MIRA INFORM REPORT
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Report
Date : |
24th
November 2006 |
IDENTIFICATION
DETAILS
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Name : |
SWASTIIK ENGINEERING WORKS |
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Registered
Office : |
Mistry Industrial Estate, I.B. Patel Road, Goregoan
(East), Mumbai-400063 |
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Country
: |
India |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
1976 |
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TAN
No.: [Tax
Deduction & Collection Account No.] |
MUMS37701G |
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PAN
No.: [Permanent
Account No.] |
AAAFS3835M |
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Legal
Form : |
Partnership concern with an unlimited liability of the
partners |
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Line
of Business : |
Manufacturer of Valves and Fittings |
RATING & COMMENTS
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MIRA’s
Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered
normal. Capable to meet normal commitments. |
Satisfactory |
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Maximum
Credit Limit : |
USD 10000 |
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Status
: |
Satisfactory |
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Payment
Behaviour : |
Usually
correct |
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Litigation
: |
Clear |
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Comments
: |
Subject is an established concern having satisfactory
track. Both the partners are uneducated but possess several years of
experience in their field. Their products are exported through exporters.
Trade relations are fair. Payments are usually correct and as per
commitments. The concern can be considered normal for business dealings
at usual trade terms and conditions. |
LOCATIONS
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Registered
Office : |
Mistry Industrial Estate, I.B.Patel Road, Goregoan (East),
Mumbai, India |
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Tel.
No.: |
91-22-26859963 |
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Mobile
No.: |
91-9322296403 |
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Fax
No.: |
91-22-26853016 |
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E-Mail: |
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Area: |
2500 Sq.ft. |
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Location : |
Rented |
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Head
Office : |
Mistry Industrial Estate, I.B.Patel Road, Goregoan (East),
Mumbai, India |
PARTNERS
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Name: |
Mr. G.N. Mistry |
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Designation
: |
Partner |
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Age : |
48 Years |
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Qualification
: |
Under graduate |
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Experience
: |
31 Years |
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Name : |
Mr. P.N.Mewada |
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Designation
: |
Partner |
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Date
of Birth/Age : |
46 Years |
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Qualification
: |
Under Graduate |
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Experience
: |
29 Years |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturer of Valves and Fittings |
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Products
: |
Tube Fittings (Compression Type), Ball Valves (Valves),
Manifold Valves, Needle Valves and Pipe Fittings |
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Imports
from : |
Korea |
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Terms
: |
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Selling : |
Cash and Credit |
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Purchasing : |
Cash and Credit |
GENERAL INFORMATION
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Customers
: |
End Users |
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No. of
Employees : |
12 |
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Bankers
: |
Bank of Baroda, Goregaon, Mumbai 400063 |
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Banking Relations : |
Satisfactory |
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Auditors
: |
Bharat P. Shah and Company Chartered Accountant |
CAPITAL STRUCTURE
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Capital
Investment : |
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Owned : |
Rs. 2.000 millions |
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Borrowed : |
-- |
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Total : |
Rs. 2.000 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
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Particulars |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales
Turnover |
16.500 |
17.500 |
16.000 |
Expected Sales: March 2007- Rs.15.000 millions
LOCAL AGENCY FURTHER INFORMATION
TRADE REFERENCES-
- American
Process Management (India) Private Limited, Mumbai
- Oil
and Natural Gas Corporation Limited, Mumbai
- National
Organic Chemical Industries Limited, Mumbai
Website details :
Swastik
Engineering Works manufactures Instrument Valves & fittings since nearly
two-decade. It chiefly caters to end users in process industries, power plants
and petrochemical complexes. The Tiger signature on the products is very well
known with these customers mainly for quality workmanship and timely delivery.
This
attracted competent authorities to visit our facilities & acknowledge the
same therein. To name a few, Engineers India Ltd (EIL) – India’s premier
consulting engineers for grassroots refineries & petrochemical projects in
the govt. sector, Oil & Natural Gas Corp. Ltd (ONGC), Fisher Rosemount
India Ltd., National Organic Chemical Industries Ltd. (NOCIL)., Dept. of Atomic
energy., Indian Oil Corp. Ltd. (IOCL), Gas Authority of India Ltd. (GAIL),
Thermax Ltd., Forbes Marshall Group of Cos., Tata Honeywell Ltd., and many more
are now valued customers. With sustained consistency in the Quality Assurance
Programme the customers also reposed faith in the manufacturing capabilities
for all their major projects in India.
The
recent policy of the government in controlling environment pollution had the
Automobile industries employ its valves and fittings for their vehicles running
on CNG fuel.
Tiger
name is more and more synonymous with end users like Tata Honeywell Ltd.,
Fisher Rosemount & Moore Controls who regularly recommended the range of
Valve Manifolds for their complete range of Different Pressure Transmitters.
Besides, Needle Valves and Compression fittings are satisfactorily operating in
Nuclear Power Stations located at various sites in the country (250 MW units).
The
year 1995 brought international recognition with supplies to Kuwait & Iran
through turnkey contractors in India. Dispatches to these countries largely
contributed to the excellent performance
contributing
40% of the turnover. The range of 3-Valve Manifolds has also made its presence
with OEMs located in Latin America – especially in Brazil, for their complete
range of Differential Pressure Transmitters.
Today,
there is tremendous faith in them by their valued customers, owing to the
steady growth of awareness in their Quality Assurance Programme. Subject at
Swastik Engineering Works are now poised to take a giant leap in making their
presence felt in many more countries in this new millennium. However, they
always seek the goodwill of their customers in guiding them to improve their
products` versatility from time to time and continue to be their most trusted
business associates for many years to come.
Valued Customers
- Alternate Fuel for Automobile (CNG)
- Gas Based Fertilizer Plant
- Nuclear & Thermal Power Plants
- Oil & Gas Producing Units
- OEMs
- Refineries & Petrochemicals
- Process Industries
Manufacturing Facilities
& Utilities
- Automats
- Lathes
- Traubs
- Drills
- Milling Units
- CNCs
- Ultrasonic cleaning
IN-HOUSE TESTING
FACILITIES
PNEUMATIC
TESTS:- Media - Nitrogen Gas cylinder. Max.
Full load pressure available @140 Bars.
HYDROSTATIC
TESTS:-
Media-Domestic Water is employed Max Pressure generated 1000 Bars (15,000 psig)
PRESSURE
IMPULSE:-
Hydrostatic Pressure Impulses between 0-200-0 Bars @ 30 cycles/minute( ±5 cpm)
VIBRATION
TESTS:- Loop of assembled valves and
fittings are subjected to Vibrations @ 23 to 47 Hz. (1380 to 2820 rpm) @ 3 mm
amplitude Oscillations.
TEMP.
CYCLIC TESTS:- The assembles loop is subjected to
this test between Room temperature and 320 deg.C and back to Room temp.
Duration of each cycle is 60 minutes. For valves, max. temp is 200 deg. C
MAKE-BREAK TESTS:- The assembled valves & fittings (with nut-ferrule ends) are
subjected to 25 operations of make-break test. At the end of 25 inch operation,
the loop is subjected to Hysrostatic Pressure as decided by its working
conditions.
HARDNESS TEST:- Hardness of Raw material / Finished jobs is verified in Rockwell `B`
& `C` scales. Ferrule hardness range between: 90 to 100 Rb. This ensures
proper swaging on the outer surface of the tube whose hardness ranges between
70 to 79 Rb scale.
DIMENSIONAL CHECKS:- All items are checked on-line for their dimensions within the allowable
tolerances. Internal QC reports of general tests are recorded & documents
maintained. Measuring instruments and Go/No - Go gauges are maintained duly
calibrated.
MATERIAL TESTS:- For the raw material, their Chemical & or Physical properties are
verified and documents maintained issued by reputed laboratories like TCR /
authorised Labs in Mumbai only to conform ASTM/BS/IS stds. Wherever compliance
to NACE is required, the Raw Material is essentially subjected to heat
treatment so as to ensure that after proper stress relieving the hardness is
maintained at </= 22 Rc.
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.44.87 |
|
UK Pound |
1 |
Rs.85.99 |
|
Euro |
1 |
Rs.58.15 |
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SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
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PAID-UP
CAPITAL |
1~10 |
5 |
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OPERATING
SCALE |
1~10 |
5 |
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FINANCIAL
CONDITION |
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--BUSINESS
SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
5 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT
LINES |
1~10 |
5 |
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--MARGINS |
-5~5 |
- |
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DEMERIT
POINTS |
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--BANK
CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER
ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT
POINTS |
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--SOLE
DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT
ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER
MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
45 |
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 |
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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 |
|
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 |
|
NR |
In view
of the lack of information, we have no basis upon which to recommend credit
dealings |
No Rating |
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