We have audited the accompanying financial statements of M/s UNIPLY
INDUSTRIES LIMITED (the company), which comprise the Balance
Sheet as at 31st March,2015,the Statement of Profit and Loss, the Cash
Flow Statement for the year then ended, and a summary of the
significant accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Board of directors 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 statement that give a
true and fair view of the financial position, financial performance and
cash flows of the company in accordance with the accounting principle
generally accepted in India, including the Accounting Standards
specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts)Rules, 2014. This responsibility also includes
maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding of 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 design,
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 misstatements, whether due to fraud or
Our responsibility is to express an opinion on these financial
statement 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 the included in the audit report under the provisions of
the Act and the Rules made there under.
We conducted our audit in accordance with the 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.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statement, whether due to fraud or error. In making those risk
assessment, the auditor considers internal financial control relevant
to the Company''s preparation of the financial statements that the
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 the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company''s Directors, as well
as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the financial
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:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2015;
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date, and
(c) 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
1. As required by the Companies (Auditor''s Report) Order, 2015
(the Order) issued by the Central Government of India in terms of
sub-section(11) of section 143 of the Act, we give in the Annexure a
statement on the matters specified in the paragraph 3 and 4 of the
Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, we report that:
a. We have sought and obtained all the information and explanation
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
b. In our opinion, proper books of accounts as required by law have
been kept by the Company so far as it appears from our examination of
c. The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with books of
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) Rules, 2014.
e. On the basis of the written representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164(2) of the
f. With respect to the other matters to be included in the Auditor''s
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules,2014, in our opinion and to the best of our information and
according to the explanation given to us:
i. The company does not have any pending litigation which would impact
its financial position.
ii. The company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
iii. There has been no delay in transferring amounts, required to be
transferred to the Investor Education and Protection Fund by the
The Annexure referred to in our Independent Auditor''s Report to the
members of M/s UNIPLY INDUSTRIES LIMITED for the year ended on
31.03.2015. We report that:
i. (a) The company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
(b) These fixed assets have been physically verified by the management
at reasonable intervals and no material discrepancies were noticed on
such verification and the same have been properly dealt with in the
books of account.
ii. (a) The Management has conducted physical verification of inventory
at reasonable intervals.
(b) 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) The company is maintaining proper records of inventory. No material
discrepancies in inventory were noticed during the physical
iii. As informed to us, the company has not granted any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under section 189 of the Companies Act. Hence
clause (a) & (b) are not applicable.
iv. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems 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. There are no major weaknesses in internal control system.
Accordingly the issue of continuing failure to correct major weakness
in internal control in these areas does not apply.
v. The company has not accepted any deposits.
vi. Maintenance of cost records has not been specified by the Central
Government under sub - section (1) of section 148 of the Companies Act.
vii. (a) According to the information and explanations given to us and
on the basis of our examination of the records of the Company, the
company is regular in depositing undisputed statutory dues including
provident fund, employees'' state insurance, income- tax, sales-tax,
wealth tax, service tax, duty of customs, duty of excise, value added
tax, cess and any other statutory dues with the appropriate authorities.
According to the information and explanations given to us, no
undisputed amounts payable in respect of the above were in arrears as
at 31st March 2015 for a period of more than six months from the date
they became payable.
(b) According to the information and explanations given to us, there
are no dues of income tax or sales tax or wealth tax or service tax or
duty of customs or duty of excise or value added tax or cess have not
been deposited on account of any dispute, except the following
Name of Nature of Amount Period for
the statute dues (in Rupees) which the
Tamilnadu Value VAT on 54,21,138/- 2007-08
Added tax,2006 SEZ sales
Tamilnadu Value VAT 70,233/- 2007-08
Added tax,2006 Penalty on ITC
Name of the Statue Forum where dispute is pending
Tamilnadu Value Appellate Commissioner,
Added tax,2006 Commercial tax department
Tamilnadu Value Appellate Commissioner, Commercial
Added tax,2006 tax department
(c) According to the information and explanations given to us there are
no amounts which are required to be transferred to investor education
and protection fund in accordance with the relevant provisions of the
Companies Act, 1956 (1 of 1956) and rules made there under during the
viii. The company has accumulated losses at the end of financial year
and has not incurred any cash losses during the financial year covered
by our Audit and has incurred cash loss during the immediately
preceding financial year.
ix. The company has defaulted in repayment of two quarterly
installments of Rs.20,00,000/- each of term loan to bank during the
year. There are no other default in repayment of loan to banks and
other financial institution.
x. In our opinion and according to the information and explanations
given to us, the company has not given any guarantee for loans taken by
others from bank or financial institutions.
xi. The term loans obtained have been applied for the purpose for which
the loans were obtained.
xii. Based upon the audit procedures performed for the purpose of
reporting true and fair view of the financial statements and as per the
information and explanations given by the management, we report that no
fraud on or by the company has been noticed or reported during the
For C.Ramasamy & B.Srinivasan
Place: Chennai Partner
Date: 03.06.2015 M.No: 023714