MIRA
INFORM REPORT
|
Report Date : |
23RD
June, 2006 |
IDENTIFICATION
DETAILS
|
Name : |
SUN
& SAWHIL SILK PRIVATE LIMITED |
|
|
|
|
Registered Office : |
Plot
No. 18, Road No. 3, Bommasa Wdra Industrial Area, IV Phase, Yerandahalli
Village, Angkal, Bangalore – 562158, Karnataka |
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Country : |
India |
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|
Financials (as on) : |
31.03.2004 |
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Date of Incorporation : |
05.06.2000 |
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Com. Reg. No.: |
08-27202 |
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CIN No.: [Company
Identification No.] |
U17116KA2000PTC027202 |
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|
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|
TAN No.: [Tax
Deduction & Collection Account No.] |
BLRS22691E |
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PAN No.: [Permanent
Account No.] |
AAECS9927L |
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|
Legal Form : |
Private
Limited Liability Company |
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|
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|
Line of Business : |
Company
is engaged in Manufacturing and Trading of Silk Fabrics |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
Maximum Credit Limit : |
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|
|
Status : |
Small
Company |
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Payment Behaviour : |
Slow
but Correct |
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Litigation : |
Clear |
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Comments : |
Subject
is a relatively small company. Directors are reported as experienced and
respectable businessmen. Their trade relations are fair. Company’s
profitability is under severe pressure. It has some accumulated losses.
Payments are reported as slow but correct. The
company can be considered for small business dealings with slight caution
initially. |
LOCATIONS
|
Registered Office : |
Plot
No. 18, Road No. 3, Bommasa Wdra Industrial Area, IV Phase, Yerandahalli
Village, Angkal, Bangalore – 562158, Karnataka |
|
Tel. No.: |
91-80-27835735 |
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|
|
|
Factory
1 : |
815, 1st
Floor, 5TH “A” Cross, 15th Main BTM Layout, 2nd
Stage, Bangalore – 560076 |
|
Tel.
No.: |
91-80-26681935/26687512/26781269/26683925 |
|
Fax
No.: |
91-80-26681935 |
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|
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Factory
2 : |
936,
16th Main, BTM Layout, Bangalore – 560076 |
|
Tel.
No.: |
91-80-26681076 |
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Fax
No.: |
91-80-26681935
|
|
E-Mail
: |
DIRECTORS
|
Name : |
Mr. S
K Miglani |
|
Designation : |
Director
|
|
Address : |
936, 2nd
Floor, 16th Main, 2ND Stage, BTM Layout, Bangalore –
560076 |
|
Date of Birth/Age : |
22.04.1935 |
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Date of Appointment : |
05.06.2000 |
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|
|
|
Name : |
Mr.
Sanjay Miglani |
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Designation : |
Director
|
|
Address : |
936, 2nd
Floor, 16th Main, 2ND Stage, BTM Layout, Bangalore –
560076 |
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Date of Birth/Age : |
27.08.1966 |
|
Date of Appointment : |
05.06.2000 |
|
|
|
|
Name : |
Mr. V
K Dwivedi |
|
Designation : |
Director
|
|
Address : |
307,
Ramlaxman Apartment, Anantnagar, Electronic City, Bangalore – 562158 |
|
Date of Birth/Age : |
15.02.1945 |
|
Date of Appointment : |
01.04.2003 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
|
Mr. S
K Miglani |
4900 |
|
Mr.
Sanjay Miglani |
4900 |
|
Mr.
Niraj Miglani |
100 |
|
Mrs.
Meera Miglani |
100 |
|
Total
|
10000 |
BUSINESS DETAILS
|
Line of Business : |
Company
is engaged in Manufacturing and Trading of Silk Fabrics |
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|
|
|
Products : |
Silk
Fabrics |
PRODUCTION
STATUS
|
Particulars |
Unit |
|
Installed Capacity |
Actual Production |
|
Silk Fabrics |
Mts. |
|
50000 Mts. |
22801.00 Mts. |
GENERAL INFORMATION
|
Suppliers : |
v
Segul
Frieght Systems v
Shree
Mahaveer Stores v
Sneha
Hi Tech Product v
SU
ME SOU Enterprises v
Suvi
Technologies Private Limited v
Thirumala
Services Station v
United
Business Corporation v
Urrono
Business Corporation v
Veejay
Savio Lakshmi Machines Limited v
R
N Engineering v
Prashanth
Gametex Private Limited v
People
Dyes & Chemicals v
Mags
Fabricators v
Wonder
Weaver Systems v
Fedex
Express v
Flomic
Logistics Private Limited v
Bangalore
Dyes & Chemical v
Canon
India Private Limited v
Damodar
Das Haridas & Sons v
Pioneer
Chemical Corporation v
R
K Traders v
Sree
Chembidges v
Sri
Manjunath Water Supplier v
Suji
Water Treatment Services v
Thirumala
Threads v
Vijay
Chemical Industries |
|
|
|
|
Bankers : |
v
State
Bank of India v
Canara
Bank, BTM Layout Branch, Bangalore – 560076 v
State
Bank of India, Overseas Branch |
|
|
|
|
Facilities : |
Secured Loan Term
loan from State Bank of India – Rs. 6.932 State
Bank of India, Overseas Branch - Cash
Credit Accountant – Rs. 4.077 Total
– Rs. 11.009 Millions |
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|
|
|
Banking Relations : |
Satisfactory
|
|
|
|
|
Auditors : |
Muralidharan
& Manogaran Chartered
Accountant |
|
Address: |
#25/1,
3rd Floor, Vinod Complex, J C Road, Bangalore – 560002 |
|
Tel. No.: |
91-80-22226066/
Res. 91-80-26421040 |
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Fax No.: |
91-80-22226066 |
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|
|
|
Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
4,00,000 |
Equity
Shares |
Rs. 10/- Each |
Rs. 4.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
10,000 |
Equity
Shares |
Rs. 10/- Each |
Rs. 0.100 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2004 |
31.03.2003 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
0.100 |
0.100 |
|
|
2] Share Application Money |
|
16.700 |
2.100 |
|
|
3] Reserves & Surplus |
|
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
|
(4.555) |
(5.698) |
|
|
NETWORTH |
|
12.245 |
(3.498) |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
11.009 |
13.049 |
|
|
2] Unsecured Loans |
|
0.539 |
11.485 |
|
|
TOTAL BORROWING |
|
11.548 |
24.534 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
|
23.793 |
21.036 |
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|
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APPLICATION OF FUNDS |
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|
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|
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|
FIXED ASSETS [Net Block] |
|
14.740 |
16.731 |
|
|
Capital work-in-progress |
|
0.000 |
0.000 |
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INVESTMENT |
|
0.000 |
0.000 |
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|
DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
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|
Inventories |
|
6.925 |
4.912 |
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|
Sundry Debtors |
|
2.117 |
0.034 |
|
|
Cash & Bank Balances |
|
0.014 |
(0.011) |
|
|
Other Current Assets |
|
0.000 |
0.000 |
|
|
Loans & Advances |
|
0.155 |
0.121 |
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Total Current Assets |
|
9.211 |
5.056 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
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|
|
|
|
|
Current Liabilities |
|
0.285 |
0.894 |
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|
Provisions |
|
|
|
|
Total Current Liabilities |
|
0.285 |
0.894 |
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|
Net Current Assets |
|
8.926 |
4.162 |
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|
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MISCELLANEOUS EXPENSES |
|
0.127 |
0.143 |
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|
|
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|
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|
TOTAL |
|
23.793 |
21.036 |
|
PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2004 |
31.03.2003 |
|
Sales Turnover [including other income] |
|
11.973 |
3.116 |
|
|
|
|
|
|
Profit/(Loss)
Before Tax |
|
1.143 |
(5.699) |
|
Provision
for Taxation |
|
0.000 |
0.000 |
|
Profit/(Loss)
After Tax |
|
1.143 |
(5.699) |
|
|
|
|
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|
Export
Value |
|
1.248 |
3.116 |
|
|
|
|
|
|
Import
Value |
|
NA |
4.365 |
|
|
|
|
|
|
Total
Expenditure |
|
10.830 |
8.814 |
KEY
RATIOS
|
PARTICULARS |
|
|
31.03.2004 |
31.03.2003 |
|
PAT / Total Income |
(%) |
|
9.54 |
(182.89) |
|
|
|
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|
|
Net
Profit Margin (PBT/Sales) |
(%) |
|
9.54 |
(182.89) |
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|
Return
on Total Assets (PBT/Total
Assets} |
(%) |
|
4.77 |
(26.15) |
|
|
|
|
|
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|
Return
on Investment (ROI) (PBT/Networth) |
|
|
0.09 |
(1.62) |
|
|
|
|
|
|
|
Debt
Equity Ratio (Total
Liability/Networth) |
|
|
0.96 |
(7.26) |
|
|
|
|
|
|
|
Current
Ratio (Current
Asset/Current Liability) |
|
|
32.31 |
5.65 |
LOCAL AGENCY
FURTHER INFORMATION
Sales
The
company was in fact a 100% export oriented unit registered with the Cochin
export processing zone till 31.05.2003 from 1.06.2003 onward the company had
come out of EOU status by complying with certain statutory formalities and
doing local sales also. The value of the export made during the first two month
was Rs. 1.248 and domestic sales during the rest of the period was Rs. 10.716.
Company had faced a lot of problems in the last year due to improper handling
of machines by untrained staff. Director have succeeded in their efforts and
earned a reasonable profit by utilising the available resources at the best
possible way.
Conservation
of Energy & other Details
The
company is taking reasonable steps for conservation of energy. It had employed
other modes of energy like Generators along with the power supplied by the
state electricity board which is being used sparingly. The earnings in foreign
exchange made by the company during the year was Rs. 1.248.
Fixed
Assets
v
Land
v
Building
v
Plant
& Machinery
v
Computer
& Accessories
v
Vehicles
v
Furniture
& Fixture
Loans
The term
loan granted by SBI is secured by the hypothecation of factory site, factory
building, plant & machinery, and all other assets belonging to the company.
The export packing credit, cash credit and bills discount account is secured
against all inventories and receivable in the possession of the company. All
the above loans have been guaranteed by the director.
Extra
Ordinary Expenditure
During
the year on accountant of change in status from EOU to non EOU company had to
incur about Rs. 1.600 towards de – bonding charges paid to Indian customers
being the custom duty on the machinery and raw materials imported. Custom duty
on machinery had been capitalized while duty paid on raw materials had been
charged to revenue.
|
Name of the company |
SUN
& SAWHIL SILK PRIVATE LIMITED |
|
Presented By |
Mr. S K Miglani |
|
1) Date and description of instrument creating the change |
Cash Credit dated 05.08.2004 Book debts dated 05.08.2004 Machinery hypothecation dated 05.08.2004 Collatral Dated 05.08.2004 Term Loan with EMTD Rs. 6.000 |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 16.600 millions |
|
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Industrial Building, Machinery, Raw Materials, Book Debts all other assets |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Interest Rate – 3.5 Hypothecations of book debts – 30% |
|
5) Name and Address and description of the person entitled to the charge. |
Canara Bank, BTM Layout Branch, Bangalore – 560076 |
|
6) Date and brief description of instrument modifying the charge |
Not Applicable |
|
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
Not Applicable |
CMT REPORT [Corruption, Money
laundering & Terrorism]
The
Public Notice information has been collected from various sources including but
not limited to: The Courts, India Prisons Service, Interpol, etc.
1] INFORMATION
ON DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court
Declaration :
No records exist to suggest that subject is or was the subject of any
formal or informal allegations, prosecutions or other official proceeding for
making any prohibited payments or other improper payments to government
officials for engaging in prohibited transactions or with designated parties.
3] Asset
Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction registered
against subject: None
5] Records
on Violation of Anti-Corruption Laws :
Charges or investigation registered
against subject: None
6] Records
on Int’l Anti-Money Laundering Laws/Standards :
Charges or investigation registered
against subject: None
7] Criminal
Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation
with Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation
Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA
INFORM as part of its Due Diligence do provide comments on Corporate Governance
to identify management and governance. These factors often have been predictive
and in some cases have created vulnerabilities to credit deterioration.
Our
Governance Assessment focuses principally on the interactions between a
company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject
is not known to have contravened any existing local laws, regulations or
policies that prohibit, restrict or otherwise affect the terms and conditions
that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US
Dollar |
1 |
Rs.46.20 |
|
UK
Pound |
1 |
Rs.84.57 |
|
Euro |
1 |
Rs.58.12 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
1 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
27 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit
history (10%) Market
trend (10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
|
<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |