MIRA INFORM REPORT

 

 

Report Date :

07.06.2007

 

IDENTIFICATION DETAILS

 

Name :

FAIRDEAL SUPPLIERS PRIVATE LIMITED

 

 

Registered Office :

4, B.B.D. Bag (East) 1st Floor Stephen House, Room no: 5, Kolkata 700001, PS: Hare Street (TFD), West Bengal

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

21.07.1987

 

 

Com. Reg. No.:

097552

 

 

CIN No.:

[Company Identification No.]

U51909WB1987PTC097552

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

AHMF00087D

 

 

PAN No.:

[Permanent Account No.]

AAACF2878C

 

 

Legal Form :

Private Limited Liability Company.

 

 

Line of Business :

Subject acts as traders and suppliers of hard coke and steam coal

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 1000000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well-established and reputed company having satisfactory track. Directors are reported as experienced and respectable businessmen. Trade relations are 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 :

4, B.B.D.Bag (east) 1st Floor Stephen House, Room No: 05, Kolkata – 700001, PS: Hare Street (TFD) West Bengal – India.

Tel. No.:

91-33-22201153 / 22206825

Fax No.:

91-33-22436124

E-Mail :

ftl@cal3.vsnl.net.in

Website :

www.fairdealsupplies.com

Contact  Person :

Mr. Vinod Arora

 

 

Head Office :

4th, Floor, “Shalin”, Nr. Neharu Bridge Corner, Ashram Road, Ahmedabad 380009 Gujarat.

Tel. No.:

91-79-26578201 / 26578863 / 26579750

Fax No.:

91-79-26576619

E-Mail :

fdspl@dataone.in

Contact Person :

·       Mr. Pawan Kumar Agarwal ,

·       Mr. Dinesh Shah ,

·       Mr. Dinesh Jain

 

 

Corporate Office :

301, 3rd Floor, Saffron Tower, Nr. Ambawadi Circle, Panchvati, Ahmedabad 380006, Gujarat

Tel. No.:

91-79-26444883 / 26444890 / 26449310

Fax No.:

91-79-26444885

E-Mail :

Forntine1@dataone.in

Contact Person :

Mr. Divyang Oza

 

 

Pipavav Plant :

Plot No. 17/26, Rampara Village –II, Pipavav Port Road, Tal. Rajula , Dist.Amreli , Gujarat

Tel. No.:

91-2794-286246 , 286399

Fax No.:

91-2794-286534

E-Mail :

fairdealpipavav@yahoo.com

Contact Person:

Mr. Vijay Dhawan

 

 

Gandhidham Plant :

Village & Post Chopdava , Taluka – Bhachchau , Kutch, Gujarat

Tel. No.:

91-2836-228508

Fax No.:

91-2836 – 228508

E-Mail :

Fair_@sancharnet.in

Contact Person :

Mr. Vinod Arora

 

 

Branches :

854, Avanshi Road, (Near India Card Clothing) Peelamedu Post, Coimbatore – 641004.

Tel. No.:

91-422-256866

Mobile No.:

91-9843016320

Contact Person :

Mr. O. P. Sharma

 

 

DIRECTORS

 

Name :

Mr. Ram  Prasad Agarwal

Designation :

Chairman Cum Managing Directors

Address :

140/4B , N.S.C. Bose Road, Tollygunj Kolkata , West Bengal 700040

Date of Birth/Age :

25.05.1954

Experience :

30 Years

Date of Appointment :

21.07.1987

 

 

Name :

Mr. Narayanprasad  Agarwal

Designation :

Managing Directors

Address :

140/4B , N.S.C. Bose Road, Tollygunj Kolkata , West Bengal 700040

Date of Birth/Age :

12.05.1958

Date of Appointment :

21.07.1987

 

 

Name :

Mr. Pawan Kumar Agarwal

Designation :

Directors

Address :

140/4B , N.S.C. Bose Road, Tollygunj Kolkata , West Bengal 700040

Date of Birth/Age :

12.09.1960

Qualification :

Gradugate

Date of Appointment :

21.07.1987

 

 

Name :

Mr. Saurabh Jhunjhunwala

Designation :

Director

Address :

140/4B , N.S.C. Bose Road, Tollygunj Kolkata , West Bengal 700040

Date of Birth/Age :

12.12.1976

Date of Appointment :

20.07.1994

 

 

KEY EXECUTIVES

 

Name :

Mr. Dinesh K. Shah

Designation :

C.E.O.

 

 

Name :

Mr. Dinesh Kumar Jain

Designation :

Vice President

 

 

Name :

Mr. Vijay Dhawan

Designation :

General Manager

 

 

Name :

Mr. Vinod Arora

Designation :

General Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

No. of Shares

Mr. Baijram Agarwal

115500

Mr. Sarav Zunzunwala

10500

Mr. Pawankumar Agarwal

1550

Mr. Narayan Prasad Agarwal

60000

Mr. Ramprasad Agarwal

100480

Mr. Rakesh Kedia

30000

Mrs. Ramjidevi Agarwal

76000

Mr. Bhomiya Agarwal

46000

 

 

 

Percentage of Holding

Bodies Corporate

0.20

Directors or relatives of directors

99.67

Other top fifty (50 ) Shareholders

0.13

 

 

BUSINESS DETAILS

 

Line of Business :

Subject acts as traders and suppliers of hard coke and steam coal

 

 

Products :

Thermal Coal , Coking Coal , Low Ash Metallurgical Coke Steel and Steel Scrap Pig Iron/Iron Ore

 

PRODUCTION STATUS

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

MartallurgicalCoke                                         2003-2004

M.T

N.A.

30000.000

25350.388

MartallurgicalCoke                                         2002-2003

M.T.

N.A.

30000.000

2500.075

 

 

GENERAL INFORMATION

 

Customers :

·       GHCL Private Limited

·       Saurashtra Chemicals Ltd

·       Ispat Metallics (India) Ltd

·       Jindal Vijayanagar Steel Private Limited

·       Jindal Saw Private Limited

·       Jayaswals Neco Private Limited

·       Usha Ispat Private Limited

·       Nirma Private Limited

 

 

No. of Employees :

30 People

 

 

Bankers :

·       Dena Bank, Maskati Market, Ahmedabad, Gujarat

·       UCO Bank , 3 Netaji Subash Road Kolkata West – Bengal

 

 

 

Facilities :

·       Hire purchase of Rs.40.000 millions dated 20.10.1999

·       Long Term  Loans 

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

Jain Kedia and Sharma

Chartered Accountants

Address :

13 Mills Officers Colony, Behind Laa Gajjar Chembers . Ashram Road , Ahmedabad  Gujarat 380009

 

 

Associates/Subsidiaries :

·       Falgun Export Private Limited.

·       Centre for Advanced studies in Engineering

·       Nova Impex Private Limited

·       Fair Chemical & Marketing

·       Fairdeal (partnership firm)

·       Secientific weighbridgr (partnership firm)

·       Forntline Industries Limited

·       Derwent Cyrstal India Limited

·       Prima Financial Services Limited.

 

 

CAPITAL STRUCTURE

 

Authorised Capital:

No. of Shares

Type

Value

Amount

2000000

Equity Share

Rs.10/- each

Rs.20.000 millions

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

1999900

Equity Share

Rs.10/- each

Rs.19.999 millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2006

31.03.2005

31.03.2004

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

19.999

19.999

19.999

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

235.319

311.665

180.182

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

255.318

331.664

200.181

LOAN FUNDS

 

 

 

1] Secured Loans

512.625

394.710

131.816

2] Unsecured Loans

94.806

27.258

35.227

TOTAL BORROWING

607.431

421.968

167.043

DEFERRED TAX LIABILITIES

66.718

82.892

42.621

 

 

 

 

TOTAL

929.467

836.524

409.845

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

602.402

559.343

194.023

Capital work-in-progress

6.544

105.261

92.605

 

 

 

 

INVESTMENT

0.749

1.902

1.883

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
980.249
269.947
6.670

 

Sundry Debtors
184.723
125.679
21.267

 

Cash & Bank Balances
169.982
213.047
132.590

 

Other Current Assets
0.000
0.000
0.000

 

Loans & Advances
35.724
149.197
54.515

 

Stock on Lease
0.000
0.707
1.471

Total Current Assets
1370.678
758.577
216.513

Less : CURRENT LIABILITIES & PROVISIONS
 
 
 

 

Current Liabilities
1037.515
588.575
95.202

 

Provisions
13.400
0.000
0.000

Total Current Liabilities
1050.915
588.575
95.202

Net Current Assets
319.763
170.002
121.311

 

 

 

 

MISCELLANEOUS EXPENSES

0.009

0.016

0.023

 

 

 

 

TOTAL

929.467

836.524

409.845

 

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

31.03.2005

31.03.2004

Income From Operations

1989.020

1093.377

Other Income

16.643

20.887

Total Income

2005.663

1114.264

 

 

 

Profit/(Loss) Before Tax

186.033

53.529

Provision for Taxation

54.271

33.102

Profit/(Loss) After Tax

131.762

30.427

 

 

 

Earnings in Foreign Currency :

 

 

 

Export Traveling

0.000

1.561

 

Demuarage Charges

0.000

0.311

Total Earnings

0.000

1.872

 

 

 

Imports :

 

 

 

Raw Materials

0.000

35.749

 

Traded Goods

0.000

678.885

Total Imports

0.000

714.634

 

 

 

Expenditures :

 

 

 

Material Cost

1653.257

962.505

 

Manufacturing Administration & Selling  Expenses

55.939

44.752

 

Financial Charges

38.518

20.718

 

Depreciation

71.591

21.597

Total Expenditure

1819.305

1049.572

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2006

31.03.2005

31.03.2004

PAT / Total Income

(%)
N.A

6.56

2.73

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
N.A

0.000

0.000

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
N.A

0.14

0.12

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
N.A

0.56

0.26

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
4.11

1.77

0.47

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.30

1.28

2.27

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Group companies are:

 

Frontline Corporation Private Limited (FCL) – a listed Company with a turn-over of Rs. 1000 millions. The company plans, develops and executes client specific, customized logistic systems and supplies and supports the operations of Bulk Transportation. The company has a fleet of over 600 trucks and a net-work of Branches all over India to cater to different Industrial and Corporate segments. The company has also expanded its activities in the Auto Component Marketing of leading Brands like MICO and Mahindra & Mahindra. The company has diversified into manufacturing of High Temperature Refractories through a take-over of Plant in Kadi.

 

Falgun Export Private Limited
The main business activities include – Trading in Shares, Loan Transfer and Wind Energy Generation.

Nova Impex Private Limited
Its main commercial activity is maintenance and rentals of Godowns, which the Group constructs and leases out to large, reputed Corporations.

Fair Chemical & Marketing
Its main operation is marketing of Soda Ash in the Eastern region, head-quartered at the Kolkata office.

Besides the diversified commercial activities, the Group has fulfilled its social obligations through arrangements and successful operation of an Engineering and Technical Educational Institute, located in Himachal Pradesh.

 

Fixes Assets:

Freehold Land

Building

Plant & Machinery

Vehicles

Furniture & Fixtures

 

Contingent Liability Not Provided For:

 

 

2003-2004

2002-203

(A) Bank Guarantee issued in favours of suppliers

5000100

3000000

(B)Suit Filed against the company (refer Nore 5 below )

7900000

7900000

(C) Anti Dumping Duty (Refer Note No.6 Below)

27114615

27114615

(D)Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances)

14685101

71729628

(E) Disputed Income Tax Demands

6229397

2687243

 

 

 

Name of the company

FAIRDEAL SUPPLIES PRIVATE LIMITED

Presented By

PAWAN KUMAR AGARWAL

1) Date and description of instrument creating the change

10th August,2005

Agreements of Hypothecation of Goods and Assets dated 10th day of August, 2005 executed by Fairdeal Supplies Private Limited (Company) in favour of State Bank of Patilal (Bank). A certifies copy of the said Agreement of Hypothecation of Goods and Assets is enclosed.

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

The Rupee Term Loan exceeding Rs.110.000 millions agreed to be lent and advanced by the Bank to the Company together with all interest, liquidated damages, Costs, charges, expenses and all other monies payable by the Company to the Bank in terms of the loan Agreements dated 10th August, 2005 entered into with the Bank By the company and the Bank (hereinafter referred to as ”the Loan Agreement”).

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

The Whole of the Company’s movables, including its all plant and machineries, equipments, machinery spares, spares parts , tools and accessories, both present and future , whether installed or not and where now lying loose or in cases or which are now lying or stored in or to be stored in or to be brought into or upon or be stored at Ayinkudi village , Thenksi District in Tamilnadu, whether now belonging to or that may at the time during the continuance of this Deed belong to the company  and /or that may at present or hereafter beheld by any party to the order or disposition of the company and addition thereof whether by way of substitution and the company’s other assets , book-debts, outstanding money’s receivables , claims including insurance claims and revenues of whatsoever nature , pertaining to the 6MW Wind Power Project situated in Tamilnadu.

 

By way of Inter se Agreements among participating Banks executed between State Bank of Patiala and State Bank of Mysore on 10.08.2005, Pari Passu Charges on the companies movable and immovable properties as aforesaid has been created to secure Term Loan of Rs.110.000 millions together with interest cause charges and expenses etc. granted by State Bank of Mysore to the Company.

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

         I.     The charge operates as security , interalia , for the due repayment by the Company of the Term Loan of Rs.110.000 millions and payment of all interest , liquidated damages , costs , Charges , expenses and all other monies payable by the Company in terms of the Sanction Letter  No.SBP/05-06/291 dated 19.07.2005 and Loan Agreement dated 10.08.2005

       II.     The security created under the said Deed of Hypothecation is to be a continuing security

Other terms and conditions as may be prescribed by the bank from time to time.

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

1.State Bank Of Patiala

Vasupujya Chambers, Income Tax Circle, Ashram Road, Ahmedabad -380014.

2.State Bank Of Mysore – Pari Pussu Charge vide INTER SE AGREEMENT AMONG PARTICIPATING BANK executed between State Bank of Patiala and State Bank of Mysore on 10.08.2005

 

Shit ratna Building, pachawadi Circle off C.G. Road, Ahmedabad 380006.

6) Date  and brief description of instrument modifying the charge

NOT Applicable

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.

NOT APPLICABLE

On behalf of State of Patiala (Charge hold )

On behalf of Fairdeal Supplies private Limited (Company)

 

Corporation identity number or foreign company registrations number of the company 

U51909WB1987PTC097552

Name of the company

FAIRDEAL SUPPLIES PRIVATE LIMITED

Address

4 B. B. D. Bag (East) 1st Floors Tephen House Room No 5 Hare Street (TFD) Kolkata 700001  West Bengal 

This Form is for

Modification of charge

Type of Charges

Hypothecation

Particular of the charge holder 

UCO Bank 

Industrial Finance branch 3, Netaji Subhash Road , kolkata  700001  West Bengal 

Nature or description of the instrument creating charge  

--

Date of the instrument creating charge

--

Amount Secure by the charge

Rs.500.000 millions.

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

Interest : As per Bank guidelines From Time To Time .

Enter Hypothecated Assests Shall Be Insured Under Bank Clause.

Description of the property charge whether it is a charge on

Stock In Trade, Book Debts.

Modification charge

Charge identification number of the charge to be modified

90254492

Particulars of the Property charged  

Hypotheciation of Entire  Stock of low ash, Metallurgical coke steaming coal etc. and other products inclucts including iron ore procured or to be procured for export and other movables stored or be stored at the borrower’s premises godowns in the state of west Bengal and wherever else in India including goods in course of transit and also all present & future book debts outstanding moneys receivables etc and other current assets of the company.

 

Web Side Details:

 

Company Profile:

 

Subject is incorporated in 1987; has a long and successful history of dealing in various types of Coals and Metallurgical Coke. It is the flagship company of over Rs. 300 crores. Frontline Group, owned and managed by the Agarwal Brothers; with Kolkata and Ahmedabad being the main bastions of the Organization. The company has an all India net-work of Branches, Offices and Godowns/Warehouse to service its huge and diversified spectrum of clientele.


The Group in general and FDSPL in particular are on an exponential path of growth, diversification and development; both in Manufacturing Sector and Trading, inclusive of exports.


Apart from the main thrust on Manufacturing of Metallurgical Coke, the Organization deals in a number of industrial commodities like Soda Ash, imports of Coal and MetCoke and exports of Iron Ore etc.


The company has an existing annual production capacity of 150,000 MT Metallurgical Coke from imported Australian/Chinese Coking Coal. The Plants are located near Pipavav and Kandla Ports in Gujarat. Apart from this, the Company has already conceptualized and is in an advanced stage of implementation of a 700,000 MT Coke Oven Project, with Power Generation; near Mundra Port (Gujarat) at a cost of over Rs. 21.500 millions for the first phase of 350,000 MT capacity. The Company has extensive tie-ups for the required Coking Coal (Raw Material) with reputed Australian Suppliers both for its existing and future requirements.


In keeping with Govt. of India’s important Policy Thrust, the company has a highly advantageous and long-range investment in the Wind Energy Generation. Over 12 MW having already been installed, the company envisages an annual growth potential of 2 MW on a year-on-year basis in this Renewable Energy Sector.


The company has extensive dealings with Australia, China, Japan, Indonesia, etc. for sourcing both its Manufacturing and Trading requirements.

 

 

Promoters/Directors:

 

Shri Ramprasad Agarwal

 

Shri Ramprasad Agarwal – Chairman – the eldest son of Shri Baijnath Agarwal, erstwhile founder of the Group; has over 30 years experience of trading and marketing of Industrial Products like Coal, MetCoke, Soda Ash, etc. As an able Administrator, he has co-ordinated and stabilized all activities through very balanced management policies and growth-oriented dynamism. Presently, his focus is on international relationships for procurement of Coking Coal, MetCoke, etc. from various countries like Australia, Egypt, China, etc.

 

Shri Narayanprasad Agarwal

 

Shri Narayanprasad Agarwal – Director endowed with a keen sense of financial acumen, the 46 years Shri Narayanprasad Agarwal is the Chief Architect of co-ordinating all financial planning and arrangement of various facilities through Banks/ Institutions to enable spontaneous growth. He has also seized the potential of investments in real estate sector which has given the Group a more balanced assets portfolio apart from generating regular income.

 

Shri Pawankumar Agarwal

 

1978 to establish the Coal and MetCoke business in Western India. Within less than 10 years of the start, there was not only an exponential growth in the core business of Coal and MetCoke, but a major diversification into Bulk Transportation was efficiently promoted, expanded and stabilized. Through his personalized efforts; the company’s relationships with large Corporations like GHCL, Birla Copper, Ispat Metallics, Jindal Group, etc. grew on a strong foundation of service, efficiency and co-operation. In the 90s, a new dimension was added through imports of MetCoke/Coal from China, Australia, Indonesia, etc. and the company progressed to be a Market Leader. His natural instinct for diversification led to a substantial presence of the company in the Wind Energy Generation Sector (upwards of 12 MW) in a short span of 7 years. The next step was entering into Manufacturing Sector in the year 2000 and presently the company operates two Coke-Oven Plants located in Gujarat; with plans to stabilize and expand the capacities with improved technologies.

 

Shri Saurabh Jhunjhunwala

 

Shri Saurabh Jhunjhunwala – Director – at a comparatively young age of 21 years, he was already an active member of the family Management. With his fresh and progressive ideas, he has contributed substantially to develop a wider spectrum of clients and activities; with the main focus on Transportation Division of the Group. He is also actively exploring and pursuing export potential of the Industrial Products where he already has successfully made his mark.

 

The Management Team

 

Mr. Pawan Kumar Agarwal – MD is the key decision-maker, in consultation with the other team members. He professionally manages the Organization, backed by an excellent commercial assessment of Coal and Metallurgical Coke markets. His rich experience and reputed standing in the market has been beneficial in development of personalized contacts at the highest level of large Corporates and Clients

 

Mr. Dinesh K. Shah – C.E.O. has an engineering background with over 35 years of Industrial Project experience from concept to implementation. He is responsible for formulations, negotiations, and finalization of all contractual requirements, both commercial and legal. He is instrumental in acquiring financial resources through Banks and other Financial Institutions. Presently, he is heading a 0.7 Million Tonnes Co-Generation MetCoke Project

 

Mr. Dinesh kumar Jain – Vice President (F & A) is a qualified Chartered Accountant, mainly looking after Finance & Accounts of the company. He is responsible for audit and tax planning of the Company

 

Mr. Vijay Dhawan – General Manager - is the key person looking after the overall operation of Pipavav Plant.

 

Mr. Vinod Arora – General Manager - is overall in-charge of Gandhidham Plant. He has over 25 years of operational experience in Coke Oven Plants and quality control expertise.

 

Products Details:

 

Thermal Coal:

The material is used mainly in Boilers for supplying the necessary heat-energy to generate steam. They import Thermal Coal (Steam Coal) from Indonesia, South Africa, etc. and supply to direct consumers like Cement, Soda Ash, etc. manufacturers.

 

Coking Coal:

This material, also known as Metallurgical Coal; is exclusively used for carbonization into MetCoke in specially designed Coke-Ovens. They have a sizeable, contracted arrangement for procurement of both Prime and Soft Coking Coal from Australia, Colombia, China, etc. The material is imported both for their own consumption, in their own Coke-Oven Plants located near Pipavav and Kandla Ports; as well as for trading and supplying to a number of small Coke-Oven Plants located both in the Western and Eastern part of India.

 

Low Ash Metallurgical Coke:

Essentially this is a very important industrial raw material required by –

Steel Sector – both integrated Plants as well as secondary Steel/Pig Iron (Mini Blast Furnaces) Manufacturers

Foundries

Soda Ash

Zinc & Copper Smelters, etc

 

Because of its hardness, sizing possibilities, free carbon content, high calorific value and low ash/phosphorous/sulphur contents; it is directly beneficial to the Metal and the Chemical Industries.

They have a well established and wide spread marketing net-work for supply of MetCoke. Apart from having 2 Plants with installed capacities of approx. 150,000 MT to manufacture the same, they also import from China, Japan, etc. to cater to client’s specific requirements with the operational area of their MetCoke supplies ranging from Rajasthan / Delhi / Punjab / Maharashtra in the West to Karnataka/Tamil Nadu in the South and with some pockets in the Eastern part of India. To meet the short-fall in demand, they also source their Met Coke from leased Coke-Oven Plants by supplying their Coking Coal.

           

Steel and Steel Scrap:

Having the necessary experience of the Steel Market, the company periodically takes the opportunity to trade in this Sector.

 

Pig Iron/Iron Ore:

The company is studying potential of this market since the market requirement is governed by more or less the same segment which consumes Metallurgical Coke.

 

 

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.40.63

UK Pound

1

Rs.81.01

Euro

1

Rs.54.89

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

52

 

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/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

 

 

 

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