Afcon Book.indd - Afcons Infrastructure Ltd.

SSS ELECTRICALS (INDIA) PRIVATE LIMITED5. Related Party Transactions:Based on the records verified and the audit procedures applied, and according to the information and explanations provided by themanagement, there are no contracts or arrangements referred to in section 301 of the Companies Act, 1956, that need to be entered in theRegister required to be maintained under that section.6. Public Deposits:The company has not accepted any deposits from the public to which the provisions of section 58A, 58AA or any other relevant provisions ofthe Companies Act, 1956 and the Rules framed there under are applicable.7. Internal Audit System:In my opinion, the Company has an internal audit system commensurate with the size of the Company and nature of its business8. Maintenance of Cost Records:The Central Government has not prescribed maintenance of cost records under section 209 (1) (d) of the Companies Act, 19569. Statutory Dues:a. In my opinion, based on the records verified and the information and explanations given by the management, the Company isgenerally regular in depositing with the appropriate authorities, undisputed statutory dues including Provident Fund, Employees StateInsurance, Income Tax, Sales Tax, Service Tax, Cess, Value Added Tax, Fringe Benefit Tax and any other material dues applicable to itduring the year.b. According to the information and explanation given to me, there are no such statutory dues, which have not been deposited on accountof any dispute with any appropriate authority.10. Accumulated Losses:The Company has no accumulated losses as at March 31, 2010 and has not incurred any cash losses during the financial year ended on thatdate or in the immediately preceding financial year.11. Based on the records verified, and according to the information and explanations given by the management, the Company has not takenany loan from banks or financial institutions and has neither issued any debentures during the year and hence, the question of default inrepayment of dues does not arise.12. The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.13. According to the information and explanations given, the Company has not given any guarantee for loans taken by others from banks andfinancial institutions.14. As per the records verified and the information and explanations provided, the Company has not taken any term loan during the year.15. In my opinion and according to the information and explanations given by the management, and on an overall examination of the BalanceSheet of the Company, funds raised on short-term basis have, prima facie, not been utilised during the year for long-term investments.16. During the year, the Company has not made any preferential allotment of shares to parties and companies covered in the Register maintainedunder section 301 of the Companies Act, 1956.17. During the year, there are no debentures issued and outstanding as on March 31, 201018. During the year, the Company has not raised any money by way of public issue(s).19. During the course of my examination of the books and records of the Company carried out in accordance with the generally accepted auditingpractices in India, and according to the information and explanations provided by the management, I have neither come across any instanceof fraud on or by the Company noticed or reported during the year nor have I been informed of such a case by the management.20. As per information and explanations given to me & taking into consideration, the nature of the Company’s business, clauses (xiii) and (xiv), ofthe paragraph 4 of ‘the Order’ are not applicable and therefore not commented upon.Place: MumbaiDate: 17 th June, 2010J.C.BhattChartered Accountant50