Bank Of India

1.  We have audited the attached Balance Sheet of BANK OF INDIA as at
 31st March, 2009 and also the Profit and Loss Account for the year
 ended on that date annexed thereto in which are incorporated the
 returns of 20 branches audited by us, 2570 branches audited by other
 auditors and 23 foreign branches audited by local auditors. The
 branches audited by us and those audited by other auditors have been
 selected by the Bank in accordance with the guidelines issued to the
 Bank by the Reserve Bank of India. Also incorporated in the Balance
 Sheet and Profit and Loss Account are the returns from 431 branches
 which have not been subjected to audit. These unaudited branches
 account for 0.64% of advances, 2.13% of deposits, 0.43% of interest
 income and 1.61% of interest expenses. We have also audited the cash
 flow statement as stated in Notes forming part of Accounts for the year
 ended on that date. These financial statements are the responsibility
 of the Bank’s management. Our responsibility is to express an opinion
 on these financial statements based on our audit.
 
 2.  We conducted our audit in accordance with the auditing standards
 generally accepted in India. Those standards require that we plan and
 perform the audit to obtain reasonable assurance about whether the
 financial statements are free of material misstatements. An audit
 includes examining, on a test basis, evidence supporting the amounts
 and disclosures in the financial statements. An audit also includes
 assessing the accounting principles used and significant estimates made
 by the management, as well as evaluating the overall financial
 statement presentation. We believe that our audit provides a reasonable
 basis for our opinion.
 
 3.  The Balance Sheet and the Profit and Loss Account have been drawn
 up in Forms “A” and “B” respectively of the Third Schedule to the
 Banking Regulation Act, 1949.
 
 4.  Subject to the limitations of the audit indicated in paragraph 1
 above and as required by the Banking Companies (Acquisition and
 Transfer of Undertakings) Act, 1970, we report that:
 
 a) In our opinion and to the best of our knowledge and according to the
 information and explanations given to us and as shown by the books of
 the Bank:
 
 (i) The Balance Sheet read together with the Significant Accounting
 Policies and Notes forming part of Accounts is a full and fair Balance
 Sheet containing the necessary particulars, and is properly drawn up so
 as to exhibit a true and fair view of the affairs of the Bank as at
 31st March, 2009;
 
 (ii) The Profit and Loss Account read together with the Significant
 Accounting Policies and Notes forming part of Accounts shows a true
 balance of Profit in conformity with accounting principles generally
 accepted in India for the year covered by the accounts; and
 
 (iii) The Cash Flow Statement gives a true and fair view of the cash
 flows for the year covered by the Statement.
 
 b) 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 and have found them to be satisfactory.
 
 c) The transactions of the Bank which have come to our notice have been
 within the powers of the Bank.
 
 d) The returns received from the offices and branches of the Bank have
 been found adequate for the purposes of our audit.
 
                For Mitra Kundu & Basu         For Borkar & Muzumdar
                 Chartered Accountants         Chartered Accountants
 
                            (P. Podder)              (Devang Vaghani)
                               Partner                       Partner
                 Membership No.  51063         Membership No. 109386
 
             For A. K. G. & Associates     For V Ramaswamy Iyer & Co.
                 Chartered Accountants         Chartered Accountants
 
                      (Harvinder Singh)             (D. V. Jayaraman)
                               Partner                       Partner
                  Membership No. 87889          Membership No. 14050
 
                                                   For P.C.Modi & Co.
                                               Chartered Accountants
 
                                                       (Prakash Modi)
                                                             Partner
                                               Membership No. 017622
 
                                           For Sundaram & Srinivasan
                                               Chartered Accountants
 
                                                           (C.Naresh)
                                                             Partner
                                                Membership No. 28684
 Mumbai, 29th April, 2009