ಅಡಿಟರ್ಸ್ ರಿಪೋರ್ಟ್Ramgopal Polytex Ltd.

Mar 31, 2025

RAMGOPAL POLYTEX LIMITED

Report on the Audit of Ind AS Financial Statements

Opinion

We have audited the accompanying Ind AS financial statements of Ramgopal Polytex Limited (“the Company”), which comprise the Balance Sheet as at March 31,2025 and the Statement of Profit and Loss (including Other Comprehensive Income), 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 Ind AS financial statements give the information required by the Companies Act, 2013 (herein after referred to as ‘Act’) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31,2025 and its losses and other comprehensive income, 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 Act. 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 Act 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 opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the 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.

Other Information

The Company’s Board of Directors is responsible for the other information. The other information comprises the information included in the Annual report but does not include the financial statements and our auditor’s report thereon. The Annual report is expected to be made available to us after the date of this auditor’s report.

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

In connection with our audit of the Ind As financial statements, our responsibility is to read the other information and, in doing so, consider whether such other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

When we read annual report, if we conclude that there is material misstatement therein, we are required to communicate the matter to those charged with governance.

Responsibilities of Management and those charged with governance for the Ind AS financial statements

The Company’s Board of Directors is responsible for the matters stated in Section 134(5) of the Act, with respect to the preparation of these Ind As financial statements that give a true and fair view of the financial position, financial performance (including other comprehensive income), changes in equity and cash flows of the Company in accordance with the Indian accounting standard (Ind AS) and accounting principles generally accepted in India, specified under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended. 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 Ind AS financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the Ind AS financial statements, 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 management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Company’s financial reporting process.

Auditors’ Responsibility for the Audit of the Ind AS Financial Statements

Our objectives are to obtain reasonable assurance about whether the Ind AS 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 Ind AS 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 Ind AS 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 Act, 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 the 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 Ind AS 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 Ind AS financial statements, including the disclosures, and whether the Ind AS 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.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Ind AS financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Materiality is the magnitude of misstatements in the financial statements that individually or in aggregate makes it probable that the economic decisions of a reasonably knowledgeable user of the financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) Planning the scope of our audit work and in evaluating the results of our work and (ii) To evaluate the effect of any identified misstatements in the financial statements.

Report on other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020, (“the Order”), issued by the Central Government of India in terms of sub-section (11) of Section 143 of the Act, we give in “Annexure A”, a statement on the matters specified in paragraphs 3 & 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 Prout and Loss (including other comprehensive income), the 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 Ind AS Financial Statements comply with the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act, read with relevant rules issued thereunder.

e) On the basis of the written representations received from the Directors as on March 31,2025 taken on record by the Board of Directors, none of the Directors is disqualified as on March 31, 2025 from being appointed as a Director in terms of Section 164(2) of the Act.

f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, we give our separate Report in “Annexure B”.

g) With respect to the other matters to be included in the Auditor’s Report in accordance with the requirements of Section 197(16) of the Act, as amended:

In our opinion and to the best of information and according to the explanations given to us, the remuneration paid by the Company to its Director during the year is in accordance with the provisions of Section 197 of the Act.

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 (contingent liability) on its financial position in its Ind AS financial statements - Refer Note No 34 of 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 (which are material

either individually or in the aggregate) 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 person or entity, including foreign entity (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

b. The Management has represented, that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been received by the Company from any person or entity, including foreign entity (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether, 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 on behalf of the Ultimate Beneficiaries;

c. Based on such audit procedures performed that have been considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under subclause (a) and (b) contain any material misstatement.

v. The Company has not declared or paid any dividend during the year.

i) Based on our examination, which included test checks the Company has used accounting software for maintaining its books of account for the financial year ended March 31,2025 which has feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software. Further, during the course of our audit, we did not come across any instance of the audit trail features being tampered with. Additionally, the audit trail has been preserved by the Company as per the statutory requirements for record retention.

FOR SHANKER AND KAPANI CHARTERED ACCOUNTANTS FIRM REGISTRATION NO.: 117761WPLACE: MUMBAI PAWAN KUMAR RUNGTADATED: MAY 22, 2025 PARTNERUDIN: 25042902BMKMXU1887 MEMBERSHIP No. 042902

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Mar 31, 2024

We have audited the accompanying Ind AS financial statements of Ramgopal Polytex Limited (“the Company”), which comprise the
Balance Sheet as at March 31,2024 and the Statement of Profit and Loss (including Other Comprehensive Income), 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 Ind AS financial
statements give the information required by the Companies Act, 2013 (herein after referred to as ‘Act’) in the manner so required
and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the
Company as at March 31,2024 and its losses and other comprehensive income, 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 Act. 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 Act 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 opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial
statements of the current period. These matters were addressed in the context of our audit of the 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.

Other Information

The Company’s Board of Directors is responsible for the other information. The other information comprises the information included
in the Annual report but does not include the financial statements and our auditor’s report thereon. The Annual report is expected to
be made available to us after the date of this auditor’s report.

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

In connection with our audit of the Ind As financial statements, our responsibility is to read the other information and, in doing so,
consider whether such other information is materially inconsistent with the financial statements or our knowledge obtained in the
audit or otherwise appears to be materially misstated.

When we read annual report, if we conclude that there is material misstatement therein, we are required to communicate the matter
to those charged with governance.

Responsibilities of Management and those charged with governance for the Ind AS financial statements

The Company’s Board of Directors is responsible for the matters stated in Section 134(5) of the Act, with respect to the preparation
of these Ind As financial statements that give a true and fair view of the financial position, financial performance (including other
comprehensive income), changes in equity and cash flows of the Company in accordance with the Indian accounting standard (Ind
AS) and accounting principles generally accepted in India, specified under Section 133 of the Act read with the Companies (Indian
Accounting Standards) Rules, 2015, as amended. 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 Ind AS financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the Ind AS financial statements, 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
management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Company’s financial reporting process.

Auditors’ Responsibility for the Audit of the Ind AS Financial Statements

Our objectives are to obtain reasonable assurance about whether the Ind AS 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 Ind AS
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 Ind AS 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 Act, 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 the 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 Ind AS 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 Ind AS financial statements, including the disclosures, and
whether the Ind AS 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.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in
the audit of the Ind AS financial statements of the current period and are therefore the key audit matters. We describe these matters
in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances,
we determine that a matter should not be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.

Materiality is the magnitude of misstatements in the standalone financial statements that individually or in aggregate makes it
probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced.
We consider quantitative materiality and qualitative factors in (i) Planning the scope of our audit work and in evaluating the results
of our work and (ii) To evaluate the effect of any identified misstatements in the standalone financial statements.

Report on other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020, (“the Order”), issued by the Central Government of India in
terms of sub-section (11) of Section 143 of the Act, we give in “Annexure A”, a statement on the matters specified in paragraphs
3 & 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 (including other comprehensive income), the 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 Ind AS Financial Statements comply with the Indian Accounting Standards (Ind AS) prescribed
under Section 133 of the Act, read with relevant rules issued thereunder.

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

f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating
effectiveness of such controls, we give our separate Report in “Annexure B”.

g) With respect to the other matters to be included in the Auditor’s Report in accordance with the requirements of Section
197(16) of the Act, as amended:

In our opinion and to the best of information and according to the explanations given to us, the remuneration paid by the
Company to its Director during the year is in accordance with the provisions of Section 197 of the Act.

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 (contingent liability) on its financial position in its Ind AS
financial statements - Refer Note No 36 of 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 (which are material

either individually or in the aggregate) 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 person or entity, including
foreign entity (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the
Intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the
like on behalf of the Ultimate Beneficiaries;

b. The Management has represented, that, to the best of its knowledge and belief, no funds (which are material
either individually or in the aggregate) have been received by the Company from any person or entity, including
foreign entity (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company
shall, whether, 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 on
behalf of the Ultimate Beneficiaries;

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

v. The Company has not declared or paid any dividend during the year.

i) Based on our examination, which included test checks the company has used accounting softwares for maintaining its
books of account for the financial year ended March 31,2024 which has feature of recording audit trail (edit log) facility and
the same has operated throughout the year for all relevant transactions recorded in the softwares. Further, during the
course of our audit, we did not come across any instance of the audit trail features being tampered with.

As Proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable from April 1,2023, reporting under Rule
11 (g) of the companies (Audit and Auditors) Rules, 2014 on preservation of audit trail as per the Statutory requirements for
record retention is not applicable for the financial year ended March 31,2024.

FOR SHANKER AND KAPANI
CHARTERED ACCOUNTANTS
FIRM REGISTRATION NO.: 117761W

PLACE: MUMBAI PAWAN KUMAR RUNGTA

DATED: MAY 29, 2024 PARTNER

UDIN: 24042902BKDFJS5224 MEMBERSHIP No. 042902

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Mar 31, 2014

We have audited the accompanying financial statements of M/s RAMGOPAL POLYTEX LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2014, 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 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"). (which continued to be applicable in respect of Section 133 of Companies Act, 2013 in terms of general circular 15/2013 of the Ministry of Corporate Affairs) and in accordance with the accounting principles generally accepted in India. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

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, but not for the purpose of expressing an opinion on the effectiveness of the Company''s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by 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 March 31, 2014;

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

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

Report on Other Legal and Regulatory Requirements:

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 said Order.

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

a) we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) in our opinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of those 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 sub-section (3C) of Section 211 of the Act;

e) on the basis of written representations received from the Directors as on March 31, 2014, and taken on record by the Board of Directors, none of the Directors is disqualified as on March 31, 2014, from being appointed as a Director in terms of clause (g) of sub-section (1) of Section 274 of the Act.

ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT

REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING OF ''REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS'' OF OUR REPORT OF EVEN DATE FOR THE YEAR ENDED MARCH 31, 2014.

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

b) In our opinion and according to information and explanations given to us, physical verification of fixed assets has been conducted by the management at reasonable intervals and no material discrepancies were noticed on such verification.

c) During the year, none of the fixed assets have been disposed off by the Company.

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

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

c) The Company is maintaining proper records of inventory. According to information and explanations given to us, the discrepancies noticed on physical verification of inventory as compared to book records were not material and the same have been properly dealt with by the Company in the books of account.

3. a) The Company has granted unsecured loans to a company covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs. 14,98,86,181 and year end balance of the said loan was Rs. 12,82,36,159. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. The party is repaying the principal amount, as stipulated, and is also regular in payment of interest, as applicable. There is no overdue amount as per the terms of loan granted.

b) The Company has taken unsecured loans from a company covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs. 11,06,27,174 and year end balance of the said loan was Rs. 6,61,19,335. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. The Company is regular in repayment of the principal amount and interest thereon as stipulated.

c) The Company has not taken/granted any loans, secured or unsecured, loans from/to firms or other parties listed in the said register.

4. There is an adequate internal control system commensurate with the size of the Company and the nature of its business for purchase of inventory, fixed assets and with regard to sale of goods. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in the internal controls.

5. During the year, the Company has not entered into any contract or arrangement that was required to be entered in the register required to be maintained under Section 301 of the Act.

6. The Company has not accepted any deposits from the public as per the directives issued by the Reserve Bank of India and the provisions of Sections 58A & 58AA or any other relevant provisions of the Act, and the rules framed there under.

7. The Company does not have any formal internal audit system. However, as explained effective internal control is being exercised departmentally.

8. The Central Government of India has not prescribed the maintenance of cost records under Section 209(1)(d) of the Act for the business activities carried out by the Company.

9. a) According to the records of the Company, the Company is generally regular in depositing undisputed statutory dues including Provident Fund, Investors Education and Protection Fund, Employees'' State Insurance, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities to the extent applicable. According to the information and explanations given to us, there are no undisputed amounts outstanding as at the year end for a period of more than six months from the date they became payable, except in case of Investors Education and Protection Fund of Rs. 4,21,377(Since Paid) and Sales Tax of Rs. 8,29,807.

b) According to the information and explanations given to us, there are no dues of Income Tax, Wealth Tax, Sales Tax, Service Tax, Customs Duty, Excise Duty and Cess which have not been deposited on account of any dispute except for the following:

Name of statute Nature of Amount Period to Forum where dues Rs. which dispute is amount pending pertains

Customs Duty Customs 10,22,337 1993-1994 High Court, Duty and Mumbai Penalty

10. The Company''s accumulated losses as at the end of the financial year are less than 50% of its net worth. The Company has not incurred any cash losses in the current as well as in the immediately preceding financial year.

11. The Company does not have any borrowings from bank and financial institution and has not issued any debentures.

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

13. According to the information and explanations given to us, the Company is not a chit fund or a nidhi/mutual benefit fund/society.

14. The Company is not dealing in or trading in shares, securities, debentures and other investments.

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

16. No term loans have been obtained during the year.

17. According to the information and explanations given to us and on an overall examination of the Cash Flows of the Company, we report that funds raised on short-term basis have not been used for longterm investments.

18. The Company has not made any preferential allotment of shares during the year.

19. The Company has not issued any debentures during the year.

20. The Company has not raised any money through public issue during the year.

21. To the best of our knowledge and belief and according to the information and explanations given to us, during the year, no fraud on or by the Company has been noticed or reported to/by us during the course of our audit.

For RUNGTA & ASSOCIATES Chartered Accountants (Registration No. 108888W)

Sd/- (PAWANKUMAR RUNGTA) Place: Mumbai Membership No. 42902 Dated: 30th May, 2014 Proprietor

---

Mar 31, 2012

1. We have audited the attached Balance Sheet of RAMGOPAL POLYTEX LIMITED as at 31st March, 2012, the Statement of Profit and Loss and the Cash Flow Statement of the Company for the year ended on that date annexed thereto. These Financial Statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these Financial Statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the Financial Statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the Financial Statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall Financial 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 (as amended), issued by the Central Government in terms of Section 227(4A) of the Companies Act, 1956 (hereinafter referred to as the 'Act'), we annex hereto a statement on the matters specified in paragraphs 4 and 5 of the said Order, to the extent applicable.

4. Further to our comments in the Annexure referred to in Paragraph (3) above, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) In our opinion, proper books of 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 the Cash Flow Statement dealt with by this report are in agreement with the books of account;

d) In our opinion, the Balance Sheet, the Statement of Profit and Loss and the Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Act, to the extent applicable;

e) On the basis of written representations received from the Directors and taken on record by the Board of Directors, none of the Directors is disqualified as on 31st March, 2012 from being appointed as a director of the Company under clause (g) of sub-section (1) of Section 274 of the Act;

f) In our opinion and to the best of our information and according to the explanations given to us, the said Financial Statements read together with notes thereon, particularly, Note No. 22.11 regarding appointment of Company Secretary, 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:

i. In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2012;

ii. In the case of the Statement of Profit and Loss, of the profit of the Company 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 Auditors' Report of even date on the Financial Statements of Ramgopal Polytex Limited for the year ended as on 31st March, 2012.)

On the basis of such checks as we considered appropriate and according to the records of the Company, information and explanations given to us during the course of our audit, we state that:

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

(b) As explained, the fixed assets have been physically verified by the management in accordance with the phased programme of verification adopted by the Company. In our opinion, the frequency of verification is reasonable considering the size of the Company and nature of its fixed assets. As informed, no material discrepancies were noticed on such verification.

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

2) (a) The inventory of trading goods has been physically verified by the management at reasonable intervals during the year.

(b) The procedures of physical verification of the inventory 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 physical verification of inventory as compared to book records have been properly dealt with in the books of account.

3) (a) The Company has not taken, secured or unsecured, loans from companies covered in the register maintained under Section 301 of the Act.

(b) The Company has granted unsecured loans to two companies covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs. 13,15,54,669 and year end balance of the said loan was Rs. 11,94,29,844. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. As the repayment and interest payment dates have not been stipulated, we are unable to comment whether those have been repaid/paid as stipulated.

(c) The Company has not taken/granted, secured or unsecured, loans from/to firms or other parties listed in the said register.

4) There is an adequate internal control system commensurate with the size of the Company and the nature of its business for purchase of inventory, fixed assets and with regard to sale of goods. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in the internal controls system.

5) During the year, the Company has not entered into any contract or arrangement that was required to be entered in the register required to be maintained under Section 301 of the Act.

6) The Company has not accepted any deposits from the public as per the directives issued by the Reserve Bank of India and the provisions of Sections 58A & 58AA or any other relevant provisions of the Act, and the rules framed there under, where applicable.

7) The Company does not have any formal internal audit system. However, as explained effective internal control is being exercised departmentally.

8) (a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Investors Education and Protection Fund, Employees' State Insurance, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities to the extent applicable. According to the information and explanations given to us, there are no undisputed amounts outstanding as at the year end for a period of more than six months from the date they became payable, except in case of Investors Education and Protection Fund of Rs. 4,21,377 and Sales Tax of Rs. 6,56,422.

(b) According to the information and explanations given to us, there are no dues of Income Tax, Wealth Tax, Service Tax, and Cess which have not been deposited on account of any dispute. Dues in respect of Sales Tax, and Customs & Excise Duty not deposited on account of disputes are as follows:

Name of Nature of Amount Period to Forum where statute dues Rs. which dispute is amount pending pertains

Sales Tax Sales Tax 60,08,863 1999-2000 The Deputy Commissioner of Sales tax (Appeals), Palghar, Thane.

Central Customs & 7,81,33,551 1996-1999 The Commissioner Excise & Excise of Central Customs Duty Excise (Appeals) Act, 1944

9) The Company's accumulated losses as at the end of the financial year are less than 50% of its net worth. The Company has not incurred any cash losses in the current as well as in the immediately preceding financial year.

10) The Company has kept adequate records of its transactions and contracts in respect of dealing in shares and securities and timely entries have been made therein. The shares, securities, debentures and other investments have been held in the name of the Company.

11) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions.

12) According to the information and explanations given to us and on an overall examination of the Cash Flows of the Company, we report that no funds have been raised on short-term basis.

13) To the best of our knowledge and belief and according to the information and explanations given to us, during the year, no fraud on or by the Company has been noticed or reported to/by us during the course of our audit.

For RUNGTA & ASSOCIATES Chartered Accountants (Registration No. 108888W)

(PAWANKUMAR RUNGTA) Proprietor Membership No. 42902

Place: Mumbai Dated: 30th May, 2012

---

Mar 31, 2011

1. We have audited the attached Balance Sheet of RAMGOPAL POLYTEX LIMITED as at 31st March, 2011, the Profit and Loss Account and the Cash Flow Statement of the Company for the year ended on that date annexed thereto. These Financial Statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these Financial Statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the Financial Statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the Financial Statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall Financial 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 (as amended), issued by the Central Government in terms of Section 227(4A) of the Companies Act, 1956 (hereinafter referred to as the 'Act'), we annex hereto a statement on the matters specified in paragraphs 4 and 5 of the said Order, to the extent applicable.

4. Further to our comments in the Annexure referred to in Paragraph (3) above; we report that :

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) In our opinion, proper books of 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 comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Act, to the extent applicable;

e) On the basis of written representations received from the Directors and taken on record by the Board of Directors, none of the Directors is disqualified as on 31st March, 2011 from being appointed as a director of the Company under clause (g) of sub-section (1) of Section 274 of the Act;

f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with Significant Accounting Policies and Notes appearing in Schedule '17', Particularly, Note No.11 regarding appointment of Company Secretary and those appearing elsewhere in the accounts, 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:

i. In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2011;

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

iii. In 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 Auditors' Report of even date on the Financial Statements of Ramgopal Polytex Limited for the year ended as on 31st March, 2011.)

On the basis of such checks as we considered appropriate and according to the records of the Company, information and explanations given to us during the course of our audit, we state that:

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

(b) As explained, the fixed assets have been physically verified by the management in accordance with the phased programme of verification adopted by the Company. In our opinion, the frequency of verification is reasonable considering the size of the Company and nature of its fixed assets. As informed, no material discrepancies were noticed on such verification.

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

2) (a) The inventory of trading goods has been physically verified by the management at reasonable intervals during the year and/or at the close of the year.

(b) The procedures of physical verification of the inventory 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 physical verification of inventory as compared to book records have been properly dealt with in the books of account (Refer Note No. 12(i) (3) in Schedule '17').

3) (a) The Company has taken unsecured loans from a Company covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs.1,57,16,255 and year end balance of the said loans was Rs. Nil. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. As the repayment and interest payment dates have not been stipulated, we are unable to comment whether those have been repaid / paid as stipulated.

(b) The Company has granted unsecured loans to three companies, all covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs.12,92,23,340 and year end balance of the said loan was Rs. 11,28,32,519. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. As the repayment and interest payment dates have not been stipulated, we are unable to comment whether those have been repaid / paid as stipulated.

(c) The Company has not taken / granted secured or unsecured loans from / to firms or other parties listed in the said register.

4) There is an adequate internal control system commensurate with the size of the Company and the nature of its business for purchase of inventory, fixed assets and with regard to sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in the internal controls.

5) During the year, the company has not entered into any contract or arrangement that was required to be entered in the register required to be maintained under that Section 301 of the Act.

6) The Company has not accepted any deposits from the public as per the directives issued by the Reserve Bank of India and the provisions of Sections 58A & 58AA or any other relevant provisions of the Act, and the rules framed there under, where applicable.

7) The Company does not have any formal internal audit system. However, as explained effective internal control is being exercised departmentally.

8) (a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Investors Education and Protection Fund, Employees' State Insurance, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities to the extent applicable. According to the information and explanations given to us, there are no undisputed amounts outstanding as at the year end for a period of more than six months from the date they became payable, except in case of Investors Education and Protection Fund of Rs.4, 21,377 and Sales Tax of Rs. 6,74,450.

(b) According to the information and explanations given to us, there is no Wealth Tax, Service Tax, and Cess which have not been deposited on account of any dispute. Dues in respect of Income Tax, Sales Tax, and Customs & Excise Duty not deposited on account of dispute are as follows: Name of Nature of dues Amount Period to Forum where statute Rs. which dispute amount is pending

Income Tax Income tax 13,61,533 2002-03 The Commis Act,1961 (Penalty) sioner of Income tax (Appeals)

Sales Tax Sales Tax 60,08,863 1999-2000 The Deputy Commissioner of Sales tax (Appeals), Palghar, Thane.

Central Customs & 7,81,33,551 1998-1999 The Commis Excise & sioner of Customs Act, Excise Duty Central 1944 Excise (Appeals)

9) The Company's accumulated losses as at the end of the financial year are less than 50% of its net worth. The Company has not incurred cash losses in the current as well as in the immediately preceding financial year under audit.

10) The Company has kept adequate records of its transactions and contracts in respect of dealing in shares and securities and timely entries have been made therein. The shares, securities, debentures and other investments have been held in the name of the Company except for 2,00,000 equity shares of M/S. Ramgopal Synthetics Limited of the cost of Rs.20,00,000 which are yet to be transferred in the name of the company.

11) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions.

12) According to the information and explanations given to us and on an overall examination of the Cash Flows of the Company, we report that the funds raised on short-term basis have not been used for long-term investment.

13) To the best of our knowledge and belief and according to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported to/by us during the course of our audit.

For RUNGTA & ASSOCIATES Chartered Accountants Firm Registration No. 108888W

(PAWANKUMAR RUNGTA) Proprietor Membership No. 42902

Place : Mumbai Date : 30th May, 2011

---

Mar 31, 2010

1. We have audited the attached Balance Sheet of RAMGOPAL POLYTEX LIMITED as at 31st March, 2010, the Profit and Loss Account and the Cash Flow Statement of the Company for the year ended on that date annexed thereto. These Financial Statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these Financial Statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the Financial Statements are free of material misstatement. An audit includes examinings, 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 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 (as amended), issued by the Central Government in terms of Section 227(4A) of the Companies Act, 1956 (here inafter referred to as the "Act"), we annex hereto a statement on the matter specified in paragraphs 4 and 5 of the said Order, to the extent applicable.

4. Without qualifying our opinion, we draw attention to Note No. '8' in Schedule '17' regarding shortage due to combusion etc. with respect to an entire imported shipment of the book value of Rs. 1,17,37,425 lying at port for more than past two years, impact whereof on the profit for the year, carried forward losses and assets, in absence of ascertainment can not be commented upon.

5. Further to our comments in the Annexure referred to in Paragraph (3) above; we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;

b) In our opinion, proper books of 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 comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the Act, to the extent applicable;

e) On the basis of written representations received from the Directors and taken on record by the Board of Directors, none of the Directors is disqualified as on 31st March, 2010 from being appointed as a director of the Company under clause (g) of sub-section (1) of Section 274 of the Act;

f) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with Significant Accounting Policies and Notes appearing in Schedule '17', Particularly, Note No. 12 regarding appointment of Company Secretary and those appearing elsewhere in the accounts, 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:

i. In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2010;

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

iii. In 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 Auditors’ Report of even date on the Financial Statements of Ramgopal Polytex Limited for the year ended as on 31s: March, 2010.)

On the basis of such checks as we considered appropriate and according to the records of the Company, information and explanations given to us during the course of our audit, we state that:

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

(b) As explained, the fixed assets have been physically verified by the management in accordance with the phased programme of verification adopted by the Company. In our opinion, the frequency of verification is reasonable considering the size of the Company and nature of its fixed assets. As informed, no material discrepancies were noticed on such verification.

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

2) (a) The inventory of trading goods has been physically verified by the management at reasonable intervals during the year and/or at the close of the year, except for stock of Steaming (Non cocking) coal lying at port. (Refer Note No. 8 in Schedule ' 17).

(b) The procedures of physical verification of the inventory 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 physical verification of inventory as compared to book records were not material and have been properly dealt with in the books of account, except for what is stated at paragraph (a) above.

3) (a) The Company has taken unsecured loans from a Company covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs.96,04,076 and year end balance of the said loans was Rs. 87,61,255. The terms and conditions of the same arc prima facie, not prejudicial to the interest of the Company. As the repayment and interest payment dates have not been stipulated, we are unable to comment whether those have been repaid / paid as stipulated.

(b) The Company has granted unsecured loans to three companies, all covered in the register maintained under Section 301 of the Act. The maximum amount involved during the year was Rs. 12,17,80,487 and year end balance of the said loan was Rs.2,49,99,280. The terms and conditions of the same are prima facie, not prejudicial to the interest of the Company. As the repayment and interest payment dates have not been stipulated, we are unable to comment whether those have been repaid / paid as stipulated.

(c) The Company has not taken / granted secured or unsecured loans from / to firms or other parties listed in the said register.

4). There is an adequate internal control system commensurate with the size of the Company and the nature of its business for purchase of inventory, fixed assets and with regard to sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in the internal controls.

5). (a) According to the information and explanations given to us, we are of the opinion that 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.

(b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under Section 301 of the Act and aggregating during the year to Rs.5 lacs or more in respect of each party have been made at the prices which arc reasonable having regard to the prevailing market prices at the relevant time.

6) The Company has not accepted any deposits from the public as per the directives issued by the Reserve Bank of India and the provisions of Sections 58A & 58AA or any other relevant provisions of the Act, and the rules framed there under, where applicable.

7) The Company does not have any formal internal audit system. However, as explained effective internal control is being exercised departmentally.

8) (a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues including Provident Fund, Investors Education and Protection Fund, Employees' State Insurance, Income Tax, Wealth Tax, Sales Tax, Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities to the extent applicable. According to the information and explanations given to us, there are no undisputed amounts outstanding as at the year end for a period of more than six months from the date they became payable, except in case of Investors Education and Protection FundofRs.4, 21,377.

(b) According to the information and explanations given to us, there is no Sales Tax, Income Tax, Custom Duty, Wealth Tax, Service Tax, Excise Duty and Cess which have not been deposited on account of any dispute, except Excise and Customs duties aggregating to Rs.7,81,33,551, the matter whereof is pending with the Commissioner of Central Excise (Appeals), Mumbai, Income Tax of Rs. 10,06,682 the matter whereof is pending before H AT Mumbai, and Sales Tax demands aggregating to Rs.6,56,422 , the matter whereof is pending with the Commissioner of Sales Tax (Appeals), Mumbai.

9) The Company’s accumulated losses as at the end of the financial year are less than 50% of its net worth. The Company has not incurred cash losses in the current financial year under audit, however, cash losses were incurred in the immediately preceding Financial year.

10) The Company has kepi adequate records of its transactions and contracts in respect of dealing in shares and securities and timely entries have been made therein. The shares, securities, debentures and other investments have been held in the name of the Company except for 2,00,000 equity shares of M/S. Ramgopal Synthetics Limited of the cost of Rs. 20,00,000 which are yet to be transferred in the name of the company.

11) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions.

12) According to the information and explanations given to us and on an overall examination of the Cash Flows of the Company, we report that the funds raised on short-term basis have not been used for long-term investment.

13) To the best of our knowledge and belief and according to the information and explanations given to us, during the year no fraud on or by the Company has been noticed or reported to/by us during the course of our audit.

For RUNGTA & ASSOCIATES

Chartered Accountants

(PAWANKUMAR RUNGTA)

Proprietor

Membership No. 42902

Firm Registration No. 108888W

Place : Mumbai

Dated: 29th May, 2010