TO,

THE MEMBERS OF

POWERLOOM DEVELOPMENT AND EXPORT PROMOTION COUNCIL

We have audited the attached Balance Sheet of POWERLOOM DEVELOPMENT AND EXPORT PROMOTION COUNCIL as at 31st March, 2000 and also the Income and Expenditure Account of the Council for the year ended 31st March, 2000 annexed thereto and report that :

1. 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;

2. In our opinion, proper books of account as required by law have been kept by Council so far as appears from our examination of the books;

3. The Balance Sheet and the Income and Expenditure account referred to in this report are in agreement with the books of account;

4. Subject to Note 4 - Schedule `E' regarding non provision of leave encashment the Income and Expenditure account and Balance Sheet comply with the Accounting Standards referred to in Section 211(36) of the Companies Act, 1956.

5. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read with notes thereon in Schedule `E' and subject to Note 5 - Schedule E regarding payment towards Prime Minister's National Relief Fund prohibited by the Memorandum of Association and Articles of Association of the Council give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view:

i) In the case of the Balance Sheet, of the state of affairs of the Council as at 31st March, 2000; and

ii) In the case of Income and Expenditure Account, or the surplus for the year ended on that date.

6. The Manufacturing and Other Companies (Auditor's Report) Order, 1988 is not applicable to the Council, as it is licensed to operate under Section 25 of the Companies Act, 1956.