AMC Financial - 2000 - 2001 - HDFC Mutual Fund

ANNEXURE TO THE AUDITORS’ REPORT
HDFC ASSET MANAGEMENT COMPANY LIMITED
Referred to in paragraph 1 of our
report of even date to the members of
HDFC ASSET MANAGEMENT
COMPANY LIMITED
1. The company has maintained
proper records to show full particulars,
including quantitative details and
situation of its fixed assets. The fixed
assets of the company have been
physically verified by the management
during the year and no discrepancies
between the book records and the
physical inventory have been noticed.
2. None of the fixed assets have been
revalued during the year.
3. In respect of loans and advances in
the nature of loans given to other
companies and employees, recovery of
principal amounts is regular.
4. As explained to us, the existing
internal control procedure with regard
to purchase of assets which is exercised
under personal supervision of the
directors of the company, is
commensurate with the size of the
company and nature of its business.
5. There are no transactions of sale
of services made in pursuance of
contracts or arrangements entered in
the register maintained under section
301 and aggregating during the year
to Rs. 50,000 or more in respect of
each party.
6. The company has not accepted any
deposit from ‘public’ attracting the
provisions of Section 58A of the
Companies Act, 1956 and the
Companies (Acceptance of Deposits)
Rules, 1975.
7. The company has an adequate
internal audit system, commensurate
with the size of the company and
nature of its business.
8. We are informed that no cost
records are required to be maintained
by the company under Section
209(1)(d) of the Companies Act, 1956.
9. The company has been regular in
depositing provident fund dues with
the appropriate authorities.
10. According to the information and
explanations given to us, no undisputed
amounts payable in respect of
income-tax and wealth-tax were
outstanding as at March 31, 2001 for a
period of more than six months from
the date they became payable.
11. According to the information and
explanations given to us, no personal
expenses of directors or employees have
been charged to revenue account, other
than those payable under contractual
obligations or in accordance with the
generally accepted business practices.
12. The company is not a ‘sick
industrial company’ within the
meaning of clause (O) of sub-section
(1) of Section 3 of the Sick Industrial
Companies (Special Provisions) Act,
1985.
MUMBAI
April 17, 2001.
For HARIBHAKTI & CO.
Chartered Accountants
CHETAN DESAI
Partner
Second Annual Report 2000-01
113