MIRA
INFORM REPORT
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Report Date : |
22.09.2007 |
IDENTIFICATION DETAILS
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Name : |
BHARAT SPRINGS PRIVATE LIMITED |
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Registered Office : |
37, Barristernath Pai Marg, Cotton Green, Mumbai – 400
033, |
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Country : |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
05.08.1959 |
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Com. Reg. No.: |
011417 |
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CIN No.: [Company
Identification No.] |
U28900MH1959PTC011417 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMB11778E |
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PAN No.: [Permanent
Account No.] |
AAACB1925E |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Exporters of automobiles spring leaves
and assemblies. |
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 84000 |
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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
records. 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 : |
37, Barristernath Pai Marg, Cotton Green, Mumbai – 400
033, |
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Tel. No.: |
91-22-23738856/23724381/23727063 |
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Fax No.: |
91-22-23730107 |
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E-Mail : |
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Website : |
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Location : |
Rented |
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Factory : |
4/C, M.I.D.C. Industrial Estate, Taloja, Dist. Raigadh,
Maharashtra, |
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Tel. No.: |
91-22-27411248/27412321 |
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Fax No.: |
91-22-27410389 |
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Location : |
Owned |
DIRECTORS
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Name : |
Mr. Monmohan Singh Bhasin |
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Designation : |
Director |
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Address : |
Vidya Vihar, 66, |
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Name : |
Mr. Jaspal Singh Bhasin |
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Designation : |
Chairman cum Managing Director |
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Address : |
Vidya Vihar, 66, |
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Date of Birth/Age : |
16.09.1943 |
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Date of Appointment : |
18.03.1970 |
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Name : |
Mr. Tarvinder Singh Bhasin |
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Designation : |
Director |
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Address : |
Vidya Vihar, 66, |
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Date of Birth/Age : |
07.12.1967 |
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Date of Appointment : |
01.06.1998 |
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Name : |
Mr. Sarabjit Singh Bhasin |
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Designation : |
Director |
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Address : |
Vidya Vihar, 66, |
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Date of Birth/Age : |
07.07.1972 |
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Date of Appointment : |
01.06.1998 |
KEY EXECUTIVES
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Name : |
Mr. B. Durga Prasad Rai |
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Designation : |
Company Secretary |
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Address : |
A2-107, Vasundhara
Lokrachana, Amarnagar, Mulund (West), Mumbai – 400082, |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
|
Names of Shareholders |
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No. of Shares |
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Mr. Jaspal Singh Bhasin |
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3015 |
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Mr. Tarvinder Singh Bhasin |
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3198 |
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Mr. Sarabjit Singh Bhasin |
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3224 |
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Smt. Prabhjit Kaur Bhasin |
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486 |
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Jaspal Singh Bhasin HUF |
|
77 |
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Total |
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10000 |
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Category |
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Percentage
of Holding |
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Directors or relatives of directors |
|
100.00 |
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Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturers and Exporters of automobiles spring leaves
and assemblies. |
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Products : |
v Steel Springs |
GENERAL INFORMATION
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Suppliers : |
v Addison and Company v Anil Dighe Archiects v Ankit Engineering v Anisha Enterprises v Blue Track Enterprises v C. R. Refractors v Delta Electricals v Gandhi Enterprises v Mack Springs Private Limited v
New v Peer Steel Products v Tata Finance Limited v
United v Varsha Refractoreis v Vashi Electrical Private Limited v Victory Auto |
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Customers : |
v B. E. S. T. Undertaking v Mahindra and Mahindra Limited, Secundrabad, Andhra Pradesh v R. N. Nayak and Sons v Silver Ispat Private Limited v
TELCO, Pune, v Thane Municipal Transport v ASB International v Automotive Agencies v Eagle Steels v
M. S. R. T. C., Thane, |
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No. of Employees : |
420 (Office: 20; Factory: 400) |
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Bankers : |
v Abhyudaya Co-operative Bank v
Dena Bank, Taloja, v S. T. Co-operative Bank v
Bank of v HDFC Bank |
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Facilities : |
- |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
L. D. Joshi and Company Chartered Accountants |
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Address : |
2-G, Court Chambers, 2nd Floor, 35, New Marine
Lines, Mumbai – 400020, |
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Tel. No.: |
91-22-22003058 |
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Telefax No.: |
91-22-22005568 |
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Res. No.: |
91-22-23631648/23685647 |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000 |
Equity Shares |
Rs. 1000.00 each |
Rs. 10.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000 |
Equity Shares |
Rs. 1000.00 each |
Rs. 10.000 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
|
10.000 |
10.000 |
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2] Share Application Money |
|
0.000 |
0.000 |
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3] Reserves & Surplus |
|
11.000 |
9.895 |
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4] (Accumulated Losses) |
|
0.000 |
0.000 |
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NETWORTH |
|
21.000 |
19.895 |
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LOAN FUNDS |
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1] Secured Loans |
|
12.285 |
15.805 |
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2] Unsecured Loans |
|
6.582 |
10.142 |
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TOTAL BORROWING |
|
18.867 |
25.947 |
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DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
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TOTAL |
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39.867 |
45.842 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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10.210 |
4.926 |
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Capital work-in-progress |
|
0.000 |
0.000 |
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INVESTMENT |
|
0.240 |
0.240 |
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DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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30.684 |
15.751 |
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Sundry Debtors |
|
15.466 |
35.980 |
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Cash & Bank Balances |
|
1.530 |
3.182 |
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Other Current Assets |
|
1.468 |
0.278 |
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Loans & Advances |
|
20.188 |
21.414 |
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Total
Current Assets |
|
69.336 |
76.605 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
|
35.654 |
31.06 |
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Provisions |
|
4.265 |
4.861 |
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Total
Current Liabilities |
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39.919 |
35.921 |
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Net Current Assets |
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29.417 |
40.676 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
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TOTAL |
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39.867 |
45.842 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
|
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Sales Turnover |
|
290.774 |
231.174 |
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Other Income |
|
0.000 |
0.000 |
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Total Income |
|
290.774 |
231.174 |
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Profit/(Loss) Before Tax |
|
1.798 |
2.695 |
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Provision for Taxation |
|
0.693 |
0.951 |
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Profit/(Loss) After Tax |
|
1.105 |
1.744 |
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Expenditures : |
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Raw Material Consumed |
|
197.443 |
149.805 |
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Salaries, wages and bonus |
|
25.063 |
24.054 |
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Managerial Remuneration |
|
0.660 |
0.610 |
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Payment to auditors |
|
0.048 |
0.042 |
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Interest paid or payable |
|
1.437 |
1.136 |
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Insurance Expenses |
|
0.186 |
0.085 |
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Consumption of power and fuel |
|
2.253 |
2.214 |
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Other Expenditure |
|
61.886 |
50.498 |
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Total Expenditure |
|
288.976 |
228.479 |
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KEY RATIOS
|
PARTICULARS |
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|
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
|
0.38 |
0.75 |
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Net Profit Margin (PBT/Sales) |
(%) |
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0.62 |
1.17 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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2.26 |
3.31 |
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Return on Investment (ROI) (PBT/Networth) |
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|
0.09 |
0.14 |
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Debt Equity Ratio (Total Liability/Networth) |
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2.80 |
3.11 |
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Current Ratio (Current Asset/Current Liability) |
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1.74 |
2.13 |
LOCAL AGENCY FURTHER INFORMATION
Business
The company is engaged in to carry on the trade or business of Engineers, Founders, Smiths, Machinists, Manufacturers and Patenters of all kinds of Springs, Power Chains, Wire Ropes, Automobiles and other spare parts, machines tools and implements and other allied products.
The company is also engaged in to carry on business of manufacturers or dealers of Electrical Goods, Sanitary Fittings, Patent Medicines, Chemicals and manures, pottery, colours, paints & varnishes and alloys.
Performance
The company continued its excellent performance during the year and has achieved a turnover of Rs. 290.800 millions in 2004-05 as compared to Rs. 231.200 millions during the previous year.
Fixed Assets
Land
Plant and Machinery
Furniture and Fixture
Electrical Fitting
Furniture and Fixture
Cycle
Motor Truck
Fork Lift
Motor Car
Computer
Form 8
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Name of the company |
BHARAT SPRINGS PRIVATE LIMITED |
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Presented By |
Bank of |
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1) Date and description of instrument creating the change |
Principal
agreement of hypothecation of Stocks and Book Debts dated 16.04.1993 executed
by Company in favour of Bank of India |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 17.000
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 |
a)
All
those the tangible movable properties and assets of whatsoever nature of the
company both the present and future and including but without prejudice to
the generally of the foregoing words all tangible current assets viz raw
materials, stock in process, finished goods, such as automobile leaf springs,
assemblies etc. Stores and spares, equipments, components etc. of the Company
wheresoever situate and /or in transit now belonging to or that may at any
time during the continuance of the security belong to the Company or that may
be held by any party anywhere to the order and disposition of the Company. b)
All
the present and future book debts, outstandings, moneys receivables, claims
and bills which are now due and owing or which may at any time hereafter
during the continuance of this security become due and owing to the Company
in the course of it business by any person, firm, Company or body corporate
or by the Government of India, Indian Railways, or any Government Department
or office or any Municipal or local or public or Semi-Government Department
body or project whatsoever in Public Sector. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Hypothecation by
way of first charge over all those the Stocks and Book Debts of the Company
as mentioned in item No. 3 (a & b) above and such other assets of the
nature as specified in item No. 3 (a & b) above as are or may at any time
be in the possession or power of the Company with power to the Bank to seize
and realize such assets as security for the due repayment by the Company to
the Bank n demand of the balances due from time to time in the (1) cash
Credit Account with a limit of Rs. 4.500 millions (2) Bills discount/purchase
(DA/DP clean) with a limit of Rs. 9.000 millions (3) Inland Guarantee with a
limit of Rs. 0.500 million and (4) Letter of Credit D/P with a limit of Rs.
3.000 millions making a total charge to Rs. 17.000 millions together with
Interest / commission as an agreed rate or at such other rate(s) as may be
fixed by the bank and notified to the Company from time to time. |
|
5) Name and Address and description of the person entitled to the charge. |
Bank of 70/80 M G Road,
Mumbai - 400 023 |
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6) Date and brief description of instrument modifying the charge |
11.11.2002 Modification
Agreement |
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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. |
1st Modification: By supplemental
deed of hypothecation of Stocks and Book debts dated 31.12.1994 the total
charge was enhanced to Rs. 25.500 millions Present Modification: The Bank shall be
entitled to charge applicable rate of interest on the credit facilities with
monthly rests w.e.f. 01.04.2002. All other terms and conditions remain
unchanged. |
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Corporate
identity number (CIN) Foreign company registration number |
U28900MH1959PTC011417 |
|
Name of the
Company |
BHARAT SPRINGS PRIVATE LIMITED |
|
Address |
37, Barristernath Pai Marg, Cotton Green, Mumbai – 400
033, |
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This form is for |
Creation of
charge |
|
Type of Charge |
Hypothecation |
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Particulars of
the charge holder |
Bank of Mumbai Corporate
Banking Branch, 70/80, M E-Mail: mumbaicbb@bankofindia.co.in |
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Nature or
description of the instrument(s) creating or modifying the charge |
Agreement of
Hypothecation of Plant and Machinery, Stocks and Book Debts. |
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Date of the
instrument creating or modifying the charge |
01.06.2006 |
|
Amount secured by
the charge |
Rs. 11.000
millions |
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Brief particulars
of the principal terms and conditions and extent and operation of the charge |
1)
C/C
Hypothecation of stocks and Book Debts Rs. 11.000 millions, repayable on
demand, ROI: 2% over BPLR Minimum 12.75% per annum at monthly rests 2)
Inland
Bills Purchase / discount Rs. 11.000 millions 3)
Cheque
purchase Rs. 2.500 millions But Maximum Limit (1 to 3) Rs. 11.000 millions |
|
Description of
the property charged indicating whether it is a charge on |
·
Plant
and Machinery ·
Stock
in trade ·
Book
Debts |
|
Short particulars
of the property charged (including location of the property) |
1.
All
tangible movable machineries and plant present and future 2.
all
tangible movable properties and assets present and future 3.
All the
present and future book-debts, outstanding, money receivables, claims, bill
which are now due and owing or which may at any time hereafter during the
continuance of this security become due and owing to the Borrower. |
Website details attached:
Early History
The history of the company dates back to the year 1947 when
the late S. Arjan Singh Bhasin, a pioneer in the field of spring manufacturer
in
The early years were those of steady growth ant the building up of solid
reputation, based on expertise, quality and exacting schedules. As the demand
for springs increased, the company sought new avenues to meet the situation. In
1969, the running plant of Bharat spring Pvt. Ltd., at Vikhroli was acquired.
Rapid Growth – the
outcome of superb quality
Inspite of having two plants, the company still could not cope with the spurt in demand for its productions, both in the expert as well as domestic market. Orders form original equipment manufactures kept piling up and the company's capacity was stretched to its utmost. Moreover, the expert market commitments had also to be met. In 1973, a new plant was stated at Taloja. Imported and sophisticated machinery both for manufacture and automatic testing were installed. Rerolling facilities for spring steel with a well-quipped laboratory were also fitted into the plants. In 1975, the Taloja plant swung into operation.
The Present and
Future
Today, Bharat Springs cater to a host of Original Equipment
manufactures not only in
Quality control is imminent in every stage of manufacture.
Pre-inspection of raw materials and purchased goods, assembly line inspection
to final testing and inspection are carried out with meticulous scrutiny. Every
effort is made to use the latest equipment as well as the experience of
accumulated techniques to ensure maximum product benefits.
Bharat Springs undertake the manufacture of standard as well
as specific requirements of original equipment manufacturers in
All their products are exported through export trading house
ASB International.
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] 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. 39.82 |
|
|
1 |
Rs. 80.85 |
|
Euro |
1 |
Rs. 56.22 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
50 |
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. |
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 |
|