MIRA
INFORM REPORT
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Report Date : |
12.06.2007 |
IDENTIFICATION DETAILS
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Name : |
KARAN MOTORS PRIVATE LILMITED |
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Registered Office : |
B 67, Phase 1, Mayapuri Industrial Area, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
23.05.1989 |
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Com. Reg. No.: |
036352 |
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CIN No.: [Company
Identification No.] |
C74899DL1989PTC036352 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELK05451F |
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PAN No.: [Permanent
Account No.] |
AAACK0039L |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer of Automotive Cylinder
Heads and Block, Earth Moving Cylinder , Cylinder Heads for Heavy
Vehicle, Cylinder Flock. |
RATING & COMMENTS
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MIRAs 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 92444 |
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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 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
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Registered Office : |
B 67, Phase 1, Mayapuri Industrial Area, |
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Tel. No.: |
91-11-2811-6965 / 66 /28117292 |
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Fax No.: |
91-11-2811-5507 |
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E-Mail : |
karanmotors@airtelbroadband.in
/ / karanmotors@touchtelindia.net |
DIRECTORS
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Name : |
Mrs. Permala Chadha |
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Designation : |
Chairman cum-Managing Director |
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Address : |
A 3/44, Janak Puri, |
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Date of Birth/Age : |
15.03.1954 |
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Date of Appointment : |
23.05.1989 |
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Name : |
Mr. Harish Chadha |
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Designation : |
Director |
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Address : |
A 3/44, Janak Puri, |
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Date of Birth/Age : |
02.10.1951 |
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Date of Appointment : |
23.05.1989 |
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Name : |
Mr. Karan Chadha |
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Designation : |
Director |
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Address : |
A 3/44, Janak Puri, |
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Date of Birth/Age : |
17.01.1977 |
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Date of Appointment : |
20.03.1998 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
No. of Equity
Shares |
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Mr Harish Chadha |
110 |
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Mrs. Permala Chadha |
39,390 |
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Mr. Karan Chadha |
17,500 |
Equity share breakup (percentage of total equity)
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S. No. |
Category |
Percentage |
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1 |
Directors or relatives of directors |
100.00 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Automotive Cylinder Heads and Block, Earth Moving
Cylinder Cylinder Heads for Heavy Vehicle, Cylinder Flock. |
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Products : |
Automotive Cylinder Heads and Block, Earth Moving Cylinder, Cylinder
Heads for Heavy Vehicle, Cylinder Flock. |
GENERAL INFORMATION
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Bankers : |
Indian Overseas Bank Indian Overseas
Bank, A 6, |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
V. K. Dhingra and Company Chartered Accountant |
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Address : |
E 1/15, Jhandewalan Extension, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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2,50,000 |
Equity |
Rs. 100/- Each |
Rs. 25.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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1,00,000 |
Equity |
Rs. 100/- Each |
Rs 10.000 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
10.00 |
5.700 |
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2] Share Application Money |
0.000 |
0.000 |
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3] Reserves & Surplus |
13.111 |
7.936 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
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NETWORTH |
23.111 |
13.636 |
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LOAN FUNDS |
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1] Secured Loans |
52.517 |
35.445 |
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2] Unsecured Loans |
7.224 |
11.24 |
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TOTAL BORROWING |
59.741 |
46.689 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
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TOTAL |
82.852 |
60.325 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
66.699 |
53.013 |
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Capital work-in-progress |
4.509 |
1.626 |
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INVESTMENT |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.020 |
0.256 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
30.668
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26.073 |
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Sundry Debtors |
16.957
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6.370 |
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Cash & Bank Balances |
1.643
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5.702 |
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Other Current Assets |
0.000
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0.000 |
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Loans & Advances |
3.394
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1.112 |
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Total
Current Assets |
52.662
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39.257 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
39.267
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33.974 |
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Provisions |
3.475
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2.125 |
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Total
Current Liabilities |
42.742
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36.099 |
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Net Current Assets |
9.920
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3.158 |
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MISCELLANEOUS EXPENSES |
1.704 |
2.272 |
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TOTAL |
82.853 |
60.325 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
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Sales Turnover (Estimated) |
200.000 |
150.000 |
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Total Income |
200.000 |
150.000 |
KEY RATIOS
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PARTICULARS |
31.03.2006 |
31.03.2005 |
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Debt Equity Ratio (Total Liability/Networth) |
4.43
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6.07 |
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Current Ratio (Current Asset/Current Liability) |
1.23
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1.08 |
LOCAL AGENCY FURTHER INFORMATION
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Name of the company |
KARAN MOTORS PRIVATE LILMITED |
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Presented By |
Managing Director, KARAN MOTORS PRIVATE LILMITED |
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1) Date and description of instrument creating the change |
Term loan 07.09.1990 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 0.313 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 machinery, tools and equipments |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest 5.5% p. a. OBR min. 15.5% |
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5) Name and Address and description of the person entitled to the charge. |
Indian Overseas Bank,
A 6, |
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Corporate
identity number (CIN) Foreign company registration number |
C74899DL1989PTC036352 |
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Name of the
Company |
KARAN MOTORS PRIVATE LILMITED |
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Address |
B 67, Phase 1, Mayapuri Industrial Area, |
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This form is for |
Modification of
charge |
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Type of Charge |
Book debts,
Movable property (not being pledge), Other, Stock, Plant and Machinery,
Current and Fixed Assets. |
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Particulars of
the charge holder |
Indian Overseas
Bank, A 6, |
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Amount secured by
the charge |
Rs. 89.212
Millions |
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Brief of the principal
terms and conditions |
a) Rate of interest: Interest as per
Bank Norms b) Terms or repayment: Repayment as per
Bank Norms c) Margin: Margin as per
Bank Norms d) Extent and operation of the charge: The charge operates
as continuing security inter alia, for the due repayment by the company to
the bank to the extent of Rs. 89.212 Millions together with interest,
additional interest, liquidated damages, premia on repayment costs, charges,
expenses and all other moneys payable by the company to the bank in terms of
the loan agreements and bank norms from time to time. Property in col. 14 is
hypothecated inter alia to the bank as and by way of first charge. e) Others: First charge on
stocks, Book debts, plant and machinery and all current and fixed assets both
present and future is to secure the i) LG limit Rs. 1.000 Millions ii) LC Rs.
10.000 iii) CC (hyp. Stocks) Rs 9.000 Millions ( Increased form Rs. 7.000
Million) iv) che. Pur. Rs. 0.800 Million v) PC Rs. 14.000 Millions vi) FDDBP
/ FDUBP Rs 14.000 Millions vii) Term loan Rs. 0.902 Millions viii) Term loan
Rs 0.967 Millions ix) Term loan R 0.115 Million x) Term loan Rs 14.300
Millions xi) Term loan Rs. 14.385 Millions aggregating to Rs. 89.212 Million
sanctioned to the company. |
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Description of
the property charged indicating |
First charge on
stocks, book debts, plant and machinery and all current and fexed assets both
present and future |
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Nature or description
of the instrument(s) creating or modifying the charge (copy to be attached) |
F110E letter of
hypothecation, 110F supplemental deed of hypothecation |
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Date of
Instrument |
23.03.2007 |
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Particular of the
present modification |
The amount secured
by this charge is increased to Rs 89.212 Millions to secure various credit
facilites sanctioned to the company security first charge on stock, book
debts, plant and machinery, and all current and fixed assets both present and
future.l |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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 Intl
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 companys 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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.91 |
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1 |
Rs.80.46 |
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Euro |
1 |
Rs.54.60 |
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 |
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 |
6 |
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--LEVERAGE |
1~10 |
6 |
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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 |
NO |
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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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48 |
This score serves as a reference to assess SCs 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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