1. We have audited the accompanying financial statements of Polytex
India Limited (the Company), which comprise the Balance Sheet as at
March 31,2015, the Statement of Profit and Loss and the Cash Flow
Statement for the year ended 31st March,2015 and a Summary of
Significant Accounting Policies and other Explanatory information.
Management''s Responsibility for the Financial Statements
2. The Company''s Board of Directors is responsible for the matters
stated in section 134(5) of the Companies Act, 2013 with respect to 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 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; selection and application of
appropriate accounting policies; making judgments and estimates that
are reasonable and prudent; and design, implementation and maintenance
of 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.
Auditors Responsibility
3. 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 there under. 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 to perform the audit to obtain reasonable
assurance about whether the financial statements are free from material
misstatement.
4. 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 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 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.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion on the
financial statements.
Opinion
6. 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, 2015.
b) In the case of the Statement of Profit and Loss, of the profit for
the year ended on that date.
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
7. As required by Companies (Auditors Report) Order 2015(the Order)
as amended and issued by the Central Government of India in terms of
Sub (11) of Section 143 of the Companies Act, 2013, we give in the
Annexure a statement on the matters specified in paragraphs 3 and 4 of
the Order, to the extent applicable.
8. 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
purpose 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 and Statement of Profit and Loss and Cash Flow
Statement dealt with the by the Report are in agreement with the books
of account;
d) In our opinion, the Balance Sheet and Statement of Profit and Loss
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 written representations received from the directors
as on March 31,2015 and taken on record by the Board of Directors, none
of the directors is disqualified as on March 31,2015, from being
appointed as a director in terms of Section 164(2) of the Companies
Act, 2013.
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 disclosed the impact of pending litigations on its
financial position in its financial statements as of March 31,2015.
ii) The Company has made provisions, as required under applicable law
or accounting standards, for material foreseeable losses, if any and as
required on long-term contracts including derivative contracts.
iii) There has been no delay in transferring amounts, required to be
transferred to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO INDEPENDENT AUDITOR''S REPORT
Referred to in paragraph under Report on Other Legal and Regulatory
Requirements section of our Report of even date.
I. a) The Company has maintained the proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
b) Physical verification of Fixed Assets is carried out by the
management with a planned programme of verification, which in our
opinion, provides for physical verification of all Fixed Assets at
reasonable intervals. The physically verified assets have been compared
with the book records and discrepancies noticed on such verification
were not material and have been properly dealt with in books of
accounts.
c) The Company has not disposed off substantial part of its fixed
assets during the year.
ii. The Company has no inventory during the year as it is Service
Company. Hence this clause is not applicable and as such there are no
comments on sub clauses (a) to (c).
iii. a) In our opinion and according to the information and explanations
given to us, the Company has neither granted nor taken any Loan, secured
or unsecured, to or from Companies, Firms or other parties covered in
the register maintained under Section 189 of the Companies Act,2013 .
has not granted or taken any loan, secured or
unsecured from companies, firms or other parties covered in the
register maintained under section 189 of the Act consequently, sub
clause(a) and (b) are not applicable to the Company for the year under
report.
iv. In our opinion and according to the information and explanations
given to us, the internal control procedure of the Company are
commensurate with the size of the Company and the nature of its
business, for the purchase of Fixed Assets and for the sale of services
and we have neither come across nor have we been informed of any major
weakness in internal control procedures.
v. In our opinion and according to the information and explanations
given to us, the Company has not accepted deposits from the public
during the year. Therefore, the provisions of clause 3(v) of the Order
are not applicable to the Company.
vi. The provisions of clause 3(vi) of the order are not applicable to
the Company as the respective entities are not covered by the
Companies(Cost Records and Audit) Rules,2014.
vii. (a) In our opinion and according to the information and
explanations given to us, the Company is generally regular in depositing
undisputed statutory dues including provident fund, investor education
and protection fund, employees'' State insurance, Income-Tax, Sales Tax,
Wealth-Tax, Customs Duty, Excise Duty, cess and other statutory dues, if
any, with the appropriate authorities as at 31st March, 2015 for a
period of more than six months from the date they become payable.
(b) As explained to us, there are no disputed dues relating to income
tax, customs duty, wealth tax and cess, which have not been deposited
as at 31st March, 2015.
(c) According to the information and explanations given to us, the
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 there under has been
transferred to such fund within time.
viii. The Company does not have accumulated losses as at 31st March,
2015, and also has not incurred any cash losses during the current
financial year ended on 31st March, 2015.
ix. In our opinion and According to the information and explanations
given to us, the Company has not defaulted in repayment of its dues to
financial institutions, banks or debenture holders during the year.
Therefore, the provisions of clause 3(ix) of the Order are not
applicable to the Company.
x. As explained to us, the Company has not given any guarantee for
loans taken by others from bank or financial institutions, the terms
and conditions whereof, are prejudicial to the interest of the Company.
xi. The Company has not taken any Loans from the Bank or any financial
institutions during the year & therefore application of the same do not
arise.
xii. Based on the Audit Procedures performed and as per the information
and explanations given to us by the management, we report that no fraud
on or by the Company has been reported or noticed during the course of
our audit
For R Sundaresan Aiyar & Co
Chartered Accountants
Firm Reg No: 110564W
R Sundaresan Aiyar
Proprietor
M No: 043946
Mumbai, 12 th May, 2015
