Auditor Report of Anup Malleables Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of M/s. ANUP MALLEABLE LIMITED, which comprise the Balance Sheet as at 31st March, 2015, the Statement of Profit and Loss and Cosh Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5( of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statement that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with 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 record in accordance with the provisions of the Act for safeguarding of 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 the design, implementation and maintenance of adequate internal financial control 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 arc free from material misstatement, whether due to fraud or error.

Auditors' Responsibility

Our responsibility is lo 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 thereunder. We conducted our audit in accordance with the Standards on Auditing, issued by the Institute of Chartered Accountants of India, ns specified under Section 143(10( of the Act. Those Standards require that we comply with the ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements arc free from material misstatement.

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 baud or error. In making those risk assessments, the auditor considers the internal financial control relevant to the Company's preparation and fair presentation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstance but not for the purpose of expressing an opinion on whether the company has in place and adequate internal financial controls system over financial reporting and the 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. 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

In our opinion and lo the best of our in formal ion 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 of the state of affairs of the Company as at 31st March, 2015, its profit and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order, 2015 ("the Order") issued by the Central Government of India in terms of sub-section (11) of Section 143 of the Act, we give in the Annexure statement on the matters specified in paragraphs 3 and 4 of the Order.

2. 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 out 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 it appears from our examination of those books;

(c) The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

(d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, of the Companies (Accounts) Rules, 2014,

(e) On the basis of written representations received from the directors as on 31st March, 2015 and taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2015 from being appointed as a director in terms of section 164(2) of the Act;

(f) With respect to the other matters to he included in the Auditor's Report in accordance with Rule it of the Companies (Audit and Auditors) Rules, 2014 in our opinion and to the best of our information and according to the explorations given to us ;

i) We have been informed that the company does not have any pending litigation which would impact its financial position.

ii) The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.

iii) There are no amounts which arc required to be transferred to the Investor Education and Protection Fund by the Company.

For ASHOK KEDIA & COMPANY Chartered Accountants Firm Regn. No.323330E

A.A. K. KEDIA PARTNER M. No 050510 4, Gangadhar Babu Lane, Kolkata -700 012

Dated the 30th day of May, 2015.

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Mar 31, 2014

We have audited the accompanying financial statements of M/s. Anup Malleables Limited ("the Company"), which comprise the Balance Sheet as at 31st March, 2014, the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

The Company''s Management is responsible for 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 Standards notified under the Companies Act, 1956 ("the Act") read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act, 2013 and in accordance with the accounting principles generally accepted in India. This responsibility includes the design, implementation and maintenance of internal control 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''

- Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards

- require that we comply with the ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

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 the internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company''s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the Management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our pud it opinion.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid 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 ease of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2014;

(b) in the case of the Statement of Profit and Loss, of the Profit of the Company for the year ended on that date: and

(c) in the case of the Cash Flow Statement, of the cash flows of the company for the year ended on that date,

Report on Other Legal and Regulatory Requirements '' .

1. As required by the Companies (Auditor''s Report) Order, 2003("the Order") issued by the Central Government of India in terms of Section 227(4A) of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by Section 227(3) of the Act, we report that:

(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 hooks.

(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 Profit and Loss, and the Cash Flow Statement comply with the Accounting Standards notified under the Act read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act, 2013.

(e) On the basis of the written representations received from the directors as on 31st March, 2014 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2014 from being appointed as a director in terms of section 274(l)(g) of the Act.

Annexure Referred to In paragraph 3 of our report of even date.

(i) (a) The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets

(b) All the fixed assets have not been physically verified by the management during the year but''there is''a regular programme of verification which, iu our opinion, is reasonable having regard to the size of the company and the nature of its assets. No material discrepancies were noticed on such verification.

(c) In our opinion, the company has not disposed off any fixed assets during die year and the going concern status of the company is not effected.

(ii) (a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

(b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) The company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stock and the book records were not material.

(iii) (a) The Company has not given any loans during the year, sub-clause (b), (c) and (d) are not applicable.

(b) The company had taken loan from four parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was Rs. 4,25,00,000/- anfl the year-ended balance of loans taken from such parties was Rs.30,00,000/-.

(c) In our opinion, the rate of interest and other terms. & conditions on which loan have been taken from parties listed in the register maintained under section 301 of the Companies Act, 1956 are not pritna facie, prejudicial to the interest of the company.

(d) Payment of the principal amount and interest are regular.

(iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

(v) (a) According to information and explanations given to us, we are of the opinion that the transactions that need to be entered in the register maintained u/s 301 of the Companies Act, 1956 have so entered.

(b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956.and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices phich are reasonable having regard to prevailing market prices at the relevant time.

(vi) The Company has not accepted any deposit from public hence the provisions of section 58A and 58AA of the Companies Act, 1956 are not applicable.

(vii) In our opinion, the company has an internal audit system commensurate with the size and nature of its business. 1

(viii) We have broadly reviewed the books of accounts maintained by the company in respect of products where, pursuant to the rules made by the Central Government of India, the maintenance of cost records has been prescribed under the clause (d) of sub-section (1) of section 209 of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.

(ix) (a) According to the information and explanations given to us and examination of records, the Company is generally regular in deposited statutory dues including provident fund, employees'' state insurance, income-tax, sales tax, service tax, wealth tax, custom duty, excise duty and cess and any other statutory dues with the appropriate authorities. However,provident fund for the year has not been paid by the company.

(b) According to the explanation and information given to us, no un disputed amount payable in rejpeet of Income Tax, wealth tax, sales tax, service tax, custom duty, excise duty and cess and any other statutory dues were outstanding for than six months as at 31 March, 2014 except provident fund amounting to Rs 305392.

(c) According to the record of the company there are no dues outstanding on account of sales tax, income tax, custom duty, wealth tax, excise duty, cess on account of any dispute.

(x) The company does not have accumulated losses as at the end of financial year. The company has not incurred cash losses during the financial year covered by our audit and also in the immediately preceding financial year.

(xi) In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.

(xii) We are of the opinion that the company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

(xiii) In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund/soeiety. Therefore, the provisions of clause 4(xiii) of the Companies (Auditor''s Report) Order, 2003 (as amended) are not applicable to the company.

(xiv) In our opinion, the company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditor''s Report) Order, 2003 (as ampnded) are not applicable to the company.

(xv) In our opinion, the term and conditions on which the company has given guarantees for loans taken by others from banks or financial institutions are not prejudicial to the interest of the company.

(xvi) In our opinion, the term loans have been applied for the purpose for which they were raised.

(xvii) According to the information given to us and on and over all examination of the Balance Sheet of the company, we report that no funds raised on short-term basis have been used for long-term investments.

(xviii) According to the information and explanations given to us, the company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act, 1956.

(xix) According to the information and explanations given to us, the company has not issued any secured debentures during the period covered by" our ''report Accordingly provisions''of Clause 4 (xix) of the Companies (Auditors Report) Order 2003 (as amended) are not applicable to the company.

(xx) Dining the period covered by our audit report, the company has not raised any money by public issues.

(xxi) According to the information and explanations given to us, no fraud on or by the company has been noticed ox reported during the course of our audit.

For ASHOK KEDIA & COMPANY CHARTERED ACCOUNTANTS Firm Regn. No. 323330E -

4. Gangadhar Babu Lane Kolkata - 700 012 / A.A K- KEDIA Dated the 29,th day of May, 2014. PARTNER MN0 050510

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Mar 31, 2012

We have audited the attached Balance Sheet of M/s Anup Malleables Limited as at 31st March, 2012 and also the Statement of Profit and Loss and Cash Flow Statement for the year ended on that date 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.

We conducted our audit in accordance with 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 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 statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditor's Report) Order, 2003 (as amended) issued by the Central Government of India 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.

Further to our comments in the Annexure referred to above, we report that:

(i) 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;

(ii) 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;

(iii) The Balance Sheet, Statement of Profit and Loss and cash flow statement dealt with by this report are in agreement with the books of account;

(iv) In our opinion, the Balance Sheet, Statement of Profit and Loss and cash flow statement dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956;

(v) On the basis of written representations received from the directors, as on 31st March, 2012, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st 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;

(vi) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with Notes to the account in Schedule No. 19 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:

(a) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2012; and

(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 Cash Flow Statement of the Cash flow's of the company for the year ended on that date.

Annexure

Referred to in paragraph 3 of our report of even date.

(i) (a) The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

(b) All the fixed assets have not been physically verified by the management during the year but there is a regular programme of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. No material discrepancies were noticed on such verification.

(c) In our opinion, the company has not disposed off any fixed assets during the year and the going concern status of the company is not effected.

(ii) (a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

(b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) The company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stock and the book records were not material.

(iii) (a) The Company has not given any loans during the year, sub-clause (b), (c) and (d) are not applicable.

(b) The company had taken loan from four parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was 2,04,36,562/- and the year-ended balance of loans taken from such parties was Rs. Nil

(c) In our opinion, the rate of interest and other terms & conditions on which loan have been taken from parties listed in the register maintained under section 301 of the Companies Act, 1956 are not prima facie, prejudicial to the interest of the company

(d) Payment of the principal amount and interest are regular.

(iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

(v) (a) According to information and explanations given to us, we are of the opinion that the transactions that need to be entered in the register maintained u/s 301 of the Companies Act, 1956 have so entered.

(b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956.and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market prices at the relevant time. However no quotation were shown to us.

(vi) The Company has not accepted any deposit from public hence the provisions of section 58A and 58AA of the Companies Act, 1956 are not applicable.

(vii) In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

(viii) We have broadly reviewed the books of accounts maintained by the company in respect of products where, pursuant to the rules made by the Central Government of India, the maintenance of cost records has been prescribed under the clause (d) of sub section (1) of section 209 of the Act, are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.

(ix) (a) According to the information and explanations given to us and examination of records, the Company is generally regular in deposited statutory dues including provident fund,, employees' state insurance, income-tax, sales tax, service tax, wealth tax, custom duty, excise duty and cess and any other statutory dues with the appropriate authorities. However there is delay in few cases.

(b) According to the explanation and information given to us, no un disputed amount payable in respect of Income Tax, wealth tax, sales tax, service tax, custom duty, excise duty and cess and any other statutory dues were outstanding for than six months as at 31 March, 2012.

(c) According to the record of the company there are no dues outstanding on account of sales tax, income tax, custom duty, wealth tax, excise duty, cess on account of any dispute, other than the followings :-

Nature of Nature of Amount Period to which Statute Dues (Rs.) the amount relates

Central Sales Tax Assement 118,567/- 1993-94 on Demand

Jhrkhand S Tax Assement 565,733/- 1993-94 on Demand

Central Sales Tax Assement 478,554/- 1994-95 on Demand



Nature of Forum where Statute dispute is pending

Central Sales Tax CCT, Ranchi

Jhrkhand S Tax CCT, Ranchi

Central Sales Tax DCCT, Dhanbad

(x) The company does not have accumulated losses as at the end of financial year. The company has not incurred cash losses during the financial year covered by our audit and also in the immediately preceding financial year.

(xi) In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.

(xii) We are of the opinion that the company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

(xiii) In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditor's Report) Order, 2003 (as amended) are not applicable to the company.

(xiv) In our opinion, the company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditor's Report) Order, 2003 (as amended) are not applicable to the company.

(xv) In our opinion, the term and conditions on which the company has given guarantees for loans taken by others from banks or financial institutions are not prejudicial to the interest of the company.

(xvi) In our opinion, the term loans have been applied for the purpose for which they were raised.

(xvii) According to the information given to us and on and over all examination of the Balance Sheet of the company, we report that no funds raised on short-term basis have been used for long-term investments.

(xix) According to the information and explanations given to us, the company has not issued any secured debentures during the period covered by our report. Accordingly provisions of Clause 4(xix) of the Companies (Auditors Report) Order 2003 (as amended) are not applicable to the company.

(xx) During the period covered by our audit report, the company has not raised any money by public issues.

(xxi) According to the information and explanations given to us, no fraud on or by the company has been noticed or reported during the course of our audit.



For ASHOK KEDIA & COMPANY CHARTERED ACCOUNTANTS Regn. No. 323330E

CA. A.K. KEDIA PARTNER M. No. 050510

4, Gangadhar Babu Lane, Kolkata - 700 012.

Dated: the 5th day of September, 2012.

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Mar 31, 2011

To The Members of M/s Anup Malleables Limited as at 31st March 2011 and also the profit and Loss Account for the year ended on the date annexed there to and cash flow statement for the year ended on the date 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

We conducted our audit in accordance with auditing standards generally accepted in India .Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statement are free of material misstatement .An audit includes examining on a test basis evidence supporting the amount and disclosures in the financial statement . An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation . We believe the our audit provides a reasonable basis for our opinion

As required by the companies (Auditors report ) order 2003 (as amended 0 issued by the central Government of India in terms of sub-section (4A) of section 277 of the companies Act 1956. We enclose in the Annexure statement on the matters specified in paragraphs 4 and 5 of the said Order.

Further to our comments in the Annexure referred to above we report that

i) We have obtained all the information and explanation which to the best of our knowledge and belief were necessary for the purposes of our audit .

ii) 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

iii) The Balance sheet and profit and Loss account and cash flow statement dealt with by this report are in agreement with the books of account.

iv) In our opinion the Balance sheet and profit and Loss Account and cash flow statement dealt with by this report comply accounting standards referred to in sub-section (3C) of section 211 of the Companies Act 1956

v) On the bisis of written representation received form the directors as on 31 st March 2011 and taken on record by the Board of Directors we report that none of the directors in disqualified as on 31 st March 2011 from being appointed as a director in terms of clause (9) of sub-section (1) of section 274 of the companies Act 1956.

vi) In our opinion and to the best of our information and according to the explanation given to us the said accounts read with notes to the account in schedule No 19 give the information required by the companies Act 1956 in the manner so requited and given a truw and fair view in conformity with the accounting principles generally accepted in India

a) In the case of Balance sheet of the state of affairs of the company as at 31st March 2011 and

b) In the case of the profit and Loss Account of the proift for the year ended on that date

c) In the case of cash flow statement of the cash flows of the company for the year ended on that date Annexure referred to in paragraph 3 of our report of even date

a) The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets

b) All the fixed assets have not been physically verified by the management during the year but there is a regular programme of verification which in our opinion is reasonable having regard to the size of the company and the nature of its assets. No material discrepancies were notice on such verification

c) In our opinion the company has not disposed off any fixed assets during the year and the going concern status of the company is not effected.

ii) a) The inventory has been physically verified during the year by the management .In our opinion the frequency of verification is reasonable .

b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business

c) The company is maintaining proper records of inventory .The discrepancies notice on verification between the physical stock and the book records were no material

iii)a) The company has not given any loans during the year sub-clause (b) , (c) and (d) are not applicable

b) The company had taken loan form two parties covered in the register maintained under section 301 of the companies Act 1956 . The maximum amount involved during the year was 1.42.36.562 and the year ended balance of loans taken from such parties was rs 1.18.36.562

c)In our opinion the rate of interest and other terms & condition on which loan have been taken from parties listed in the register maintained under section under section 301 of the companies Act 1956 are not prima facie prejuducial to the interest of the company

d) Loan taken by the company is repayable on demand

iv) In our opinion and according to the information and explanations give to us there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchases of inventory fixed assets and with regard to the dale of goods and services .During the Course of our audit we have not observe and continuing failure to correct major weaknesses in internal controls

v) a) According to information and explanation given to us we are of the opinion that the transaction that neet to be entered in the register maintain us 301 of the companies Act 1956 have so entered b) In our opinion and according to the information and explanation given to us the transaction made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the companies act 1956 and exceeding that value of rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

vi) The company has not accepted any deposit from public hence the provision of section 58 A and 58AA of the companies act 1956 are not applicable.

vii) In our opinion the company has an internal audit system commensurate with the size and nature of its business.

viii) the central Government has not prescribed the maintenance of cost records under section 209 (1) (d) of the companies act 1956 for the company

ix)a) According to the information and explanations given to us and examination of records the company is generally regular in deposited statutory dues including provident fund employees state insurance, income -tax ,sales tax , service tax , wealth tax , custom duty excise duty and cess and any other statutory dues with the appropriate authorities . How ever there is delay in few cases

b) According to the explanation and information given to us no un disputed amount payable in respect of income tax , wealth tax, sales tax , service tax , custom duty , excise duty and cess and any other statutory dues were outstanding for than six months as at March 2011

c)According to the record of the company there are no dues out standing on account of sales tax , income tax, custom duty, wealth tax, excise duty , cess on account of any dispute , other than the followings

Nature of Nature of Dues Amount Priod to which Forum where Statute (Rs) the amount relates dispute is pending

Central sales tax Assement on 118,567/- 1993-94 CCT, Ranchi Demand Jhrikhand S tax Assement on 565,733/- 1993-94 CCT, Ranchi Demand

Central sales tax Assement on 478,554/- 1994-95 DCCT, Dhandbad Demand

x) The company does not have accumulated losses as at the end of financial year .The company has not incurred cash losses during the financial year covered by our audit and also in the immediately preceding financial year .

xi) In our opinion and according to the information and explanation given to us the company has not default in repayment of dues to a financial institution , bank or debenture holders

xii) We are of the opinion that the company has not grated loans and advances on the basis of security by way of pledge of shares debentures and other securities

xiii) in our opinion the company is not a chit fund or nidhi / mutual benefit fund / society . Therefore the provision of clause 4(xiii) of the companies (Auditors Report ) order 2003 (as amended ) are not applicable to the company.

xiv) In our opinion the company is not dealing in or trading in shares securities debentures and other investment Accordingly the provisions of clause 4 (xiv) of the companies (Auditors Report ) Order 2003 (as amended ) are not applicable to the company

xv) In our opinion the term and conditions on which the company has given guarantees for loans taken by other from banks or financial institution are not prejudicial to the interest of the company. xvi) In our opinion the term loans have been applied for the purpose for which they were raised .

xvii) According to the information given to us and on and over all examination of the balance sheet of the company we report that no funds raised on short -term basis have been used for long -term investments.

xviii) According to the information and explanation given to us the company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act 1956.

xix) According to the information and explanation given to us the company has not issued any secured debentures during the period covered by our report .Accordingly provisions of clause 4(xix) of the companies (Auditors Report) Order 2003 (as amended) are not applicable to the company .

xx)During the period covered by our audit the company has not raised any money by public issues

xxi) According to the information and explanation given o us no fraud on or by the company has been notice or reported during the course of our audit

For ASHOK KEDIA & COMPANY

CHARTERED ACCOUNTS

Regn .No 323330E

4 Gangadhar babu Lane KolKata - 700 012 CA.A.K.KEDIA

PARTNER

Dated the 12th day August 2011, M.No.050510

---

Mar 31, 2010

We have audited the attached Balance Sheet of M/s Anup Malleables Limited, as at 31st March, 2010 and also the Profit and Loss Account for the year ended on that date annexed thereto and Cash Flow Statement for the year ended on that date. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with 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 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 statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditors Report) Order, 2003 (as amended) issued by the Central Government of India 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.

Further to our comments in the Annexure referred to above, we report that:

(i) 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;

(ii) 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;

(iii) The Balance Sheet and Profit and Loss Account and cash flow statement dealt with by this report are in agreement with the books of account;

(iv) In our opinion, the Balance Sheet and Profit and Loss Account and cash flow statement dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956;

(v) On the basis of written representations received from the directors, as on 31st March, 2010, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March, 2010 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956;

(vi) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with Notes to the account in Schedule No. 19 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:

(a) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2010; and

(b) in the case of the Profit and Loss Account, of the Profit for the year ended on that date.

(c) In the case of Cash Flow Statement of the Cash flows of the company for the year ended on that date.

Annexure Referred to in paragraph 3 of our report of even date.

(i) (a) The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

(b) All the assets have not been physically verified by the management during the year but there is a regular programme of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. No material discrepancies were noticed on such verification.

(c) During the year, the company has not disposed off any part of fixed assets.

(ii) (a) The inventory has been physically verified during the year by the management. In our opinion, trie frequency of verification is reasonable.

(b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) The company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stock and the book records were not material.

(iii) (a) The Company has not given any loans during the year, sub-clause (b), (c) and (d) are not applicable.

(e) The company had taken loan from three parties covered in the register maintained under section 301 of the Companies Act, 1956. The maximum amount involved during the year was 49,50,000/- and the year-ended balance of loans taken from such parties was Rs. 29,50,000/-.

(f) In our opinion, the rate of interest and other terms & conditions on which loan have been taken from parties listed in the register maintained under section 301 of the Companies Act, 1956 are not prima facie, prejudicial to the interest of the company

(g) Loans taken by the company is repayable on demand.

(iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

(v) (a) According to information and explanations given to us, we are of the opinion that the transactions that need to be entered in the register maintained u/s 301 of the Companies Act, 1956 have so entered.

(b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956.and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

(vi) The Company has not accepted any deposit from public hence the provisions of section 58A and 58AA of the Companies Act, 1956 are not applicable.

(vii) In our opinion, the company has an internal audit system commensurate with the size and nature of its business.

(viii) The Central Government has not prescribed the maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 for the company.

(ix) (a) The Company has been generally regular in depositing income-tax, sales tax, excise duty, service tax, cess and other taxes with the appropriate authorities. The provisions relating to investor education and protection fund, wealth tax and custom duty are not applicable to the Company.

(b) According to the information and explanations given to us, there are no dues outstanding in respect of Income Tax, wealth tax, sales tax, service tax, custom duty, excise duty and cess which have not been deposited on account of any dispute except JST amounting to Rs. 863,805/- for financial year 1993-94 and 1994-95 under appeal before DCCT.

(x) The company does not have accumulated losses as at the end of financial year. The company has not incurred cash losses during the financial year covered by our audit and also in the immediately preceding financial year.

(xi) In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.

(xii) We are of the opinion that the company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

(xiii) In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditors Report) Order, 2003 (as amended) are not applicable to the company.

(xiv) In our opinion, the company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditors Report) Order, 2003 (as amended) are not applicable to the company.

(xv) In our opinion, the term and conditions on which the company has given guarantees for loans taken by others from banks or financial institutions are not prejudicial to the interest of the company.

(xvi) In our opinion, the term loans have been applied for the purpose for which they were raised.

(xvii) According to the information given to us and on and over all examination of the Balance Sheet of the company, we report that no funds raised on short-term basis have been used for long-term investments.

(xviii) According to the information and explanations given to us, the company has not made preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act, 1956.

(xix) According to the information and explanations given to us, the company has not issued any secured debentures during the period covered by our report. Accordingly provisions of Clause 4(xix) of the Companies (Auditors Report) Order 2003 (as amended) are not applicable to the company.

(xx) During the period covered by our audit report, the company has not raised any money by public issues.

(xxi) According to the information and explanations given to us, no fraud on or by the company has been noticed or reported during the course of our audit.

For ASHOK KEDIA & COMPANY, CHARTERED ACCOUNTANTS,

4, Gangadhar Babu Lane, Regn. No. 323330E

Kolkata-700 012

CA.K. KEDIA

Dated the 02nd day of Sep,2010. PARTNER

M. No.050510