1. We have audited the attached Balance Sheet of M/S. MAYUR UNIQUOTERS
LIMITED, JAIPUR, as at 31st March, 2010 the Profit and Loss Account and
also the Cash Flow Statement for the year ended on that date annexed
thereto. These financial statements are the responsibility of the
Companys management. Our responsibility is to express an opinion on
these financial statements based on our audit.
2. 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 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 financial statement
presentation. We believe that our audit provides a reasonable basis for
3. As required by the Companies (Auditors 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 a
statement on the matters specified in paragraphs 4 and 5 of the said
4. Further to our comments in the Annexure referred to above, we
(a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
(b) In our opinion, proper books of accounts as required by law have
been kept by the company so far as appears from ourexamination of those
(c) The Balance Sheet, Profit and 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 and Loss Account and Cash
Flow Statement dealt with by this report comply with the Accounting
Standards referred to in Sub-Section (3C) of Section 211 of the
Companies Act, 1956, except otherwise stated;
(e) On the basis of written representations received from the
directors, as on 31st March, 2010, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2010 from being appointed as a director in terms of clause
(g) of sub-section (1) of section 274 of the Companies Act 1956;
(f) In our opinion and to the best of our information and according to
explanations given to us, the said accounts give the information
required by the Companies Act, 1956 in the manner so required, and give
a true and fair view in conformity with the accounting principles gene
rally accepted in India,
(i) in the case of Balance Sheet, of the state of the affairs of the
company as at 31st March, 2010.
(ii) In the case of Profit and Loss Account, of the Prof it of the
Company for the year ended on that date, and
(iii) in the case of Cash Flow Statement, of the Cash Flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
For the Year Ended on 31st March, 2010 Referred to in our Report of
1. (a) The Company has maintained proper records showing full
particulars, including quantitative details
and situation of fixed assets.
(b) Fixed Assets have been physically verified by the management during
the year at reasonable intervals. No material discrepancies were
noticed on such verification.
(c) Substantial part of fixed assets have not been disposed off during
2. (a) The inventory of the Company, has been physically verified by
the Management during the year. In our
opinion,thefrequency of verification is reasonable.
(b) In our opinion, the procedures of physical verification of
Inventory followed by the Management are reasonable and adequate in
relation to the size of the Company and nature of its business.
(c) The Company has maintained proper records of inventory and the
discrepancies noticed between the physical stocks and the books record
were not material.
3. (a) The Company has not granted any loans, secured or unsecured to
companies, firms or other parties
covered in the register maintained under section 301 of the Companies
Act, 1956. Hence requirement of clause 3(b), 3(c)and 3(d) is not
applicable. (e) The company has not taken any loans, secured or
unsecured from companies firm or other parties covered in the register
maintained under section 301 of the Act. Hence requirement of clause
3(f) and 3(g) is not applicable.
4. There are adequate internal control procedure commensurate with the
size of the Company and the nature of its business with regard to the
purchases of inventories, fixed assets and for the sale of goods. We
have not observed any continuingfailure to correct major weakness in
internal control system.
5. (a) According to the information and explanations given to us, we
are of the opinion that the transactions
that need to be entered into 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 explanations given to us, the
transactions made in pursuance of contracts or arrangements entered in
the register maintained under section 301 of the Companies Act 1956 and
exceeding the value of rupees five lakhs in respect of any party during
the year have been made at prices which are reasonable having regard to
prevailing market prices at the relevanttime.
6. As informed to us, the Company has not accepted any deposits under
the provisions of Section 58A and 58AA of the Act and the rules framed
7. In our opinion, the Companys present internal audit system is
commensurate with its size and nature of its business.
8. As informed to us, Maintenance of cost records has not been
prescribed by the Central Government under Section 209(l)(d) of the
Companies Act 1956, for the products of the Company.
9. (a) According to the books and records as produced and examined by
us in accordance with generally
accepted auditing practices in India and also based on Management
representations, undisputed statutory dues including Provident Fund,
Employees state Insurance Dues, Investor Education and Protection
Fund, Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom Duty,
Excise Duty, Cess and Other material Statutory dues have generally been
regularly deposited, by the Company during the year with the
appropriateauthorities in India.
(b) As at 31st March, 2010, there have been no disputed dues which have
not been deposited with the respective authorities in respect of Income
Tax, Wealth Tax, Service Tax, Sales Tax, Custom Tax, Excise Duty and
Cess except as given below : Name of StatuteNature of DuesAmount (Rs.
In l_acs)Form where dispute is pendingTextile Committee (Cess) Rules,
1975Textile Committee Cess7.69Textile Cess Appellate Tribunal,Mumbai
10. The Company has neither accumulated losses as at 31st March, 2010,
nor its has incurred any cash loss either during the financial year
ended on that date or in the immediately preceding financial year.
11. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of its dues to
any financial institution or bank or to debenture holders during the
12. The Company has not granted any loans or advances on the basis of
security by way of pledge of shares, debenturesand othersecurities.
13. Considering the nature of activities carried on by the Company
during the year, the provisions of any special statute applicable to
chit fund / nidhi / mutual benefit fund/societies are not applicable to
14. The Company has not dealt or traded in shares, securities,
debentures or other investments during the year.
15. TheCompanyhasnotgivenguaranteesforloanstaken by others from
16. The Company has taken term loan from Banks for Rs. 48.85 lacs
during the year and the same was applied forthe purposeforwhich it was
17. On the basis of review of utilization of funds, which is based on
overall examination of the balance sheet of the company, related
information as made available to us and as represented to us by the
Management, funds raised on short -term basis have not been used for
long -term investment.
18. The Company has not made preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956.
19. The Company has not issued any debentures during the year.
20. The Company has not raised any money by public issue during the
21. As per the information and explanations given to us and on the
basis of examination of records, no fraud on or by the Company was
noticed or reported during the year.
For MADHUKAR CARC & COMPANY
Date: 29th May, 2010