Auditor Report of CCS Infotech Ltd.

Mar 31, 2014

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

Management's Responsibility for the Financial Statements

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 referred to in section 129 of the Companies Act. 2013 ("the Act"). This responsibility includes the design, implementation and maintenance of internal control relevanl to the preparation and presentation of the financiat 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 ethical requirements and plan and perform the audit lo obtain reasonable assurance about whether the financial statements are tree 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 assessmenl of the risks of material misstatement of the financial statements, whelher due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company's preparation and fair presentation of (he financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and Ihe reasonableness of the accounting estimates made by 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 audit opinion.

Opinion

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 wilh 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, 2014;

b) In the case of the Profit and Loss Account, of the Profit tor the year ended on that date; and

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

Report on Other Legal & 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 sub-section (4A) of section 227 of the Act we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order. 2

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

a WE have obtained all the information and explanatio; which to the best of our knowledge and belief were necessary for I he purpose of our audit:

bj in our opinion proper books of account as required by law have been kept by the Company so far as appears irom 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 Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in section 129 of the Companies Act, 2013;

e) On the basis of written representations received from the directors as on March 3t. 2014, and taken on record by the Board ol Directors, none of the directors are disqualified as on March 31. 2014 from being appointed as a director in terms of section 164 of the Companies Act, 2013.

f) Since the Central Government has not issued any notification as to the rate al which the cess is to be paid under section 441A of the Companies Act. 1956 nor has it issued any Rules under the said section, prescribing the manner In which such cess is to be paid, no cess is due and payable by the Company.

Annexure referred to in paragraph 1 of the Our Report of even date Dr The basis of such checks as we considered appropriate and according to the rEnation and explanation given to us during the course of our audit, we report iat:

a The company has maintained proper records to show full particulars including quantitative details and situation of its fixed assets.

b) The fixed assets of the company have been physically verified during the year by the management and no material discrepancies between the book records and the physical inventory have been noticed

c) No substantial part of fixed assets of the company has been disposed off during the year.

a) The inventories of the company at all its locations have been physically verified by the management during the year.

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

c)The company has maintained proper records of inventories and the discrepancies between the physical inventories and the book records have been properly dealt with in the books of account.

3. The company has neither granted nor taken loans, secured or unsecured, to / from companies, firms or other parties covered in the register maintained under section 189 of the Companies Act, 2013,

4. In our opinion, there is adequate internal control procedure commensurate with the size of the company and the nature of its business with regard to purchase of inventories, fixed assets and for the sale of goods.

5. In our opinion, and according lo the explanation given to us, the transactions that need to be entered in the register in pursuance to section 301 of the Act have been entered, and (he transactions have been made at prices, which are reasonable with regard to the prevailing market prices at that time

6. The Company has not accepted any deposits from the public covered under section 73 of the Companies Act, 2013.

7. As per information & explanations given by the management, the Company hasan internal audit system commensurate with its size and the nature of its business.

8. The Central Government has not prescribed the maintenance of cost record For the company under section 128 of the companies Act, 2013.

9.

a) According to the information & explanations given to us, there are no dues payable in respect of Provident Fund.

b) According to the information and explanations given to us, no undisputed dues payable in respect of income lax, sales tax, wealth tax, customs duty and cess were outstanding as at 31st March, 2014 for a period of more than six months from the date they became payable,

c) According to the information and explanations given to us, there are no dues in respect of income tax, sales tax. wealth lax, customs duty and cess that have not been deposited with the appropriate authorities on account of any dispute,

10. Based on our audit procedures and on the information and explanations given by the management, we are of the opinion that the company has not defaulted in the repayment of dues to the financial institution and banks.

11. According to the information and explanations given lo us, ihe Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities,

12. The Company is not a chit fund or a nidhi /mutual benefit tund/society. Therefore, the provision of this clause ol the Companies (Auditor's Report) Order, 2003 (as amended) is not applicable to the Company.

13. According to the information and explanations given to us, the company is not dealing or trading in shares, securities, debentures and other investments. Hence the provisions under this clause are not applicable.

14. According to the information and explanations given to us. the company has not given any guarantee for loans taken by others from banks or financial institutions.

15. Based on our audit procedures and on the information given by the management, we report that the company has not raised any term loans during the year.

16) The company enjoys Over draft facility on which no overdue interest is outstanding.

17. On the basis of review of utilization of funds on an overall basis, our opinion, the funds raised on short term basis have not been utilized for long term investments.

18. The company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Act.

19. During the period covered by audit report, the company has not issued any debentures.

20. The company has not raised any money by public issues during the year.

21 Based on audit procedures performed and information and explanations given by the management, we report that no fraud on or by the company has been noticed or reported during the year,

Date: 13.05.2014 For M.ILANGUMAFAN& CO., PLace: Chennai - 600 017 Chartered Accountants,

NM.ILANGUMARAN

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Mar 31, 2012

1. We have audited the attached Balance Sheet of M/S CCS INFOTECH LIMITED, Chennai as at 31st March 2012, the Profit & Loss Account and the 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.

2. We conducted our audit in accordance with the 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.

3. As required by the Companies (Auditor''s Report) Order, 2003 as amended by the Companies (Auditor Report) (Amendment) Order 2004 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 the paragraphs 4 and 5 of the said Order.

4. Further to our comments in the Annexure referred to above, 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 purpose of our audit.

b) In our opinion, proper books of accounts as required by law have been kept by the Company in their Head Office as well as in Branches so far as appears from our examination.

c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report are in agreement with the Books of Accounts.

d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report read with notes thereon comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Companies Act 1956 excepting that of AS 15 with reference to the retirement benefits to the employees which had not been quantified and provided for in the books of accounts.

e) On the basis of written representations received from the Directors, as on 31st March 2012 and taken on record by 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.

f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with the notes thereon 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:

i) In the case of the Balance Sheet, of the state of affairs of the company as at March 31, 2012

ii) In the case of the Profit & Loss Account, of the Profit for the year ended on that date; and

iii) In the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

ANNEXURE TO AUDITORS'' REPORT

I. In respect of its fixed assets:

a) The Company has maintained proper records showing particulars of fixed assets including quantitative details and situation of fixed assets on the basis of available information.

b) As explained to us, all the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

c) In our opinion, the Company has not disposed off a substantial part of its fixed assets during the year and the going concern status of the Company is not affected.

II. In respect of its inventories:

a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there is no material discrepancies noticed on physical verification of inventories as compared to the book records.

III. The Company has not granted loan to Companies, firms, or other parties covered in the Register maintained under section 301 of the Companies, Act 1956.

IV. In Our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and also for 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 control system.

V. According to the information and explanations provided to us, we are of the opinion that the transactions that need to be entered into the Register maintained under section 301 of the Companies Act 1956 have been so entered and the transactions have been made at prices which are reasonable having regard to prevailing market prices at the relevant time and are not prejudicial to the interest of the Company as declared and confirmed by the Directors of the Company.

VI. According to the information and explanations given to us, the Company has not accepted any deposits from the Public. Therefore, the provisions of Clause (VI) if paragraph 4 of the Order is not applicable to the Company.

VII. In our opinion, the Company has an internal audit system commensurate with the size of and nature of its business.

VIII. It was informed by the Management, that the maintenance of Cost Records under section 209(1) (d) of the Companies Act 1956 and the Rules made by the Central Government relating thereto are not applicable and hence prescribed accounts and records have not been maintained by the Company.

IX. The Company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Excise duty, Service Tax and Cess as certified by the management, According to the information and explanations given to us, and as certified by the Directors of the Company, no undisputed amounts payable in respect of income tax, Sales Tax, Excise duty, Service Tax and Cess were in arrears at 31-03-2012 for a period of more than six months from the date they became payable subject to the comments given in the notes on accounts. However Tax assessments and Appeals are pending before the relevant authorities as mentioned in the notes on accounts for different earlier years in respect of statutory dues namely income tax and any liabilities arising out of such orders could not be estimated and hence not provided for.

X. There are no accumulated losses of the company as on 31-03-2012. The Company has not incurred any cash loss during the financial year covered by our audit and 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 financial institutions or banks.

XII. The Company has not sanctioned any loans and advances on the basis of security by way of pledge of shares, debentures or other securities.

XIII. In our opinion, the company is not a chit fund or 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 (xiv) of the Companies (Auditors'' Report) Order as amended are not applicable to the Company.

XV. As Certified by the Directors of the Company, it has not given any guarantees for loans taken by others from Banks or financial institutions and hence commenting on the same does not arise.

XVI. The Company has not raised any term loan during the year.

XVII. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that there are no funds raised on short term basis that have been used for long term investments.

XVIII. The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section 301 of the Act.

XIX. According to the information and explanations given to us, the Company has not issued any Debentures during the year.

XX. The Company has not raised any monies by way of public issues during the year.

XXI. In our opinion and according to the information and explanations given to us, no material fraud on or by the company has been noticed or reported during the year.

Subbiah & Co

Chartered Accountants

M.R.Subbiah

Place: Chennai Proprietor

Date :

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Mar 31, 2010

1. We have audited the attached Balance Sheet of M/S CCS INFOTECH LIMITED, Chennai as at 31st March 2010, the Profit & Loss Account and the Cash Flow Statement for the year ended on that date annexed thereto. 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.

2. We conducted our audit in accordance with the 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.

3. As required by the Companies (Auditors Report) Order, 2003 as amended by the Companies (Auditor Report) (Amendment) Order 2004 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 the paragraphs 4 and 5 of the said Order.

4. Further to our comments in the Annexure referred to above, 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 purpose of our audit.

b) In our opinion, proper Books of Accounts as required by law have been kept by the Company in their Head Office as well as in Branches in electronic media, so far as appears from our examination of those books through electronic media. However we have not visited any of the Branches for the purposes of this Audit.

c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report are in agreement with the Books of Accounts.

d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report read with notes thereon comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Companies Act 1956 excepting that of AS 15 with reference to the retirement benefits to the employees which had not been quantified and provided for in the books of accounts.

e) On the basis of written representations received from the Directors, as on 31st March 2010 and taken on record by 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.

f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with the notes thereon 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:

i) In the case of the Balance Sheet, of the state of affairs of the company as at March 31,2010;

ii) In the case of the Profit & Loss Account, of the Profit for the year ended on that date; and

iii) In the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

ANNEXURE TO AUDITORS REPORT

I. In respect of its fixed assets:

a) The Company has maintained proper records showing particulars of fixed assets including quantitative details and situation of fixed assets on the basis of available information.

b) As explained to us, all the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

c) In our opinion, the Company has not disposed off a substantial part of its fixed assets during the year and the going concern status of the Company is not affected.

II. In respect of its inventories:

a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there is no material discrepancies noticed on physical verification of inventories as compared to the book records.

III. The Company has not granted loan to Companies, firms, or other parties covered in the Register maintained under section 301 of the Companies, Act 1956.

IV. In Our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and also for 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 control system.

V. According to the information and explanations provided to us, we are of the opinion that the transactions that need to be entered into the Register maintained under section 301 of the Companies Act 1956 have been so entered and the transactions have been made at prices which are reasonable having regard to prevailing market prices at the relevant time and are not prejudicial to the interest of the Company as declared and confirmed by the Directors of the Company.

VI. According to the information and explanations given to us, the Company has not accepted any deposits from the Public. Therefore, the provisions of Clause (VI) if paragraph 4 of the Order is not applicable to the Company.

VII. In our opinion, the Company has an internal audit system commensurate with the size of and nature of its business.

VIM. It was informed by the Management, that the maintenance of Cost Records under section 209(1) (d) of the Companies Act 1956 and the Rules made by the Central Government relating thereto are not applicable and hence prescribed accounts and records have not been maintained by the Company.

IX. The Company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Excise duty, Service Tax and Cess as certified by the management, According to the information and explanations given to us, and as certified by the Directors of the Company, no undisputed amounts payable in respect of income tax, Sales Tax, Excise duty, Service Tax and Cess were in arrears at 31-03-2010 for a period of more than six months from the date they became payable subject to the comments given in the notes on accounts. However Tax assessments and Appeals are pending before the relevant authorities as mentioned in the notes on accounts for different earlier years in respect of statutory dues namely income tax and Excise duty and any liabilities arising out of such orders could not be estimated and hence not provided for.

X. There are no accumulated losses of the company as on 31-03-2010. The Company has not incurred any cash loss during the financial year covered by our audit and 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 financial institutions or banks.

XII. The Company has not sanctioned any loans and advances on the basis of security by way of pledge of shares, debentures or other securities.

XIII. In our opinion, the company is not a chit fund or 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 (xiv) of the Companies (Auditors Report) Order as amended are not applicable to the Company.

XV. As Certified by the Directors of the Company, it has not given any guarantees for loans taken by other from Banks or financial institutions and hence commenting on the same does not arise.

XVI. The Company has not raised term loan during the year.

XVII. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that there are no funds raised on short term basis that have been used for long term investments.

XVIII. The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section 301 of the Act.

XIX. According to the information and explanations given to us, the Company has not issued any Debentures during the year.

XX. The Company has not raised any monies by way of public issues during the year.

XXI. In our opinion and according to the information and explanations given to us, no material fraud on or by the company has been noticed or reported during the year. Subbiah & Co., Chartered Accountants

M.R.Subbiah

Place: Chennai Proprietor

Date: 27.05.10

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Mar 31, 2009

1. We have audited the attached Balance Sheet of M/S CCS INFOTECH LIMITED, Chennai as at 31st March 2009, the Profit & Loss Account and the Cash Flow Statement for the year ended on that date annexed thereto. 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.

2. We conducted our audit In accordance with the 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.

3. As required by the Companies (Auditors Report) Order, 2003 as amended by the Companies (Auditor Report) (Amendment) Order 2004 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 the paragraphs 4 and 5 of the said Order.

4. Further to our comments in the Annexure referred to above, 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 purpose of our audit

b) In our opinion, proper Books of Accounts as required by law have been kept by the I* Company in their Head Office as well as in Branches in electronic media, so far as appears from our examination of those books through electronic media. However we have not visited any of the Branches for the purposes of this Audit.

c) The Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report are in agreement with the Books of Accounts.

d) In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report read with notes thereon comply with the Accounting Standards referred J to in sub-section (3C) of Section 211 of the Companies Act 1956 excepting that of AS 15 with reference to the retirement benefits to the employees which had not been quantified and provided for in the books of accounts. [

e) On the basis of written representations received from the Directors, as on 31st March 2009 and taken on record by Board of Directors; we report that none of the Directors is disqualified as on 31st March 2009 from being appointed as a Director in terms of Clause (g) of sub-section (1) of Section 274 of the Companies Act 1956f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with the notes thereon 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:

i) In the case of the Balance Sheet, of the state of affairs of the company as at March 31,2009;

ii) In the case of the Profit & Loss Account, of the Profit for the year ended on that date; and

iii) In the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

ANNEXURE TO AUDITORS REPORT

I. In respect of its fixed assets:

a) The Company has maintained proper records showing particulars of fixed assets including quantitative details and situation of fixed assets on the basis of available information.

b) As explained to us, all the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification.

c) In our opinion, the Company has not disposed off a substantial part of its fixed assets during the year and the going concern status of the Company is not affected,

II, In respect of its inventories:

a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the Company and nature of its business.

c) The Company has maintained proper records of inventories. As explained to us, there is no material discrepancies noticed on physical verification of inventories as compared to the book records.

III. The Company has not granted loan to Companies, firms, or other parties covered in the Register maintained under section 301 of the Companies, Act 1956.

IV. In Our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and also for 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 control system.

V. According to the information and explanations provided to us, we are of the opinion that the transactions that need to be entered into the Register maintained under section 301 of the Companies Act 1956 have been so entered and the transactions have been made at prices which are reasonable having regard to prevailing market prices at the relevant time and are not prejudicial to the interest of the Company as declared and confirmed by the Directors of the Company.

Vl According to the information and explanations given to us, the Company has not accepted any deposits from the Public- Therefore, the provisions of Clause (VI) if paragraph 4 of the Order is not applicable to the Company.

VII. In our opinion, the Company has an internal audit system commensurate with the size of and nature of its business.

VIII. It was informed by the Management, that the maintenance of Cost Records under section 209(1) (d) of the Companies Act 1956 and the Rules made by the Centra] Government relating thereto are not applicable and hence prescribed accounts and records have not been maintained by the Company.

IX. The Company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Excise duty, Service Tax and Cess as certified by the management, According to the information and explanations given to us, and as certified by the Directors of the Company, no undisputed amounts payable in respect of income tax, Sales Tax, Excise duty, Service Tax and Cess were in arrears at 31-03-2009 for a period of more than six months from the date they became payable subject to the comments given in the notes on accounts. However Tax assessments and Appeals are pending before the relevant authorities as mentioned in the notes on accounts for different earlier years in respect of statutory dues namely income tax and Excise duty and any liabilities arising out of such orders could not be estimated and hence not provided for.

X. There are no accumulated losses of the company as on 31-03-2009. The Company has not incurred any cash loss during the financial year covered by our audit and 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 financial institutions or banks.

XII, The Company has not sanctioned any loans and advances on the basis of security by way of pledge of shares, debentures or other securities.

XIII. In our opinion, the company is not a chit fund or nidhi/mutual benefit fund/ society. Therefore the provisions of Clause 4(xiii) of the Companies (Auditors1 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 (xiv) of the Companies (Auditors Report) Order as amended are not applicable to the Company.

XV As Certified by the Directors of the Company, it has not given any guarantees for loans taken by other from Banks or financial institutions and hence commenting on the same does not arise.

XVI. The Company has not raised term loan during the year.

XVII. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that there are no funds raised on short term basis that have been used for long term investments.

XVIII. The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section 301 of the Act.

XIX. According to the information and explanations given to us, the Company has not issued any Debentures during the year,

XX. The Company has not raised any monies by way of public issues during the year.

XXI. In our opinion and according to the information and explanations given to us, no material fraud on or by the company has been noticed or reported during the year.

Subbiah & Co., Chartered Accountants

M.R.Subbiah Place; Chennai Date: 02-09-2009