MIRA
INFORM REPORT
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Report Date : |
23.02.2007 |
IDENTIFICATION
DETAILS
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Name : |
V. R. A. COTTON MILLS PRIVATE LIMITED |
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Registered Office : |
Buraj Muhar, Fazika Road, Abohar - 152116 Punjab |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
10.06.1997 |
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Com. Reg. No.: |
16-20061 |
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CIN No.: [Company
Identification No.] |
U15311PB1997PTC020061 |
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Legal Form : |
Private Limited Liability Company. |
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Line of Business : |
To establish, purchase, sell, take on lease or otherwise acquire and
work any Textiles Mill, Handlooms, Power Looms, Cotton Ginning and processing
factory, spinning mills, weaving mills, Rice Mill, Solvent Plant, Waste,
Plant, Process for pressing merchandise into bales process, buy, sell,
import, export, pledge, speculate, enter into forward transactions or
otherwise deal in cotton, cotton seed, cotton seed oil, jute, flex, hemp,
silk and products made thereof. |
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 60000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a
well-established and reputed company having satisfactory track. Directors are
reported as experienced 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
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Registered Office : |
Buraj Muhar, Fazika Road, Abohar - 152116 Punjab, India |
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Tel. No.: |
91-1634-223029 / 228544 / 223544 |
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E-Mail : |
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Corporate Office : |
Village Burt, Muhar Fazilka Road, National Highway No. 10, Abohar,
Ferozpur – 152116, Punjab, India |
DIRECTORS
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Name : |
Mr. Parma Nand Ahuja |
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Designation : |
Company Secretary |
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Address : |
Ahuja Street, Fazilka, Perozepur – 152123, Punjab, India |
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Date of Appointment : |
10.06.1992 |
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Name : |
Mr. Vinod Ahuja |
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Designation : |
Director |
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Address : |
Ahuja Street, Fazilka, Perozepur – 152123, Punjab, India |
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Date of Appointment : |
10.06.1992 |
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Name : |
Ms. Madhu Ahuja |
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Designation : |
Director |
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Address : |
Ahuja Street, Fazilka, Perozepur – 152123, Punjab, India |
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Date of Appointment : |
10.06.1997 |
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Name : |
Mr. Raghav Ahuja |
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Designation : |
Director |
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Address : |
Ahuja Street, Fazilka, Perozepur – 152123, Punjab, India |
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Date of Birth : |
04.09.1979 |
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Date of Appointment : |
30.09.2006 |
MAJOR SHAREHOLDERS
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Names of Shareholders |
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No. of Shares |
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Mr. Parma Nand Ahuja |
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12510 |
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Mr. Vinod Ahuja |
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20080 |
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Ms. Madhu Ahuja |
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10 |
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Mr. Parma Nand Ahuja Lajwanti Ahuja – HUF |
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15400 |
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Mr. Vinod Ahuja – HUF |
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31500 |
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Lajwanti Ahuja |
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10000 |
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Pal Parma Private limited |
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3000 |
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Gars Parma Private Limited |
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1000 |
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Gervall Enterprises Private Limited |
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2000 |
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Raghav Ahuja |
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4500 |
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Total |
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100000 |
BUSINESS DETAILS
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Line of Business : |
To establish, purchase, sell, take on lease or otherwise acquire and
work any Textiles Mill, Handlooms, Power Looms, Cotton Ginning and processing
factory, spinning mills, weaving mills, Rice Mill, Solvent Plant, Waste,
Plant, Process for pressing merchandise into bales process, buy, sell,
import, export, pledge, speculate, enter into forward transactions or
otherwise deal in cotton, cotton seed, cotton seed oil, jute, flex, hemp,
silk and products made thereof. |
GENERAL
INFORMATION
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Bankers : |
Punjab Financial Cooperative Bank Bank Squares; 95-98; Sec. 17B, Chandigarh, India State Bank of
India, Abohar |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Ramesh Babbar and Associates Chartered Accountants |
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Address : |
30, New Grain Market, Fazilka – 152123, Punjab, India |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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100000 |
Equity Shares |
Rs. 100/- each |
Rs. 10.000 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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100000 |
Equity Shares |
Rs. 100/- each |
Rs. 10.000 Millions |
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FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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10.000 |
10.000 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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6.042 |
3.079 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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16.042 |
13.079 |
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LOAN FUNDS |
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1] Secured Loans |
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7.974 |
8.238 |
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2] Unsecured Loans |
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10.680 |
18.959 |
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TOTAL BORROWING |
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18.654 |
27.197 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
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34.696 |
40.276 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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13.413 |
14.006 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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12.069 |
14.280 |
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Sundry Debtors |
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13.471 |
13.676 |
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Cash & Bank Balances |
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0.159 |
3.869 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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1.035 |
0.506 |
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Total
Current Assets |
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26.734 |
32.331 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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4.559 |
5.539 |
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Provisions |
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0.892 |
0.526 |
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Total
Current Liabilities |
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5.451 |
6.065 |
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Net Current Assets |
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21.283 |
26.266 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.004 |
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TOTAL |
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34.696 |
40.276 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Debt Equity Ratio (Total Liability/Networth) |
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1.50 |
2.54 |
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Current Ratio (Current Asset/Current Liability) |
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4.90 |
5.33 |
LOCAL AGENCY
FURTHER INFORMATION
Business
To establish, purchase, sell, take on lease or otherwise acquire and work
any Textiles Mill, Handlooms, Power Looms, Cotton Ginning and processing
factory, spinning mills, weaving mills, Rice Mill, Solvent Plant, Waste, Plant,
Process for pressing merchandise into bales process, buy, sell, import, export,
pledge, speculate, enter into forward transactions or otherwise deal in cotton,
cotton seed, cotton seed oil, jute, flex, hemp, silk and products made thereof.
To carry on all or any of the following business namely Cotton
Merchants, Cotton Combers, Cotton Spinners, Shoddy spinners, Wool Spinners,
Staple Spinners, Thread and Yarn Merchants bleachers, dyes, makers or vitriol
bleaching and dyeing materials and to purchase, comb spin dye and deal in wool,
flex hemp, silk and other fibrous substances and to process and otherwise
manufacture, buy and sell and deal in cotton, linen, cloth and other goods and
fabrics.
To carry on the business of spinning, twisting, doubling, weaving,
knitting, fabricating, combing, manufacturing, processing or preparing,
darning, packing, bleaching, dyeing and coloring, selling and buying, dealing
in various fibres like Cotton, Wool, Staple, Silk and artificial Silk, Flex
etc. and other substances including waste, cotton, raw cotton, wool, raw wool
etc.
Bankers Charges
Report as per Registry
|
Name of the company |
V. R. A. COTTON
MILLS PRIVATE LIMITED |
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Presented By |
Mr. Vinod Ahuja
Director |
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1) Date and description of instrument creating the change |
Agreement deed dated
26.12.2000 modified by agreement deed dated 23.02.2002 and 25.03.2003 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 10.000
Millions |
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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 |
Hypothecation of
all the stocks lying at business premises of the company and second charge on
all the fixed assets of the company. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Extent of
operation 100 % rate of interest 2.25 % over SBI advance rate minimum 13 %
p.a. margin 30 % repayable on demand |
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5) Name and Address and description of the person entitled to the charge. |
State Bank of
India, Abohar |
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6) Date and brief description of instrument modifying the charge |
Agreement deed
dated 16.01.2006 |
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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. |
Cash credit
facility enhanced to Rs. 12.500 Millions rate of interest changed to 1.50 %
above SBAR minimum 11.75 % p.a. other terms and conditions remain the same. |
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
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Indian Rupees |
|
US Dollar |
1 |
Rs.44.20 |
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UK Pound |
1 |
Rs.86.72 |
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Euro |
1 |
Rs.58.23 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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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 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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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 |
YES |
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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
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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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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