Auditor Report of Sreechem Resins Ltd.

Mar 31, 2025

We have audited the accompanying financial statements of Sreechem Resins Limited ("the Company”), which comprise the Balance
Sheet as at 31st March, 2025, the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement
and the Statement of Changes of Equity for the year then ended and notes to the financial statements, including a summary of
significant accounting policies and other explanatory information for the year ended on that date (hereinafter referred to as the
"Financial Statements”).

In our opinion and to the best of our information and according to the explanations given to us, except for the effects of the matter
described in the "Basis for Qualified Opinion” section of our report, the aforesaid financial statements give the information required
by the Companies Act, 2013, ("the 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 31st March, 2025, and its profit and total
comprehensive income, its Cash Flows and Changes in Equity for the year ended on that date.

Basis for Qualified Opinion

As stated in Note 22 to the financial statements, the Company has not provided for gratuity and leave encashment liabilities
under the defined benefit plan, as required by Ind AS 19 - Employee Benefits. The amount of the liability has not been determined
by an actuarial valuation as at 31st March 2025, and the amount is stated to be not ascertainable, and thus, the impact on the
financial statements is not quantifiable.

However, the Company has provided for the gratuity and Leave encashment liabilities as per the valuation made by the Life
Insurance Corporation of India. We have obtained and reviewed the correspondence with LIC regarding actuarial valuation and
assessed management’s justification.

Had such liabilities been recognized as per actuarial valuation, the employee benefit expense would have increased/decreased, and
profit after tax and net assets would have been correspondingly lower or higher to the extent of difference between actuarial
valuations and valuation done by Life Insurance Corporation of India. Accordingly, in our opinion, the Company’s financial
statements do not comply with the requirements of Ind AS 19 to that extent.

We conducted our audit of the Financial Statements 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 ("ICAI”) 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 year. 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, except for the matter described in the
Basis for Qualified opinion Section. Based on the audit procedure performed including assessment of risk of material misstatement,
we have not come across any other material Key Audit Matters that are required to be communicated in accordance with the
standard.

Information Other than the Financial Statements and Auditors'' Report thereon

• The Company’s Board of Directors is responsible for the preparation of the other information. The other information
comprises the information included in the Board’s Report in the annual report for the year ended March 31, 2025 but
does not include the financial statements and our auditors’ report thereon.

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

• In connection with our audit of the financial statements, our responsibility is to read the other information identified
above when it becomes available, and, in doing so, consider whether the other information is materially inconsistent with
the financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially
misstated.

• If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we
are required to report that fact.

• We have nothing to report in this regard.

Responsibilities of Management and those charged with Governance for the Financial Statements

The Company’s Board Of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act”)
with respect to the preparation of these financial statements that give a true and fair view of the state of affairs (financial position),
Profit & Loss (financial performance including comprehensive income), changes in equity and cash flow of the Company in
accordance with the accounting principles generally accepted in India, including the accounting Standards specified under Section
133 of the Act.

This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for
safeguarding of assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of
appropriate implementation and maintenance of accounting policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management & 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 are also responsible for overseeing the Company’s financial reporting process.

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

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

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

• Identify and assess the risks of material misstatement of the Standalone 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 with reference to financial statement in place and the
operating effectiveness of such controls;

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

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

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

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 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 financial statements.

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

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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020 ("the Order”) issued by the Central Government of India in
terms of sub-section (11) of section 143 of the Act, we based on our examination, give in the "Annexure A”, a statement
on the matters specified in paragraph 3 and 4 of the Order, to the extent applicable.

2. Further to our comments in the annexure referred to in the paragraph above, as required by section 143(3) of the Act, we
report that:

a. We have sought and except for the matter described under the "Basis of Qualified Opinion”, paragraph,
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, except for the effects of the matter described in the "Basis of Qualified Opinion” paragraph,
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 Cash Flow
Statement and Statement of Changes in Equity dealt with by this Report are in agreement with the books of
account, except for the effect of the matter described under the "Basis of Qualified Opinion”.

d. In our opinion, except for the effects of the matter described in the "Basis of Qualified Opinion” paragraph, the
aforesaid financial statements comply with the Ind AS specified under Section 133 of the Act, read with Rule 7
of the Companies (Accounts) Rules, 2014.

e. On the basis of written representations received from the directors as on 31st March, 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, refer to our separate report in Annexure B. Our report expresses an
unmodified opinion on the adequacy and operating effectiveness of the internal control with reference to
financial statements of the Company.

3. 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 does not have any pending litigations which would impact its financial position ;

ii. Except for the matter described under the "Basis for Qualified Opinion” paragraph, the Company has made
provision as required under the applicable law or accounting standards, for material foreseeable losses, if any ;

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

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

v. The management has represented that to the best of its knowledge and belief, no funds have been advanced or
loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by
the Company to or in any other persons or entities, including foreign entities ("Intermediaries”), with the
understanding, whether recorded in writing or otherwise, that the Intermediary shall :

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever

("Ultimate Beneficiaries”) by or on behalf of the Company or

• provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

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

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever

("Ultimate Beneficiaries”) by or on behalf of the Funding Party or

• provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries.

vii. Based on such audit procedures as considered reasonable and appropriate in the circumstances, nothing has
come to our notice that has caused us to believe that the representations under clause (v) and (vi) contain any
material misstatement.

viii. The Company has not declared or paid any dividend during the year and has not proposed final dividend for
the year.

ix. In our opinion and according to the information and explanation given to us, the remuneration paid by the
Company to its directors during the current year is in accordance with the provisions of Section 197 of the Act.
The remuneration paid to any director is not in excess of the limit laid down under Section 197 of the Act. The
Ministry of Corporate Affairs has not prescribed other details under Section 197(16) which are required to be
commented upon by us.

x. The reporting under Rule 11(g) of the Companies (Audit and Auditors) Rule, 2014 is applicable from 1^st April,
2023.

Based on our examination which included test checks, the Company has used accounting software’s for maintaining
its books of account, which have a feature of recording audit trail (edit log) facility and the same has operated
throughout the year for all relevant transactions recorded in the software.

Further the audit trail (edit log) facility was enabled and operated throughout the year for the accounting software,
we did not come across any instance of the audit trail feature being tampered with.

Sd/-
R C Jhawer
Partner
Membership No. 17704
For and on behalf of
R C Jhawer & Co.
Chartered Accountants
Regn. No. 310068E
Kolkata,
30th May, 2025
UDIN : 25017704BMLHVI7514

---

Mar 31, 2024

We have audited the accompanying financial statements of Sreechem Resins Limited (“the Company”), which comprise the Balance
Sheet as at 31st March, 2024, the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement and
the Statement of Changes of Equity for the year then ended and notes to the financial statements, including a summary of significant
accounting policies and other explanatory information for the year ended on that date (hereinafter referred to as the “Financial
Statements”).

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give
the information required by the Companies Act, 2013, (“the 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 31st March, 2024, and its profit
and total comprehensive income, its Cash Flows and Changes in Equity for the year ended on that date.

Basis for Opinion

We conducted our audit of the Financial Statements 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 (“ICAI”) 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 except that the Company has not recognized the liability for gratuity and leave
encashment as required by Ind AS 19 for Employee Benefits, nor has it obtained the actuarial valuation necessary to determine the
amount of such liability. As a result, the Company''s financial statements do not present a true and fair view of its financial position as
at 31st March, 2024 to that extent.

Key Audit Matters

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

Information Other than the Financial Statements and Auditors'' Report thereon

• The Company''s Board of Directors is responsible for the preparation of the other information. The other information
comprises the information included in the Board''s Report in the annual report for the year ended March 31, 2024 but does
not include the financial statements and our auditors'' report thereon.

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

• In connection with our audit of the financial statements, our responsibility is to read the other information identified above
when it becomes available, and, in doing so, consider whether the other information is materially inconsistent with the
financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially
misstated.

• If, based on the work we have performed, we conclude that there is no material misstatement of this other information, we
are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and those charged with Governance for the Financial Statements

The Company''s Board Of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (“the Act”) with
respect to the preparation of these financial statements that give a true and fair view of the state of affairs (financial position), Profit
& Loss (financial performance including comprehensive income), changes in equity and cash flow of the Company in accordance with
the accounting principles generally accepted in India, including the accounting Standards specified under Section 133 of the Act, read
with Rule 7 of the Companies (Accounting Standard) Rules, 2015 as amended.

This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for
safeguarding of assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of
appropriate implementation and maintenance of accounting policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management 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 are also responsible for overseeing the company''s financial reporting process.

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

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstament, 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 misstament
when it exists. Misstaments can arise from fraud or error and are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

• Identify and assess the risks of material misstatement of the Standalone 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 with reference to financial statement in place and the operating
effectiveness of such controls;

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

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

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

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 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 financial statements.

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

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

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2020 (“the Order”) issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we based on our examination given in the “Annexure A”, a statement on the matters
specified in paragraph 3 and 4 of the Order, to the extent applicable.

2. Further to our comments in the annexure referred to in the paragraph above, 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 Cash Flow Statement and
Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;

d) In our opinion, the aforesaid financial statements comply with the Ind AS specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014.

e) On the basis of written representations received from the directors as on 31^st March, 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, refer to our separate report in Annexure B. Our report expresses an unmodified opinion on the
adequacy and operating effectiveness of the internal control with reference to financial statements of the Company.

3. 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 does not have any pending litigations which would impact its financial position;

ii. ) The Company did not have any long-term contracts including derivate 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. ) The management has represented that to the best of its knowledge and belief, no funds have been advanced or loaned

or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to
or in any other persons or entities, including foreign entities (“Intermediaries”), with the understanding, whether
recorded in writing or otherwise, that the Intermediary shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever
(“Ultimate Beneficiaries”) by or on behalf of the Company or

• provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

v. ) The management has represented that to the best of its knowledge and belief, no funds have been received by the

Company from persons or entities, including foreign entities (“Funding Parties”), with the understanding, whether
recorded in writing or otherwise, that the Company shall:

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

• provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries.

vi. ) Based on such audit procedures as considered reasonable and appropriate in the circumstances, nothing has come to

our notice that has caused us to believe that the representations under clause (iv) and (v) contain any material
misstatement.

vii. ) The company has not declared or paid any dividend during the year and has not proposed final dividend for the year.

viii. ) In our opinion and according to the information and explanation given to us, the remuneration paid by the Company to

its directors during the current year is in accordance with the provisions of Section 197 of the Act. The remuneration
paid to any director is not in excess of the limit laid down under Section 197 of the Act. The Ministry of Corporate Affairs
has not prescribed other details under Section 197(16) which are required to be commented upon by us.

ix. ) The reporting under Rule 11(g) of the Companies (Audit and Auditors) Rule, 2014 is applicable from 1^st April, 2023.

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

R C Jhawer

Partner

Membership No. 17704
For and on behalf of
R C Jhawer & Co.
Chartered Accountants
Regn. No. 310068E
Kolkata,
30^th May, 2024
UDIN : 24017704BKEKRJ1906.

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Mar 31, 2015

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

Management's Responsibility for the Financial Statements

The Company's Board Of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements to give a true and fair view of the financial position, financial performance and cash flow of the Company in accordance with the accounting principles generally accepted in India, including the accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit.

We have taken into account the provision of the Act and the Rules made thereunder including the accounting and auditing standards and matters which are required to be included in the audit report.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act and other applicable authoritative pronouncements issued by the Institute of Chartered Accountants of India. Those Standards and pronouncements 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 the disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risk of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company's preparation of the financial statements that give a true and fair view, in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company's Directors, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the 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, 2015, and its profit and its 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, 2015 issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (hereinafter referred to as the "Order"), and on the basis of such checks of books and records of the Company as we consider appropriate and according to the information and explanation given to us, we give in the Annexure a statement on the matters specified in paragraph 3 and 4 of the Order.

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 and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

e) On the basis of written representations received from the directors as on March31, 2015 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2015 from being appointed as a director in terms of Section 164(2) of the Act.

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

i) The Company has disclosed the impact of pending litigations on its financial position in its financial statements in accordance with the generally accepted accounting practice.

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

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

Annexure to the Independent Auditor's Report

(Referred to in paragraph 1 under the heading "Report on Other Legal and Regulatory Requirements" of our report of even date)

(i) In respect of its fixed assets:

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

b) All fixed assets have been physically verified during the year by the management in accordance with a regular program of verification which in our opinion is reasonable having regard to the size of the Company and the nature of its assets. According to the information and explanations given to us, no material discrepancies were noticed on such verification.

(ii) In respect of its inventory:

a) As explained to us, the inventories were 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) On the basis of our examination of the inventory records of the Company, we are of the opinion that, the Company is maintaining proper records of its inventory. No material discrepancies were noticed on physical verification as compared to book records.

(iii) The Company has not granted any loan secured or unsecured during the year to companies, firms or other parties covered in the register maintained under section 189 of the Act.

(iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and for sale of goods and services. During the course of our audit, we have not observed any major weakness in internal control system.

(v) According to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of section 73 and 74 of the act during the year and the rules framed thereunder to the extent notified.

(vi) We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014 prescribed by the Central Government under section 148(1)(d) of the Act and are of the opinion that prima facie the prescribed cost records have been maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.

(vii) In respect of statutory dues:

a) According to the information and explanations given to us, the Company is generally regular in depositing undisputed statutory dues including provident fund, employees' state insurance, income tax, sales tax, wealth tax, service tax, custom duty, excise duty, value added tax, cess and other material statutory dues as applicable with the appropriate authorities.

b) According to the information and explanations given to us, there are no undisputed amounts payable in respect of provident fund, employees' state insurance, income tax, sales tax, wealth tax, service tax, custom duty, excise duty, cess and other material statutory dues which were outstanding, at the year end for a period of more than six months from the date they became payable.

c) According to the records of the Company examined by us, the dues outstanding of income tax, sales tax, wealth tax, service tax, custom duty, excise duty, value added tax and cess on account of any dispute as at 31st March, 2015.

d) There are no amounts that are due to be transferred to Investor Education and Protection Fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules made there under.

(viii) The Company does not have accumulated losses at the end of the financial year. The Company has not incurred cash losses during the financial year covered by the audit and in the immediately preceding financial year.

(ix) According to the information and explanations given to us and the records of the company examined by us, the Company has not defaulted in repayment of dues to any financial Institution or Bank. The Company has not issued any debentures.

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

(xi) The Company did not have any term loans outstanding during the year.

(xii) To the best of our knowledge and according to the information and explanations given to us, no material fraud on or by the Company has been noticed or reported during the year.

R C Jhawer Proprietor Membership No. 017704 For and on behalf of R C Jhawer & Co. Chartered Accountants Regn. No. 310068E Kolkata,

---

Mar 31, 2014

We have audited the accompanying financial statements of Sreechem Resins Limited ("the Company"), which comprise the Balance Sheet as at 31st March, 2014, and the Stater: ent of Profit and Loss for the year then ended and a summary of significant accounting policies and other explanatory n''ormation.

Managements Responsibility for the Financial Statements

The Company''s Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance of the Company in accordance with accounting principles generally accepted in India, including the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 ("the Act") read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Company Affairs in respect of Section 133 of the Companies Act, 2013. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor''s Responsibility

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 risk 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 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 31" March, 2014 and

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

c) in the case of the Cash Flow Statement, of the cash flow 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 Section 227(4A) of the Act, we give in the Annexure a statement on the matters specified in paragraph 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 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, 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, Statement of Profit and Loss and the Cash Flow Statement dealt with by this report comply with the Accounting Standards notified under the Act read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Company Affairs in respect of Section 133 of the Companies Act, 2013.

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

Annexure to the Independent Auditor''s Report

(Referred to in paragraph 1 under the heading "Report on Other Legal and Regulatory Requirements" of our report of even date)

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

b) Fixed Assets of the company have been physically verified by the management which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets.

c) Fixed assets disposed off by the Company during the year were not substantial; hence it does not affect the Company as a going concern.

ii) a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) 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 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 were not material and have been properly dealt with in the books of account.

iii) a) As informed to us, 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 Act.

b) The company has taken loan from one party during the year and the maximum amount involved during the year was Rs.4 lacs and year end balance of aggregate loans from four parties which are covered in the register maintained under section 301 of the Companies Act, 1956 is Rs.44.00 lacs.

c) In our opinion and according to the information and explanations given to us, the aforesaid loan are interest free and other terms and conditions of the loan taken by the company, were not prima facie prejudicial to the interest of the company.

d) The said interest free loans are repayable on demand and there is no repayment schedule.

iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. Further, on the basis of our examination of the books and records of the company, and according to the information and explanations given to us, we have neither come across nor have we been informed of any continuing failure to correct major weakness in the aforesaid internal control procedures.

v) According to the information and explanations provided by the management, we are of opinion that there have been no transactions that need to be entered in the register maintained under Section 301 of the Act and hence clause (v) (b) is also not applicable.

vi) In our opinion and according to the information and explanations provided to us, the Company has not accepted any deposit from public within the meaning of section 58A and 58AA or any other provisions of the Act and rules framed there under.

vi) In our opinion and according to the information and explanations provided to us, the internal audit system adopted by the company and reviewed by the audit committee can be considered as adequate.

viii) We have broadly reviewed the cost records maintained by the Company in terms of Sec 209(1 )(d) of the Act in respect of its products Synthetic phenolic resin and we are of the opinion that prima facie, the prescribed cost records have been maintained. We have not however, made 3 detailed examination of the records with a view to determine whether they are accurate or complete.

ix) a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues in respect of provident fund, investor education and protection fund, employees'' state insurance, income tax, sales tax, wealth tax, custom duty, excise duty, cess and other material statutory dues as applicable to it with the appropriate authorities. According to the information and explanations given to us, there are no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty and excise duty which were outstanding, at the year end for a period of more than six months from the date they became payable.

b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues outstanding of sales tax, income tax, wealth tax, custom duty, excise duty and cess on account of any dispute.

x) The Company neither has accumulated losses as at 31 *'' March, 2014 nor has incurred any cash losses either during the financial year ended on that date or in the immediately preceding financial year.

xi) Based on our Audit procedures and on the information and explanations given by the managements, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions or bank.

xii) According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

xiii) In our opinion, the company is not a chit fund or nidhi/mutual benefit fund/societies. Therefore, the provisions of clause (xiii) of paragraph 4 of the order are not applicable to the Company.

xiv) As explained to us and on the basis of information provided to us, the company is not dealing or trading in shares, securities, debentures or other investment. Accordingly, the provisions of clause (xiv) of paragraph 4 of the order are not applicable to the Company.

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

xvi) The Company has not taken any Term Loans during the year.

xvii) According to the information and explanations given to us and on overall examination of the Balance Sheet of the Company, we report that no funds raised on short term basis have been used for long term investment of the company or vice versa.

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 Act.

xix) The Company did not have any outstanding debentures during the year.

xx) The Company has not raised any money through a public issue during the year.

xxi) Based upon the audit procedures performed and the information and explanations given by the management, we report that no fraud on or by the Company has been noticed or reported during the year.

R. C. Jhawer Proprietor Membership No. 17704

For and on behalf of R C Jhawer & Co. Chartered Accountants F R No.310068E

Place : Kolkata

Date : The 16th day of August, 2014

---

Mar 31, 2012

1. We have audited the attached Balance Sheet of M/S. SREECHEM RESINS LIMITED as at 31st March, 2012 and also Profit and Loss Account & 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 the auditing standards generally accepted in India. Those Stan- dards 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 support- ing the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis of ouropinion.

3. 'As. required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of Section 227 of The Companies Act, 1956' (the 'Act') and on the basis of such checks as we considered appropriate and according to the information and explanations given to us and the books & records as produced and examined by us in the normal course of Audit and to the best of our knowledge & belief, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order.

4. Further to our comments in the Annexure referred to vide 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 it appears from our examination of such 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 and Profit and Loss Account and Cash Flow Statement dealt with by this report, comply with the accounting standards referred to in Section 211 (3C) of the Act subject to Clause No. "b" in Schedule 19 relating to Accounting Policies ;

e) On the basis of written representations received from the directors, as on 3151 March, 2012, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31 st March, 2012 from being appointed as a director in terms of Section 274 (1) (g) 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 together with significant accounting policies and other notes thereon/attached thereto give in the prescribed manner the information required by the Act and also 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 31s1 March, 2012, and

ii) In the case of the Profit and Loss Account, its profit for the year ended on that date, and .

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

[Annexure referred to in F'aragraph 3 of the Auditor's Report of Even Date to the Members of M/S. SREECHEM RESINS LIMITED on the financial statements for the year ended March 31, 2012]

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

b) Fixed Assets of the company have been physically verified by the management which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets.

c) Fixed assets disposed off by the Company during the year were not substantial; hence it does not affect the Company as a going concern.

ii) a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) 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 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 were not material and have been properly dealt with in the books of account.

iii) As informed to us, 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 Act. The Company has not taken during the year any loans, secured or unsecured, from companies, firms or other parties listed in the register maintained under Section 301 of the Act. Accordingly, clause 3(b), (c), (d), (f) & (g) of the said order is not applicable to the company.

iv) In our opinion there are adequate internal control procedures commensurate with the size of the Company and the nature of its business, for the purchase of fixed assets and for the sale of goods and services. Further, on the basis of our examination of the books and records of the company, and according to the information and explanations given to us, we have neither come across nor have we been informed of any continuing failure to correct major weakness in the aforesaid internal control procedures.

v) According to the information and explanations provided by the management, we are of opinion that there have been no transactions that need to be entered into the register maintained under Section 301 of the Act and hence clause (v) (b) is also not applicable.

vi) The Company has not accepted any deposit from public within -the meaning of Sections 58A and 58AA of the Act.

vii) In our opinion, the Company's present internal audit system is commensurate with its size and nature of business.

viii) We have broadly reviewed the books of account maintained, by the Company in respect of its products Synthetic phenolic resin and we are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.

ix)a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues in respect of provident fund, investor education and protection fund, employees' state insurance, income tax, sales tax, wealth tax, custom duty, excise duty, cess and other material statutory dues as applicable to it with the appropriate authorities. According to the information and explanations given to us, there are no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty and excise duty which were outstanding, at the year end for a period of more than six months from the date they became payable.

b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues outstanding of sales tax, income tax, wealth tax, custom duty, excise duty and cess on account of any dispute except as mentioned below -

Name of the Statute Nature of Dues Amount F.Y. to which Forum wherein (Rs.in lacs) dispute pertain dispute is pending

Income Tax Act Income Tax 6.54 2009-2010 Rectification pending Before Assessing Officer

x) The Company neither has accumulated losses as at 31 si March, 2012 nor has incurred any cash losses either during the financial year ended on that date or in the immediately preceding financial year.

xi) Based on our Audit procedures and on the information and explanations given by the managements, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions or bank.

xii) According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

xiii) In our opinion and according to the information and explanations given to us, the nature of activities of the Company does not attract any special statute applicable to chit fund and nidhi/ mutual benefit fund/ societies.

xiv)The nature of Company's business/activities during the year does not include dealing in shares, securities, debentures or other investment, hence the requirement of offering comments on this clause is not applicable.

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

xvi) The Company has not taken any Term Loans during the year.

xvii)According to the information and explanations given to us and on overall examination of the Balance Sheet of the Company, we report that no funds raised on short term basis have been used for long term investment of the company,

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 Act.

xix)The Company did not have any outstanding debentures during the year.

xx) The Company has not raised any money through a public issue during the year

xxi) Based upon the audit procedures performed and the information and explanations given by the management we report that no fraud on or by the company has been noticed or reported during the year.

R.C. Jhawer

Proprietor

Membership No. 17704.

For and on behalf of

R C JHAWER & CO.

Place: Kolkata Chartered Accountants

Date : 2nd August 2012 FRNo,310068E

---

Mar 31, 2010

1. We have audited the attached Balance Sheet of M/S. SREECHEM RESINS LIMITED as at 31st March, 2010 and also Profit and Loss Account 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 the 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 the management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis of our opinion.

3. As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of the "Companies Act, 1956" (the "Act") 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 vide 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 it appears from our examination of such 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 and Profit and Loss Account and Cash Flow Statement dealt with by this report, comply with the accounting standards referred to in Section 211 (3C) of the Act;

e) On the basis of written representations received from the directors, as on 31sl March, 2010, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March, 2010 from being appointed as a director in terms of Section 274 (1) (g) 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 together with significant accounting policies and other notes thereon/attached thereto give in the prescribed manner the information required by the Act and also 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, and ii) in the case of the Profit and Loss Account, its profit for the year ended on that date, and iii) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

ANNEXURE TO AUDITORS REPORT

[Annexure referred to in Paragraph 3 of the Auditors Report of Even Date to the Members of M/S. SREECHEM RESINS LIMITED on the financial statements for the year ended March 31, 2010]

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

b) Fixed Assets of the company have been physically verified by the management which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets.

c) Fixed assets disposed off by the Company during the year were not substantial; hence it does not affect the Company as a going concern.

ii) a) The inventories have been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) 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 according to die 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 were not material and have been properly dealt with in the books of account.

iii) As informed to us, 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 Act. The Company has not taken during the year any loans, secured or unsecured, from companies, firms or other parties listed in the register maintained under Section 301 of the Act. Accordingly, clause 3(b), (c), (d), (f) & (g) of the said order is not applicable.

iv) In our opinion there are adequate internal control procedures commensurate with the size of the Company and the nature of its business, for the purchase of fixed assets and for the sale of goods and services. Further, on the basis of our examination of the books and records of the company, and according to the information and explanations given to us, we have neither come across nor have we been informed of any continuing failure to correct major weakness in the aforesaid internal control procedures.

v) According to the information and explanations provided by the management, we are of opinion that there have been no transactions that need to be entered into the register maintained under Section 301 of the Act and hence clause (v) (b) is also not applicable.

vi) The Company has not accepted any deposit from public within the meaning of Sections 58A and 58AA of the Act.

vii) In our opinion, the Companys present internal audit system is commensurate with its size and nature of business.

viii) To the best of our knowledge and as explained, the Central Government has not prescribed maintenance of cost records under clause (d) of Sub-section (1) of Section 209 of the Act for the Company. ix) a) According to the records of the Company, the Company is regular in depositing undisputed statutory dues in respect of provident fund, investor education and protection fund, employees state insurance, income tax, sales tax, wealth tax, custom duty, excise duty, cess and other material statutory dues as applicable to it with the appropriate authorities. According to the information and explanations given to us, there are no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty and excise duty which were outstanding, at the year end for a period of more than six months from the date they became payable.

b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues outstanding of sales tax, income tax, wealth tax, custom duty, excise duty and cess on account of any dispute except as mentioned below -

Name of the Statute Nature of Amount F.Y. to which Forum wherein Dues (Rs.in lacs) dispute pertain dispute is pending

Central & State Sales Tax Act Sales Tax 15.92 2001-2004 AC. Sundargarh (Orissa)

Central & State

Sales Tax Act Sales Tax 62.07 1999 to 2003 A.C. Raigarh (C.G)

x) The Company neither has accumulated losses as at 31st March, 2010 nor has incurred any cash losses either during the financial year ended on that date or in the immediately preceding financial year.

xi) Based on our Audit procedures and on the information and explanations given by the managements, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions or bank.

xii) According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

xiii) In our opinion and according to the information and explanations given to us, the nature of activities of the Company does not attract any special statute applicable to chit fund and nidhi/ mutual benefit fund/ societies.

xiv) The nature of Companys business/ activities during the year does not include dealing shares, securities, debentures or other investment, hence the requirement of offering comments on this clause is not applicable.

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

xvi) The Company has not taken any Term Loans during the year.

xvii) According to the information and explanations given to us and on overall examination of the Balance Sheet of the Company, we report that no funds raised on short term basis have been used for long term investment of the company.

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 Act.

xix) The Company did not have any outstanding debentures during the year.

xx) The Company has not raised any money through a public issue during the year.

xxi) Based upon the audit procedures performed and the information and explanations given by the management, we report that no fraud on or by the Company has been noticed or reported during the year.

R C Jhawer

Proprietor

Membership No. 17704

For and on behalf of

R C Jhawer & Co.

Chartered Accountants

Kolkata,

5th August, 2010