We have audited the attached Balance Sheet of T & I GLOBAL LIMITED as
at 31st March, 2012, the Profit and Loss Account and the Cash Flow
Statement of the Company for the year ended on that date. 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 from 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 and significant estimates made by
management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
We report that:
1) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
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
3) The Balance Sheet, Profit and Loss Account and the Cash Flow
Statement dealt with by this report are in agreement with the books of
4) In our opinion, the Balance Sheet, the Profit and Loss Account and
the Cash Flow Statement dealt with by this report comply with the
Accounting Standards referred to in sub-section (3C) of Section 211 of
the Companies Act, 1956 except Note No. 1.1 regarding treatment of
certain expenses on cash basis and non-compliance of Accounting
Standard 15 (Revised 2005) as per Note No. 1.8 (ii) regarding
non-provision of gratuity liability estimated at Rs. 18,39,382/- net of
fund value estimated by the Actuaries and Note No. 1.5(iii) regarding
non- provision of Diminution of market value of quoted investment, the
impact of the same non compliance of Schedule XIII of the Companies Act
1956 in respect of payment of managerial remuneration during the year
and non provision of interest on loan to body corporate and
non-provision for doubtful debts and confirmation from debtors &
creditors and inventory lying with third parties and confirmation of
balances with inoperative banks.
5) On the basis of written representations received from the Directors,
as on 31st March, 2012 and taken on record by the Board of Directors,
we report that none of the Directors are disqualified as on 31st March,
2012 from being appointed as a Director in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956;
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012;
b) In the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date, and
c) In the case of the Cash Flow Statement, for the cash flows for the
year ended as on that date.
6) As required by the Companies (Auditor''s Report) Order, 2003 (as
amended) issued by the Central Government of India in terms of
sub-section (4A) of Section 227 of the Companies Act, 1956 of India and
on the basis of such checks as we considered appropriate and according
to the information and explanations given to us, we further report to
the extent applicable to the Company, that:
i. a) The Company is generally maintaining proper records showing full
particulars including quantitative details and situation of its fixed
b) The fixed assets of the Company has been physically verified by the
management at reasonable intervals according to a phased formulated
programme designed to cover all the items, which, in our opinion, is
reasonable having regard to the size of the Company and nature of its
business. No material discrepancies between book records and physical
inventory have been noticed as we have been informed.
c) In our opinion and according to the information and explanations
given to us, during the year, no substantial part of the fixed assets
has been disposed off by the Company.
ii. a) According to the information and explanations given to us, the
inventory of the Company has been physically verified by the management
during the year, except the inventory lying with the third parties. In
our opinion the frequency of verification is reasonable.
b) In our opinion, the procedures of physical verification of the
inventory followed by the management are reasonable and adequate in
relation to the size of the Company and nature of its business.
c) On the basis of our examination of inventory records, in our
opinion, the Company has maintained proper records of inventory. The
discrepancies between the physical inventory and the book records
noticed on physical verification were not material and have been
properly dealt with the books of account.
iii. a) The Company has not granted any loans secured or unsecured to
companies, firms or other parties covered in the register to be
maintained under Section 301 of the Act. However it has granted
interest free trade advance repayable on demand to one Associate
company. Accordingly the clauses (iii) (b) to (d) of paragraph 4 of the
order are not applicable.
b) 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 Act. Accordingly the clauses (iii) (f) & (g)
of paragraph 4 of the Order are not applicable.
iv. a) In our opinion and according to the information and
explanations given to us, the particular of contract or arrangements
referred to in section 301 of the act have been entered in the register
required to be maintained under that section.
b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contract or
arrangements have been made at such prices which are reasonable having
regard to the prevailing market prices at the relevant times.
In our opinion, there are adequate internal control procedures
commensurate with the size of the Company and nature of its business,
for the purchase of inventory, fixed assets and for sale of goods and
services. Further, during the course of our audit we have neither come
across nor have we been informed of any instance of continuing failure
to correct major weaknesses in the aforesaid internal control
vi) The Company has not accepted any deposits from the public within
the meaning of Section 58A and 58AA of the Companies Act, 1956 and the
rules framed there under.
vii) In our opinion, the Company has an internal audit system
commensurate with its size and nature of its business.
viii) The Central Government has prescribed the maintenance of Cost
Records under Section 209(1) (d) of the Companies Act, 1956. The
Company has maintained cost records as explained to us. However, we
have not verified the same.
ix) (a) According to the information and explanations given to us and
according to the books and records as produced before us and examined
by us, in our opinion, the Company has been regular in general in
depositing during the year undisputed statutory dues in respect of
Provident Fund, Employees'' State Insurance, Income Tax, Sales Tax,
Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess and other
material statutory dues, as applicable, with the appropriate
authorities in India except the payment of FBT payable 3,450/- at the
close of the Financial Year which is more than six months from the date
they became payable.
d) According to the information and explanations given to us, there
have been no disputed dues in respect of Customs Duty, Excise Duty,
Wealth Tax, and Cess except as stated below:
Name Of Statute Nature of Amount Period to which Forum where
Dues (Rs.''000) the amount
relates dispute is
West Bengal Sale
tax Demand 1908 F. Y. 2004 - 05 ACCT,
Act, 1994 Regular West Bengal.
321 F. Y. 2005 - 06
2341 F. Y. 2006 - 07 Appellate &
13424 F. Y. 2008 - 09 JCCT, South
Tax Act, 1962 Assessment 604 A. Y. 2004 - 05 CIT (Appeal)
order Tax , West
127 A. Y. 2008 - 09 DCIT
x) The Company has neither accumulated loss as at 31st March 2012, nor
has it incurred any cash loss during the financial year ended on that
date and in the immediately preceding financial year.
xi) According to the records of the Company, it has not defaulted in
repayment of its dues to any bank. The Company has not issued any
xii) The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other securities as
per the information offered to us.
xiii) The Company is not a Chit Fund / Nidhi / Mutual Benefit Fund /
Society and Clause (xiii) of the order is not applicable.
xiv) According to the information and explanations given to us, the
Company is not a dealer or trader in securities. The company has
maintained proper records of transactions and contracts in respect of
shares and securities.
xv) According to the information and explanations given to us, the
Company has not given any guarantee for the loans taken by others from
banks or financial institutions during the year.
xvi) Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company, funds raised
on short-term basis have not been used for long-term investment.
xvii) The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section
301 of the Act during the year.
xviii) The company has not issued any debentures.
xix) The Company has not raised any money by issue of Shares to the
public during the year
xx) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanations
given to us, we have neither come across any instance of fraud on or by
the Company, noticed or reported during the year, nor have we been
informed of such case by the Management.
For Tiwari & Company
Registration No. 309112E
Place : Kolkata Partner
Dated : 30th August, 2012 Membership No. 16590