Professional Documents
Culture Documents
1.
Certifications
2.
3.
Registered office
Secretary
Address
Date of appointment
Date of resignation
5.
6.
No.
of
Shar
es
Allo
tted
Total
considera-tion
Bal
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7.
Liabilities/Charges
8.
Annual accounts
Passing of special resolution by general meeting of members
Appointment and resignation of directors
Creation of charges on assets of company, give date on which charge created and
particulars of charge.
9.
Statutory Registers: Check if all the following statutory registers are being
maintained.
10.
Auditors
Name of auditor
Date of appointment
Date of resignation
11.
Directors
Name
12.
Residential
Address
Date
appointed
Date resigned
Notes
Name of bank/banks
Name under which account opened
Account number
Date on which opened
Signing instructions e.g. any one of the authorised signatories, Two signatures
required on checks above certain sums or limits to checks written above certain
sums.
Authorised signatories. Fill in the table below.
Name
Date of appointment
Date of removal
13.
Date
Whether members have approved accounts for each of the past 5 years
14.
Financial position
15.
16.
Brief synopses of current and historical financial position, based on annual returns.
Investment Check the following:
Register of investments held in the name of another person
Register of investments
Comment on any irregularities
All immovable properties occupied by the company
Addresses of the properties
Leased or owned by the company
List of all documents of title and all documents contracts, performance guarantees in
relation to all real estate properties which the company has any right, title, claim or
interest or from which the company derives any benefit. Agreement, and
Memorandum of Understanding or records of negotiations in relation to all real estate
properties which the Company seeks to obtain or relinquish any right, title, claim, or
interest or from which the company derives any benefit.
Municipal taxes, and local tax compliance
Mortgages/charges on such properties. Check if the properties are mortgaged by
the deed to financial institutions or banks as security for loans advanced by such
institutions or banks. Also, check whether fixed asses of the company, such as
stocks or receivables are charged to banks or financial institutions to secure term
loans, and other funded and non-funded liabilities. Examples of non-funded
liabilities are a) Bank Guarantees given by/on behalf of the company b) Any
letter of credit opened by bank on behalf of the company c) Bills discounted with
banks.
All the information above may be available on the balance sheet. Check whether any
interest is being claimed on the above liabilities that are outstanding.
17.
18.
19.
RBI/FERA Compliance
FERA/RBI and other statutory registration details
Check compliance with foreign exchange regulations
List of all foreign trade contracts joint ventures including any contracts for technical
assistance or services with any foreign company or individual
Long term contracts entered into by the company
Nature of contract
Date entered into
Termination date
Financial liabilities placed on company via contract such as guarantee to purchase
specified quantity for specified period.
Litigation involving the company
Suits filed against company
Petitions for winding up of company filed in court
Suits for recovery filed against company
Civil suits filed against company for mandatory injunctions
Suits filed by suppliers of goods, materials, services, labor against company
Suits filed by parties to which company has supplied inferior, defective goods
Comment: Whether above suits are likely to result in any significant liability on the
company. Opinion must be based on conclusive documentary evidence.
20,
Serial number
Name of case
Court
21.
22.
Industrial disputes
By employees. Give details.
By labour suppliers to company for which wages not paid. Give details.
Compliance with labor laws
Employees strength. Whether number of employees makes it necessary for the company
to file returns with various authorities and maintain records and make contributions.
Various labour laws that the company may require with list below:
Employees Provident Fund Scheme 1952: Give details as to whether company has
fulfilled compliance requirement, with last date of filing. Also check if provident
fund records have been inspected form time to time by relevant authority and last
date of inspection. Check whether form 2A, 3A, 5A, 6A and 9 have been filed.
Employees State Insurance Act, 1948 Whether company has in past paid
contributions under Act and date of last contribution. Whether per Reg 32 form 7 a
register giving details of contributions is being maintained by the company. As per
Reg. 13 form 3 office declarations forms stating that all employees receiving above
certain remunerations have been covered for ESI are required to be filed. Have such
forms been filed with appropriate office and last period for which filed. Have such
forms been filed with appropriate office and last period for which filed. Regarding 26
Form 6 requires return of contributions along with receipt copies of challans to be
filed on half yearly basis. Gives date of last such filing whether company is in
compliance. Reg. 88 Form 15 requires every employee to maintain an accident
record book with particulars. Is such an up to date book maintained.
Payment of Bonus Act, 1965. Rule 4 of the Act requires every employer to prepare
and maintain the following 3 registers ) a register showing the computation of the
allocable surplus defined under Section 2(iv) in Form-A, b) a register showing the
said computation of the allocable surplus under Section 15 in Form-B c) a register
showing details of bonus due to each of the employees, their deduction therefrom and
amounts due to each of the employees, their deduction therefrom and amounts
actually disbursed in Form-C. Are such up to date registers being maintained.
Factories Act, 1948 The Factories Act and the Rules framed thereunder require every
employer to maintain a number of books namely a) book of Accidents and Dangerous
occurrences is required to be maintained in prescribed Form No.23 b) An inspection
book recording details and particulars of the regular inspections by Assistant Director
of Factories c) A book recording the lime washing and painting of the factory
premises as per Form No. 7 d) overtime register e) Daily attendance register as
prescribed in Form No..12. Are such up to date books being maintained.
Under the Factories Act every employer is to file annual returns before the 15 th of
January each calendar year relating t the
1)
2)
3)
4)
5)
6)
7)
average number of workers employed daily and normal hours worked per week.
Leave with wages
Compensatory holidays
Accident
Canteens in case of factories employing more than 250workers.
Creches in case of factories wherein more than 50 women workers are employed
Shelters, restrooms and lunch rooks in case of factories wherein more than 150
workers are employed.
8) Welfare office in case of factories wherein 500 or more workers are ordinary
employed.
9) Has the company filed the aid returns regularly.
Every employer is also to file a half yearly return giving details of the name of the
factory, name of occupier, nature of industry. Is the company filing such returns.
23.
24.
25.
Sales Tax
27.
28,
29.
Give details of the contingent liabilities such as those listed below with dates from which
liability became outstanding. This list is not exhaustive.
Income tax demand dispute
Claims for deduction disallowed by Income Tax Commissioner
Bank Guarantee outstanding
Letter of credit outstanding
Payments due against bills discounted outstanding
Disputed sales tax demand
Penalty levied by any State Electricity Board or any other penalty/fine levied upon
the company by a Governmental institution.
Future obligations for lease rentals outstanding
Any liability regarding gratuity payments
30.
31.
32.
33.