
3. 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 have conducted
our audit in accordance with 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.
4. An audit involves performing procedures to obtain audit evidence,
about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditors' 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 auditors consider internal financial control relevant
to the Company's preparation and fair presentation of the financial
statements that give 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
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 Management, as well
as evaluating the overall presentation of financial statements.
5. 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.
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:
In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2015;
In the case of the Statement of Profit and Loss, of the Loss of the year
ended on that date; and
In the case of Cash Flow Statement, of the cash flows for the year ended
on that date.
Report on Other Legal and Regulatory Requirements
7. As required by 'the Companies (Auditor's Report) Order, 2015',
issued by the Central Government of India in terms of Section 143 (11)
of the Act (hereinafter referred to as the "Order"), and on the basis
of such checks of the books and records of the Company as we considered
appropriate and according to the information and explanations given to
us, we give the Annexure a statement on the matters specified in
paragraphs 3and 4 of the Order to the extent applicable.
8. 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
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rule, 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 Section164(2) of the Act.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 1 of our report of even date)
1. In respect of its fixed assets:
a) The company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) According to the information and explanations given to us, the
company has a system of physical verification of all its fixed assets
over a period of three years. In our opinion having regard to the size
of the company and the nature of its assets, the program of verification
is reasonable. No material discrepancies have been noticed in respect
of assets physically verified.
2. In respect of its inventories:
a) The inventory was physically verified during the year by the
management. In our opinion, frequency of verification is reasonable.
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 are 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 and on the basis of our examination of the records of
inventory, the Company is maintaining proper records of its inventory.
The discrepancies noticed on physical verification of inventory as
compared to the book records were not material and have been properly
dealt with in the books of account.
3. (a) According to the information and explanations given to us, the
company has not granted any loan to body corporate covered in the
register maintained under section 189 of the Companies Act 2013.
Accordingly paragraph III (b) and (c) of the Order is not applicable to
the Company.
4. In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the company and the nature of its business for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our Audit, we have not observed any
continuing failure to correct major weaknesses in Internal Control
System.
5. The company has not accepted any deposits from the public.
6. The Company is required to maintain cost records under section
148(1) of the Act for the products of the company and according to the
information and explanation given to us, the company has maintained
proper records as prescribed by the central government.
7. According to the information and explanations given to us in respect
of Statutory and other dues:
a) The company is regular in depositing undisputed statutory dues,
including Provident Fund, Employees' State Insurance , Income Tax,
Value Added Tax, wealth Tax, Service Tax, Custom Duty, Excise Duty,
cess and other statutory dues with the appropriate authorities during
the year.
b) As per the information and explanation given to us, there is no
amount of Income tax/sales tax/ custom duty/ wealth tax/excise
duty/Value Added Tax/service tax/Cess which have not been deposited on
account of any dispute.
c) As per our verification, we have not come across any amount to be
transferred to investor education and protection Fund in accordance
with the relevant provisions of the Companies Act, 1956 and rules made
there under.
8. The Company have accumulated losses of Rs.857.39 Lacs and its paid
up capital is Rs.2322.10 Lacs. The company has incurred no cash losses
during the current financial year and in preceding financial year.
9. Based on our audit procedures and on the basis of information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in the repayment of dues to financial
institutions and banks.
10. According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
banks or financial institutions.
11. To the best of our knowledge and belief and according to the
information and explanation given to us, term loans have been availed
by the company, were prima facie, and applied by the company during the
year for the purposes for which the loans were obtained.
XII. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
was noticed or reported during the year.
FOR JAIN & ASSOCIATES
CHARTERED ACCOUNTANTS
(Regd No.:001361N)
Sd/-
(KRISHAN MANGAWA)
PARTNER
Membership No.513236
PLACE: GURGAON
DATE : 30.05.2015
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