Auditor Report of Krishna Engineering Works Ltd.

Mar 31, 2013

We have audited the accompanying financial statements of Krishna Engineering Works Limited, which comprise the Balance Sheet as at March 31, 2013, and 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 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.

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.


M,9876608525, 9876708525


We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit 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 March 31, 2013;

b) In the case of the Profit and Loss Account, of the profit/ 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.

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, Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956;

e) On the basis of written representations received from the directors as on March 31, 2013, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2013, from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

The Annexure referred to in paragraph 1 of the Our Report of even date to the members of Krishna Engineering Works Limited. On the accounts of the company for the year ended 31st March, 2013.

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

(b) As explained to us, fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification.

(c) In our opinion and according to the information and explanations given to us, no fixed asset has been disposed off during the year and therefore does not affect the going concern assumption.

2. (a) As explained to us, inventories have been physically verified during the year by the management at reasonable intervals.

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

(c) In our opinion and on the basis of our examination of the records, the Company is generally maintaining proper records of its inventories. No material discrepancy was noticed on physical verification of stocks by the management as compared to book records.

3. (a) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not granted any loans, secured or unsecured, to companies, firms or other parties listed in the register maintained under Section 301 of the Companies Act, 1956. Consequently, the provisions of clauses iii (b), iii(c) and iii (d) of the order are not applicable to the Company.

(e) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not taken any loan from companies, firms or other parties listed in the register maintained under Section 301 of the Companies Act, 1956. Thus sub clauses (f) & (g) are not applicable to the company.

4. In our opinion and according to the information and explanations given to us, there is generally an adequate internal control procedure commensurate with the size of the company and the nature of its business, for the purchase of inventories & fixed assets and payment for expenses & for sale of goods. During the course of our audit, no major instance of continuing failure to correct any weaknesses in the internal controls has been noticed.

5. According to the information and explanations provided by the management, the particulars of contracts or arrangements referred to in section 301 of the Act have been entered in the register required to be maintained under that section.

6. The Company has not accepted any deposits from the public covered under section 58A and 58AA of the Companies Act, 1956 during this year.

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

8. As per information & explanation given by the management, cost records are not maintained as prescribed by the Central Government under clause (d) of sub-section (1) of section 209 of the Act.

9. (a) According to the records of the company, the Company is not regular in depositing Statutory Dues with the appropriate authorities. Undisputed Statutory Liabilities that are in arrears as on XIst March, 2013 for a period of more than six months from the date they became payable is C.S.T. Payable- Rs. 5965579, V.A.T. Payable- Rs. 3319668, P.S.T. Payable- Rs. 247771, E.S.I. Payable- Rs. 1156406.

(b) According to the information and explanations given to us, there is no amount payable in respect of income tax, wealth tax, service tax, sales tax and excise duty which have not been deposited on account of any disputes.

10. The accumulated loss of the Company is more than 50% of its Net Worth. The Company has incurred cash loss during the financial year covered by our audit and in the immediately preceding financial year.

11. The Company has defaulted in repayment of dues to financial institutions, banks & debenture holders. According to company's management, case is lying with BIFR, so no payment has been made.

12. According to the information and explanations given to us, the Company has not granted any loan or advance on the basis of security by way of pledge of shares, debentures and other securities.

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

14. According to information and explanations given to us, the Company is not trading in Shares, Mutual funds & other Investments.

15. According to the information and explanations given to us, the Company has not given any guarantee for loan taken by others from a bank or financial institution.

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

17. Based on the information and explanations given to us and on an overall examination of the Balance Sheet of the Company as at 31st March, 2013, we report that funds raised on short-term basis have been used for long-term investment by the Company.

18. Based on the audit procedures performed and the information and explanations given to us by the management, we report that the Company has not made any preferential allotment of shares during the year.

19. The Company has not raised any money by public issue during the year.

20. Based on the audit procedures performed and the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year, nor we have been informed of such case by the management.



For Brij Aggarwal & Associates.

Chartered Accountants

FRN: 009435N



Brij Aggarwal

(Partner)

Date: 10.08.2013 m. No.: 016974

Place: Jalandhar

---

Mar 31, 2012

1. We have audited the attached balance sheet of M/S KRISHNA ENGINEERING WORKS LTD. as at 31-03-Uand the Profit and Loss and also the Cash Flow statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those standard 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 & the disclosures in the financial statements. An audit also includes assessing the accounting principles used & the significant estimates made by management, as well as evaluating the overall financial statements presentation. We believe that our audit provides a reasonable basis for our opinion.

3. As required by the Companies {Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub sec. (4A) of section 227 of the Companies Act, 1956, We enclose in the annexure a statement on the matters specified in paragraph 4 and 5 of the said order.

4. Further to our comments in the annexure referred to above and the note VII given herein below we report that :

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

ii) In our opinion , proper books of account as required by law have been kept by the company so far as appears from our examination of those books subject to note (vii) below.

iii) . The balance Sheet, Profit & Loss and Cash Flow statement dealt with by this report are in agreement with the books of accounts subject to note (vii) below:

iv) In our opinion , the balance sheet, profit and loss and cash flow state- -ments dealt with by this report comply with the accounting standards referred to in sub section .(3C) of section 211 of the Companies Act, 1956 to the extent applicable except accounting standard 15 in regard to Leave encashment benefits to employee, which are accounted for on cash basis and provision for gratuity which has also not been made during the year.

v) On the basis of written representations received from the directors and the information and explanations given to us, none of the directors is as on 31s'March 2012, prime facie disqualified from being appointed as a director in terms of clause (g) of subsection (1) of section 274 of the Companies Act, 1956.

vi) In our opinion and to the best of our knowledge and according to the explanation given to us, the said accounts read together with & subject to notes attached therewith and subject to points in clause

(vii) give the information required by the Companies Act, 1956 , in the manner so required give a true and fair view in conformity with the accounting principles generally accepted in India.

a) In the case of the balance sheet of the state of affairs of the Company as at 31st March 2012,

b) In case of the profits loss a/c, of the loss for the year ended on that date.

c) in case of cash flow statement, of the cash flows for the year ended on that date.

vii) a) The Company has shown net loss of Rs. 589.60 Lacs it is less due to non providing for interest to financial institutions and banks . Actual amount of balance outstanding to these financial institutions L.I.C, G.I.C. and PSIDC can not be verified by us due to non availability of information.

b) The quantitative figure with respect to Purchase/sales & stock of trading goods has not been given separately in notes of accounts.

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

b) As explained to us, all the assets have been physically verified by the management at the year end. According to the information and explanation given to us, no material discrepancies were noticed on such verification as compared to book records.

c) The company has not disposed off its fixed assets during the year.

2. a) We have been told that the inventory has been physically verified during the year by the Management at reasonable intervals.

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

c) Discrepancies noticed on verification between the physical stocks & the book record in respect of manufacturing goods were not material and have been properly dealt within the books of account.

3. As explained to us company has not taken/granted any loan from/to the -companies whose name are required to be entered into the register maintained under section 301 of Companies act, 1956.

4. In our opinion and according to the information and explanations given to us, there is adequate internal control procedure 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 the sale of goods. During the course of our audit we have not observed any continuing failure to correct major weakness in internal control.

5.The Company has not maintained any register under sec.301 of the Companies Act, 1956.

6. As explained to us the company has not accepted any public deposits during the year.

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

8. As explained to us , the Central Government has not prescribed maintenance of cost records U/s 209 (1) (d) of the Companies Act, 1356 for any of the products of the Company.

9, The Company is not regular in depositing with appropriate authorities. ESI Rs. 1053604.00 has not been paid. Detail of undisputed liabilities exceeding six months were in arrears is as under

S, No, Particulars Amount 1. C.S.T. Payable 59,65,579

2. P.S.T. Payable 2,47,771

3. VAT Payable 33,19,668

4. Gratuity Payable 10,75,070

10. The accumulated losses of the company are more than 50 % of its worth. The Company has not incurred cash losses during the financial year covered by our audit but in the immediately preceding financial year there were cash losses.

11. The company has defaulted in repayment of dues to Banks , Financial Institutions and Debenture holders complete details with respect to which cannot be provided as the necessary records have not been made available to us.

12 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.

13 In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund/society.

14 As explained to us the co. is not dealing or trading in shares, securities, debentures or other investments.

15 As explained to us, the company has not given any guarantee for loans taken by others from Bank or financial institution.

16 During the years, no fresh loans were raised by the company.

17 The company has used short term funds for long term investments during the year.

18 As explained to us, the company has not made any preferential shares to parties and companies whose name is required to be entered in the register u/s 301 of the Company Act,19S6

19 As explained to us the company has not issued any debentures during the year.

20 As explained to us, no fraud on or by the company has been noticed or reported during the years.

For BRIJ AGGARWAL & ASSOCIATE

CHARTERED ACCOUNTANT

(BRIJ AGGARWAL

Partner

Date: 10.11.2012

Place: Jalandhar

---

Mar 31, 2011

1. We have audited the attached balance sheet of M/S KRISHNA ENGINEERING WORKS LTD. as at 31-03-11 and the Profit and Loss and also the Cash Flow statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those standard 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 & the disclosures in the financial statements. An audit also includes assessing the accounting principles used & the significant estimates made by management, as well as evaluating the overall financial statements presentation. We believe that our audit provides a reasonable basis for our opinion.

3. As required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub sec. (4A) of section 227 of the Companies Act, 1956, We enclose in the annexure a statement on the matters specified in paragraph 4 and 5 of the said order.

4. Further to our comments in the annexure referred to above and the note VII given herein below we report that :

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

ii) In our opinion , proper books of account as required by law have been kept by the company so far as appears from our examination of those books subject to note (vii) below.

iii) The balance Sheet, Profit & Loss and Cash Flow statement dealt with by this report are in agreement with the books of accounts subject to note (vii) below :

iv) In our opinion , the balance sheet, profit and loss 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 to the extent applicable except accounting standard 15 in regard to Leave encashment benefits to employee, which are accounted for on cash basis and provision for gratuity which has also not been made during the year.

v) On the basis of written representations received from the directors and the information and explanations given to us, none of the directors is as on 31st March 2011, prime facie disqualified from being appointed as a director in terms of clause (g) of sub section (1) of section 274 of the Companies Act, 1956.

vi) In our opinion and to the best of our knowledge and according to the explanation given to us, the said accounts read together with & subject to notes attached therewith and subject to points in clause (iv) & (vii) give the information required by the Companies Act, 1956 , in the manner so required give a true and fair view in conformity with the accounting principles generally accepted in India.

a) In the case of the balance sheet of the state of affairs of the Company as at 31st March, 2011.

b) In case of the profit & loss a/c, of the loss for the year ended on that date.

c) In case of cash flow statement, of the cash flows for the year ended on that date.

vii) a) The Company has shown net loss of Rs. 150.44 Lacs it is less due to non providing for interest to financial institutions and banks . Actual amount of balance outstanding to these financial institutions L.I.C. G.I.C. and PSIDC can not be verified by us due to non availability of information.

b) The quantitative figure with respect to Purchase/sales & stock of trading goods has not been given separately in notes of accounts.

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

b) As explained to us, all the assets have been physically verified by the management at the year end. According to the information and explanation given to us, no material discrepancies were noticed on such verification as compared to book records.

c) The company has not disposed off its fixed assets during the year.

2. a) We have been told that the inventory has been

physically verified during the year by the Management at reasonable intervals.

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

c) Discrepancies noticed on verification between the physical stocks & the book record in respect of manufacturing goods were not material and have been properly dealt within the books of account.

3. As explained to us company has not taken/granted any loan from/to the companies whose name are required to be entered into the register maintained under section 301 of Companies act, 1956.

4. In our opinion and according to the information and explanations given to us, there is adequate internal control procedure 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 the sale of goods. During the course of our audit we have not observed any continuing failure to correct major weakness in internal control.

5. The Company has not maintained any register under sec.301 of the Companies Act, 1956.

6. As explained to us the company has not accepted any public deposits during the year.

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

8. As explained to us , the Central Government has not prescribed maintenance of cost records U/s 209 (1) (d) of the Companies Act, 1956 for any of the products of the Company.

9. The Company is not regular in depositing with appropriate authorities. ESI Rs.7,21,440 has not been paid. Detail of undisputed liabilities exceeding six months were in arrears is as under:

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

S.No. Particulars Amount

1. C.S.T Payable 59,65,579

2. P.S.T. Payable 2,47,771

3. VAT Payable 33,19,668

10. The accumulated losses of the company are more than 50% of its worth. The Company has not incurred cash losses during the financial year covered by our audit but in the immediately preceding financial year there were cash losses.

11. The company has defaulted in repayment of dues to Banks, Financial Institutions and Debenture holders complete details with respect to which can not be provided as the necessary records have not been made available to us.

12. 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.

13. In our opinion, the company is not a chit fund or a nidhi/ mutual benefit fund/society.

14. As explained to us the co. is not dealing or trading in shares, securities, debentures or other investments.

15. As explained to us, the company has not given any guarantee for loans taken by others from Bank or financial institution.

16. During the years, no fresh loans were raised by the company.

17. The company has used short term funds for long term investments during the year.

18. As explained to us, the company has not made any preferential shares to parties and companies whose name is required to be entered in the register u/s 301 of the CompanyAct,1956

19. As explained to us the company has not issued any debentures during the year.

20. As explained to us, no fraud on or by the company has been noticed or reported during the years.

For Brij Aggarwal & Associates

Chartered Accountants

Place: Jalandhar (BRIJ AGGARWAL)

Dated: 12.08.2011 Partner, M.No. 16974

---

Mar 31, 2010

1. We have audited the attached balance sheet of M/S KRISHNA ENGINEERING.WORKS LTD. as at 31-03-10 and the Profit and Loss and also the Cash Flow statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Companys management.Our responsibility is to express an opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those standard 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 & the disclosures in the financial statements.An audit also includes assessing the accounting principles used & the significant estimates made by management,as well as evaluating the overall financial statements 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 Governmentof India in terms of sub sec. (AA) of section 227 of the Companies Act, 1956, We enclose in the annexure a statement on the matters specified in paragraph 4 and 5 of the said order.

4. Further to our comments in the annexure referred to above,and the note VII given herein below we report that :

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

ii) In our opinion , proper books of account as required by law have been kept by the company so far as appears from our examination of those books subject to note (vii) below.

iii) The balance Sheet, Profit & Loss and Cash Flow statement dealt with by this report are in agreement with the books of accounts subject to note (vii) below :

iv) In our opinion , the balance sheet, profit and loss and cash flow state-ments dealt with by this report comply with the accounting standards referred to in sub section .(3C) of section 211 of the Companies Act, 1956 to the extent applicable except accounting standard 15 in regard to Leave encashment benefits to employee, which are accounted for on cash basis and provision for gratuity which has also not been made during the year.

v) On the basis of written representations received from the directors and the information and explanations given to us, none of the directors is as on 31st March 2010, prime facie disqualified from being appointed as a director in terms of clause (g) of sub section (1) of section 274 of the Companies Act, 1956.

vi) In our opinion and to the best of our knowledge and according to the explanation given to us, the said accounts read together with & subject to notes attached therewith and subject to points in clause (iv) & (vii) give the information required by the Companies Act, 1956 , in the manner so required give a true and fair view in conformity with the accounting principles generally accepted in India.

a) In the case of the balance sheet of the state of affairs of the Company as at 31st March, 2010.

b) In case of the profit & loss a/c, of the loss for the year ended on that date.

c) In case of cash flow statement, of the cash flows for the year ended on that date.

vii) a) The Company has shown net loss of Rs. 945.01 Lac it is less due to non charging of interest to financial institutions and banks. Actual amount of balance outstanding to these financial institutions L.I.C, G.I.C, L & T Finance Ltd. & PSIDC can not be verified by us due to non availability of information.

b) The quantitative figure with respect to Purchase/sales of trading goods has not been given in notes of accounts.



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

1. a) The company has generally maintained proper

records showing full particulars including qantitative details and situation of fixed assets.

b) As explained to us, all the assets have been physically verified by the management at the year end. According to the information and explanation given to us, no material discrepancies were noticed on such verification as compared to book records.

c) The company has not disposed off substantial portion of its fixed assets

2. a) We have been told that the inventory has been

physically verified during the year by the Management at reasonable intervals.

b) In our opinion, the procedures of physical verification of inventory followed by the manag- ement are reasonable and adequate in relation to the size of the company and the nature of its business.

c) Discrepancies noticed on verification between the physical stocks & the book record in respect of manufacturing goods were not material and have been properly dealt within the books of account.

3. The Company has not maintained any register under section 301 of the Companies Act, 1956. As explained to us company has not taken any loan from the companies whose name are required to be entered into the register maintained under section 301 of Companies act, 1956.

4. In our opinion and according to the information and explanations given to us, there is adequate internal control procedure 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 the sale of goods. During the course of our audit we have not observed any continuing failure to correct major weakness in internal control.

5. The Company has not maintained any register under sec.301 of the Companies Act, 1956.

6. As explained to us the company has not accepted any public deposits during the year.

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

8. As explained to us, the Central Government has not prescribed maintenance of cost records U/s 209 (1) (d) of the Companies Act, 1956 for any of the products of the Company.

9. The Company is not regular in depositing with appropriate authorities RF. Rs. 2,03,853 and ESI Rs. 4,09,742 has not been paid. Detail of undisputed liabilities exceeding six months were in arrears is as under:

S.No. Particulars Amount

1. C.S.T Payable 59,65,579

2. P.S.T Payable 2,47,771

3. VAT Payable 33,19,668

10. The accumulated losses of the company are more than 50% of its worth. The Company has Incurred cash losses during the financial year covered by our audit and in the immediately preceeding financial year too these were cash losses.

11. The company has defaulted in repayment of dues to Banks, Financial Institutions and Debenture holders complete details with respect to which can not be provided as the necessary records have not been made available to us.

12. 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 security by way of pledge of shares, debentures and other securities.

13. In our opinion, the company is not a chit fund or a nidhi/ mutual benefit fund/society.

14. As explained to us the co. is not dealing or in trading in shares, securities, debentures or other investments.

15. As explained to us, the company has not given any guarantee for loans taken by others from Bank or financial institution.

16. During the years, no fresh loans were raised by the company.

17. The company has not raised any short term or, long term funds during the year, so this Point is not applicable.

18. As explained to us, the company has not made any preferential shares to parties and companies whose name is required to be entered in the register u/s 301 of the Company Act, 1956

19. As explained to us the company has not issued any debentures during the year.

20. As explained to us, no fraud on or by the company has been noticed or reported during the years.



For Brij Aggarwal & Associates

Chartered Accountants

Place: Jalandhar (BRIJ AGGARWAL)

Dated: 01.09.2010 Partner, M.No. 16974