1. We have audited the attached Balance Sheet of NOCIL Limited (the
Company) as at 31 March 2012, the Statement of Profit and Loss and the
Cash Flow Statement of the Company for the year ended on that date,
both annexed thereto. These financial statements are the responsibility
of the Company''s management. Our responsibility is to express an
opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with the 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 misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the ac- counting principles used and the 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 our opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003 (CARO)
issued by the Central Government 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
Order.
4. Further to our comments in the Annexure referred to in para- graph
3 above, we report as follows :
(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 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
those books;
(c) the Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
(d) in our opinion, the Balance Sheet, the Statement of Prof- it and
Loss and the Cash Flow Statement dealt with by this report are in
compliance with the Accounting Standards referred to in sub - section
(3C) of section 211 of the Companies Act, 1956.
(e) in our opinion and to the best of our information and according to
the 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
generally accepted in India:
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31 March 2012;
(ii) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and
(iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5. On the basis of the written representations received from the Di-
rectors as on 31 March 2012 and taken on record by the Board of
Directors, none of the Directors are disqualified as on 31 March 2012
from being appointed as a Director in terms of clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956.
Annexure to the Auditors'' report
(Referred to in paragraph 3 of our report of even date)
1. Having regard to the nature of the Company''s business/activities/
result, clauses (i-c), (iii), (viii), (x), (xii), (xiii), (xiv), (xv),
(xviii), (xix) and (xx) of CARO are not applicable to the Company.
2. In respect of its fixed assets:
a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) Some of the fixed assets were physically verified during the year by
the management in accordance with a programme of verification, which
in our opinion provides for physical verification of all the fixed assets
at reasonable intervals. According to the information and explanations
given to us, no material discrepancies were noticed on such
verification.
3. In respect of its inventories:
a) As explained to us, inventories were physically verified during the
year by the management at reasonable intervals, except for inventories
lying with third parties where confirmations of inventories held by such
third parties have been received.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and no material discrepancies were noticed on physical
verification.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the Company and the nature of its business for the
purchase of inventory and fixed assets and for the sale of goods. During
the course of our audit we have not observed any major weaknesses in
such internal controls.
5. In respect of contracts or arrangements entered in the register
maintained in pursuance of section 301 of the Companies Act, 1956 and
according to the information and explanations given to us:
a) The particulars of the contracts or arrangements referred to in
section 301 that needed to be entered into the register, maintained
under the said section, have been so entered.
b) Where each of such transaction is in excess of Rs.5 lacs in respect of
any party, the transactions have been made at prices which are prima
facie reasonable having regard to the prevailing market prices at the
relevant time.
6. According to the information and explanations given to us, the
Company has not accepted any deposit from the public during the year.
In respect of unclaimed deposits, the Company has complied with the
provisions of Sections 58A & 58AA or any other relevant provisions of
the Companies Act, 1956.
7. In our opinion, the internal audit function carried out during the
year by a firm of Chartered Accountants appointed by the Management has
been commensurate with the size of the Company and the nature of its
business.
8. According to the information and explanations given to us in
respect of its statutory dues:
a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Employees State Insurance, Income-tax,
Wealth-tax, Sales-tax, Ser- vice tax, Custom duty, Excise duty, Cess,
Investor Education and Protection Fund and any other material
statutory dues applicable to it, with the appropriate authorities.
b) There were no undisputed amounts payable in respect of Provident
Fund, Employees State Insurance, Income- tax, Wealth-tax, Sales-tax,
Service tax, Custom duty, Excise duty, Cess, Investor Education and
Protection Fund and any other material statutory dues in arrears as at
31 March 2012 for a period of more than six months from the date they
became payable.
c) Details of dues of Income Tax, Sales Tax, Custom Duty and Excise
Duty which have not been deposited as on 31 March 2012, on account of
disputes are given below:
Name of Statute Nature of the dues Amount
Income Tax Act, 1961 Income Tax 233.79
25.63
2,555.11
2.34
Central Sales Tax Act, 1956 Sales Tax 127.40
and various State Sales Tax 86.88
Acts 174.64
9.82
371.15
24.98
The Custom Act,1962 Custom Duty 718.77
The Central Excise Act,1944 Excise Duty 62.33
58.83
8.44
23.51
Name of Statute Period to which the Forum where dispute is pending
amount relates
Income Tax Act,
1961 1985-86 Assistant Commissioner
1990-91 Assistant Commissioner
2003-2004 Commissioner Appeals
2008-09 Commissioner Appeals
Central Sales Tax
Act,1956 1986-88, 1998-2000,
2001-2005 Sales Tax Officer
1986-87, 1988-89,
1992-98, 2000-2005 Assistant Commissioner Appeals
1980-83, 1988-90,
1995-96, 1999-2002 Deputy Commissioner Appeals
2003 - 2004 Joint Commissioner Appeals
1994-1999, 2003-04 Appellate Tribunal
1990-91, 1993-95 High Court
The Custom Act
1962 1998 to 2000 & 2004 CESTAT
1994 - 1996 Additional Commissioner Appeals
1991-1999, 2002 Commissioner Appeals
1994 - 1998 Deputy Commissioner
1992, 1997, 2008 CESTAT
9. In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues
to financial institutions and banks.
10. To the best of our knowledge and belief and according to the
information and explanations given to us, in our opinion, term loans
availed during the year by the Company were, prima facie, applied by
the Company during the year for the purposes for which the loans were
obtained.
11. In our opinion and according to the information and explanations
given to us and on an overall examination of the Balance Sheet, we
report that funds raised on short-term basis have not been used during
the year for long-term investment.
12. To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the Company
was noticed or reported during the year.
For deloitte Haskins & Sells
Chartered Accountants
(Registration No. 117366W)
P. B. Pardiwalla
Place : Mumbai Partner
Date : 30 May 2012 Membership No. 40005
