1.  We have audited the attached Balance Sheet of Vatsa Music Ltd. as
 at 31st July, 2012 and also the Profit & Loss Account for the year
 ended on that date both of which we have signed under reference to this
 report. These financial statements are the responsibility of the
 management of the Company. Our responsibility is to express an opinion
 on these financial statements based on our audit.
 
 2.  We have 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 presentation of the
 financial statements. 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 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, we enclose in the Annexure a
 statement on the matters specified in paragraph 4 and 5 of the said
 order to the extent applicable to the Company.
 
 4.  Further to our comments in the annexure referred in paragraph 3
 above, we report that :
 
 a) 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;
 
 b) 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 these
 books;
 
 c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement
 dealt with by this report are in agreement with the books of account;
 
 d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash
 Flow statement dealt with by this report are in compliance with the
 Accounting Standards referred to in Section 211(3C) of the Companies
 Act, 1956.
 
 e) We are unable to comment as we have not received any written
 representation from the directors of the company as on 31st July 2012
 regarding disqualification as directors of the company under section
 274(1)(g) of the Companies Act, 1956.
 
 f) In our opinion and to the best of our information and according to
 the explanations given to us, the Balance Sheet, Profit & Loss Account
 and Cash Flow statement read together with the Significant Accounting
 Policies and Notes thereon and attached thereto give in the prescribed
 manner the information required by the ''Act'' and also give
 respectively, a true and fair view in conformity with the accounting
 principles generally accepted in India :
 
 (i) in the case of the Balance Sheet, of the state of affairs of the
 Company as at July 31, 2012 and
 
 (ii) in the case of the Profit and Loss Account, of the profit for the
 year ended on that date.
 
 (iii) In case of the Cash Flow statement of the cash flows for the year
 ended on that date.
 
                                                For K. R. MANIK & Co.  
                                              (Chartered Accountants)
 
                                                                 Sd/-
                                                        (K. R. MANIK)
                                                         (PROPRIETOR)
                                                      (M. No. 009550)
 
 Place : Mumbai 
 Date  : 10-08-2012