REC- 1-51.p65 - Rural Electrification Corporation Ltd.

NON-BANKING FINANCIAL COMPANIES AUDITORS’ REPORT
The Board of Directors
Rural Electrification Corporation Limited.
SCOPE Complex, Core-IV
Lodi Road,
New Delhi-110003
Dear Sir,
As required by the Non-Banking Financial Companies Auditors’ Report (Reserve Bank) Directions, 1998 issued by the
Reserve Bank of India, on the matters specified in Para 3 and 4 of the said Directions to the extent applicable to the
Corporation, we report that:
1) The Corporation had applied for registration as provided in section 45-IA of the Reserve Bank of India Act, 1934 (2 of
1934) and has been granted certificate of registration by Reserve Bank of India on 10/02/1998 having Registration No.
14000011.
2) As per amendments to NBFC Regulations vide notification no.s 134 to 140, dated 13/01/2000, the Government
Companies have been exempted from applicability of provisions of RBI Act relating to maintenance of liquid assts
and creation of Reserve Funds and the directions relating to acceptance of public deposits and prudential norms. The
exemption of Non Banking (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions,
2007 was also notified vide RBI Master Circular No. 145 dated 1 st July 2009.
3) The Corporation has not accepted any public deposits during the year 2009-10.
4) For the Financial year 31 st March 2010, the Corporation has complied with the Accounting Standards, Income
recognition, Provisioning for Bad and Doubtful debts, Capital Adequacy & Exposure Norms are as per the prudential
norms formulated by the Company and referred to/ as stated in the Significant Accounting Policies.
For Bansal & Co. For K.G.Somani & Co.
Chartered Accountants Chartered Accountants
(D.S. Rawat) (Bhuvnesh Maheshwari)
Partner Partner
Membership No. 83030 Membership No. 88155
Firm Regn. No. 001113N Firm Regn. No. 006591N
Date: June 10, 2010
Place: New Delhi
81