Report on the Financial Statements
We have audited the accompanying financial statements of Ceejay Finance
Limited, which comprise the Balance Sheet as at March 31, 2013, and the
Statement of Profit and Loss and Cash Flow Statement for the year then
ended, and a summary of significant accounting policies and other
explanatory information.
Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We have conducted our audit in
accordance with the Standards on Auditing issued by the Institute of
Chartered Accountants of India. 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 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 statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, 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.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the 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 March 31, 2013;
(b) in the case of the statement of Profit and Loss, of the profit for
the year ended on that date; and
(c) in the case of the 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, 2003, as
amended by the Companies (Auditor''s report) (Amendment) order, 2004
(together with Order) issued by the Central Government of India in
terms of sub-section (4A)of section 227 of the Act, we give in the
Annexure a statement on the matters specified in paragraphs 4 and 5 of
the Order.
2. As required by section 227(3) of the Act, 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 taw have been
kept by the Company so far asappears from our examination of those
books.
c. the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d. in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards referred
to in subsection (3C) of section 211 of the Companies Act, 1956;
e. on the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
ANNEXURE REFERRED TO OUR INDEPENDENT AUDITORS'' REPORT TO THE
MEMBERS OF CEEJAY FINANCE LIMITED, ON THE FINANCIAL STATEMENTS FOR
THE YEAR ENDED 31st MARCH, 2013.
(i) (a) The company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) As explained to us, the said fixed assets have been physically
verified by the management during the year, which in our opinion is
reasonable, having regard to the size of the company and nature of its
assets. No material discrepancies were noticed on such physical
verification.
(c) The company has not disposed off substantial part of fixed assets
during the year.
(ii) The company''s nature of operations does not require it to hold
inventory. Accordingly, para 4(ii) of the Companies (Auditor''s Report)
Order, 2003 is not applicable.
(iii) According to information and explanation given to us :
(a) the company has not granted any loans, secured or unsecured to
parties covered in the register maintained under section 301 of the
Act.
(b) the company has taken unsecured bans from two parties covered in
the register maintained under section 301 of the Act. The maximum
amount involved during the year and year end balance of loans taken
from such parties is Rs. 880.73 lacs.
(c) the rate of interest and other terms and conditions of such loans
taken by the company, in our opinion are prima facie not prejudicial to
the interest of the company.
(d) in respect of loans taken by the company, the interest payments are
regular and the principal amount is repayable on demand.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control procedures
commensurate with the size of the company and the nature of its
business with regard to purchase of fixed assets and sale of services.
There is no purchase of inventory and sale of goods. During the course
of our audit, we have not observed any continuing failure to correct
major weaknesses in internal controls.
(v) In respect of 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 particulars of contracts 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, there are no transactions made in pursuance of contracts
or arrangements entered in the register maintained under section 301 of
the Companies Act, 1956 aggregating during the year to Rs. 500,000/- or
more in respect of any party.
(vi) In our opinion and according to the information and explanations
given to us, the company has complied with the provisions of
Non-Banking Financial Companies Acceptance of Deposits (Reserve Bank)
Directions, 1977 and the Non Banking Financial Companies Acceptance of
Deposits (Reserve Bank) Directions, 1988. We are informed that no
order has been passed by the Company Law Board or National Company Law
Tribunal or Reserve Bank of India or any Court or any other Tribunal.
(vii) In our opinion, the company has an internal audit system
commensurate with the size of the company and the nature of its
business.
(viii) The Central Government has not prescribed the maintenance of
cost records under Section 209 [1][d] of the Companies Act, 1956.
(ix) The company wherever applicable, is regular in depositing
provident fund, investor education & protection fund, income tax, sales
tax, wealth tax, service tax, excise duty, cess and other statutory
dues to appropriate authorities.
(x) The company has no accumulated losses and has not incurred any cash
losses during the current financial year or in immediately preceding
financial year.
(xi) The company has not defaulted in repayment of dues to the banks.
The company has not obtained any borrowing from financial institutions
or by way of debentures.
(xii) In our opinion and according to the information and explanation
given to us, no loans and advances have been granted on the basis of
security by way of pledge of shares, debentures and other securities.
(xiii) The company is not a chit fund, nidhi, mutual fund or a society.
Accordingly, Para 4(xiii) of the order is not applicable.
(xiv) According to the information and explanations given to us, the
Company is not dealing or trading in shares, securities, debentures and
other investments. Accordingly Para (xiv) of the order is not
applicable.
(xv) As per the information and explanations given to us the company
has not given any guarantee for bans taken by others from banks or
financial institutions.
(xvi) The Company has not obtained any term loan during the year.
(xvii) 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
investments.
(xviii) During the year, 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.
(xix) According to the information and explanations given to us, the
company has not issued any debentures during the year.
(xx) The company has not raised any money by way of public issue during
the year.
(xxi) To the best of our knowledge and belief and according to the
information and explanation given to us, no fraud on or by the company
was noticed or reported during the year.
For KANTILAL PATEL & CO.,
Chartered Accountants
Firm Regn. No. 104744W
Place : Ahmedabad Mayank S. Shah
Date : May 25,2013 Partner
Membership No.: 44922
