MIRA INFORM REPORT

 

 

Report Date :

20.08.2007

 

IDENTIFICATION DETAILS

 

Name :

ESSENTIAL POWER TRANSMISSION PRIVATE LIMITED

 

 

Registered Office :

Espenpro House, 24 Marol Co - Operative Industrial Estate, M.V. Nagar, Andheri ( E ), Mumbai – 400 059, Maharashtra.

 

 

Country :

India

 

 

Financials (as on) :

30.03.2006

 

 

Date of Incorporation :

27.05.1983

 

 

Com. Reg. No.:

30059

 

 

CIN No.:

[Company Identification No.]

U29130MH1983PTC030059

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUME04632F

 

 

PAN No.:

[Permanent Account No.]

AAACE3426D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Exporter of all types of Power Transmission drives.

 

 

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

 

Maximum Credit Limit :

USD 130228

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well – established and reputed company having satisfactory track. Directors are reported as experience and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are usually correct and as per commitments.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

 

LOCATIONS

 

Registered Office :

Espenpro House, 24 Marol Co - Operative Industrial Estate, M.V. Road, Andheri ( E ), Mumbai – 400 059, Maharashtra.

Tel. No.:

91-22-28505132 / 2348 / 3685 / 6471 / 2148

Fax No.:

91-22-28504501/28933547 / 28502348

E-Mail :

espenro@bom3.vsnl.net.in

Website :

www.esenpro.com

 

 

Mumbai Office :

6, Hytex Industrial Estate, S.V. Road, Dahisar ( East), Mumbai-400 068

Tel. No.:

91-22-28927615 / 28931742 / 28933911

Fax No.:

91-22-28504501 / 28933547

 

 

Valsad Office :

Plot No. 4 and 4 – AA, P.O. GIDC Estate, Gundlav – 396035, Valsad Western Railway, Gujarat

Tel. No.:

91-2632-236674 / 236232

Fax No.:

91-2632-236632

 

DIRECTORS

 

Name :

Mr. Kashayap  Shah

Designation :

Director

Address :

35 MS House Jai Hind Society, 11th Road JVPD Scheme Vile Parle (West), Mumbai – 400 049

Date of Birth/Age :

20.09.1954

Date of Appointment :

27.05.1983

 

 

Name :

Mr. Bharat Shah

Designation :

Director

Address :

8, Laxmi Niwas 154, Hindu Colony Dadar, Mumbai – 400 016, Maharashtra

Date of Birth/Age :

12.05.1944

Date of Appointment :

28.05.1983

 

 

Name :

Mr. Kamlesh Shah

Designation :

Director

Address :

Amar Arcade 4th Floor Flat No. 8 Near Buddh Nagar Society, Bulsar - 396001, Maharashtra

Date of Birth/Age :

04.11.1947

Date of Appointment :

22.02.1996

 

 

Name :

Mr. Chandrakanta Shah

Designation :

Director

Address :

Amar Arcade 4th Floor Flat No. 8 Near Buddh Nagar Society, Bulsar - 396001, Maharashtra

Date of Birth/Age :

24.04.1918

Date of Appointment :

1990

 

 

Name :

Mr. Vishnu Barve

Designation :

Directors

Address :

B/9 Navbharat Co operative Housing Society, Dixit Road / Extn / Vileparle, Mumbai – 400057, Maharashtra

Date of Birth/Age :

17.09.1951

Date of Appointment :

15.12.2006

 

 

Name :

Mr. Narendra Amratlal Vora

Designation :

Director

Address :

21, Queen Lawns SV road, opposite Golden Tobbaco Vile parle, Mumbai – 400 056

Date of Birth/Age :

17.09.1950

Date of Appointment :

15.12.2006

Directorship in other companies

Raj – Rajeshwari India Private LImited

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

 

No. of Shares

Mr. Kashyap Shah

 

24900

Mr. Bharat Shah

 

30000

Mr. Kamlesh Shah

 

20000

Mr. Chandrakanta Shah

 

66595

Mr. Surendra Shah

 

33150

Esenpro Transmission Equipment Private Limited

 

1355

 

Equity share Break Up ( Percentage of total Equity):

 

Sr.No

Category

Percentage

1

Directors or relatives of Directors

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of all types of Power Transmission drives.

 

 

 

 

GENERAL INFORMATION

 

Customers :
  • Kolsite Machine Fabric Limited
  • Kabra Extrusiontechnik
  • Flat Products Equipment ( India) Limited
  • Mukand Limited
  • Hollw Block Manufacturing Company Private Limited
  • Ruby Macons lImited
  • MRF Limited
  • Jindal Iron and Steel Company Limited
  • Madaras Refineries Limited
  • Geo Miller Limited
  • Gujarat State Fertilizers and Chemicals Limited
  • Colour – Chem Limited
  • Hindustan Dorr-Oliver Limited
  • Kirloskar Brothers Limited
  • Batliboi Environmental Engineering Limited
  • Sudarshan Chemicals Industries Limited
  • Reliance Industries Limited.
  • The Tata Iron and steel company Limited
  • Voltas Limited
  • Steel Authority of India Limited
  • Indian Oil
  • Ion Exchange ( India ) Limited
  • VA Tech Wabag Limited
  • Indian Petrochemicals Corporation Limited
  • Gujarat Ambuja Cement Limited
  • Nestle India Limited
  • Paramount Pollution Control Limited
  • Triveni Engineering and Industries Limited
  • Hindustan Lever Limited
  • The Eimco K.C.P. Limited
  • CEAT Limited
  • Shiv Pad Engineer Private Limited
  • Tamil Nadu Newsprint Papers Limited
  • Ballarpur Industries Limited

 

 

Bankers :

State Bank Of India, MIDC, Marol, Andheri( East), Branch, Central Road, Mumbai-400093

Email ID: sbi.07074@sbi.co.in

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

Chandulal M Shah And Company

Chartered Accountants

Address :

304 Maker Bhavan No.3, New Marine Lines, Mumbai-400020, Mumbai, Maharashtra

 

 

Associates/Subsidiaries :

NIL

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

25000

Equity share

Rs.100/- each

Rs.2.500 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

234858

Equity share

Rs. 10/- each

Rs.2.348 millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2006

31.03.2005

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

2.348

1.827

2] Share Application Money

 

0.000

1.160

3] Reserves & Surplus

 

30.209

25.483

NETWORTH

 

32.557

28.470

LOAN FUNDS

 

 

 

1] Secured Loans

 

43.736

24.590

2] Unsecured Loans

 

11.098

9.279

TOTAL BORROWING

 

54.834

33.869

DEFERRED TAX LIABILITIES

 

3.257

4.301

 

 

 

 

TOTAL

 

90.648

66.640

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

57.989

44.414

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

15.464

13.393

 

Sundry Debtors
 

56.248

37.785

 

Cash & Bank Balances
 

2.248

2.217

 

Loans & Advances
 

20.672

13.524

Total Current Assets
 

94.632

66.919

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 

42.737

30.029

 

Provisions
 

19.236

13.664

Total Current Liabilities
 

61.973

43.693

Net Current Assets
 

32.659

22.226

 

 

 

 

TOTAL

 

90.648

66.640

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2006

31.03.2005

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

3.58

2.72

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

1.52

1.53

 

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Corporation identity number or foreign company registrations number of the company 

U29130MH1983PTC030059

Name of the company

ESSENTIAL POWER TRANSMISSION PRIVATE LIMITED

Address

Esenpro House 24 Marol Co - Operative Industrial Estate M V Nagar, Andheri ( East ), Mumbai – 400059, Maharashtra

This Form is for

Modification of Charge

Type of Charges

  • Book Debts
  • Others

Particular of the charge holder 

State Bank Of India, Central Road, MIDC, Marol Andheri( East), Branch , Mumbai-400093

Email ID: sbi.07074@sbi.co.in

Nature or description of the instrument creating charge  

  • Form No.C 2-A Supplemental Agreement of Hypothecation of goods and assets for increase in the overall limit.
  • Form No.C 1-A Supplemental Agreement of Loan for increase in the Overall Limit
  • Form No.C.5 Letter Regarding Grant of individual Limits within the overall Limit.

Date of the instrument creating charge

10.04.2007

Amount Secure by the charge

Rs.14.500 millions

Brief of the principal terms and conditions and extent and operation of the charge

Ř       Rate of Interest:

·         For DCC ( Hypothecation of Stocks/Book Debts) -2.00% over State bank Advances Rate [SBAR], applicable to SB – 3 credit rating. Effective rate will be 13.50 % p.a. at monthly rests.

·         For term loan – 2% over SBAR as applicable to SBTL – 2 credit rating Effective rate will be 13.50% p.a. at monthly rests.

Ř       Terms of repayment

The term Loan of Rs. 22.5 millionswill be repaid in 54 monthly installments, with effect from October 2007, after a moratorium of 9 months, as under:

Year     Installment               Month    Total ( Rs. in millions.)

20-08     Rs.0.200 millions         6               w 1.200

20-09     Rs.0.200 millions        12               2.400

20-10      Rs.0.525 millions      12                6.300

20-11      Rs.0.525 milions       12                6.300

20-12      Rs.0.525 milions       12                6.300

TOTAL                                      54               22.500

Ř       Margins:

For DCC ( Hypothecation of Stocks/Book Debts) – a)Stocks – Raw Materials -25%, Stock in Process -40%, Finished Goods -33.33%, Receivables

 ( Cover Period – 60 Days ) - 40%, Letter of Credit – 25%, Term Loan 25%

Ř       Extent and Operation of the charge

As per the sanctioned letter required.

Ř       Others:

CC ( Stocks and Book Debts) 20.000 millions, Book Debts – 12.000 millions, Bill Discounting under LC – 0.500 millions, Term Loan (o/s) – 15.800 millions, Term Loan III (New) – 22.500 millions, SLOC – 3.500 millions, Letter of credit – 5.000 millions, (one time L/C) – 10.000 millions, Bank Guarantees – 10.000 millions, TOTAL – 89.700 millions.

All other terms and conditions as per the loan agreement and sanctioned letter required.

Particulars of the Property charged  

All the present and future goods, book debts and all other movable assets of the borrower including documents of title to goods, outstanding moneys, receivables including receivables by way of cash assistance and / or cash incentives under the cash Incentive Scheme or any other scheme claims including claims by way of refund of customs / excise duties under the Duty Drawback Credit Scheme or any other Scheme, bills, invoices, documents, contracts, insurance policies.

Particulars of Present modification

NOW BY THIS PRESENT AND EIGHT MODIFICATION, Bank has agreed to increase the total loan facilities from Rs.67.500 millions to Rs. 89.700 millions consisting of various facilities.

 

Name of the company

ESSENTIAL POWER TRANSMISSIOM PRIVATE LIMITED

Presented By

State Bank of India, MIDC Andheri ( East), Branch, Andheri (East), Mumbai - 93

1) Date and description of instrument creating the change

Form C. 1 – Agreement of Loan for overall limit.

Form C 2 – Agreement of hypothecation of goods and assets.

Form C.5 – Letter regarding the grant of individual Limits within the overall Limit

All the above agreement are dated March 30,2000 and executed for the single charge.

2) Amount secured by the charge/amount owing on the securities of charge

Rs.14.500 millions

Facility                                                   Limit

A. Fund Based                                 (Rs.in mIllions)

Demand Cash Credit                              9.500

(Stocks and Book Debts)

Sub – limit for drawings

 against Book Debts

 

B. Non Fund Based            

Letter of Credit                                       1.000

Bank Guarantees                                   4.000

Total                                                       5.000

Total A and B                                         14.500

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

All the present and future goods, book debts and all the other movables assets of the borrower including

Documents of title to goods, outstanding moneys, receivables including receivables by way of contracts receivables of cash assistance and / or cash incentives under the Cash Incentives Scheme or any other Scheme, claims including claims by way of refund of customs / excise duties under the Duty Drawbacks Credit Scheme or any other Schemes, bills, ionvoices, documents, contracts, insurance policies guarantees, securities, investments and right and the present machinery listed in Schedule here and all future machinery belonging to  / or in the possession or under the control of borrower wherever lying, stored and kept and whether in the possession or under the control of borrower of the bank or of any third party whether in India or elsewhere throughout the world (including all such goods, other movables and other assets as may course of shipment, transit or delivery) (hereinafter referred to as the said goods and assets” ) shall stand hypothecated to the bank by way of first charge ( subject, however to Any charge in favour any third party which may have been notified by the borrower and acceoted by the bank as having priority over its own charge ) as security for payment and discharge by the borrower to the bank on demand of the sum of Rs,14.500 millions and all other monies at any time payable by the borrower to the bank under / or in respect of all or some or  any of the aforesaid credit facilities granted or to be granted to borrower and also as security  for the payment and discharge of all indebtedness whatsoever  or liability of the borrower to the bank in respect of any liability undertaken by the bank under any letter of credit open or guarantee or indemnity issued by the bank  for the borrower or otherwise in respect of any account at any office of the bank ( whether in India or elsewhere or whether accrued, accruing or contingent and whether solely or jointly with others) and any bills of exchange, promissory note or instrument at any time drawn, made, excepted or in endorsed by the borrower solely or jointly with the other bank may discount or become interested itogether with all interest, discount, commission, charges, cost ( between the advocate and client) and expenses payable to or incurred by the bank in relation  there to; provided however, that the bank has at the specific request of the borrower and in its sole discretion , communicated in writing to the borrower that in respect of any specific items of goods, book debts and other movable assets. This charge by way of hypothecation will not operate such goods and bookdebts and other movable assets shall be deemed as not having been hypothecated to the bank as stated herein before.

4) Gist of the terms and conditions and extent and operation of the charge.

A) Rate of interest:

On DCC:- As applicable to credit risk rating SB – 5 at present 3.50% above SBAR minimum  15.5. % p.a. effective rate 15.81% ( with interest tax) with quarterly rests.

On Import L/C: as per FEDAI Rules

On Inland L/C:- At our Standard rate

B) Margin:-

DCC: Raw materials – 25 %, Processed Stocks – 40%, Finished Goods – 33.33%, Book Debts – 40%

Margins mentioned above are subject to revision as per the Reserve Bank Of India directives issued from time to time.

On letter of credit and bank guarantees – 25 % Cash Margins

C) Periods of Advances :- 12 months

D) All other terms and conditions as mentioned in Loan Agreement

5) Name and Address and description of the person entitled to the charge.

State Bank of India , MIDC Andheri ( East) Branch, Marol, Central Road, Andheri ( East), Mumbai – 400093

6) Date  and brief description of instrument modifying the charge

a.Form C.1A – Supplemental Agreement of Loan for increase in overall limit

b. Form C. 2A – Supplemental Agreement of hypothecation of goods and assets for increase in overall limit

c.Form C.5 – Letter Regarding the grant of individual Limits within the overall limit.

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.

The original charge was created for Rs. 14.500 millions on 30.03.2000. Now by this present and sixth modification, dated 7th May, 2005 Bank has agreed to increase the total loan facilties from Rs. 38.500 millions to Rs. 67.500 millions consisting of various facilities.

 

Nature of Facility

Amount (in millions)

Demand cash credit ( Hypotheaction of stock and book debts)

15.000

(Sub limit for book debts)

8.000

SLOC

3.500

Term Loan I

3.000

Term Loan II

16.000

Term loan II

21.000

Total Fund Based

58.500

NON FUND BASED

 

Inland / Import LC

2.000

Bank Guarantee

7.000

One time import LC

( tied up with fresh TL – III)

15.700

Total Non Fund Based

9.000

Total Fund and Non -Fund

67.500
  1. The goods and assets hypothecated and charge in favour of the bank by the earlier agreements shall be and stand charge in favour of the bank as a continuing security by way of first charge for the due repayment upto Limit of Rs. 67.500 millions
  2. Margins:-

Raw materials – 25%, Stock in Process – 40% Finished Goods – 33.33%, Bank Guaantee / Letter of Credit – 25%, Book debts / receivable ( cover period 60 Days) - 40%

  1. Rate of Interest:-

For demand Cash Credit ( hypothecation of stocks / book debts ) – as applicable to SB -3 Credit Rating .i.e. 2% above SBAR. Effective rate 12.25% p.a. at monthly rests.

For SLOC – 3% Above SBAR

For term Loan – as applicable to SBTL -2 rating 2.00% over SBAR [PLR]. Effective rate will be 12.25% p.a. at monthly rests.

 

  1. Repayment:- The proposed term loan will be repaid in 54 monthly installment ( after moratorium period of 6 months) starting from October 2005) as under:-

Year

No..of months

Monthly Installment

Total Repayment Obligation

2004-05

6

0.350

2.100

2005-06

12

0.400

4.800

2006-07

12

0.400

4.800

2007-08

12

0.400

4.800

2008-09

12

0.375

4.500

Total

54

 

21.000

 

Frequency of Installment: Monthly

 

 

 

WEBSITES DETAILS:

 

Looking Back:  

 

1947 marked the year of first member company of the Esenpro group M/s. Excellent Engineering Company founded by the dynamic entrepreneurship of late Shri. Chandulal Thakorlal Shah. The company was set-up as importer and sole selling agent for several reputed international manufacturing from technologically advanced countries. This pioneering venture soon paved the way for the establishment of Group's first Worm Gear manufacturing unit in 1958-M/s. Essential Engineering Co. This marked the beginning of manufacturing and marketing of mechanical power transmission products under Esenpro trade mark. Ever since, there has been no looking back.

 

Expansion Through Experience:

 

Having made a successful start, Esenpro group soon expanded production facilities to include manufacture of helical gear units, geared motors, shaft mounted gear units, bevel gear units, PIV variators etc. all under one roof. Today Esenpro Group caters to requirement of almost all original machinery manufactures for textile, chemical sugar plant, cement plant ,steel plant and many more. Backed by qualified and experienced technical engineers, Esenpro is well equipped to undertake designing and manufacturing of any specific custom built gear unit and drive system. Esenpro Gear Units are not only used all over India, but has developed high standard special gear unit for Shri Lanka, Indonesia, Philipines, Egypt, Bangladesh, Malaysia etc.

Specialists in Customer Satisfaction:

 

Over the last 45 year Esenpro has been catering to the needs of the various industries manufacturing drives to suit custom-design applications. Excellences in products as a result of stringent quality standards and after sales services are the main factors that stand testimony to Esenpro's customer satisfaction. And of course the long term relationships Esenpro enjoys with its clients speak for themselves.

 

 

 

 

Up-To-Date with Technology:

 

State-of-the art technology has been the hallmark of Esenpro's growth and success. In fact, Esenpro plays an active role in both national and international upgradation standards in Industrial gear units. Research and development too is an integral part of Esenpro's activities. Critical Processes such as precision finishing of bores in gear housing, gear hobbing, heat treatment and precision gear grinding to obtain geometric micro-corrections and checking of gears on CNC gear tester are carried our at the Esenpro plant and are under continuous development. The complete computerization of design calculations and evaluation at Esenpro plays significant parts in obtaining optimum precision in gear design, matching international standards and trends in gear technology.

 

Gearing To meet Greater Growth:

 

Riding on continued success, Esenpro looks ahead to years of accelerated growth. Esenpro is already in the process of incorporating modern CAD/CAM equipment and flexible machining centers for the manufacture of gear housing and c0mputer controlled hardening furnaces. A technological boost or production. On the exports front Esenpro crossed borders in providing Consultancy, design and manufacturing services to meet drive applications in Countries all over the world, ascertaining all along, its commitment to service.

 

PRODUCTS:

 

Geared motors are available from 0.25 KW to 150 KW with fixed output speed from 18 rpm to 355 rpm. They are all helical (parallel) shaft with hardened and ground gear in sizes 6 and above. They are available in horizontal and verticaltype. Ask for catalogue EE/GM/5001/3000/01094. combination geared motors are available with output from 0.3 RPM to 16 RPM and nominal with output torque ranging from 21 KGM to 1640 KGM.    

           

'ESENPRO' Worm Gear Units available from 1.1/8" center to 18" center in Ratio 10/1 to 70/1. Size 3" and above are Fan-cooled type. They are available in Horizontal, Vertical, Inverted and Double reduction type.

Ask for catalogue EP/1015/2000/0697.

           

'ESENPRO' make 'EP' Series (Esenpro power Plus) , helical parallel shaft having hardened and flank ground gears. These are designed and make on the basis of most advance scientific c0mputer added study of gear tooth geometry.

Ask for Catalogue EPP/1021/1000/0689. 

           

ESENPRO' make 'EP' Series ((Esenpro power Plus), bevel-helical right angle shaft, having hardened and ground gears. These are designed and made on the basis of most advance scientific c0mputer added study of gear tooth Geometry.

Ask for catalogue EPP/1021/1000/0689

'

EP' SERIES BEVEL-HELICAL GEAR UNIT

 

'ESENPRO' make special parallel shaft, helical, having hardened and ground gears, are designed and developed based on latest technology in extruder unit. They are with built-in heavy duty spherical roller thrust bearing, having hollow output shaft. They are available in 2 stages from size 90 to 280.

Ask for our 4 page leaflet on the same.   

           

PLASTIC/RUBBER EXTRUDER UNIT

           

'ESENPRO' Make shaft mounted gear units, parallel shaft, helical units, available in single stage and two stage. Special ratio can be offered.

Ask for three page catalogue.

 

 

 

 

 

HOLLOW OUTPUT SHAFT UNIT

 

'ESENPRO' Special Tube Mill Worm Gear units are available from 3"+3" center distance to 14"+14" center distance with a special Input Shaft to enable user to use units in series for tube mill stand. Available in single output shaft and double output shaft version.

           

 

TUBE MILL UNIT: (……./TM SERIES)

           

Positively infinitely variable speed drives (P.I.V.) are available in vertical/ horizontal, motorized/ non-motorized types. They are available in 7 different sizes and have HP rating from 0.4 HP To 30 HP with output speed ranging from 4 to 2100 RPM with various configurations.

Ask for catalogue J/1024/2000/0999.

 

POSITIVE INFINITE VARIABLE SPEED DRIVE    

 

'EA' SERIES Helical Parallel shaft, special Agitator/Aerator, output shaft vertical units. They are field proven units with constantly up- graded design with lots of salient features.

Ask for catalogue EAP/1023/2000/0999.

 

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.41.57

UK Pound

1

Rs.55.74

Euro

1

Rs.82.14

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

8

--LEVERAGE

1~10

8

--RESERVES

1~10

7

--CREDIT LINES

1~10

7

--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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

60

 

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.

 

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

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions