Auditor Report of Dr. Datsons Labs Ltd.

Mar 31, 2014

1. We have audited the accompanying financial statements of DR. DATSONS LABS LIMITED (Formerly known as Aanjaneya Lifecare Limited) ("the Company"), which comprises the Balance Sheet as at March 31, 2014, the Statement of Profit and Loss and Cash Flow Statement for the year then ended and a summary of significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

2. 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. 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.

Auditor''s Responsibility

3. 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 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 internal control relevant to the entity''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 entity''s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements."

4. 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 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 March 31, 2014;

b. in the case of the of Statement of Profit and Loss, of the profit for 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 and Regulatory Requirements

5. 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.

6. 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 purpose 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 books and proper returns adequate for the purposes of audit have been received from branches not visited by us.

C. The Company does not have any branch. Hence requirement for the report on the accounts of the branch offices under section 228 is not applicable.

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; and with the returns received from branches not visited us.

d. in our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement comply with the

Accounting Standards notified under the Companies Act, 1956 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 written representations received from the directors as on March 31, 2014, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2014, from being appointed as a director in terms of clause (g) of sub- section (1) of section 274 of the Companies Act, 1956.

f. Since the Central Government has not issued any

notification as to the rate at 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 to Auditors Report referred to in paragraph 5 of our report of even date to the members of DR. Datsons Labs Limited (Formerly known as Aanjaneya Lifecare Limited) on the financial statements for the year ended 31stMarch ,2014.

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

(b) The fixed assets were physically verified during the year by the management in accordance with a regular program of verification which in our opinion provides for physical verification of all fixed assets at reasonable intervals having regard to the size of the company and nature of its assets. According to the information and explanations given to us no material discrepancies were noticed on such verification.

(c) The Company has not disposed off substantial part of fixed assets during the year.

ii. (a) The inventory of raw material, finished/semi-

finished and other traded materials have been physically verified by management at reasonable interval during the year.

(b) In our opinion and according to the information and explanation given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company & the nature of its business.

(c) The Company has been maintaining proper records of inventory and no discrepancies were noticed on verification between the physical stocks and book records.

iii. (a) The Company has not granted any loans ,secured or unsecured to companies ,firms or other parties covered in the register maintained under section 301 of the Companies Act 1956.

(b) The Company has not taken any secured loans from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act 1956 .The Company has taken unsecured loans from three parties covered in the register maintained under section 301 of the Act. The maximum amounts involved during the year was ''.4395.64Lacs and the year end outstanding of loans taken from such parties was Rs.4384.00Lacs.

(c) In our opinion and according to the information and explanations given to us, such unsecured loans taken by the company are interest free in nature and other terms and conditions of such loans are not prima facie prejudicial to the interest of the company.

(d) In our opinion and according to the information and explanations given to us, such unsecured loans taken by the company are repayable on demand. There has been no default in the repayment of such loans taken by the company. Such unsecured loans are interest free.

(e) There is no overdue amount in respect of loans taken by the company from parties listed in the register maintained under section 301 of the Companies Act 1956.

iv In our opinion and according to information & explanations given to us, there are adequate internal control system commensurate with the size of the company and the nature of its business for the purchase of inventory, fixed assets and with regard to sale of goods and services. Further on the basis of our examination of the books and records of the company we have not come across any major weakness or continuing failure to correct any major weaknesses in the aforesaid internal control system.

v In respect of transactions covered under section 301 of the Companies Act, 1956.

(a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangements that needed to be entered into the register maintained u/s. 301 of the Companies Act 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, these transaction made in pursuance of such contracts or arrangements and exceeding the value of rupees five lacs in respect of any party during the year have been made at prices which are reasonable having regard to the prevailing market prices at relevant time.

vi. The Company has not accepted any deposits from public during the year, hence provision of sections 58-A & 58- AA of the Companies Act, 1956 are not applicable

vii. The Company has an Internal Audit System Commensurate with the size and the nature of its business

viii. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by the Central Government for maintenance of cost records under section 209 (1) (d) of Companies Act, 1956 and are of the opinion that prima facie , the prescribed accounts and record have been made and maintained.

ix. According to the information and explanations given to us in respect of statutory dues :

(a) The Company has not been regular in depositing undisputed statutory dues including Provident Fund, Income Tax Deducted at Source, and Service Tax with the appropriate authorities during the year. Further, since the Central Government has till date not prescribed the amount of cess payable under section 441A of the Companies Act 1956, we are not in a position to comment upon the regularity or otherwise of the company in depositing the same.

(b) There were arrears of undisputed statutory dues in respect of the Provident Fund Rs. 20.55 Lacs, Professional Tax Rs. 3.17 Lacs, Income Tax Deducted at Source Rs.107.87 Lacs and Service Tax Rs. 9.85 Lacs as at 31st March 2014 outstanding for a period of more than six months from the date they became payable

(c) There are no statutory dues which have not been deposited on account of any dispute.

x. This is the Eighth year of the Companies existence .The company has no accumulated losses as at 31st March 2014 and has not incurred any cash losses during the financial year ended on that date or in the immediately preceding financial year .

xi. According to the records of the Company examined by us and the information and explanations given to us, there has been major default in repayments of dues to Banks amounting to ''1197.54 Lacs in respect of Principal repayments of term loan and ''488.26 Lacs in respect of interest thereof. Further the interest remaining due and unpaid on Working Capital Demand Loan (WCDL) / Cash Credit (CC) to Banks stands at '' 3305.16 lacs as at 31st March, 2014.The period of delay is ranging between One month to Seventeen months. There are no debenture holders.

xii. The company has not granted any loans and advances on the basis of any 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 provisions of any special statute as specified under clause 4(xiii) of the said Order are not applicable to the company.

xiv. In our opinion the Company is not a dealer or trader in shares, securities, debenture and other investments. Therefore the provisions of clause 4(xiv) of the Order are not applicable to the company

xv. 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 during the year.

xvi. In our opinion and according to information and explanation given to us, term loans taken from banks were applied for the purpose for which such loans were obtained during the year.

xvii. According to the information and explanations given to us and on the basis of an overall examination of the Balance Sheet of the company , there are no funds raised on short-term basis that have been used for long-term investment.

xviii. During the year, the company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the companies Act, 1956.

xix. The company has not issued debentures since inception. During the year the company has not raised any money by issuing shares to the Public. However the company had issued Foreign Currency Convertible Bond (FCCB) aggregating to US $ 40 Million during the financial year 2012-14 for acquisition of company overseas. During the current financial year under report FCCB aggregating to US $ 18 Million were converted into 1,77,68,124 equity shares at conversion price of Rs 55 per share. The Management has disclose its end use and we have verified the same.

xx. According to the information & explanation given to us and based on our examination of the books and records of the company, we have not come across any instance of significant fraud on or by the company noticed or reported during the course of our audit.

For Agarwal Desai & Shah Chartered Accountants Firm''s Regn. No.: 124850W

Rishi A.Sekhri Place: Mumbai Partner Date: 30th May, 2014. M. No. 126656

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Mar 31, 2013

1. We have audited the attached Balance Sheet of Dr Datsons Labs LIMITED (together ''the Company'')as at 31st March, 2013 and the related Proft & Loss Account and Cash Flow Statement for the year ended on that date annexed thereto. These fnancial statements are the responsibility of the Company''s management. Our responsibility is to express an opinion on these fnancial statements based on our audit.

2. 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 fnancial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the fnancial statements. An audit also includes assessing the accounting principles used and signifcant estimates made by management, as well as evaluating the overall fnancial 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''s Report) (Amendment) Order 2004 (together the "Order") issued by the Central Government of India in terms of Section 227 (4A) of The Companies Act, 1956 and on the basis of such checks of the books and records of the Company as we considered appropriate and according to the information and explanations given to us, we give in the Annexure a statement on the matters specifed in paragraphs 4 and 5 of the Order.

4. Further to our comments in the Annexure referred to in paragraph 3 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 purposes of our audit;

b. In our opinion, proper books of accounts as required by Law have been kept by the Company so far as appears from our examination of the books;

c. The Balance Sheet and the Proft and Loss account dealt with by this report are in agreement with the books of account;

d. In our opinion, the Proft and Loss account and Balance Sheet dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956;

e. In our opinion and to the best of our information and according to the explanations given to us, the accounts subject to and read together with the notes including Note 2.10 relating to opening stock, provision for taxation and bad debts written of 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 afairs of the Company as at 31st March 2013;

(ii) in the case of the Proft and Loss account, of the proft of the Company for the year ended on that date ; and

(iii) in case of the Cash Flow Statement, of the cash fows for the year ended on that date.

5. On the basis of written representations received from the directors as on 31st March, 2013, and taken on record by the Board of Directors, we report that none of the directors is disqualifed as on 31st March, 2013 from being appointed as a director in terms Section 274 (1)(g) of the Companies Act, 1956.

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

(b) The fxed assets were physically verifed during the year by the management in accordance with a regular program of verifcation which in our opinion provides for physical verifcation of all fxed assets at reasonable intervals having regard to the size of the Company and nature of its assets. According to the information and explanations given to us no material discrepancies were noticed on such verifcation.

(c) The Company has not disposed of substantial part of fxed assets during the year.

ii. (a) The inventory of raw material, fnished/semi fnished and other traded materials have been physically verifed by management at reasonable interval during the year.

(b) In our opinion and according to the information and explanation given to us, the procedures of physical verifcation of inventory followed by the management are reasonable and adequate in relation to the size of the Company & the nature of its business.

(c) The Company has been maintaining proper records of inventory and no discrepancies were noticed on verifcation between the physical stocks and book records.

iii. (a) The Company has not granted any loans, secured or unsecured, to companies, frms or other parties covered in the register maintained under section 301 of the Companies Act, 1956.

(b) The Company has not taken any secured loans from companies, frms or other parties covered in the register maintained under section 301 of the Companies Act, 1956. The Company has taken unsecured loans from three parties covered in the register maintained under section 301 of the Act. The maximum amounts involved during the year was Rs.454.88 Millions and the year end outstanding of loans taken from such parties was Rs.373.69 Millions.

(c) In our opinion and according to the information and explanations given to us, such unsecured loans taken

by the Company are interest free in nature and other terms and conditions of such loans are not prima facie prejudicial to the interest of the Company.

(d) In our opinion and according to the information and explanations given to us, the unsecured loans taken by the Company are repayable on demand. There has been no default in the repayment of such loans taken by the Company. Such loans are interest free.

(e) There is no overdue amount in respect of loans taken by the Company from parties listed in the register maintained under section 301 of the Companies Act, 1956.

iv. In our opinion and according to information & explanations given to us, there are adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory, fxed assets and with regard to sale of goods and services. Further on the basis of our examination of the books and records of the Company we have not come across any major weakness or continuing failure to correct any major weaknesses in the aforesaid internal control system.

v. In respect of transactions covered under section 301 of the Companies Act, 1956.

(a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangements that needed to be entered into the register maintained u/s. 301 of the Companies Act, 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, these transaction made in pursuance of such contracts or arrangements and exceeding the value of rupees fve lacs in respect of any party during the year have been made at prices which are reasonable having regard to the prevailing market prices at relevant time.

vi. The Company has not accepted any deposits from public during the year, hence provision of section 58-A & 58-AA of the Companies Act, 1956 are not applicable

vii. The Company has an Internal Audit Systems Commensurate with the size and the nature of its business

viii. We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for maintenance of cost records under section 209 (1) (d) of Companies Act, 1956 and are of the opinion that prima facie, the prescribed accounts and record have been made and maintained.

ix. According to the information and explanations given to us in respect of statutory dues :

(a) The Company is generally regular in depositing undisputed statutory dues including Provident Fund, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty and other material statutory dues applicable to it with the appropriate authorities during the year. Further, since the Central Government has till date not prescribed the amount of cess payable under section 441A of the Companies Act. 1956, we are not in a position to comment upon the regularity or otherwise of the Company in depositing the same.

(b) There were no arrears of undisputed statutory dues in respect of the aforesaid items as at 31st March 2013 outstanding for a period of more than six months from the date they became payable .

(c) There are no statutory dues which have not been deposited on account of any dispute.

x. This is the Seventh year of the Companies existence. The Company has no accumulated losses as at 31st March 2013 and has not incurred any cash losses during the fnancial year ended on that date or in the immediately preceding fnancial year.

xi. According to the records of the Company examined by us and the information and explanations given to us, there are no major defaults in repayments of dues to any bank or fnancial institution. There are no debenture holders.

xii. The Company has not granted any loans and advances on the basis of any 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 beneft fund /society. Therefore the provisions of any special statute as specifed under clause 4(xiii) of the said Order are not applicable to the Company.

xiv. In our opinion the Company is not a dealer or trader in shares, securities, debenture and other investments.

Therefore the provisions of clause 4(xiv) of the Order are not applicable to the Company.

xv. According to the information and explanations given to us the Company has not given any guarantee for loans taken by others from banks or fnancial institutions during the year.

xvi. In our opinion and according to information and explanation given to us, term loans taken from banks were applied for the purpose for which such loans were obtained during the year.

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

xviii. During the year, the Company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the companies Act, 1956.

xix. The Company has not issued debentures since inception.

xx. During the year the Company has not raised any money by issuing shares to the Public Via OFS or IPP route. However the Company has increased its Authorised Capital from Rs.300 Millions to Rs.500 Millions. However the Company has issued Foreign Currency Convertible Bonds aggregating to USD 40 million on 21st March, 2013. However the said amount is lying in an Escrow Account with an overseas Bank.

xxi. According to the information & explanation given to us and based on our examination of the books and records of the Company, we have not come across any instance of signifcant fraud on or by the Company noticed or reported during the course of our audit.

For Agarwal Desai & Shah

Chartered Accountants

Firm Regn No. 124850W

-SD-

Rishi A. Sekhri

Place: Mumbai Partner

Date: 30/05/2013 M. No. 126656

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Mar 31, 2012

1. We have audited the attached Balance Sheet of AANJANEYA LIFECARE LIMITED (Formerly known as Aanjaneya Biotech Limited) (together 'the Company') as at 31st March, 2012 and the related Profit & Loss Account 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.

2. 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.

3. As required by the Companies (Auditor's Report )Order ,2003 as amended by the Companies (Auditor's Report )(Amendment )Order 2004 (together the "Order") issued by the Central Government of India in terms of Section 227 (4A) of The Companies Act ,1956 and on the basis of such checks of the books and records of the company as we considered appropriate and according to the information and explanations given to us ,we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

4. Further to our comments in the Annexure referred to in paragraph 3 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 purposes of our audit;

b. In our opinion, proper books of accounts as required by Law have been kept by the Company so far as appears from our examination of the books;

c. The Balance Sheet and the Profit and Loss account dealt with by this report are in agreement with the books of account;

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

e. In our opinion and to the best of our information and according to the explanations given to us, the accounts subject to and read together with the notes 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 31st March 2012;

(ii) in the case of the Profit and Loss account, of the profit of the Company for the year ended on that date ; and

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

5. 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 on31st March, 2012 from being appointed as a director in terms Section 274 (1)(g) of the Companies Act, 1956.

i. (a) The Company has maintained proper records showing

full particulars including quantitative details and situation of fixed assets.

(b) The fixed assets were physically verified during the year by the management in accordance with a regular program of verification which in our opinion provides for physical verification of all fixed assets at reasonable intervals having regard to the size of the company and nature of its assets. According to the information and explanations given to us no material discrepancies were noticed on such verification.

(c) The Company has not disposed off substantial part of fixed assets during the year.

ii. (a) The inventory of raw material, finished/semi finished and other traded materials have been physically verified by management at reasonable interval during the year.

(b) In our opinion and according to the information and explanation given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company & the nature of its business.

(c) The Company has been maintaining proper records of inventory and no discrepancies were noticed on verification between the physical stocks and book records.

iii. (a) The Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under section 301 of the Companies Act 1956.

(b) The Company has not taken any secured loans from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act 1956. The Company has taken unsecured loans from two parties covered in the register maintained under section 301 of the Act. The maximum amounts involved during the year was Rs. 4922.86Lacs and the yearend outstanding of loans taken from such parties was Rs. 2728.54Lacs.

(c) In our opinion and according to the information and explanations given to us, such unsecured loans taken by the company are interest free in nature and other terms and conditions of such loans are not prima facie prejudicial to the interest of the company.

(d) In our opinion and according to the information and explanations given to us, the unsecured loans taken by the company are repayable on demand. There has been no default in the repayment of such loans taken by the company. Such loans are interest free.

(e) There is no overdue amount in respect of loans taken by the company from parties listed in the register maintained under section 301 of the Companies Act, 1956.

iv In our opinion and according to information & explanations given to us, there are adequate internal control system commensurate with the size of the company and the nature of its business for the purchase of inventory, fixed assets and with regard to sale of goods and services. Further on the basis of our examination of the books and records of the company we have not come across any major weakness or continuing failure to correct any major weaknesses in the aforesaid internal control system.

v In respect of transactions covered under section 301 of the Companies Act, 1956.

(a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangements that needed to be entered into the register maintained u/s. 301 of the Companies Act 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, these transaction made in pursuance of such contracts or arrangements and exceeding the value of rupees five lacs in respect of any party during the year have been made at prices which are reasonable having regard to the prevailing market prices at relevant time.

vi. The Company has not accepted any deposits from public during the year, hence provision of section 58-A & 58-AA of the Companies Act, 1956 are not applicable

vii. The Company has an Internal Audit Systems Commensurate with the size and the nature of its business

viii. We have broadly reviewed the books of account maintained by the company pursuant to the rules made by

the Central Government for maintenance of cost records under section 209 (1) (d) of Companies Act, 1956 and are of the opinion that prima facie , the prescribed accounts and record have been made and maintained.

ix. According to the information and explanations given to us in respect of statutory dues :

(a) The company is generally regular in depositing undisputed statutory dues including Provident Fund, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty and other material statutory dues applicable to it with the appropriate authorities during the year. Further, since the Central Government has till date not prescribed the amount of cess payable under section 441A of the Companies Act, 1956, we are not in a position to comment upon the regularity or otherwise of the company in depositing the same

(b) There were no arrears of undisputed statutory dues in respect of the aforesaid items as at 31st March 2012 outstanding for a period of more than six months from the date they became payable .

(c) There are no statutory dues which have not been deposited on account of any dispute.

x. This is the Sixth year of the Companies existence. The company has no accumulated losses as at 31st March 2012 and has not incurred any cash losses during the financial year ended on that date or in the immediately preceding financial year.

xi. According to the records of the Company examined by us and the information and explanations given to us, the Company has not defaulted in repayments of dues to any bank or financial institution. There are no debenture holders.

xii. The company has not granted any loans and advances on the basis of any 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 provisions of any special statute as specified under clause 4(xiii) of the said Order are not applicable to the company.

xiv. In our opinion the Company is not a dealer or trader in shares, securities, debenture and other investments. Therefore the provisions of clause 4(xiv) of the Order are not applicable to the company

xv. 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 during the year .

xvi. In our opinion and according to information and explanation given to us, term loans taken from banks were applied for the purpose for which such loans were obtained during the year.

xvii. According to the information and explanations given to us and on the basis of an overall examination of the Balance Sheet of the company, there are no funds raised on short- term basis that have been used for long-term investment.

xviii. During the year, the company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the companies Act, 1956 .

xix. The company has not issued debentures since inception.

xx. During the year the company made an Initial Public Offering of shares (IPO) which opened for subscription on 9th May 2011 and closed on 12th May 2011 to QIB bidders, Retail individual bidders and Non-Institutional bidders of 50,00,000 Equity shares of the face value of Rs. 10/- each at a price of Rs. 234/- (including share premium of Rs. 224/) per Equity share aggregating to Rs. 11,700 Lacs constituting 39.76 % of the fully diluted post issue paid up capital of the company. The issue was fully subscribed and allotment to the respective applicants were made on 20th May 2011 in consultation with the authorized representatives of the designated stock exchange viz- Bombay Stock Exchange Limited

xxi. According to the information & explanation given to us and based on our examination of the books and records of the company, we have not come across any instance of significant fraud on or by the company noticed or reported during the course of our audit.

For Agarwal Desai & Shah

Chartered Accountants

Firm Regn No. 124850W

Rishi A.Sekhri

Place: Mumbai Partner

Date: May 30, 2012 M. No. 126656

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Mar 31, 2011

1. We have audited the attached Balance Sheet of AANJANEYA LIFECARE LIMITED (formerly known as AANJANEYA BIOTECH LIMITED) (together 'the Company") as at 31st March, 2011 and also the Profit & Loss Account of the Company 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 ouraudit.

2. 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.

3. As required by the Companies (Auditor's Report) Order, 2003, as amended by the Companies (Auditor's Report) (Amendment) Order 2004 (together the "Order") issued by the Central Government of India, in terms of section 227(4A) of Companies Act, 1956, we enclose in the annexure a statement on the matters specified in paragraph 4 & 5 of the Order.

4. Further to our comments in the Annexure referred to in paragraph (3) 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 purposes of ouraudit;

b. In our opinion, proper books of accounts as required by Law have been kept by the Company so far as appears from our examination of the books;

c. The Balance Sheet, Profit and Loss account 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, Profit and Loss account and Cash Flow Statements dealt with by this report comply with the accounting standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956;

e. On the basis of written representations received from the directors, as on 31st March, 2011, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March, 2011 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 accounts read together with the notes 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 31st March 2011;

(ii) in the case of the Profit and Loss account, of the profit of the Company for the year ended on that date; and

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

ANNEXURE TO THE AUDITORS REPORT AANJANEYA LIFECARE LIMITED (formerly known as AANJANEYA BIOTECH LIMITED)

Referred to in paragraph 3 of our report of even date forthe financial year ended 31s' March 2011.

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

(b) As explained to us the physical verification of fixed assets were carried out during the year by the management at regular intervals and such verification revealed no material discrepancies. In our opinion the verification is reasonable having regard to the size of the company and the nature of its assets.

(c) The Company has not disposed off substantial part offixed assets during the year.

ii. (a) The inventory of raw material, finished / semi finished and other traded materials have been physically verified by management at reasonable interval during the year.

(b) In our opinion and according to the information and explanation given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company &the nature of its business.

(c) The Company has been maintaining proper records of inventory and no discrepancies were noticed on verification between the physical stocks and book records.

iii. (a) The Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under section 301 of the Act.

(b) The Company has not taken any secured loans from parties covered in the register maintained under section 301 of the Act. The Company has taken unsecured loans from Two Parties covered in the register maintained under section 301 of the Act. The maximum amounts involved during the year and the year end balances of such loans aggregates to Rs. 1,362.31 lacs and Rs. 513.42 lacs respectively.

(c) In our opinion and according to the information and explanations given to us, there is no interest to be paid on the unsecured loans as they are interest free in nature and other terms and conditions of the loans taken are not prima facie prejudicial to the interest of the company.

(d) In respect of unsecured loans taken by the company, as informed to us no interest has been provided as the loans are interest free and repayable on demand. Hence there is no payment of principal and interest at regular intervals.

(e) There is no overdue amount in respect of loans taken by the company.

i. In our opinion and according to information & explanations given to us, there are adequate internal control system commensurate with the size of the company and the nature of its business with regard to purchase of inventory, fixed assets and with regard to sale of goods and services. Further on the basis of our examination of the books and records of the company and according to the information and explanations given to us we have not observed any continuing failure to correct major weaknesses in the aforesaid internal control system.

ii. In respect of transactions covered under section 301 of the Companies Act, 1956.

(a) In our opinion and according to the information and explanations given to us, the transaction made in pursuance of contracts or arrangements, that needed to be entered into the register maintained u/s. 301 of the Companies Act 1956 have been so entered.

(b) In our opinion and according to the information and explanations given to us, these transaction made in pursuance of such contracts or arrangements and exceeding the value of' Five lacs in respect of any party during the year have been made at prices which are reasonable having regard to the prevailing market prices at relevant time.

iii. The company has not accepted any deposits from public during the year, hence provision of section 58-A& 58-AAof the Companies Act, 1956 are not applicable.

vii. The Company has an Internal Audit System commensurate with the size and the nature of its business.

viii. The central Government has not prescribed maintenance of cost record under section 209 (1) (d) of Companies Act, 1956.

ix. (a) According to information and explanations given to us, the Company is generally regular in depositing undisputed statutory dues including Provident Fund, Income Tax, Wealth Tax, Sales Tax, Custom Duty & Excise Duty & other statutory dues with the appropriate authorities during the year. Further, since the Central Government has till date not prescribed the amount of cess payable under section 441 Aof the Companies Act. 1956, we are not in a position to comment upon the regularity or otherwise of the company in depositing the same.

(b) As per the information and explanations given to us, no undisputed statutory dues were in arrears, as at 31/03/2011 for the period of more than 6 Months from the date they become payable

(c) According to information and explanations given to us, there are no statutory dues which have not been deposited on account of any dispute.

x. This is the fifth year of the Companies existence and the Company has no accumulated losses as at 31st March 2011. Further the company has not incurred any cash losses during the financial year covered by our audit and the immediately preceding financial year.

xi. According to information and explanations given to us and as per verification of the records of the Company, the Company has not defaulted in repayments of dues to the bank.

xii. The company has not granted any Loans & Advances on the basis of any security by way of pledge of shares, debentures and other securities.

xii. In our opinion, the Company is not a chit fund or Nidhi / Mutual benefit fund society.

xiv. In our opinion and based on the verification of the documents of the Company, the Company is not dealing in or trading in shares, securities, debenture & other investments.

xv. In our opinion and as per information & explanation furnished to us, the company has not given any guarantee for loans taken by others from banks or financial institutions during the year.

xvi. According to information and explanation given to us, term loans taken from banks were applied for the purpose for which loan were obtained 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 report that the funds raised on short-term basis have not been used for long-term investment.

xviii. During the year, the company has made a preferential allotment of 18,00,000 equity shares of Rs.10/- each at a premium of Rs. 260/- per share to party covered in the register maintained under section 301 of the Companies Act, 1956 on the terms which are not prejudicial to the interest of company.

xix. The company has not issued debentures since inception.

xx. The company has not raised any money by way of public issue during the year.

xxi. According to the information & explanation given to us and based on our verification of the documents of the Company, no fraud on or by the company has been noticed or reported during the course of our audit.

For SUNILMISTRY & CO.

Chartered Accountants

Firm Regn. No. 123435W

SUNIL P.MISTRY

Proprietor

M. No. 113813

Place: Mumbai

Date: 15th July 2011