We have audited the attached Balance sheet of THE BHARAT LINE LIMITED
 as at 31st March'' 2012 and the Profit and Loss Account of the company
 for the year ended on that date'' annexed thereto. These financial
 statements are the responsibility of the Company''s management.  Our
 responsibility is to express an opinion on these financial statements
 based on our audit.  We conducted our audit in accordance with 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.
 
 1.  As required by the Companies (Auditors Report) Order'' 2003 (as
 amended) issued by the Central Government in the terms of Section
 227(4A) of the Companies Act'' 1956'' we annex hereto a statement on
 matters specified in paragraphs 4 and 5 of the said Order.
 
 2.  Our other observations are as under:
 
 2.1 No Provision is made for Bonus to employees for the year.
 
 3.  Further to the above :
 
 3.1 We have obtained all the information and explanations'' which'' to
 the best of our knowledge and belief'' were necessary for the purpose of
 our audit.
 
 3.2 In our opinion'' proper Books of Account as required by law have
 been kept by the Company so far as appears from our examination of
 those books.
 
 3.3 The Balance Sheet'' and the Profit & Loss Account dealt with by this
 report are in agreement with the Books of Accounts.
 
 3.4 In our Opinion'' the Balance Sheet and the Profit & Loss Account
 comply with the accounting standards as referred to in Sub-Section 3C
 of Section 211 of die Companies Act'' 1956 & Subject to our other
 observations in point no. 2 above.
 
 3.5 Based on representations made by all the Directors of the Company
 and the information and explanations as made available'' we report that
 no Director of the Company is disqualified from being appointed as
 Director of the Company under Section 274 (1) (g) of the Companies Act''
 1956.
 
 3.6 In our opinion and to the best of our information and according to
 the explanations given to us'' the Balance Sheet and the Profit & Loss
 Account subject to our other observation in point no. 2 above'' the said
 accounts together with the notes there on and attached thereto'' give
 the information required by the Companies Act'' 1956 in the manner so
 required and give'' a true and fair view'' in conformity with the
 accounting principles generally accepted in India.
 
 (a) In case of the Balance Sheet of the state of affairs of the Company
 as at 31st March'' 2012.
 
 AND
 
 (b) In the case of the Statement of Profit & Loss'' of the Profit for
 the year ended on that date.
  
                                         
 ANNEXURE TO AUDITORS''REPORT
 
 The Annexure referred to in paragraph 1 of the Auditors Report to the
 members of The Bharat Line Limited for the year ended March 31''2012. We
 report that:
 
 1.  (a) The Company has maintained proper records showing full
 particulars'' including
 
 quantitative details and situation of fixed assets.
 
 (b) The management has physically verified all die fixed assets at the
 year end'' which in our opinion'' is reasonable having regard to the size
 of the Company and the nature of its assets. No discrepancies were
 noticed on such verifications.
 
 (c) During the year'' die Company has not disposed off any major part of
 its fixed assets.
 
 2.  The Company does not carry inventory. Accordingly'' clauses 4(ii) of
 die Companies (Auditor''s Report) Order'' 2003 (''the Order'') are not
 applicable.
 
 3.  (a) The company has not granted any loans secured or unsecured to
 Companies''
 
 firms or odier Parties Covered in die register maintained under section
 301 of die Companies Act'' 1956. Hence Clause 3(b) (c) & (d) of the
 order is not applicable.
 
 (b) The Company has not taken any loans'' secured or unsecured from
 Companies'' firms or odier parties covered in die register maintained
 under section 301 of die Act.'' Accordingly clause 3 (f) and (g) is not
 applicable.
 
 4.  In our opinion and according to die information and explanations
 given to us'' mere is an adequate internal control system commensurate
 widi die size of die Company and die nature of its business for die
 purchase of fixed assets. The activities of die Company do not involve
 purchase of inventories and die sale of goods. We have not noted any
 continuing failure to correct major weakness in die internal controls
 during die course of die audit.
 
 5.  (a) According to die information and explanation given to us'' there
 are no
 
 transactions tiiat need to be entered in die register maintained under
 section 301 of the Act.
 
 (b) As explained to us'' die Company has not entered into any
 transactions exceeding die value of Rs. Five lakhs in respect of any
 party during die year. Accordingly'' clause 4(v)(b) of die order is not
 applicable.
 
 6.  The Company has not accepted any deposits from die public to which
 die provision of section 58A and section 58AA of die Companies Act''
 1956 and die rules framed there under apply.
 
 7.  The company''s paid up capital is below Rs.50 lacs and turnover is
 below Rs.5 crores and therefore clause 4(vii) of die order regarding
 internal audit system is not applicable.
 
 8.  According to the information and explanation given to us'' die
 Central Government has not prescribed die maintenance of die cost
 records under Section 209(1) (d) of die Companies Act'' 1956 in respect
 of services carried out by die Company. Accordingly'' clause 4(viii) of
 the Order is not applicable.
 
 9.  (a) According to the information and explanation given to us'' and
 on the basis of our
 
 examination of die books of accounts die company has been regular in
 depositing widi appropriate audiorities undisputed statutory dues
 including Provident Fund'' Investor Education and Protection Fund''
 Income tax and any odier statutory dues. There are no such dues
 outstanding as at 31st March 2012 for a period of more dian six mondis
 from the date they became payable in respect of above.
 
 (b) According to die information and explanations given to us'' mere are
 no dues in respect of Provident Fund'' Investor Education & Protection
 Fund and other statutory dues diat have not been deposited widi
 appropriate authority on account of disputes except for income tax
 pending with commissioner of Income Tax which are given below:
 
 The Company has neither accumulated losses as on 31st March 2012 nor
 has it *HJ incurred any cash losses during the financial year under
 review as well as in the immediately preceding financial year.
 
 11.  Based on our audit procedure 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 banks. The
 Company did not have any outstanding debenture or any outstanding loans
 from any financial institutions during the year.
 
 12.  The company has not granted any loans and advances on the basis of
 security by way of pledge of shares'' debentures and any other
 securities. Accordingly'' clause 4(xii) of the order is not applicable.
 
 13.  The company is not a chit fund'' nidhi'' mutual benefit fund or a
 society.  Accordingly'' clause 4(xiii) of the order is not applicable.
 
 14.  The Company is not dealing or trading in shares'' securities''
 debentures and other investments. Accordingly'' clause 4(xiv) of the
 order is not applicable.
 
 15.  According to the information and explanations given to us'' the
 Company has not given any guarantees for loans taken by others from
 bank or financial institutions. Accordingly'' clause 4(xv) of the order
 is not applicable.
 
 16.  In our opinion'' the term loans have been applied for the purpose
 for which they were raised.
 
 17.  According to the information and explanations given to us'' no
 funds are raised on short term basis'' Accordingly'' clause 4(xvii) of
 the order is not applicable.
 
 18.  The Company has not made any preferential allotment of shares to
 parties and Companies covered in register maintained under section 301
 of the Act during the year. Accordingly'' clause 4(xviii) of the order
 is not applicable.
 
 19.  The Company has not issued any debentures. Accordingly'' clause
 4(xix) of the order is not applicable.
 
 20.  The Company has not raised any money by public issues during the
 year accordingly'' clause 4(xx) of the order is not applicable.
 
 21.  According to the information and explanations given to us'' by the
 management'' we report that no frauds on or by the Company has been
 noticed or reported during the year.
  
                                        For Vatsaraj & Co.
 
                                        Chartered Accountants 
 
 Place: Mumbai.  
 
 Dated: 23.08.2012                      CA MAYUR KISNADWALA
 
                                        Partner
 
                                        M.N0.33994
 
                                         Firm Reg. No. 111327W