MIRA
INFORM REPORT
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Report Date : |
30TH
June 2006 |
IDENTIFICATION
DETAILS
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Name : |
ECONOMY REFRIGERATION LIMITED |
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Registered Office : |
36, Kirti Building, Dr. V B Gandhi Marg, Mumbai 400 023, Maharashtra,
India |
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Country : |
India |
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Financials (as on) : |
31.03.1998 |
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Date of Incorporation : |
23.04.1971 |
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Com. Reg. No.: |
11-15123 |
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CIN No.: [Company
Identification No.] |
U99999MH1971PTC015123 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUME04878G |
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PAN No.: [Permanent
Account No.] |
AAACE6434F |
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Legal Form : |
A closely held public limited liability company. |
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Line of Business : |
The company is engaged in manufacture of
Industrial Refrigeration Systems Including turnkey projects manufacture of
Expanded Polystyrene. |
RATING & COMMENTS
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MIRA’s Rating : |
C |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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Maximum Credit Limit : |
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Status : |
Undetermined
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Payment Behaviour : |
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Litigation : |
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Comments : |
The company’s
current financial status remain unknown as no financials could be available
since several years. It is
gathered that the company sold majority of land of Malad Plant to a private
real estate developments and making a large profit. However, company’s future
appears to be in doubt and we would recommend it on fully safe and secured
trade terms and conditions at present.
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LOCATIONS
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Registered Office : |
36, Kirti Building, Dr. V B Gandhi Marg, Mumbai 400 023, Maharashtra,
India |
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Tel. No.: |
91-22-30282440
/ 30282439 |
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Mobile No
: |
91-9821502690 |
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Fax No.: |
91-22-22844724 |
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E-Mail : |
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Area : |
Owned |
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Branches
: |
At Delhi, Bangalore, Surat and Chennai |
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Area : |
Owned |
DIRECTORS
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Name : |
Mr. Ravish K Ahuja |
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Designation : |
Director
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Address : |
Ahuja Bunglow, 426-10th Road, Chembur, Mumbai 400 071. |
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Date of Birth/Age : |
02nd October, 1940 |
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Qualification : |
Bachlor of Science in Mechanical Engineering, University of Michigan,
USA. |
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Experience : |
Vilter International, USA Howe Corporation, USA Director - Economy Refrigeration P Limited, Since 1971. |
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Name : |
Mr. Rajesh Ahuja |
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Designation : |
Director
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Address : |
Ahuja Bunglow, 426-10th Road, Chembur, Mumbai 400 071. |
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Date of Birth/Age : |
8th June, 1970 |
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Qualification : |
Bachlor of Science in Mechanical Engineering Manipal Institute of
Technology, Manipal Karnataka. |
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Experience : |
Director - Economy Refrigeration P Limited, Since 1993 Partner - Adarsh Ice & Cold Storage Since 1993 |
MAJOR SHAREHOLDERS
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Names
of Shareholders |
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Percentage of Holding |
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Mr. R K Ahuja |
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30 % |
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Mr. S K Ahuja |
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25 % |
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Mr. A K Ahuja |
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25 % |
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Searoch Enterprises |
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20 % |
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Total
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100 % |
BUSINESS DETAILS
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Line of Business : |
The company is engaged in manufacture of
Industrial Refrigeration Systems Including turnkey projects manufacture of
Expanded Polystyrene. |
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Products : |
Refrigeration Spares |
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Imports from : |
M - D Pneumatics Division, USA HVG Hallertau E.G., Germany SCM Construzioni Meccaniche S.R.L., Italy S A Sopura N.V., Belgium |
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Terms : |
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Purchasing : |
D/A, D/P and L/C |
GENERAL
INFORMATION
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Suppliers : |
Bottle Beer and Drought Beer |
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No. of Employees : |
55 |
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Bankers : |
Cosmos Cooperative Bank Mumbai |
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Facilities : |
The company enjoy following facility from its
banker
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Banking Relations : |
-- |
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Auditors : |
Batliboi Purohit & Company
Chartered Accountants |
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Associates/Subsidiaries : |
v
Seorock Enterprises Private Limited v
Economy Hygiene/Economy Agencies v
Economy Pneumatics Private Limited v
Adarsh Ice & Cold Storage v
Adpack |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
2000000 |
Equity
Shares |
Rs. 10 each |
Rs. 20.000 million |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
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1910000 |
Equity
Shares |
Rs. 10 each |
Rs. 19.100 million |
FINANCIAL DATA
[all figures are in Rupees
Millions]
No
subsequent financial could be available from any sources.
Management
remained non-cooperative during current investigation.
ABRIDGED
BALANCE SHEET
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SOURCES OF FUNDS |
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31.03.1998 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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19.100 |
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2] Share Application Money |
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0.000 |
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3] Reserves & Surplus |
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5.200 |
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4] (Accumulated Losses) |
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0.000 |
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NETWORTH |
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24.300 |
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LOAN FUNDS |
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1] Secured Loans |
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18.600 |
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2] Unsecured Loans |
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1.700 |
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TOTAL BORROWING |
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20.300 |
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DEFERRED TAX LIABILITIES |
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0.000 |
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TOTAL |
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44.600 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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14.300 |
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Capital work-in-progress |
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0.000 |
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INVESTMENT |
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2.100 |
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DEFERREX TAX ASSETS |
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0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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0.000 |
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Sundry Debtors |
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0.000 |
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Cash & Bank Balances |
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0.000 |
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Other Current Assets |
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34.300 |
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Loans & Advances |
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2.500 |
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Total Current Assets |
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36.800 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
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7.800 |
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Provisions |
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0.800 |
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Total Current Liabilities |
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8.600 |
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Net Current Assets |
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28.200 |
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MISCELLANEOUS EXPENSES |
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0.000 |
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TOTAL |
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44.600 |
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PROFIT
& LOSS ACCOUNT
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PARTICULARS |
|
31.03.1998 |
31.03.1997 |
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Sales Turnover [including other income] |
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140.900 |
137.200 |
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Profit/(Loss)
Before Tax |
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1.900 |
1.300 |
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Provision
for Taxation |
|
0.600 |
0.300 |
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Profit/(Loss)
After Tax |
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1.300 |
1.000 |
KEY
RATIOS
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PARTICULARS |
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31.03.1998 |
31.03.1997 |
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PAT / Total Income |
(%) |
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0.92 |
0.73 |
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Net
Profit Margin (PBT/Sales) |
(%) |
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1.35 |
0.95 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
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3.72 |
-- |
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Return
on Investment (ROI) (PBT/Networth) |
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0.08 |
-- |
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Debt
Equity Ratio (Total
Liability/Networth) |
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1.19 |
-- |
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Current
Ratio (Current
Asset/Current Liability) |
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4.28 |
-- |
LOCAL AGENCY
FURTHER INFORMATION
It was
reported that company import Refrigeration Spares.
The management state Economy has recently started working with a leading
refrigeration company and manufacturer of Screw compressors for supply of
Refrigeration Plants in India. With this tie-ups, we can supply a very energy
efficient plant of the latest design.
As per website
The company is in association with
Tuthill Pneumatics, Division of Tuthill Corporation U. S. A. For their Blowers
and Vacuum Boosters. Tuthill is one of the largest Blower manufacturers in the
world since 1953. Tuthill is the first blower manufacturer to be awarded with
ISO 9001 certification.
Tuthill Blowers are manufactured on CNC machining centers keeping very close
clearances with the latest revolutionary high speed technology, which have
several advantages compared to an obsolete low speed technology blowers
available locally.
During their association with Tuthill they have supplied large number of
Blowers to almost all the major type of industries in India as well as
overseas. These blowers are giving satisfactory performance in industrial
segments like Cement, Steel, Sugar, Chemicals & Gas Processing, Pharma,
Food Processing, Water Treatment Solutions. Etc.
Along with the assistance for commissioning they are very well equipped to
provide prompt after sales service.
They offer blowers upto a capacity of 17000 m3/HR and upto a pressure of 1.25
KG/cm2 (18 PSIG) in single stage and 2.8 KG/cm2 (40 PSIG) in double stage.
Also they deal with Rotary Positive Displacement Lobe Style Mechanical Vacuum
Boosters for a vacuum upto 1 micron (10 Torr) and a capacity upto 20000 m3/HR.
They are also dealing with Tuthill Process Pumps.
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Products/Services
Offer: |
Roots
blowers, vacuum boosters, gear pumps |
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Business
Type: |
Trading
Company |
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Industry
Focus: |
Pumps
& Vacuum Equipment, Draught Fan |
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Geographic
Markets: |
Southeast
Asia |
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
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Indian Rupees |
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US
Dollar |
1 |
Rs. 46.34 |
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UK
Pound |
1 |
Rs. 84.21 |
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Euro |
1 |
Rs. 58.14 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable
to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |