We have audited the accompanying financial statements of Gita Renewable
Energy Limited (''the Company''), which comprise the balance sheet as at
31 March 2015, the statement of profit and loss and the cash fiow
statement for the year then ended, and a summary of significant
account- ing 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 and presentation of these finan- cial 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 principles 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 the assets of the
Company and for preventing and detecting frauds and other
irregularities; selec- tion and application of appropriate accounting
policies; making judgements 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
misstatement, whether due to fraud or error.
Our responsibility is to express an opinion on these financial
statements 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 be included in the audit report under the
provisions of the Act and the Rules made thereunder.
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
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company''s preparation of the financial statements that give a
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, of the state of affairs of the Company as
at 31stMarch 2015 and its Loss and its cash fIows for the year ended on
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 explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
(b) In our opinion proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
(c) The balance sheet, the statement of profIt and loss and the cash
fIow statement dealt with by this Report are in agreement with the
books of account;
(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 31 March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 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 explanations given to us:
i. the Company has, in accordance with the generally accepted
accounting practice, disclosed the impact of pending litigations on its
financial position in its financial statements;
ii. the Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses under the applicable law or accounting standards.
Annexure to the Independent Auditors'' Report
The Annexure referred to in our Independent Auditors'' Report to the
members of the Company on the financial statements of Gita Renewable
Energy Limited for the year ended 31 March 2015, we report that:
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of Fixed
(b) As explained to us, all the Fixed Assets have been physically
verified by the management at reasonable intervals during the year.
According to the information and explanations given to us, no material
discrepancies were noticed on such verification. In our opinion, this
periodicity of physical verification is reasonable having regard to the
size of the Company and the nature of its assets.
(ii) (a) The Company does not have tangible Inventory. Accordingly the
provisions of to Clause 3(ii) of the order are not applicable
(iii) (a) As per the information and explanation given to us and as per
the records produced 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, 2013
(''the Act'') and accordingly, the provisions of clause (iii) of paragraph
3 of the Order are not applicable to the company.
(iv) In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control system
commensurate with the size of the Company and the nature of its
business with regard to purchase of Inventory and fixed assets and for
the sale of goods and services. During the course of the audit, we have
not observed any continuing failure to correct major weaknesses in such
internal control system.
(v) The Company has not accepted any deposits from the public.
(vi) We have broadly reviewed the books of account maintained by the
company in respect the products pursuant to the rule made by the
Central Government of India regarding the maintenance of cost records
and we are of the opinion that, prima facie, the prescribed account and
records have been made and maintained. We have not, however, made a
detailed examination of records with a view to determine whether they
are accurate or complete.
(vii) (a) The Company is regular in depositing undisputed statutory dues
including Provident Fund, Employees'' State Insurance, Income Tax, Sales
Tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Value Added
Tax, Cess and other statutory dues with the appropriate authorities,
wherever applicable and no dues are pending for a period of more than
six months from the date they become payable.
(b) According to the information and explanations given to us, there
are no material dues of sales tax, income tax, customs duty, wealth
tax, service tax, excise duty, vat, cess and other material statutory
dues as applicable, which have not been deposited with the appropriate
authorities on account of any dispute.
(c) According to the information and explanations given to us there
were no amounts which were required to be transferred to the investor
education and protection fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made there
(viii) The Company has no accumulated losses at the end of the
financial year and has not incurred cash losses during the financial
year ended on 31.03.2015 and in the immediately preceding fi financial
(ix) The Company has not defaulted in the repayment of dues to banks.
The Company has no borrowings from fi financial institution and has not
(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 Banks or Financial Institutions the terms and conditions
whereof are prejudicial to the interest of the Company.
(xi) In our opinion, and according to the information and explanation
given to us, the term loans have been applied for the purposes for
which they were obtained.
(xii) According to the information and explanations given to us, no
material fraud on or by the Company has been noticed or reported during
the course of our audit.
For CHATURVEDI & COMPANY
Membership No.: 217119