Auditor Report of JIK Industries Ltd.

Mar 31, 2024

We have audited the accompanying financial statements of JIK Industries Limited ("the Company"), which comprise
the balance sheet as at March 31, 2024, the statement of Profit and Loss, the statement of Changes in Equity and
statement of Cash Flows for the year then ended, and notes to the financial statements, including a summary of
significant accounting policies and other explanatory information. 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 Companies Act, 2013, 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 March 31, 2024, and its losses,
changes in equity and cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the
Companies Act, 2013. Our responsibilities under those Standards are further described in the Auditor''s
Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company
in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the
ethical requirements that are relevant to our audit of the financial statements under the provisions of the Companies
Act, 2013 and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these
requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our qualified opinion.

Emphasis of Matter

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the
consolidated financial statements of the current period. These matters were addressed in the context of our audit
of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a
separate opinion on these matters.

We have determined that there are no key audit matters to communicate in our report.

Information Other than the Financial Statements and Auditor''s Report Thereon

The Company''s Board of Directors is responsible for the other information. The other information comprises the
information included in the Directors'' Report including the annexures thereto but does not include the financial
statements and our auditor''s report thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of
assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in
doing so, consider whether the other information is materially inconsistent with the financial statements or our
knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have
performed, we conclude that there is a material misstatement of this other information, we are required to report
that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance 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 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 principles
generally accepted in India, including the accounting Standards specified under section 133 of the Act. This
responsibility also includes maintenance of adequate accounting records 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 design, implementation and maintenance of adequate internal financial controls, 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 are free from material
misstatement, whether due to fraud or error.

In preparing the financial statements, the Board of Directors is responsible for assessing the Company''s ability to
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern
basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or
has no realistic alternative but to do so.

Those Board of Directors are also responsible for overseeing the company''s financial reporting process.

Auditor''s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor''s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are
considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism
throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances. Under section 143(3)(i) of the Companies Act, 2013, we are also
responsible for expressing our opinion on whether the company has adequate internal financial controls
system in place and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by management.

• Conclude on the appropriateness of management''s use of the going concern basis of accounting and, based
on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that
may cast significant doubt on the Company''s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor''s report to the related
disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained up to the date of our auditor''s report. However,
future events or conditions may cause the Company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2020 [CARO, 2020], issued by the Central
Government in terms of section 143 (11) of the Companies Act, 2013, we give in "Annexure A" a statement
on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

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 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 it
appears from our examination of those books.

(c) The Balance Sheet, the Statement of Profit and Loss, Statement of Changes in Equity and the 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.

(e) On the basis of the written representations received from the directors as on 31^st March, 2024 taken on
record by the Board of Directors, none of the directors is disqualified as on 31^st March, 2024 from being
appointed as a director in terms of Section 164(2) of the Act.

(f) Based on our examination which included test checks, the Company has used accounting software for
maintaining its books of account, which have a feature of recording audit trail (edit log) facility and the
same has operated throughout the year for all relevant transactions recorded in the respective software.
For the periods where audit trail (edit log) facility was enabled and operated throughout the year for
the respective accounting software, we did not come across any instance of the audit trail feature being
tampered with

(g) With respect to the adequacy of internal financial controls over financial reporting of the company and
the operating effectiveness of such controls, refer to our separate report in "Annexure B."

(h) With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of
the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us -

i. The Company has disclosed the impact of pending litigations on its financial position in its financial
statements - Refer Notes 20.15 and 20.16 to the financial statements

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

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

iv. a. The management has represented that to the best of its knowledge and belief, no funds have
been advanced or loaned or invested (either from borrowed funds or share premium or any other

sources or kind of funds) by the company to or in any other persons or entities including foreign
entities ("intermediaries") with the understanding, whether recorded in writing or otherwise, that
the intermediary shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner
whatsoever ("ultimate beneficiaries") by or on behalf of the company or

• provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

b. The management has represented that to the best of its knowledge and belief, no funds have
been received by the company from any persons or entities, including foreign entities ("Funding
Parties") with the understanding, whether recorded in writing or otherwise, that the company
shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the Funding Party ("Ultimate beneficiaries") or

• provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

c. Based on such audit procedures as considered reasonable and appropriate in the circumstances,
nothing has come to our notice that has caused us to belief that the representations under sub
clause (a) and (b) above contain any material misstatement

v. The Company has neither declared nor paid any dividend during the year.

Place: Thane For H. G. Sarvaiya & Co.

Date: 28^th May 2024 Chartered Accountants

(Firm Reg No.: 115705W)

UDIN: 24045038BKAJEM6509 sd/-

H. G. Sarvaiya
Proprietor
(M No.: 45038)

---

Mar 31, 2015

We have audited the accompanying standalone financial statements of JIK INDUSTRIES LIMITED ("the Company"), which comprise the Balance Sheet as at March 31,2015, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

MANAGEMENT'S RESPONSIBILITY FOR THE STANDALONE FINANCIAL STATEMENTS

The Company's Board of Directors is responsible for the matters in section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation and presentation 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 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 the maintenance of adequate accounting records 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 design, implementation and maintenance of adequate internal financial controls, 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 are free from material misstatement, whether due to fraud or error.

AUDITOR'S RESPONSIBILITY

Our responsibility is to express an opinion on these standalone 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 there under.

We have conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act. 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 financial control relevant to the Company's preparation of the financial statements that give true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by 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 standalone financial statements.

OPINION

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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 31,2015;

b) in the case of the Statement of Profit and Loss, of the loss for the period ended on that date; and

c) in the case of the Cash Flow Statement, of the cash flows for the period 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 a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

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 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 books;

c) The Balance Sheet, the 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 standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;

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

f) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us :

i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 25(B)(1) to the financial statements;

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

iii. There were no amounts required to be transferred to the Investor Education and Protection Fund by the Company.

ANNEXURE TO THE AUDITORS' REPORT

Issued by the Central Government under sub section 11 of section 143 of the Companies Act, 2013, (18 of 2013) Referred to in paragraph 1 of our report of even date

i) In respect of its fixed assets:

a. The company is in the process of maintaining proper records for 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.

ii) In respect of inventory of raw material, stores and operating supplies:

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

b. The procedures of the 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 have been appropriately dealt with in the books of account.

iii) In respect of the loans, secured or unsecured, given/taken by the company from companies, firms or other parties covered in the register maintained u/s.189 of the Companies Act, 2013.

a. The repayment of principal amounts and interest during the year has been as per stipulation.

b. There are no overdue amounts of more than Rs. 100,000/- outstanding at the year-end.

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

v) The Company has not accepted any deposits, as such the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under, were not applicable.

vi) We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for the maintenance of cost records under section 148(1) of the Companies Act, 2013 in respect of its products and are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. However, we have not carried out a detailed examination of the accounts and records with a view to determine whether these are accurate or complete.

vii) (a) According to the information and explanations given to us the following undisputed statutory dues were outstanding as per books of accounts as at March 31,2015, for a period of more than six months from the date they became payable are;

Name of the statue Nature of the dues Period to which Amount relates

Sales Tax Act. Sales Tax 2002-03

Sales Tax Act. Sales Tax 2005-06

MVAT Act Vat 2013-14

ESIC Act ESIC 2014-15

Profession Tax Act Profession Tax 2014-15

Name of the statue Amount (In Lacs.)

Sales Tax Act. 0.86

Sales Tax Act. 2.17

MVAT Act 0.40

ESIC Act 0.57

Profession Tax Act 0.12

(b) According to the records of the Company, the dues of Income Tax which have not been deposited on account of disputes are as under:

Name of the statue Nature of dues Amount(In Lacs) Period which the amount relates

Income Tax Act Income Tax 39.67 1995-96 (*)

Income Tax Act Income Tax 156.70 2000-01

Income Tax Act Income Tax 372.69 2001-02

Income Tax Act Income Tax 2259.25 2005-06

Income Tax Act Income Tax 0.10 2006-07

Income Tax Act Income Tax 273.54 2007-08

Income Tax Act Income Tax 768.26 2008-09

Income Tax Act Income Tax 4005.22 2009-10

Income Tax Act Income Tax 4156.24 2010-11



Name of the statue Forum where disputes pending

Income Tax Act Income Tax Appellate Tribunal, Mumbai.

Income Tax Act Commissioner of Income Tax, Mumbai City II.

Income Tax Act Commissioner of Income Tax, Mumbai City II.

Income Tax Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax Act Income Tax Appellate Tribunal, Mumbai.

Income Tax Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax Act Commissioner of Income Tax, (Appeals) Mumbai.

(*) ITAT (Mumbai) vide its order dated 23.10.2012 has partly allowed the appeal. Order giving effect for the same is awaited.

(c) There were no amounts required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules made thereunder.

viii) The Company as at March 31,2015 has completely eroded its net worth and the Company has incurred cash losses during the financial year and also in immediately preceding financial year.

ix) According to the information and explanations given to us, the Company has not defaulted in repayment of dues to financial institutions and banks.

x) In our opinion and according to the information and explanations given to us, the company has not given any guarantee.

xi) In our opinion and according to the information and explanations given to us, no term loans have been obtained during the year under review.

xii) 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 MOTILAL & ASSOCIATES Chartered Accountants Registration No.:106584W

Place: Mumbai (M L JAIN) Date: 25th May, 2015 Partner Membership No. 36811

---

Jun 30, 2014

We have audited the accompanying financial statements of JIK INDUSTRIES LIMITED (the Company), which comprise the Balance Sheet as at June 30, 2014, and the Statement of Profit and Loss and Cash Flow Statement for the year 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 sub- section (3C) of section 211 of the Companies Act, 1956 ("the Act"). 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

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 Company''s preparation and fair presentation of the 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 the 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 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 June 30, 2014;

b) in the case of the Statement of Profit and Loss, of the loss 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

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. 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;

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 and Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in sub- section (3C) of section 211 of the Act;

e) on the basis of written representations received from the directors as on June 30, 2014, and taken on record by the Board of Directors, none of the directors is disqualified as on June 30, 2014, from being appointed as a director in terms of clause (g) of sub- section (1) of section 274 of the Act.

ANNEXURE TO THE AUDITORS'' REPORT Referred to in paragraph 1 of our report of even date

i) In respect of its fixed assets:

a. The company is in the process of maintaining proper records for 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. The Company has not disposed of any substantial part of its fixed assets so as to affect its going concern status.

ii) In respect of inventory of raw material, stores and operating supplies:

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

b. The procedures of the 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 have been appropriately dealt with in the books of account.

iii) In respect of the loans, secured or unsecured, given/ taken by the company from companies, firms or other parties covered in the register maintained u/s. 301 of the Companies Act, 1956.

a. At the year end, the outstanding balance of such loans aggregated Rs.1,84,46,153/- and maximum amount outstanding during the year amounted to Rs. 2,47,58,631/-.

b. The terms and conditions of such loans are, in our opinion, prima facie, not prejudicial to the interest of the company.

c. The repayment of principal amounts and interest during the year has been as per stipulation.

d. There are no overdue amounts outstanding at the year-end.

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

v) In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956;

a. To the best of our knowledge and belief and according to the information and explanations given to us, transactions that needed to be entered into the register have been so entered.

b. According to the information and explanations given to us, the transactions made in pursuance of contract or arrangements with parties during the year have been made at prices which are reasonable having regard to prevailing market prices at that time.

vi) In our opinion and according to the information and explanations given to us the company has not accepted deposits in terms of the provisions of section 58A and 58AA or any other relevant provisions of the Act and the rules framed there under.

vii) We are informed that the company has appointed a firm of chartered accountant to take care of internal audit.

viii) We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1)(d) of the Companies Act, 1956 in respect of its products and are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. However, we have not carried out a detailed examination of the accounts and records with a view to determine whether these are accurate or complete.

ix) (a) According to the information and explanations given to us the following undisputed statutory dues were outstanding as per books of accounts as at June 30, 2014, for a period of more than six months from the date they became payable are;

Name of the Nature of the Period to which Amount statue dues Amount relates (In Lacs.)

Sales Tax Act. Sales Tax 2002-03 0.86

Sales Tax Act. Sales Tax 2005-06 2.17

(b) According to the records of the Company, the dues of Income Tax which have not been deposited on account of disputes are as under:

Name of the Nature of Amount Period which the statue dues (In Lacs) amount relates

Income Tax Income 39.67 1995-96 Act Tax (*)

Income Tax Income 656.65 2000-01 Act Tax

Income Tax Income 372.69 2001-02 Act Tax

Income Tax Income 9.59 2002-03 Act Tax (#)

Income Tax Income 48.78 2003-04 Act Tax (##)

Income Tax Income 313.67 2004-05 Act Tax ($)

Income Tax Income 0.10 2004-05 Act Tax

Income Tax Income 2259.15 2005-06 Act Tax

Income Tax Income 0.10 2005-06 Act Tax

Income Tax Income 0.10 2006-07 Act Tax

Income Tax Income 273.44 2007-08 Act Tax

Income Tax Income 0.10 2007-08 Act Tax

Income Tax Income 768.16 2008-09 Act Tax

Income Tax Income 0.10 2008-09 Act Tax

Income Tax Income 4005.12 2009-10 Act Tax

Income Tax Income 0.10 2009-10 Act Tax

Income Tax Income 4156.14 2010-11 Act Tax

Income Tax Income 0.10 2010-11 Act Tax

-Nmae of the statues Forum where disputes pending

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Commissioner of Income Tax, Mumbai City II.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

Income Tax /Act Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax /Act Income Tax Appellate Tribunal, Mumbai.

(*) ITAT (Mumbai) vide its order dated 23.10.2012 has partly allowed the appeal. Order giving effect for the same is awaited.

(**) CIT (A) - 5 (Mumbai) vide its order dated 15.03.2013 has partly allowed the appeal. Order giving effect for the same is awaited.

(#) CIT (A) - 38 (Mumbai) vide its order dated 30.04.2014 has allowed the appeal. Order giving effect for the same is passed vide order dated 22.07.2014.

(##) CIT (A) - 38 (Mumbai) vide its order dated 07.11.2013 has allowed our appeal. Order giving effect for the same is passed vide order dated 25.06.2014.

($) CIT (A) - 38 (Mumbai) vide its order dated 07.11.2013 has allowed our appeal. Order giving effect for the same is passed vide order dated 25.06.2014.

x) The accumulated losses of the Company as at June 30, 2014 are more than fifty percent of its net worth at the year end and the Company has incurred cash losses during the financial year and also in immediately preceding financial year.

xi) According to the information and explanations given to us, the Company has not defaulted in repayment of dues to financial institutions and banks.

xii) According to the information and explanations given to us, the Company has not granted any 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) 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) are not applicable to the company.

xv) In our opinion and according to the information and explanations given to us, the company has not given any guarantee.

xvi) In our opinion and according to the information and explanations given to us, no term loans have been obtained during the year under review.

xvii) According to the records examined by us and the information and explanations given to us, on an overall basis, funds raised on short-term basis have, prima facie, not been used during the year for long-term investments.

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

xix) The company has not issued Debentures during the year and hence the provisions of clause 4(xix) are not applicable to the company.

xx) In our opinion and according to the information and explanations given to us, the company has not raised any money by public issue during the year covered by our report.

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 MOTILAL & ASSOCIATES Chartered Accountants Registration No.:106584W

Place: Mumbai (M.L.JAIN) Date : 28th August, 2014 Proprietor M. No. 36811

---

Jun 30, 2012

1. We have audited the attached Balance Sheet of M/s JIK INDUSTRIES LIMITED as at June 30, 2012 and the statement of Profit and Loss for the year ended on that date, both 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. These Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. 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 Companies (Auditors' Report) (Amendment) Order, 2004, issued by the Central Government in terms of Section 227(4A) 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.

4. Further to our comments in the Annexure referred to in paragraph 3 above, we report as

follows:

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 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;

. In our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this report are in compliance 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 June 30, 2012 and taken on record by the Board of Directors, we report that none of the directors are disqualified as on June 30,2012, from being appointed as a director in terms of section 274 (1) (g) 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 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 the affairs of the Company as at June 30, 2012; ii) In the case of the Statement of Profit & Loss, of the Profit for the year ended on that date and iii) In the case of the Cash Flow Statement, of the Cash Flows for the year ended on that date.

ANNEXURE TO THE AUDITORS' REPORT

Referred to in paragraph 3 of our report of even date

i) In respect of its fixed assets:

a. The company is in the process of maintaining proper records for 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. The Company has not disposed of any substantial part of its fixed assets so as to affect its going concern status.

ii) In respect of inventory of raw material, stores and operating supplies:

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

b. The procedures of the 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 have been appropriately dealt with in the books of account.

iii) In respect of the loans, secured or unsecured, given/taken by the company from companies, firms or other parties covered in the register maintained u/s. 301 of the Companies Act, 1956.

a. At the year end, the outstanding balance of such loans aggregated Rs.2,90,53,949/- and maximum amount outstanding during the period amounted to Rs. 3,16,20,975/-.

b. The terms and conditions of such loans are, in our opinion, prima facie, not prejudicial to the interest of the company.

c. The repayment of principal amounts and interest during the period has been as per stipulation.

d. There are no overdue amounts outstanding at the period-end.

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

v) In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956;

a. To the best of our knowledge and belief and according to the information and explanations given to us, transactions that needed to be entered into the register have been so entered.

b. According to the information and explanations given to us, the transactions made in pursuance of contract or arrangements with parties during the period have been made at prices which are reasonable having regard to prevailing market prices at that time.

vi) In our opinion and according to the information and explanations given to us the company has not accepted deposits in terms of the provisions of section 58A and 58AA or any other relevant provisions of the Act and the rules framed there under.

vii) We are informed that the company is in the process of appointing a firm of chartered accountants to take care of internal audit.

viii) We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for the maintenance of cost records under section 209(1 )(d) of the Companies Act, 1956 in respect of its products and are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. However, we have not carried out a detailed examination of the accounts and records with a view to determine whether these are accurate or complete.

ix) (a) According to the information and explanations given to us the following undisputed statutory dues were outstanding as per books of accounts as at June 30, 2012, for a period of more than six months from the date they became payable are;

Name of the statue Nature of the dues Period to which Amount(ln Rs.) Amount relates

Sales Tax Act. Sales Tax 2002-03 85,579

Sales Tax Act. Sales Tax 2003-04 1,475,888

Sales Tax Act. Sales Tax 2004-05 844,650

Sales Tax Act. Sales Tax 2005-06 216,607

(b) According to the records of the Company, the dues of Income Tax which have not been deposited on account of disputes are as under:

Name of the Nature of Amount Period which the Forum where statue dues (In Rs) amount relates disputes pending

Income Tax Act Income Tax 39,67,311 1995-96 Income Tax Appellate Tribunal, Mumbai

Income Tax Act Income Tax 6,56,65,216 2000-01 Commissioner of Income Tax, (Appeals) Mumbai. Income Tax Act Income Tax 3,72,68,974 2001-02 Commissioner of Income Tax, Mumbai City II.

Income Tax Act Income Tax 9,58,579 2002-03 Income Tax Appellate Mumbai

x) The accumulated losses of the Company as at June 30,2012 are more than fifty percent of its net worth at the year end and the Company has not incurred cash losses during the financial year and also in the immediately preceding financial period.

xi) According to the information and explanations given to us, the Company has not defaulted in repayment of dues to financial institutions and banks. The Company has not issued debentures during the year.

xii) According to the information and explanations given to us, the Company has not granted any 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) 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) are not applicable to the company.

xv) In our opinion and according to the information and explanations given to us, the company has not given any guarantee.

xvi) In our opinion and according to the information and explanations given to us, no term loans have been obtained during the year under review.

xvii) According to the cash flow statement and other records examined by us and the information and explanations given to us, on an overall basis, funds raised on short-term basis have, prima facie, not been used during the period for long-term investments.

xviii) During the period, the company has made allotment of shares to parties covered in the register maintained under section 301 of the Companies Act, 1956 as per Hon'ble BIFR orders.

xix) The company has not issued Debentures during the year and hence the provisions of clause 4(xix) are not applicable to the company.

xx) In our opinion and according to the information and explanations given to us, the company has not raised any money by public issue during the year covered by our report except private placement of shares.

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 MOTILAL& ASSOCIATES

Chartered Accountants

Registration No.:106584W

(M.L.JAIN)

Place: Mumbai Proprietor

Date : August 29, 2012 M. No. 36811

---

Mar 31, 2010

1. We have audited the attached Balance Sheet of M/s JIK INDUSTRIES LIMITED as at March 31,2010, the Profit and Loss Account and the Cash Flow Statement of the Company for the period ended on that date, both 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 auditing standards generally accepted in India. These Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. 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, issued by the Central Government in terms of Section 227(4A) 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.

4. Further to our comments in the Annexure referred to in paragraph 3 above, we report as follows:

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 books;

c. The Balance Sheet, Profit and Loss Account and 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 Statement dealt with by this report are in compliance 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 said accounts 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 the affairs of the Company as at March 31,2010;

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

iii) In the case of the Cash Flow Statement, of the Cash Flows for the period ended on that date. *

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

ANNEXURE TO THE AUDITORS REPORT

Referred to in paragraph 3 of our report of even date i) In respect of its fixed assets:

a. The company is in the process of maintaining proper records for 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 period 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. The Company has not disposed of any substantial part of its fixed assets so as to affect its going concern status.

ii) In respect of inventory of raw material, stores and operating supplies:

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

b. The procedures of the 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 have been appropriately dealt with in the books of account.

iii) The Company has not given any loans, secured or unsecured, to companies, firms and other parties covered in the register maintained u/s. 301 of the Companies Act, 1956. Accordingly, Clause iii (b), (c), & (d) of the said order were not applicable.

The Company has not taken any loans, secured or unsecured, from companies, firms and other parties covered in the register maintained u/s. 301 of the Companies Act, 1956. Accordingly, Clause iii (f), & (g) of the said order were not applicable.

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 purchase of inventory, fixed assets and with regards to the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weakness in internal control.

v) In respect of transactions entered in the register maintained in pursuance of section 301 of the Companies Act, 1956;

a. To the best of our knowledge and belief and according to the information and explanations given to us, transactions that needed to be entered into the register have been so entered.

b. According to the information and explanations given to us, the transactions made in pursuance of contract or arrangements with parties during the period have been made at prices which are reasonable having regard to prevailing market prices at that time.

vi) In our opinion and according to the information and explanations given to us the company has not accepted deposits in terms of the provisions of section 58A and 58AA or any other relevant provisions of the Companies Act, 1956.

vii) We are informed that the company is in the process of appointing a firm of chartered accountants to take care of internal audit.

viii) We have been informed by the Company that the Central Government has not prescribed maintenance of cost records under section 209(1) (d) of the Companies Act, 1956 for the product of the Company.

ix) (a) According to the information and explanations given to us the following undisputed statutory dues were outstanding as per books of accounts as at March 31,2010, for the period of more than six months;

Name of Nature of Period to which Amount the statue the dues Amount relates (In Rs.)

Income Tax Act. Interest u/s 201(1 A) 2000-01 3,178

Sales Tax Act. Sales Tax 2000-01 10,460

Sales Tax Act. Sales Tax 2001-02 17,291

Sales Tax Act. Sales Tax 2002-03 259,286

Sales Tax Act. Sales Tax 2003-04 1,475,888

Sales Tax Act. Sales Tax 2004-05 844,650

Sales Tax Act. Sales Tax 2005-06 216,607

Income Tax Act T.D.S. dues 2002-03 46,757

Income Tax Act T.D.S. dues 2003-04 60,714

(b) According to the records of the Company, the dues of Income Tax which have not been deposited on account of disputes are as under:

Name of the Nature of Amount Period statue dues (In Rs) which the amount relates Income Tax Act Income Tax 39,67,311 1995-96

Income Tax Act Income Tax 6,56,65,216 2000-01

Income Tax Act Income Tax 3,72,68,974 2001-02

Name of the Forum where disputes Statue pending

Income Tax Income Tax Appellate Tribunal, Mumbai

Income Tax Commissioner of Income Tax, (Appeals) Mumbai.

Income Tax Commissioner of Income Tax, Mumbai City II.

x) The Company does not have accumulated losses as on March 31,2010 and the Company has not incurred cash losses during the financial period but it had incurred cash losses in the immediately preceding financial year.

xi) According to the information and explanations given to us, the Company has not defaulted in repayment of dues to financial institutions and banks. The Company has not issued debentures during the period.

xii) According to the information and explanations given to us, the Company has not granted any 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 (Audit Report) order, 2003 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 provision of clause 4(xiv) of the Companies (Audit Report) order, 2003 are not applicable to the company.

xv) In our opinion and according to the information and explanations given to us, the company has not given any guarantee.

xvi) In our opinion and according to the information and explanations given to us, no term loans have been obtained during the period under review.

xvii) According to the cash flow statement and other records examined by us and the information and explanations given to us, on an overall basis, funds raised on short-term basis have, prima facie, not been used during the period for long-term investments.

xviii) During the period, the company has made allotment of shares to parties covered in the register maintained under section 301 of the Companies Act, 1956 as per Honble BIFR orders.

xix) The company has not issued Debentures during the period and hence we have no comments to offer in respect of clause 4(xix) of the Companies (Audit Report) order, 2003.

xx) In our opinion and according to the information and explanations given to us, the company has not raised any money by public issue during the period covered by our report except private placement of shares.

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 MOTILAL & ASSOCIATES

Chartered Accountants Registration No.:106584W

M.LJAIN

Proprietor

Membership No. 36811

Place: Mumbai

Dated: June 18,2010