Untitled - Bharat Petroleum

AUDITORS’ REPORT ON CONSOLIDATED FINANCIAL STATEMENTS
The Board of Directors
Bharat Petroleum Corporation Ltd.
1. We have examined the attached Consolidated Balance Sheet of Bharat Petroleum Corporation Limited (the Company),
its subsidiaries and its joint ventures as at 31 st March, 2006 and also the Consolidated Profit and Loss Account and the
Consolidated Cash Flow Statement for the year ended on that date annexed thereto. These consolidated financial
statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these
consolidated financial statements based on our examination.
2. We did not audit the financials statements of the Company’s Subsidiary and seven joint ventures, whose financial
statements in the aggregate, reflect total assets of Rs.38,713.15 million (net) as at 31 st March, 2006 and total revenues
of Rs.61,983.32 million for the year ended on that date. The financial statements and other information of the subsidiary
company and joint ventures have been audited by other auditors and we have relied upon such audited financial
statements for the purpose of our examination of the consolidated financial statements. The reports on these audited
financial statements have been furnished to us and our opinion, in so far as it relates to the amounts included in respect
of the Subsidiary Company and in respect of the interests in these joint ventures, is based solely on the reports of the
other auditors.
3. We conducted our audit in accordance with the generally accepted auditing standards in India. These standards require
that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are prepared,
in all material respects, in accordance with an identified financial reporting framework and 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 statements presentation. We believe that our audit provides
a reasonable basis for our opinion.
4. We report that the consolidated financial statements have been prepared by the Company in accordance with the
requirements of Accounting Standard (AS-21) on “Consolidated Financial Statements” and Accounting Standard (AS-
27) on “Financial Reporting of Interests in Joint Ventures”, issued by the Institute of Chartered Accountants of India and
on the basis of the separate audited financial statements of Bharat Petroleum Corporation Limited, its subsidiary and
joint ventures included in the Consolidated Financial Statements.
5. On the basis of the information and explanations given to us and on consideration of the separate audit reports on
individual audited financial statements of the Company, its subsidiary and joint ventures, in our opinion the consolidated
financial statements together with the notes thereon and attached thereto give a true and fair view in conformity with the
accounting principles generally accepted in India:-
(i)
in the case of the Consolidated Balance Sheet, of the consolidated state of affairs of Bharat Petroleum Corporation
Limited, its subsidiary and its interests in joint ventures as at 31 st March, 2006;
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