To the Members of Bharat Immunological & Biological Corporation Limited
Report on the Financial Statements
We have audited the accompanying financial statements of Bharat Immunological &
Biological Corporation 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`s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial statements that give a
true and fair view of the financial position, financial performance and cash flows of the
Company in accordance with the Accounting Standards referred to in sub-section (3C) of
section 211 of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance of internal control relevant to the preparation
and presentation of the financial statements that give a true and fair view and are free
from material misstatement, whether due to fraud or error.
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. ln making those risk assessments, the auditor
considers internal control relevant to the Company`s preparation and fair presentation of
the financial statements in order to design audit procedures that are appropriate in the
circumstances. An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion.
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 subject to matter stated under point number- i., viii. & ix. of CARO report and
in Note No. 13 (p) & (r) for impairment of assets in accordance with the accounting
standard 28, of the Institute of Chartered Accountants of India so required and
give a true and fair view in conformity with the accounting principles generally accepted
a) In the case of the Balance Sheet, of the state of affairs of the Company as at March
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
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.
3. 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) Being a government Company, pursuant to the Notification No. GSR 829 (E) dated 21 `
October 2003 issued by Department of Company Affairs, provisions of clause (g) of
subsection (1) of Section 274 of the Companies Act, 1956, are not applicable to the
f) Since the Central Government has not issued any notification as to the rate at which
the cess is to be paid under section 441A of the Companies Act,1 956 nor has it issued any
Rules under the said section, prescribing the manner in which such cess is to be paid, no
cess is due and payable by the Company
||For RASOOL SINGHAL & CO.,
Annexure to the Auditors` Report
The Annexure referred to in Paragraph (3) of our report of even date to the members of
Bharat Immunological And Biological Corporation Limited on the accounts of the Company for
the year ended on March, 31, 2013)
In respect of fixed Assets:
a. The Company is not maintaining fixed assets records of showing full particulars
including quantitative details, location, assets classification, identification number,
accumulated depreciation etc.
b. According to information and explanation given to u s, verification of Fixed Assets
conducted once in a year by the management of the Company but it is not in satisfactory
format and also as reported above Fixed Assets register is not maintained in required
format hence no comment.
c. During the year the Company has not disposed off any part of Fixed Assets, so as to
affect the going concern.
In respect of inventories:
a. The Management has physically verified the inventories of finished goods and raw
materials at the year end, which is reasonable.
b. In our opinion and according to the information and explanations given to us, the
procedures of physical verification of inventories followed by the management are
reasonable and adequate in relation to the size of the Company and the nature of its
a. In our opinion and according to the information and explanations given to us, the
Company is maintaining proper records of inventory. The discrepancies noticed on
verification between the physical stocks and the book records, if any has been properly
dealt with in the books of accounts.
b. It is explained to us that there is no work-in-process at the year-end.
iii. According to the information and explanation given to us the Company neither has
accepted nor granted any secured/unsecured loans, to/from Companies, Firms or Parties
covered under Section 301 of the Companies Act, 1956. Accordingly, clause (iii)(b)to
(iii)(d),(iii)(f) & (iii)(g) of paragraph 4 of the Companies (Auditor`s Report) Order,
2003 are not applicable.
iv. In our opinion, and according to information and explanations given to us, there
are adequate internal control procedures commensurate with the size of the company and the
nature of its business for the purchase of inventory, fixed assets and for the sale of
goods and services.
v. On the basis of our examination of books of accounts, and as per information and
explanation given to us, the company has not made any transactions in respect of any party
during the financial year that needs to be entered in the register pursuant to the section
301 of the Companies Act, 1956.
vi. The company has not accepted any deposits from the public during the year covered
under section 58A and 58AA or any other relevant provision of the Companies Act, 1956.
vii. In our opinion, the company`s internal audit system is commensurate with its size
and nature of its activities.
viii. As informed to us by the management of the Company the maintenance of cost
records has been prescribed by the Central Government of India Under Section 209(1)(d) of
the Companies Act, 1956 but neither cost records nor cost audit report since financial
year 2008-09 to till date have been provided to us for our verification.
ix. According to the records of the Company, the Company is regular in depositing with
appropriate authority regarding undisputed statutory dues like Provident Fund, State
Insurance Scheme, Income Tax, Sale Tax etc. as are applicable & no undisputed amount
of such dues are outstanding for more than six month from due date except service tax
liability payable under reverse charge mechanism and on transportation facility provided
to buyer which approximately comes to Rs.5,09,815.00.
x. Accumulated losses of the company does not exceeds fifty percent of its net worth at
the end of the financial year however in immediately previous financial year accumulated
losses exceeds to fifty percent of its net worth and company has not incurred any cash
losses in the current and immediately preceding financial year.
xi. Based on our audit procedure and on the information and explanations given by the
management, we are of the opinion that the company has not defaulted in repayment of dues
to a financial institution, bank and debentureholders.
xii. In our opinion, the company has granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities. In our opinion, the
company has maintained adequate documents and records in respect of such loans.
xiii. The company is not a chit fund, nidhi, mutual benefit fund or a society.
Accordingly, clause 4(xiii) of the order not applicable.
xiv. According to the information and explanation given to us, the company is not
dealing or trading in shares, securities, debentures and other investments. Accordingly,
clause 4 (xiv) of the order is not applicable.
xv. According to the information and explanation given to us, Company has not given
guarantees for loans taken by others from banks or financial institutions.
Accordingly, the provisions of clause 4(xv) of the Companies (Auditor`s Report) Order,
2003 is not applicable.
xvi. On the basis of review of utilization of funds pertaining to term loans on overall
basis and related information as made to us, the term loans taken by the company have been
utilized for the purposes for which they are obtained.
xvii. According to the information and explanation given to us, company has not
utilized short-term loan for long-term investment during the year.
xviii. The company has not made any preferential allotment of shares to parties or
companies covered in the register maintained under section 301 of the Companies Act, 1956.
xix. The company has not issued any debentures during the year.
xx. During the year no money has been raised by Public issues.
xxi. According to the information and explanations given to us, no fraud on or by the
company has been noticed or reported during the year.
||For RASOOL SINGHAL & CO.,