We have audited the attached Balance Sheet of Allied Computers
International (Asia) Limited as at 31st March, 2012 and also the profit
& loss Account and the Cash flow Statement for the year ended on that
date annexure thereon. These Financial Statements are the
responsibility of the company 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 wither 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. All 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
As required by the Companies (Audit Report) Order, 2003 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 statement in
the matters specified in paragraphs 4 and 5 of the said Order.
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
ii) In our opinion proper books of accounts as required by law have
been kept by the company so far as appears from our examination of the
iii) The Balance Sheet and profit & loss Account and the Cash flow
statement dealt with by this report are in agreement with the books of
iv) In our opinion, the Balance Sheet and profit and loss account dealt
with by this report with the Accounting standards referred to in sub-
section (3C) of section 211 of the companies Act, 1956.
v) On the basis of the 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
31st March, 2012 from being appointed as a director in terms of clause
(g) of sub-section (I) of section 274 of the companies Act, 1956.
vi) In Our opinion and to the best of our information and according to
the explanation given to us, the accounts read with notes and schedules
thereon give the information required by the companies Act, 1956, in
the manner so required and give a true and fair view in conform with
the accounting principles generally accepted in India.
a) In the case of Balance sheet of the state of affairs of the company
as at 31st March 2012 and
b) In the case of profit and loss account of the loss of the company
for the year ended on that date.
c) In the case of Cash flow statement of the cash flows of the company
for the year ended on that date.
As required by the companies (Auditors Report) Order 2003 and
amendments thereto and according to the information and explanation
given to us during the course of the audit and basis of such check of
the books and records as were considered appropriate we report that.
i) a) The company has maintained proper records showing the full
particulars, including details and situation of its fixed assets.
b) As per the information and explanation given to us physical
verification of fixed assets has been carried out in terms of the
phased programme of verification of its fixed assets adopted by the
company and no material discrepancies were noticed on such to the size
of the company and nature of its business.
c) During the year, there is no substantial disposal of fixed assets
the business is continuing as a going concern.
ii) a) The inventory has been physically verified during the year by
the management in our opinion, the frequency of verification is
b) The Procedures of physical verification of inventories 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 the inventory. The
discrepancies noticed on verification between the physical stocks and
book records were not
iii) a) We are informed that the company has not granted to the
parties, covered in the registered maintained under section 301 of the
companies Act 1956, hence clause (b) (c) & (d) is not applicable.
b) The company had not taken loan from parties covered in the register
maintained under section 301 of the companies Act 1956 hence clause (f)
& (g) is not applicable.
iv) In our opinion and accordingly to the information and explanations
given to us there are adequate internal control procedures commensurate
with size of the company and nature of its business with regards to
purchase on inventory fixed assets and with regards to the sale of
goods, During the course of our audit. We have not observed any
continuing failure to correct major weakness in internal controls.
v) a) According to the information and explanation given to us we are
of the opinion that the transactions that need to be entered in to the
register maintained under section 301 of the Companies Act, 1956 have
been so entered.
b) In our opinion and according to the information and explanation
given to us the transactions made in purchase of contracts or
arrangements entered in the register maintained under section 301 of
the companies Act,1956 and exceeding the value of Rupee five lacs in
respect of any party during the year haven been made at a price which
are reasonable having regards to prevailing market prices at the
vi) According the information and explanation given to us the company
has not accepted any deposits from the public. No order has been passed
by the company Board.
vii) The Directors themselves conduct the affairs of the company the
company does not have a formal system of internal audit but there are
adequate checks and controls at all levels.
viii) The company is not maintaining cost records prescribed under
section 209 (1) (d) of the companies Act, 1956 for the products of the
ix) a) The company generally regular in depositing with appropriate
authorities undisputing statutory dues including Sales tax, Excise duty
Cess and other material statutory dues applicable to it.
b) According to the information and explanation given to us undisputed
amounts payable in respect of wealth tax, customs duty, excise duty and
cess were in arrears as at 31st March 2012 for a period of maro than
six months from the date they become payable.
c) According to the information and explanation given to us there are
dues of sales tax, customs duty, wealth tax, excise duty and cess,
which have not been deposited on account of any dispute.
x) There are no accumulated losses of the company as on 31st March
2012. The company has not incurred any cash losses during the financial
year covered by our audit and the immediately preceding financial year.
xi) In our opinion and according to the information and explanation
given to us, the company has not defaulted in repayment of dues to a
financial institutions. bank or debenture holders.
xii) As per the information and explanation given to us the company has
not granted any loans and advances on the basis of security by way of
pledge of shares debentures and other securities
xii)In our opinion, the company is not a chit fund or a nidhi mutual
benefit funds/society. therefore the provision of clause4 (xii) of the
companies (auditors reports) order 2003 are not applicable to the
xiv) in respect of dealing in shares, securities and other investments,
in our opinion and according to the information and explanation given
to us proper records have been maintained of the transaction and
contracts and timely entries have been made there in. The shares,
security and other investment have been held by the company.
xv) According to the information and explanation given to us the
company has not any guan title for loans taken by others from bank or
xvi) the company has not raised any term loan during the year.
xvii)According to the information and explanation, given to us and on
an overall examination of the balance sheet of the company, we reports
that no funds raised on basis have been used for long-term investments.
No long terms funds have been used to financial short-term except
permanent working capital.
xviii) We are informed that the company has not made any preferential
allotment of shares to companies, firms or other parties listed in the
register maintained under Section of the Companies Act, 1956.
xix) The Company has not issued debentures and hence requirements of
reporting creation of securities in respect of debentures issued does
xx) The Company has not raised any money by public issue during the
xii) As per the information and explanation given to us, insurance of
material fraud on by the company has been noticed or reported during
For Maheswari & co.
TRN : 105834W
M. No. 402845
Place : Mumbai