1.  We have audited the attached Balance Sheet of Titan Securities
 Limited as at March 31, 2012 and also the Profit and Loss Account and
 also the Cash Flow Statement 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.
 
 2.  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 misstatement. 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 management, as well as evaluating the overall financial statement
 presentation. We believe that our audit provides a reasonable basis for
 our opinion.
 
 3.  As required by the Companies (Auditor''s Report) Order, 2003 as
 amended by the Companies (Auditor''s Report) Amendment Order. 2004
 issued by the Central Government of India in terms of sub-section (4A)
 of Section 227 of the Companies Act 1956, and on the basis of such
 checks as we considered appropriate and according to the information
 and explanations given to us, we annex hereto a statement on the
 matters specified in paragraphs 4 and 5 the said Order.
 
 4.  Further to our comments in the Annexure referred to above, we
 report that:
 
 i.  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;
 
 ii.  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 such
 books;
 
 iii. The Balance Sheet and Profit and Loss Account dealt with by this
 report are in agreement with the books of accounts;
 
 iv.  In our opinion, the Balance Sheet and Profit and Loss Account
 dealt with by this report comply with requirement of Accounting
 Standards referred to in Sub Section (3C) of Section 211 of the
 Companies Act, 1956 except Accounting Standard No. 15 relating to
 Employee benefits.
 
 v.  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 is disqualified as on 31 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.
 
 vi.  In our opinion and to the best of our information and according to
 the explanations given to us, the said accounts read together with the
 significant accounting policies and notes to accounts thereto, to the
 extent of non provision of gratuity & leave encashment for the year the
 effect of which cannot be determined thereon, 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 the case of the Balance Sheet, of the State of Affairs of the
 Company as at March 31, 2012:
 
 b) In the case of the Profit and Loss Account, of the Profit for the
 year ended on that date:
 
 c) In the case of the Cash Flow Statement, of the cash flows for the
 year ended on that date.
 
 As required by the Non-Banking Financial Companies Auditor''s Report
 (Reserve Bank) Directions 2008 we report that;
 
 1.  The Company is engaged in the business of non-banking financial
 institution and has been registered as NBFC with the Reserve Bank of
 India as required u/s 45-A of the Reserve Bank of India Act. 1934 and
 has obtained a Certificate of Registration (COR) from the bank.
 
 2.  As the Company is not accepting/holding public deposits, hence the
 clause ''B* of paragraph 3 of the NBFC Auditor''s Report (Reserve Bank)
 Directions, 2008 is not applicable to the Company.
 
 3.  The Board of Directors has passed a resolution for non-acceptance
 of any public deposits.
 
 4.  The Company has not accepted any public deposits during the
 relevant year.
 
 5.  The Company has complied with the prudential norms relating to
 income recognition, accounting standards, assets classification and
 provisioning for bad & doubtful debts as applicable to it.
 
 6.  Clause ''D'' of the paragraph 3 of NBFC Auditor''s Report (Reserve
 Bank) Directions, 2008 is not applicable to the company.
 
 Annexure referred to in paragraph 3 of the Auditor''s Report to the
 Members of Titan Securities Limited on the accounts for the year ended
 31 st March, 2012.
 
 1.  In respect of Fixed Assets:
 
 a.  The Company has maintained proper records showing full particulars,
 including 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. There is a regular program
 of verification which, in our opinion, is reasonable having regard to
 the size of the company and the nature of its assets. No material
 discrepancies were noticed on such verification.
 
 c.  During the year, the company has not disposed off any substantial
 part of its fixed assets and the going concern status ofthe company is
 not affected.
 
 2.  In respect of its Inventories:
 
 a.  The inventories have been physically verified at reasonable
 intervals by the management. In ouropinion. the frequency of
 verification isreasonable.
 
 b.  In our view, the procedures of physical verification of inventory
 followed by the management are reasonable and adequate in relation to
 the size of the company and the nature of its business.
 
 c.  On the basis of our examination of the records of inventory, we are
 of the opinion that the company has maintained proper records of
 inventories. The discrepancies noticed on verification between the
 physical stock and the book records were not material.
 
 3.  a (i) According to the information''s given to us , the company has
 granted Unsecured loans to the companies, firms or other parties
 covered in the Register maintained under Section 301 of the Companies
 Act, 1956 as per given details:
 
 SI.No.  Particulars                         Amount o/s as at
                                             31.03.2012
 
 1.      Titan Biotech limited                   45,66,000.00
 
 2.      Tanita Leasing & Finance Limited        35,23,000.00
 
 (ii) The rate of interest and other terms and conditions of unsecured
 loans given by the company are not prima facie prejudicial to the
 interest ofthe company.
 
 (iii) No amount of interest / principal has become overdue for payment
 except in the case of Tanita Leasing & Finance Ltd. where neither
 interest nor principal has been received.
 
 b According to the information given to us , the company has not taken
 any loans, secured or unsecured from the companies, firms or other
 parties covered in the Register maintained under Section 301 of the
 Companies Act, 1956, Consequently, the requirements of Clauses (iii),
 (f) and (iii) (g) of paragraph 4 of the Order are not applicable,
 
 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 with regard
 to purchase of inventory, fixed assets and also for the sale of goods &
 services. During the course of our audit, we have not observed any
 continuing failure to correct major weaknesses in internal control
 system.
 
 5.  In respect of the contracts or arrangements referred to in Section
 301 of the Companies Act, 1956:
 
 a.  In our opinion and according to the information and explanations
 given to us, the company has not entered into any transaction exceeding
 the value of five lakh rupees in respect of any party and in any one
 financial year in pursuance of contracts or arrangements entered in the
 Register maintained under section 301 of the Companies Act, 1956.
 
 b.  As above said this clause is not applicable to the company.
 
 6.  According to the information and explanations given to us, the
 Company has not accepted any Deposits from the public. Therefore, the
 provisions of Clause (vi) of paragraph 4 of the Order are not
 applicable to the Company.
 
 7.  In our opinion, the Company has an internal audit system
 commensurate with the size and nature of its business.
 
 8.  We are informed by the management that the Central Government has
 not prescribed the maintenance of cost records under Section 209(1) of
 the Companies Act. 1956 for any product of the Company.
 
 9.  In respect of statutory dues:
 
 a.  According to the information and explanations given to us, no
 undisputed Statutory dues including Sales-Tax, Income-Tax, Wealth-Tax,
 Service Tax, Customs Duty and Excise Duty were outstanding as at 31
 March,2012 for a period of more than six months from the date of
 becoming payable.
 
 b.  According to the records of the company, there were no dues on
 account of above statutory dues.
 
 10.  The company does not have accumulated losses at the end of the
 financial year. The company has not incurred any cash losses during the
 financial year covered by the audit and in the immediately preceding
 financial year.
 
 11.  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 a financial institutions, banks
 or debenture holders.
 
 12.  In our opinion and according to the explanations given to us and
 based on the information available, no loans and advances have been
 granted by the Company on the basis of security by way of pledge of
 shares, debenture and other securities.
 
 13.  In our opinion, the company is not a chit fund / nidhi / mutual
 benefit fund / society.  Therefore, the provisions of clause (xiii) of
 paragraph 4 of the Order are not applicable to the Company.
 
 14.  The Company has maintained proper records of the transactions and
 contracts in respect of dealing or trading in shares, securities,
 debentures and other investments and timely entries have been made
 therein. All shares, securities, debentures and other investments have
 been held by the in its own name.
 
 15.  The Company has not given any guarantees for loans taken by others
 from bank and financial institutions; therefore, this is not applicable
 to the Company.
 
 16.  No Term Loan was applied / taken during the relevant year.
 
 17.  According to the information and explanations given to us and on
 an overall examination of the Balance Sheet of the Company, we report
 that no funds raised on short-term basis have been used for long term
 investment by the company.
 
 18.  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.
 
 19.  The Company has not issued any debentures; therefore, this is not
 applicable to this Company.
 
 20.  The Company has not raised any monies by way of public issues
 during the year.
 
 21.  Based on the audit procedures performed and as per information and
 explanations given by the management, we report that no fraud on or by
 the company has been noticed or reported during the year.
 
                                               For Deepika Setia & Co.
 
                                                Chartered Accountants
 
                                                          FRN-013515N
 
 Place: Delhi                                           Deepika Setia
 
 Date: 31.05.2012                                             Partner
 
                                                         M.No. 092732