MIRA
INFORM REPORT
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Report Date : |
14.02.2007 |
IDENTIFICATION
DETAILS
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Name : |
KARIGANUR
MINERAL MINING INDUSTRY |
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Registered Office : |
Embitee
Complex, Bellary Road, Hospet – 583201, Karnataka, India |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
1973 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRK02307E |
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PAN No.: [Permanent
Account No.] |
AADFK0816D |
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Legal Form : |
Partnership
concern with an unlimited liability of all the partners. |
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Line of Business : |
Subject
acts as manufacturers and exporters of High Grade Fines Iron ores. |
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
200000 |
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Status : |
Good |
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Payment Behaviour : |
Usually
correct |
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Litigation : |
Clear |
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Comments : |
Subject
is a well-established concern and fairing well. It’s trade relations are
fair. Payments are usually correct and as per commitments. 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 : |
Embitee
Complex, Bellary Road, Hospet – 583201, Karnataka, India |
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Tel. No.: |
91-8394-266254
/ 2656776 |
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Mobile No.: |
91-9844090420 |
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Fax No.: |
91-8394-4645049 |
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E-Mail : |
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Website : |
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Area : |
1500
Sq. ft. |
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Location : |
Owned |
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Factory
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Kariganpur
Post, Hospet Taluk, Bellary District, Karnataka, India |
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Tel.
No.: |
91-8394-465949
/ 265776 / 2655447 / 265949 |
PARTNERS
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Name : |
Mr H
Noor Ahmed |
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Designation : |
Partner |
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Profile : |
He Has been a significant contributor in mine planning, development of large-scale mechanisation of mines and plant management system. His continued efforts have helped promote organisational effectiveness and increase productivity.
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Name : |
Mr H
Abdul Wahab |
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Designation : |
Partner |
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Address : |
Embitee
House, Station Road, Hospet – 583201, Karnataka, India |
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Profile : |
He Has been intimately involved with the development and management of mines for more than 30 years now. His vast experience and efforts, on rebuilding of mines, management systems have been instrumental in raising the company to new heights of efficiencies.
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KEY EXECUTIVES
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Name
: |
Mr H
Sajjad Wahab |
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Designation
: |
Chief
General Manager |
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Profile
: |
Brought up in the family business and trained in a renowned export house in Gulf. He has vast experience to shoulder the mining and marketing fields.
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Name
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Mr
Shankar K G |
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Designation
: |
General
Manager |
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Name
: |
Mr
Mahboob John |
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Designation
: |
Senior
Manager |
BUSINESS DETAILS
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Line of Business : |
Subject
acts as manufacturers and exporters of High Grade Fines Iron ores. |
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Products : |
Product
range includes
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Exports to : |
Subject
exports its products to China, Singapore, Taiwan, South Korea and Japan. |
GENERAL
INFORMATION
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Customers : |
With company’s cutting edge technology and expertise in mining, company’s international perspective and infrastructure ensures that their clients receive the best possible service from KMMI. Company’s clients span both the corporate sector in diverse industries, such as steel production, manufacturing, and also public organizations including government departments. Major
customers includes
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No. of Employees : |
150 |
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Bankers : |
State Bank
of India, Hospet, Karnataka Canara
Bank, Hospet, Karnataka |
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Facilities : |
The
concern reported to enjoy some facilities from the bank. |
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Auditors : |
Sarovar & Company Chartered Accountants |
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Address : |
Hospet,
Karnataka |
CAPITAL STRUCTURE
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Capital
Investment : |
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Owned : |
Rs
50.000 Millions |
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Borrowed : |
NA |
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Total : |
Rs
50.000 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
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Particulars |
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31.03.2006 |
31.03.2005 |
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Sales Turnover |
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2400.000 |
2100.00 |
LOCAL AGENCY
FURTHER INFORMATION
profile
Iron Ore is the basic raw material for the Steel Industry. India is one of the few countries endowed with large reserves of high quality Iron Ore which can meet the growing demand worldwide.
Resources : Haematite and Magnetite are the most important iron ore in India. Of these hematite belong to the Pre-Cambrian iron ore series and the ore is within banded iron ore formation occuring as massive, laminated, friable and also in powdery form. Major deposits of Iron Ore are located in the states of Bihar, Orissa, Madhya Pradesh, Karnataka and Goa. Bellary Hospet in Karnataka is blessed with mineable reserves of good quality iron ore deposits to the tune of about 1000 millions tonnes.
Kariganur Mineral Mining Industry (KMMI), is one of the leading Producer and Exporter of Iron Ore to Japan, China & South Korea through MMTC Limited. Kariganur Mines of Company is situated at about 60 kms from bellary in the State of Karnataka. Nearest Railway Station is Kariganur and Marmagoa are connected by rail of a distance of 560 Kms and 340 Kms respectively.
The company’s strength in mining and processing high tumbler iron ore lumps suitable for direct reduction process safely and cost effectively. The company offers to its’ customers all the cutting edge benefits of comprehensive, state of the art plant and machinery, top of the line professional talent and unfailing service.
Company
Overview
The History of Kariganur Mineral Mining Industry (KMMI) dates back to the
nineteen seventies. Since thirty years company is proud of a tradition of
producing best Iron Ore to suit specific needs. The expertise & skill of
yester years have been handed down from generation to generation infusing
quality and perfection into company’s products.
kariganur Mineral Mining Industry is one of the leading Producers and Exporters
of Iron Ore to China, Japan, Pakistan and other countries.
The Bellary-Hospet Sector in Karnataka State, India is blessed with reserves of
high quality iron ore deposits to the tune of 1000 million tons which can be
mined. Kariganur Mines belong to the NEB Range of the Sandur-Schist belt of
Karnataka.
The Kariganur Mineral Mining Industry Iron ore mine is near National Highway
No.63 with nearest railway station at 6 kms. The Ports at Chennai, Mormugao,
Vishakhapatnam, Mangalore and Kakinada are well connected by road and railway
network to KMMI.
KMMI's strength is mining and processing High tumbler Iron ore lumps for direct
reduction process, Iron ore fines and calibrated Iron Ore in a safe and cost
effective manner. KMMI is the sole producer of Steel Grey Hematite in Karnataka
which has Iron content (Fe) of 68% with specific gravity as high as 4.9 and
Tumbler Index of more than 90.
KMMI has emerged as a leading Iron ore producer and exporter from India. KMMI
group has dynamic and aggressive plans for the future which will establish KMMI
group as a pioneer in the Iron ore mining Industry.
Total Reserves of Kariganur Mineral Mining Industry Group is to the tune of 30
million tons.
Product Profile
List
of all grades of KMMI Iron Ore
KMMI High Grade Iron Ore Fines*
Chemical Analysis
Fe 65% Min
Silica
2.75% Max
Alumina
2.75% Max
Phosporous 0.06% Max
Sulphur 0.02% Max
Physical Analysis
+ 10 mm 65%
0 to 10 mm 65%
- 150 Micron 65%
KMMI Medium Grade Iron Ore Fines Fe 63/64%*
Chemical Analysis
Fe 63.50%
Min
Silica 3.00% Max
Alumina 3.00% Max
Phosporous 0.06% Max
Sulphur 0.03% Max
Physical Analysis
+ 10 mm 5%
0 to 10 mm 95%
- 150 Micron 30%
KMMI High Grade Calibrated Iron Ore lumps*
Chemical Analysis
Fe 66.30% Min
Silica 2.75% Max
Alumina 2.75% Max
Phosporous 0.06% Max
Sulphur 0.02% Max
Physical Analysis
+ 40 mm 5%
+ 6-40 mm 80%
- 6 mm 15%
KMMI Medium Grade Calibrated Iron Ore lumps*
Chemical Analysis
Fe 63.50%
Min
Silica 2.90% Max
Alumina 2.45% Max
Phosporous 0.06% Max
Sulphur 0.03% Max
Physical Analysis
+ 40 mm 5%
+ 6-40 mm 80%
- 6 mm 15%
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.44.09 |
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UK
Pound |
1 |
Rs.86.59 |
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Euro |
1 |
Rs.57.92 |
SCORE &
RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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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 |
YES |
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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 |
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54 |
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
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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 |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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