MIRA INFORM REPORT
|
Report Date : |
22ND May, 2006 |
IDENTIFICATION DETAILS
|
Name : |
MSTC LIMITED |
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Registered Office : |
225 – C, A. J. C. Bose Road, Kolkata – 700 020,
West Bengal, India |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
9th September 1964 |
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Com. Reg. No.: |
21-26211 |
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TAN No.: [Tax Deduction & Collection Account No.] |
MUMM20379C |
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PAN No.: [Permanent Account No.] |
AACCM0021E |
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Legal Form : |
Subject
is Government of India Company. It
is a proposed to be disinvested by Government of India. |
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Line of Business : |
Dealers, Disposal of Scrap and International
Trade |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
RATING
|
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Maximum Credit Limit : |
USD 4500000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
It
is a reputed company of the Government of India and a pioneer national and
international trading organisation, trading in ferrous scrap and secondary
items. The company’s track are fine. The
company is making tremendous progress in its turnover and profits. Its trade
relations are fair. Payments are correct. The
company can be considered good for business dealings at usual trade terms and
conditions. |
LOCATIONS
|
Registered Office : |
225 – C, A. J. C. Bose Road, Kolkata – 700 020,
West Bengal, India |
|
Tel. No.: |
91-33-2247-0964
/ 7557 / 0568 / 7716/9627/5680964 |
|
Fax No.: |
91-33-2247
8547 / 4915, 2240 4178/176/4294 |
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E-Mail : |
Mstccal@cal3.vsnl.net.in/mstcho@cal.vsnl.net.in,
mstcindia@mstcindia.com |
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Website : |
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Regional Office : |
WESTERN REGIONAL OFFICE 607-608,
Raheja Centre, Nariman Point, Mumbai – 400 021, India Tel.
No.: 91-22-2228 3767 / 2789 /
2288 3501/2202 2296 Fax
No.: 91-22-22845130 (for
e-auction Registration Enquiry 2288 5924) Telex: 11-86372 MSTC IN E-Mail: mstcwr@bom3.vsnl.net.in
/ mstcwr@vsnl.com NORTHERN REGIONAL OFFICE Prakash
Deep, 7th Floor, 7, Tolstoy Marg, New Delhi – 110 001, India Tel.
No.: 91-11-2331 4201 / 2371
3945 / 2926 / 2373 9660 Fax
No.: 91-11-2331 6713 Telex: 031-61771 MSTC IN E-Mail: mstcnr@ndb.vsnl.net.in SOUTHERN REGIONAL OFFICE Leelavathi
Building, 2nd Floor, 69, Armanian Street, Chennai – 600 001,
Tamilnadu, India Tel.
No.: 91-44-2521 9004/ 2522
2842 / 2523 1584 Fax
No.: 91-44-2522 0091 Telex: 41 5315 MSTC IN E-Mail: mstcsr@md4.vsnl.net.in |
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Branches : |
Tel. No.: 91-80-2256367
/ 2260054 Fax No.: 91-80-2256367 Telex: 845-8419 E-Mail: mstcblr@bgl.vsnl.net.in
Tel. No.: 91-891-2746948
/ 2701066 Fax No.: 91-891-2747053 E-Mail: mstcvzg@eth.net
Tel. No.: 91-661-2522605
Tel. No.: 91-755-2552241
/ 2506483
Tel. No.: 91-265-2339672 / 2310629 Fax.: 91-265-2351636 E-mail. mstcvda@sify.com |
DIRECTORS
|
Name : |
Mr. Malay Sengupta |
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Designation : |
Chairman & Managing Director |
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Tel. No. : |
91-33-22470810 |
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Fax No. : |
91-33-22478547/22404178 |
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Name : |
Mr. B. Malik |
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Designation : |
Director |
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Name : |
Mr. Ashok K. Dutta |
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Designation : |
Director |
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Name : |
Mr. B. N. Rath |
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Designation : |
Director |
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OTHER
PERSONNEL
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Mr.
Subrata Kumar Ray |
Company
Secretary |
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Mr.
B. L. Meena |
CGM
(MS) |
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Mr.
P. P. Ganguli |
CGM
(MS) |
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Mr.
S. P. Datta |
CGM
(M-1) |
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Mr.
J. K. Lahiri |
Chief
Visions Officer |
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Mr.
S. N. Mishra |
CGM
(M-D) |
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Mr.
R. M. Roy |
General
Manager (Finance) |
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Mr.
S. S. Chawdhari |
General
Manager (P & A) |
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Mr.
D. P. Mukherjee |
General
Manager (NRO) |
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Mr.
K. K. Mookherjee |
General
Manager (ERO) |
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Mr.
S. S. Chaudhari |
General
Manager (P & A) |
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CMD’S SECRETARIAT
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N A
M E |
email-ids |
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Shri SK Ray, Company
Secretary |
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Shri SK Poddar,
Manager/SO to CMD |
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Shri SK Pandit,
Dy.Manager |
MARKETING
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N A
M E |
email-ids |
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Shri AK Dastidar, DGM |
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Shri MK Sinha, DGM |
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Shri AK Mathur, DGM |
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Shri T Chakrabarti,
AGM(F&A-ST) |
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Shri B Majumdar, AGM |
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Smt S Arya, Sr.Manager |
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Smt V Vasanthy, Sr.
Manager |
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Smt Rina Saha, Dy.Manager |
rinasaha@mstcindia.com |
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Shri AK Dutta, Dy.
Manager |
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Shri Subrata Sarkar,
Asstt. Manager(F&A) |
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Shri G Sopan Shriram,
Jr.Manager |
MARKETING (Group II)
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N A
M E |
email-ids |
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Shri KK Mookherjee, (GM)MKtg |
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Shri D Munda, DGM (MKtg) |
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Shri MI Baskaran, AGM |
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Shri SN Singh, Sr.Manager (MKtg) |
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Shri GP Pal, Sr.Manager
(F&A - MKtg) |
OPERATIONS
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N A
M E |
email-ids |
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Shri U Sarkar,
AGM(F&A) |
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Shri T Narendra Mohan,
Asstt. Manager(F&A) |
COAL CELL
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N A
M E |
email-ids |
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Shri Rajesh Das, .Manager |
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Shri Praveen Kumar , Asstt.Manager (F & A) |
pkumar@mstcindia.com |
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Shri Umesh Chandra, MT |
FINANCE & ACCOUNTS
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N A
M E |
email-ids |
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Shri RM Roy, CGM |
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Shri Tapas Basu,
DGM(F&A) |
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Shri TK Chatterjee, AGM |
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Shri AS Pal, Sr.Manager |
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Shri SR Banerjee,
Manager(F&A) |
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Shri Santanu BAl, Jr. Manager ( F & A) |
LAW
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N A
M E |
email-ids |
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Shri UK Banerjee, Sr.
Manager |
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Shri Arup Banerjee, Sr.
Manager |
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Shri Pradip Mondal, Dy.
Manager |
HRM
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N A
M E |
email-ids |
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Shri SS Chaudhuri, GM (HRM/SA) |
PERSONNEL & ADMINISTRATION
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N A
M E |
email-ids |
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Shri B Moitra, Sr.Manager (P&A/PR) |
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Ms.
Amita Saha, Sr.Manager (P&A) |
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Shri A Khan Chaudhury,
Manager (P&A) |
MS & EDP
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N A
M E |
email-ids2002-03 |
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Shri S Dutt, AGM (MS/EDP) |
MS
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N A
M E |
email-ids |
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Shri Abhijit Chakraborty,
Jr.Manager |
EDP
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N A
M E |
email-ids |
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Shri Sekhar Datta,
Sr.Manager |
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Shri CR Giri, Sr.Manager |
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Smt Arpita Chowdhury,
Dy.Manager |
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Shri . Argha Sengupta ,Jr. Manager |
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Shri . Debasish Tripathy ,M T |
VIGILANCE
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N A
M E |
email-ids |
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Dr. KN Pandey, CVO |
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Shri R K Chowdhury, ACVO |
rkchaudhuri@mstcindia.com |
HINDI
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N A
M E |
email-ids |
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Shri MP Shrivastava,
Sr.Manager |
NORTHERN
REGIONAL OFFICE, NEW DELHI
|
N A
M E |
email - ids |
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Shri Ashok Kumar, RM
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Shri SK Kaul, AGM |
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Shri Abir Kr.
Chattopadhyay, AGM |
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Shri SK Ghosh, Sr.Manager |
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Smt Bhanu Kumar,
Sr.Manager |
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Shri BS Saini, Manager |
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Smt R Purushottam,
Manager |
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Shri BM Prasad, Manager |
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Smt Shalini Bhatti,
Dy.Manager |
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Shri P K Swain,
Dy.Manager(F&A) |
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Shri T B Chanda, AM |
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Shri Keshav Ajmani,
Dy.Manager (F&A) |
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Shri S K Tiwary,
Jr.Manager (F&A) |
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Md Ismail Saheb, Jr.Manager |
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Shri
Mohit Gupta, M.T |
WESTERN REGIONAL OFFICE, MUMBAI
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N A
M E |
email-ids |
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Shri D Chakraborty, RM |
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Shri TK Bhattacharya, AGM |
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Smt S Subrahmanyam, AGM
(F&A) |
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Shri Amitava Sinha,
Sr.Manager(F&A) |
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Shri SD Yeolekar, Manager |
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Smt Rashmi A Vilas,
Manager |
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Shri AB Purkait,
Dy.Manager |
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Shri Sanjay Banduni,
Dy.Manager |
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Smt Monidipa Das,
Jr.Manager |
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Shri Shivendra Singh,
JM(F&A) |
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Shri Prabir Ghosal, AM(F&A) |
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Shri Yadav Ganesh Arun ,M.T |
SOUTH REGIONAL OFFICE,
(SRO)CHENNAI
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N A
M E |
email-ids |
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Shri JN Jha, RM |
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Shri NP Haldar,
Sr.Manager |
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Shri M Thangaraju,
Sr.Manager |
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Shri A Rajamanickam, Sr.
Manager |
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Shri GB Pal, Manager |
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Shri Sabitabrata Pal,
Dy.Manager(F&A) |
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Shri Ratikanta Pradhan,
Jr.Manager(F&A) |
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Shri GK Dey,Astt.Manager |
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Shri DK Bagchi,
Jr.Manager |
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Shri J Damodaran,
Jr.Manager |
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Smt E Babitharani,
Jr.Manager |
EASTERN REGIONAL OFFICE (ERO), KOLKATA
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N A
M E |
email-ids |
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Shri DP Bahuguna, RM |
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Shri AR Chatterjee,
Sr.Manager(F&A) |
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Shri
G P Das, Manager(F&A) |
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Shri BK Basu,
Manager(F&A) |
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Shri AK Banerjee,
Dy.Manager |
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Shri PK Sarkar,
Dy.Manager |
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Smt R Winifred,
Dy.Manager |
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Shri Sudip Kumar Roy,
Dy.Manager |
BANGALORE
BRANCH
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N A M E |
email-ids |
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Smt S Chakraborty, BM |
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Shri D Varuna,
Sr.Manager(F&A) |
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Shri Himansu Ghosh,
Sr.Manager |
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Shri G Bhattacharya,
Manager |
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Shri A Mahalanabis,
Manager |
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Ms Teresa Minz,
Dy.Manager |
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Shri Dipasish Ghosh, Asst.Manager (F&A)
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Shri M Jaganathan,
Jr.Manager |
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Smt. Navneet Kaur, M.T |
VADODARA BRANCH
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N A
M E |
email-ids |
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Shri Surya Kant, Manager, BM |
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Shri Uday Misra,
Jr.Manager |
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Shri Debasis Ghosal, Jr.Manager(F&A)
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Shri SK Pramanick,
Jr.Manager |
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Shri Bibhuti Sankar
Pradhan , M.T |
VIZAG BRANCH
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N A
M E |
email-ids |
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Shri SM Krishnan, BM |
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Shri S Banerjee,
Sr.Manager(F&A) |
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Shri SK Chowdhury,
Manager |
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Shri AK Bhattacharya,
Dy.Manager |
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Shri Dibyendu Roy,
Dy.Manager |
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Shri PK De,
Dy.Manager(F&A) |
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Shri B Sudhakar,
Jr.Manager |
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Shri Sekhar Mondal,
Jr.Manager |
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Smt Dipanwita Roy,
Jr.Manager |
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Shri Vikash Kumar
Jaiswal, M.T |
HAZIRA/SURAT OFFICE
|
N A
M E |
email-ids |
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Shri TK Paik, Jr.Manager |
TRICHY OFFICE
|
N A
M E |
email-ids |
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Shri GN Jayakumar,
Dy.Manager |
BHOPAL OFFICE
|
N A
M E |
email-ids |
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Shri PK Sinha, Jr.Manager |
DURGAPUR OFFICE
|
N A
M E |
email-ids |
|
Shri S Chakraborty,
Dy.Manager |
BUSINESS DETAILS
|
Line of Business : |
Dealers, Disposal of Scrap and International
Trade |
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|
|
|
Product |
v
Coke v
Dri v Heavy Melting Scrap |
GENERAL INFORMATION
|
No. of Employees : |
288 |
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Bankers : |
v State Bank of India v Canara Bank v Indian Overseas Bank v
United Bank of India |
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Facilities : |
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Banking Relations : |
Satisfactory |
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Auditors : |
·
N. N. Das & Company Chartered Accountants |
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Associates/Subsidiaries
: |
·
Ferro Scrap Nigam Limited Line of Business: Engaged in recovery of iron and
steel in integrated steel plants. |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
50,00,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 Millions |
Issued, Subscribed
& Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
22,00,000 |
Equity Shares |
Rs. 10/- each |
Rs. 22.000 millions |
FINANCIAL
DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
22.000 |
22.000 |
22.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
1105.793 |
810.200 |
665.206 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
1127.793 |
832.200 |
687.206 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
15.970 |
169.600 |
199.200 |
|
|
2] Unsecured Loans |
5400.000 |
3750.000 |
1864.021 |
|
TOTAL
BORROWING
|
5415.970 |
3919.600 |
2063.221 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
6543.763 |
4751.800 |
2750.427 |
|
|
|
|
|
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|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
18.621 |
16.000 |
14.546 |
|
Capital work-in-progress
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
INVESTMENT
|
338.100 |
348.000 |
358.500 |
|
DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Interest Accrued on Investment
|
0.000
|
0.000
|
10.267 |
|
|
Inventories
|
725.888
|
1492.800
|
1118.328 |
|
|
Sundry Debtors
|
4108.683
|
6286.500
|
4100.514 |
|
|
Cash & Bank Balances
|
12799.766
|
8066.400
|
2889.074 |
|
|
Other Current Assets
|
74.140
|
0.000
|
117.421 |
|
|
Loans & Advances
|
1537.849
|
852.300
|
352.788 |
Total Current Assets
|
19246.326
|
16698.000
|
8588.392 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities & Provisions
|
12445.311
|
11994.328
|
6211.011 |
|
|
Provisions
|
617.219
|
320.172
|
|
Total Current Liabilities
|
13062.530
|
12314.500
|
6211.011 |
|
Net Current
Assets
|
6183.796
|
4383.500
|
2377.381 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
3.246 |
4.300 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
6543.763 |
4751.800 |
2750.427 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
Sales Turnover [including other income]
|
49600.357 |
33816.400 |
20793.316 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
647.658 |
337.000 |
167.374 |
Provision for Taxation
|
264.655 |
149.500 |
76.881 |
Profit/(Loss) After Tax
|
383.003 |
187.500 |
90.493 |
|
|
|
|
|
|
Export
Value |
269.724 |
163.111 |
NA |
|
|
|
|
|
|
Import
Value |
45418.906 |
26629.764 |
NA |
|
|
|
|
|
Total Expenditure
|
48947.767 |
33479.400 |
20625.942 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
PAT / Total Income |
(%) |
0.77
|
0.55 |
0.43 |
|
|
|
|
|
|
|
Net
Profit Margin (PBT/Sales) |
(%) |
1.30
|
0.99 |
0.80 |
|
|
|
|
|
|
|
Return
on Total Assets (PBT/Total
Assets} |
(%) |
3.36
|
2.01 |
1.94 |
|
|
|
|
|
|
|
Return
on Investment (ROI) (PBT/Networth) |
|
0.57
|
0.40 |
0.24 |
|
|
|
|
|
|
|
Debt
Equity Ratio (Total
Liability/Networth) |
|
16.38
|
19.50 |
12.04 |
|
|
|
|
|
|
|
Current
Ratio (Current
Asset/Current Liability) |
|
1.47
|
1.35 |
1.38 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Subject
was incorporated on 9th September 1964 at Kolkata in West Bengal
having Company Registration Number 26211 under the name and style of Metal
Scrap Trade Corporation Limited.
Subject
is pioneer national and international trading organisation in ferrous scrap and
secondary items.
The
company renders services to more than 200 public sector enterprises within the
country, and departments of Government of India like Defence, as selling agent
for trading in disposable and surplus material – both ferrous and non-ferrous.
The domestic trade volume of the company at present is around 5000 million Indian Rupees.
The
company as an international and diversified trading company has come a long way
since the time of de-canalisation and de-regulation of trade by the Government
of India in 1991-92. Today it has established itself as a regular buyer in the
global market for items like ferrous scrap, steel and non-ferrous metals, Ferro
alloys, coal and coke items and petroleum products like superior kerosene oil
and furnace oil. In the year 250000 Tonnes valued at 3000 millions Indian
Rupees. The comfied imports, besides entering the export market.
Subject
was acting as canalising agency for import in India of Carbon Steel Melting
Scrap and also Sponge Iron. Hot Briquetted Iron and Re-rollable Scrap till
February 1992.
Subject
is engaged in dealing in Chemicals, Paper, Leather, Petroleum Products, etc.
Subject
is a Government of India Company engaged in the business of disposal of Scrap.
It was canalising agency for import in India of Carbon Steel Melting Scrap and
also Sponge Iron/Hot Briquetted Iron and RE-rollable Scrap till February, 1992.
It was also the canalising agency for old ships for breaking. It specialises in
international trade of ferrous input materials and imported millions of tons of
ferrous melting scrap, old ships for breaking, SpongeIron, Hot Briquetted Iron,
Re-rollable Scrap, etc. It also exported thousands of tons of ferrous scrap,
jute products, etc. The company also undertakes marketing of ferrous and
Miscellaneous scrap arising from Integrated Steel Plants, Engineering
Companies, Refineries, Power Plants, Coal and Transport Sector, Defence and other
Government Departments / Private Sector Organisations in the domestic market.
It
also acts as canalising agency for old ships for breaking.
It
specialises in international trade of ferrous input materials and imported
million of tons of ferrous melting scrap, old ships for breaking, sponge iron,
hot briquetted iron, re-rolled scrap, etc. It also exported thousand of tons of
ferrous scrap, jute products, etc.
Recommendations
Of Disvestment Commission (July 1999)
The Disinvestments Commission
held that no public purpose could be served by maintaining company under the
Government ownership. The Commission, therefore, recommended for sale of entire
Government holding in company along with MSTC’s holding in Ferro Scrap Nigam
Limited. It was also recommended that in the event of no investors being
interested in the company, there would be no option but to close down the
operations of company.
Government
Decision
To disinvest the entire
shareholding of Government of India in company through strategic sale to
strategic buyer.
The company is also planning
to import ferro alloys and import of input items of integrated steel plants and
IF/EAF units.
It is in trade terms with:
·
Ministry of Steel
·
Development Commissioner
for Iron & Steel
·
Various Central Government
Ministries, Departments, Agencies
·
Steel Authority of India
Limited
·
Rashtriya Ispat Nigam
Limited
·
The State Government
·
Various public sector
undertakings
·
Defence Ministry
Fixed Assets:
v
Furniture & Fixture
v
Office Equipment
v
Office Motor Car
v
Air Conditioners
v
Water Cooler
v
Parttion & Cubicles
v
Company Flats
DIRECTORS' REPORT
Your Directors are pleased
to present the 40th
Annual Report
on the business and
operation of the company
together with Audited Accounts and Auditor's Report thereon
for the year ended
31.03.2005. Your Directors are happy to report that in 2004-05 also
the company has more thin
doubled its profit (after tax) to Rs.383.0
Millions. Tins comes
on top of 100% growth in
profit in both the previous years, namely, 2002-03 arid 2003-
04. Based on such strong
growth the company has been making new records of profit
earned for last three years.
Based on the Post Tax Profit of Rs.383.0 Millions , your
Directors recommend a
dividend of 349% in accordance with its long-standing practice,
of distributing 20% of the
profit earned as dividend. For seven years in a row now the profits have grown
in every year, rising from Rs. 18.300 Millions in 1997-98 to Rs.383.0 Millions
in 2004-05. The volume of business has also increased during this period from
about Rs.5000.000 Millions to Rs.64540.000 Millions . One may thus see that
while the volume of business has grown by about 13 times in the last seven
years, the profit lies increased by 21 times during the same period. As a
result there has been a tremendous growth in the shareholders value in the past
seven years rising from around Rs.510.000 Millions in 1997-98 to around Rs
130.000 Millions in 2004-05.
MARKETING
The growth that has been
achieved has come largely on the peak of renewed marketing
efforts initiated in 1998-99
to expand the basket of imports based on back-to-back contracts. Thus the
volume of business achieved through our Marketing Division, which stood at zero
in 1997-98, has increased to Rs.53819.2 Millions in 2004-05, of which Rs.6852.600
Millions was done on a facilitator mode. This appears quite favorably with the
volume of business achieved by Marketing Division in previous year, which stood
at Rs.34103.500 Millions , there has thus been a 57% growth in this sector.
However, this growl1: has
been basically price driven and not volume driven. The abnormal rise in
price commodities and industrial raw
materials has registered in this growth in the var •:'. A the market stabilizes or comes back to more
normal price, this volume will u;V come down. and. the company
shall have to chase volumes, to compensate for the reduction in- the"
per-tone value. Nevertheless, the performance of the Marketing Division would
appear'to- be reaching a Plato. Your company is also facing intense competition
from'other trading companies and there is virtually a price war with the
mark-up coming d"vn to less than 1% and even to 0.75% in certain cases.
The outlook for the coming year is therefore not very bright as far as the
activities of Marketing Division is
concerned.
SELLING AGENCY
In the Selling Agency your Directors are happy to inform that the concept of e-auction has caught on and has proved to be a success. The value of disposals, which was around Rs.200.000 Millions 2002-03, grew to around Rs.800.000 Millions in 2003-04 and further grew to Rs.4760.000 Millions in the year 2004-05. The number of customers registered for e-auction of scrap has grown to normally 3000.
E-AUCTION OF COAL
The creates! success of the
e-auction portal however has been a breakthrough in ;;
completely new area Your
company has been engaged by Coal India to auction prime coal for non-core
sector throughout India llirough e-auction. This hopefully w i l l result in
almost doubling of the volume of sales achieved by the Selling Agency Division.
However, naturally the remuneration for such auction is not very high, but
still you; company expects a reasonable growth in the income from the Selling
Agency m the cornme year.
FUTURE
Your Directors feel that in
view of the rapidly changing market scenario and the success
already achieved by your
company fresh thinking needs to be made and fresh strategies
drawn up both to sustain the
existing level of business as well as to achieve further
growth. The direction of
such growth will be to promote e-commerce, but a detailed
strategy needs to be drawn
up by your company at this juncture.
DIVIDEND
Your directors have already
paid an interim dividend @ Rs.51 per equity share and have now recommended
payment of dividend @ Rs.298/- per equity share for the year ended 31.3.2005,
i.e. total payout would be Rs.76.780
Millions on a share capital of Rs.22.000 Millions. The dividend, if
approved by the shareholders at the ensuing Annual General Meeting, shall be
paid to shareholders whose names appear in the Register of Members as on the
date of40lh Annual General
Reserves
Directors propose to
transfer from the Profit and Loss Account a sum of Rs.295.563
Millions to the General
Reserve during the year 2004-2005 as against Rs. 145.024
Millions last year. General
Reserve, would therefore, stand at Rs. 1105.793 Millions as
on 31.3.2005 as against
Rs.810.230 Millions as on 31.3.2004.
HUMAN
RESOURCE DEVELOPMENT
With a view to enhancing the
knowledge and skills of the employees and preparing them to face new challenges
in the changing business scenario, a training plan was drawn up for the year
2004 - 05. The Executives of the Company were sponsored to attend various
training programmes, seminars, workshops etc. during the year and also exposed
to tailor made in house programmes. 58% of the Executives were exposed to
training for 377 rnandays in various functional areas. The MOU on training for
the year ended was duly achieved. The Company continued to maintain cordial
Industrial Relations with the Employees / Union through mutual dialogue and
discussions.
Website
Details Attached:
AN INTRODUCTION OF MSTC LIMITED (A GOVT. OF INDIA ENTERPRISE)
MSTC, a Government of India Company is engaged
in the business of disposal of Scrap and international trade in it for over 30
years. It was the canalising agency for import in India
of Carbon Steel Melting Scrap and also Sponge Iron /
Hot Briquetted Iron and Re-rollable Scrap
till February, 1992. It was also the
canalising agency for old ships for
breaking. It specialises in international trade of ferrous input
materials and imported millions of tons of ferrous melting scrap,
old ships for breaking, Sponge Iron, Hot Briquetted
Iron, Re- rollable Scrap etc It also
exported thousands of tons of ferrous scrap, jute
products etc The Company also undertakes marketing of
ferrous and Miscellaneous scrap
arising from Integrated Steel Plants,
Engineering Companies, Refineries,Power Plants, Coal
and Transport Sector, Defence and
other Government Departments / Private Sector
Organisations in the domestic market. The Company has paid-up capital of
Rs. 22.000 Millions and Reserve of over Rs. 600.000 Millions.
The Company has two main operational divisions:
Marketing Division
This Division largely undertakes import and
export of Carbon Steel Melting Scrap, finished Steel/Coal/Coke as
also other non-traditional items like SKO, Naptha etc.
The volume of imports in the fiscal 2002-2003
was around Rs. 14680 million and Purchase and Sales
transactions from Domestic Sources amounted to a further Rs. 5550
millions.
MSTC with its network of 12 offices all over
India, and its policy of operating on
a very small margin is in a unique position to
help International Commodity traders establish a market and clientele on
a long term basis. With its experience and expertise in
Foreign trade, it is also in a position to help Indian user of imported raw
material to procure such material on a sustained basis with most economic
prices.
Selling Agency
The Division is responsible for disposal of
ferrous and miscellaneous scrap from steel plants as well as disposal of
scrap and used stores, rejected, wastes, etc. and surplus items from over
150 Public Sector Undertakings and Departments.
The Corporation also has a
Management Services Division which provides
the operational divisions regular feed back
on market research. The Company's
registered and corporate office is located at Calcutta and it has four Regional
Offices at Calcutta, Delhi, Chennai and Mumbai. Besides, the company has
branch offices at Bangalore,Vizag and Bhopal and also some site Offices.
The disposal activity is carried out through Tenders /
Auctions / Tender -cum -Auctions / e-auction etc. The Volume of Sales in
2003 -2004, under this portfolio was Rs. 7380 millions
Notice
MSTC, a Government of India Company is
in international trading for over 30 years in the import business of scrap,
steel items superior kerosene oil, coal & coke etc.
Presently MSTC has been importing following items :
1) Steel
Melting Scrap - Shredded ( preferably USISRI 211), HMS
( preferably No. 1 or No.1 & 2 mixed on 80:20 basis), Cuttings of
Plates & Structurals, Bushellings, etc.
Size : Length 900 mm (max) x
Width 300 mm (max) x Thickness between 3-20 mm
(max.) for items other than Shredded Scrap.
Imports are made in small lots of one
or more thousand tonnes , as also shiploads of
20,000/25,000/30,000/35,000 tonnes depending on demand from our customers
2) Finished
Steel items, such as, HR Coils, CR Coils may also be considered.
3)
Semi-finished steel item M.S. Billets , preferably 100 mm x 100 mm x 3-6
mm size (125 mm x 125 mm /80 mm x 80 mm sizes may also be
considered).
4) Coking
Coal
5) Steam
Coal
6)
Metallurgical Coke
7) Special High
Grade Zinc Ingots - LME Registered Zinc having purity 99.995% (min.)
The detailed specification, port
of discharge and other commercial details will be available on enquiry.
Also from time to time enquiries for
the above items are being hosted in this website.
As and when the supplier intend
to bring any cargo to any port in India, they may
contact MSTC with price and other commercial details or submit their offer
against any enquiry available in this website.
As regards credentials the
following details are desired from the intending supplier :
i) Exports made in the
last three years by the supplier, productwise .
ii) Turnover per
year of the supplier in the last three years.
iii) Annual
Report of the supplier with their Balance Sheet for the
last three years.
iv) Source of
supply and ownership details, in case offer is submitted by a
trader.
v) Credentials
of the Stockholder / Principal / Manufacturer in case the offer is submitted by
a trader.
vi) Confidential
certificate from bankers for the trader as well as their Principal.
ADVERTISEMENT
MSTC Ltd intends to service the
demand of various imported items such as Steel Scrap, iron & Steel
Finished and Semi finished items, (e.g. Blooms, Billet, HRC, CRC, etc.0
Iron Pellets, Coal, Coke, Petroleum products such as , Naphtha, SKO, Non
Ferrous Metal, Precious Metal. etc. Customers having genuine requirement and
sound financial backing may apply to the Chief General Manager ( Operations) at
the above address.
The interested parties should
submit their detailed credentials and Company Profile along with a demand Draft
of Rs.1.000 Millions favouring “MSTC Ltd.” payable at Kolkata. MSTC reserves
the right to accept or reject any proposal without assigning any reason
therefore.
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 records 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. 45.52 |
|
UK
Pound |
1 |
Rs. 85.79 |
|
Euro |
1 |
Rs. 58.46 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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
|
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 |