MIRA
INFORM REPORT
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Report Date : |
15.10.2007 |
IDENTIFICATION DETAILS
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Name : |
ENGLISH CREATION CRAZE |
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Registered Office : |
408 – B, Green Zvenue, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
1988 |
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Legal Form : |
Sole Proprietory Concern |
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Line of Business : |
Manufacturer and Exporters of Shawls, Scarves, Stoles and Muffler |
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 20000 |
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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 concern having satisfactory
track. Proprietor is reported as experienced and respectable businessman. Trade
relations are reported as fair. Business is active. 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 / Factory : |
408 – B, Green Zvenue, |
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Tel. No.: |
91-183-2502163 / 2503851 |
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Mobile No.: |
91-9888874344 |
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Fax No.: |
91-183-2503851 |
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E-Mail : |
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Area : |
1500sq.mtrs (Office) 500sq.mtrs (Factory) |
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Location : |
Owned |
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SOLE PROPRIETOR
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Name : |
Mr. Shakti Sadh |
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Designation : |
Proprietor |
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Date of Birth/Age : |
24 years |
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Qualification : |
Graduate |
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Experience : |
3 years |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Exporters of Shawls, Scarves, Stoles and Muffler |
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Products : |
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Exports : |
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Products : |
Scarves, Stoles and Others |
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Countries : |
Europe, |
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Terms : |
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Selling : |
L/C, Credit and Cash |
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Purchasing : |
L/C, Credit (60 days), Cash and Sight |
GENERAL INFORMATION
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Customers : |
Local Customers and End Users |
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No. of Employees : |
162 (12 Office, 150 Factory) |
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Bankers : |
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Punjab National Bank, ˛
ICICI Bank, ˛
HDFC Bank |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Dhawan and Associates Chartered Accountants |
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Address : |
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CAPITAL STRUCTURE
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Capital Investment : |
(As on
31.03.2006) |
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Owned : |
Rs.5.000 millions |
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Borrowed : |
-- |
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Total : |
Rs.5.000 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
17.000 |
15.000 |
12.000 |
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Profit/Loss for the year |
2.250 |
1.700 |
0.950 |
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LOCAL AGENCY FURTHER INFORMATION
Trade References:
˛
˛ U and Mee.
˛
As Per Web Details
Profile:
Committed to sustained excellence in fashion
design, quality and customer care; they offer an exclusive collection of
Fashion Accessories. As its name refers; the company is inspired by a 'passion
for creation beyond imagination'. They are a prominent manufacturer and
exporter of a premium range of Shawls, Scarves, Mufflers, Stoles, Sarongs,
Pareos, Throws, Fashion Bags, etc. These products, perfect for any occasion,
are designed by their creative team of designers with rich experience in
textile and fashion industry. They are made of the finest quality fabrics and
strictly comply with international quality standards. They remain aware
regarding the latest fashion trends and strive to deliver numerous options to
choose from varied designs, styles and colours.
Their efforts remain consistently focused upon innovation and continual
improvement, making them a globally acclaimed brand. Today, they are 100%
export oriented business house witnessing massive international market base
spread over
Their Quality
Extreme quality consciousness is what sets them apart in the highly competitive
fashion industry. Subject believe in novelty and innovation; striving to design
for you the supreme grade products. To ensure that a distinguished quality
standard can be maintained, they follow a stringent quality control policy in
every area of their operations. They procure the finest quality wool, viscose,
and other fabrics from highly reliable sources and process them with extreme
care. Quality of products is monitored and tested at every stage against
internationally recognized norms. Besides product quality, they are equally
concerned about offering you a refreshing experience through highly reliable
product delivery and other customer care services.
Their Infrastructure
While passion for creativity sets their products apart, a well built infrastructure
remains the secret behind their ability to excel in their production and
business activities. Subject is armored with a robust infrastructural base well
equipped with cutting edge technology and advanced machinery. There are units
for production, quality control and R&D; all of which are highly captive.
Assisted by such facilities, their skilled workforce is capable of
manufacturing products which are unmatched in quality, bearing extraordinary
designs and are competitively priced. In addition, they have established a wide
business network, in order to serve their valued clients efficiently within
stipulated time period. Thus, their company is geared up with a perfect
combination of man and machine, creativity and technical expertise.
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 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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.39.33 |
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1 |
Rs.79.74 |
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Euro |
1 |
Rs.55.74 |
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 |
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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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. |
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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