Nutraplus Products India Ltd has informed BSE that in the limited review report of the Company for the quarter ended December 31, 2007, the auditors of the Company have made the following observations:

“1(i). The Company has not provided deferred tax liability towards provision for taxation made as on December 31, 2007 against free reserves which deviating from the Accounting Standard 22 issued by the Institute of Chartered Accountants of India. The impact of the same on the Profit and Loss Account is yet to be ascertained by the Management. The Auditors are unable to express their opinion on the impact for the period ended December 31, 2007.

1(ii). Liability towards retirement benefits in respect of employees is not provided by the Company as stipulated by the Accounting Standard 15 issued by the Institute of Chartered Accountants of India. The impact of the same on the Profit and Loss Account is yet to be ascertained by the Management. The Auditors are unable to express their opinion on the impact for the period ended December 31, 2007.

1(iii). No provision is made for the fringe benefit tax; hence impact of the same on the Profit and Loss Account is yet to be ascertained.

2. The balances in the accounts of customers, suppliers and others are subject to confirmation and reconciliation, which shall be obtained by the Company in respect of financial accounts as at March 31, 2008.”