MIRA INFORM REPORT

Report Date :

02.08.2008

IDENTIFICATION DETAILS

Name :	FOOD AND BIOTECH ENGINEERS (INDIA) PRIVATE LIMITED.
Registered Office :	E – 51, Vishwakarma Colony, Mahrauli Gurgaon Road, New Delhi - 110044
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	15.09.1999
Com. Reg. No.:	55-101572
CIN No.: [Company Identification No.]	U74210DL1999PTC101572
TAN No.: [Tax Deduction & Collection Account No.]	RTKF00269D
PAN No.: [Permanent Account No.]	AAACF4996P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and Exporter of Dairy Machines Equipments and Food Processing Machines.

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 30265
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and reputed company meeting its normal commitments timeously. Trade relations are fair. Business is active. The company can be considered good for normal business dealings.

INFORMATION PARTED BY

Name :	Mr. Nitin
Designation :	Account Manager
Date :	28.07.2008

LOCATIONS

Registered Office :	E – 51, Vishwakarma Colony, Mahrauli Gurgaon Road, New Delhi - 110044
E-Mail :	Cs.faridabad@gmail.com
Corporate Office :	Chaprola Road, Village Prithla, Tehsil palwal, Faridabad- 121 003, Haryana, India
Tel. No.:	91-1275-262157 / 262158
Mob No.:	91-9312069945
Fax No.:	91-1275-262157
E-Mail :	foodeng@vsnl.net
Website :	www.dairyfoodtech.com
Area :	7000 Sq. yard
Location :	Owned
Factory 1 :	Plot No. 6 Gurukul Industrial Area, Post office, Amarnagar saraikhwaja
Tel. No.:	91-129-2510924 / 2510988
Fax No.:	91-129-2510988
Area :	2200 Sq. yard
Location :	Owned

DIRECTORS

Name :	Mr. Rabindra Prasad Singh
Designation :	Director
Address :	H.No.282, Sector-37, Faridabad
Date of Birth/Age :	15.11.1959
Date of Appointment :	15.09.1999
Name :	Mr. Munender Kumar Singh
Designation :	Director
Address :	H.No.282, Sector-37, Faridabad
Date of Birth/Age :	01.07.1973
Date of Appointment :	15.09.1999
Name :	Mr. Anil Kumar Sinha
Designation :	Director
Address :	B-89, Ashoka Enclave, Part-II Sector-37, Faridabad
Date of Birth/Age :	02.01.1969
Date of Appointment :	15.09.1999
Name :	Mr Shailendra Mohan Mishra
Designation :	Director
Address :	B-53, Ashoka Enclave, Part-II Sector-37, Faridabad
Date of Birth/Age :	16.06.1972
Date of Appointment :	01.07.2005
Name :	Mrs. Kanti Singh
Designation :	Director
Address :	282, Sector – 37, Faridabad
Date of Appointment :	15.12.2002

KEY EXECUTIVES

Name :	Mr. D. K. Dhawan
Designation :	General Manager
Tel No.:	91-129-2510988
Mob No.:	91-9811084127 / 9313063446 / 9312069945 / 9818104623

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As On 31.03.2007

Names of Shareholders	No. of Shares
Mr. R. P. Singh	20010
Mr. Muninder Kumar Singh	24385
Mr. Anil Kumar Sinha	14310
Mr. B. P. Singh	94900
Mrs. Anju Chhabra	5000
Mr. Anil Sharma	2500
Mrs. Sarita Sharma	2500
Mr. Nitin Mehrotra	5000
Mrs. Paramjeet Kaur	5000
Mrs. Rajender Kaur	7500
Mrs. Alka Bharti	24600
Mr. S. P. Singh	51900
Mr. D. P. Singh	18000
Mr. Mulender Kumar	22500
Mr. Krishna Murari	15650
Mr. D. K. Dhawan	22500
Mr. Kuldeep Singh	15000
Mrs. Gurmeet Kaur	20000
Mr. Ram Kishan	12000
Mr. Ramesh Chand	8000
Mrs. Renu Jain	14000
Ms. Renuka Prasad	10000
Mr. D K Jain	10000
Ms. Geeta Singh	15000
Others	59045
Total	499300

Equity shares breakup (percentage of total equity)

S. No.	Category	Percentage
1.	Directors or relatives of directors	64.00
2.	Other top fifty(50)shareholders (other than listed above)	36.00
	Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of dairy machine, Equipments and Food Processing machines.
Products :	Dairy Product Food and Fruit Products Naturoceuticals and Health Care Product Biotechnical Plant Design and Febrication of Equipments such as Milk Storage Tanks, Road Milk Tanks, Power Grinder, Turbo Blender and More.
Exports :
Products :	Dairy Machines and Food Processing Machines.
Countries :	Finland, Bangkok (Thailand), Nigeria, Bangladesh
Imports :
Products :	Machines Spare Parts
Countries :	Australia
Terms :
Selling :	Cash /Credit (Advances 30 to 50% and After Completion)
Purchasing :	L/C / Cash / Credit (Some time they get credit more than 6 to 7 months.)

GENERAL INFORMATION

Customers :	Wholesalers, Retailers, End Users.
No. of Employees :	100 – IN OFFICE (50), IN FACTORY (50)
Bankers :	Union Bank of India, Asaf Ali Road, New Delhi – 110002, Delhi, India Punjab National Bank The Bank of Rajasthan Limited Axis Bank Limited HDFC Bank Limited

Banking Relations :	Satifactory
Auditors :
Name :	H. S. Baweja and Company Chartered Accountant
Address :	Sita Ram Complex, Bomanji Road, Saharanpur, Uttar Pradesh-247001, India
Mob No.:	91-9897448851

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Share	Rs.10 Each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
499300	Equity	Rs.10 Each	Rs.4.993 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2007	31.03.2006	31.03.2005
SHAREHOLDERS FUNDS
1] Share Capital		4.993	3.500	2.498
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1.060	3.735	2.617
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		6.053	7.235	5.115
LOAN FUNDS
1] Secured Loans		31.872	5.881	4.976
2] Unsecured Loans		7.273	3.805	0.400
TOTAL BORROWING		39.145	9.686	5.376
DEFERRED TAX LIABILITIES		0.501	0.220	0.147
TOTAL		53.560	17.143	10.640
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		29.693	8.467	5.103
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	37.316	49.437	15.095
	Sundry Debtors	74.832	45.903	15.052
	Cash & Bank Balances	2.840	3.539	1.676
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	28.177	21.658	3.265
Total Current Assets		143.165	120.537	35.088
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	119.300	110.997	29.258
	Provisions	0.000	0.865	0.293
Total Current Liabilities		119.300	111.862	29.551
Net Current Assets		23.865	8.675	5.537
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		53.560	17.143	10.640

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
Sales Turnover		350.888	149.920	88.911
Other Income		2.376	0.279	0.029
Total Income		353.264	150.199	88.940
Profit/(Loss) Before Tax		6.466	2.067	1.187
Provision for Taxation		2.343	0.949	0.374
Profit/(Loss) After Tax		4.123	1.118	0.813
Expenditures :
	Administrative Expenses	2.009	0.929	0.265
	Increase/(Decrease) in Finished Goods	12.120	(34.341)	(1.753)
	Depreciation & Amortization	1.681	0.843	0.688
	Other Expenditure	330.988	180.701	88.553
Total Expenditure		346.798	148.132	87.753

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	01.16	00.74	00.91
Net Profit Margin (PBT/Sales)	(%)	01.84	01.37	01.33
Return on Total Assets (PBT/Total Assets}	(%)	03.74	01.60	02.95
Return on Investment (ROI) (PBT/Networth)		1.06	0.28	0.23
Debt Equity Ratio (Total Liability/Networth)		26.17	17.83	7.85
Current Ratio (Current Asset/Current Liability)		1.20	1.07	1.18

LOCAL AGENCY FURTHER INFORMATION

Notes:

The registered office of the company has been shifted from 2/28, 2^nd Floor, R Sarai Jullenaokhla Road, New Delhi – 110095, India to E – 51, Vishwakarma Colony, Mahrauli Gurgaon Road, New Delhi – 110044 with effect from 01.05.2008

Form No. 8

This form is for

Modification of charge

Charge identification number of the modified

80015538

Corporate identity number of the company

U74210DL1999PTC101572

Name of the company

FOOD AND BIOTECH ENGINEERS (INDIA)PRIVATE LIMITED.

Address of the registered office or of the principal place of business in India of the company

2/28 Iind Floor, Sarai Jullenaokhla Road, New Delhi – 110095, India

Type of charge

Book Debts

Movable Property

Immovable Property

Floating Charge

Others

Particular of charge holder

Name :	UNION BANK OF INDIA
Address :	4/14-A,Asaf Ali Road,New Delhi – 110002, India

Nature of description of the instrument creating or modifying the charge

Composite hypothecation deed sd-20 dt 11-4-2008.

Date of instrument Creating the charge

11.04.2008

Amount secured by the charge

Rs.53.750 Millions

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

Rate of Interest

Interest On Cc(Hyp)Limit Is Chargeable At Bplr+0.75% At Present

Terms of Repayment

Repayment As Per Bank Norms

Margin

Margin As Per Bank Norms

Extent and Operation of the charge

100%

Others

First charge onn stocks, book debts, all types of equipments for dairy and food processing including plant and machinery present and future and e.m. of factory land and building at village prithla, tehsil palwal, faridabad owned by the company is to secure i)cash credit (hyp) limit rs. 400 lac ii)lg limit rs.100 lac and iii)term loan Rs.3.750 Millions aggregating to rs.537.50lac sanctioned to the company.

Short particulars of the property charged

First charge on stocks, book debts, all types of equipments for dairy and food processing including plant and machinery present and future and e.m. of factory land and building at village prithla palwal, faridabad owned by the company.

Particulars of the present modification

The amount secured is increased from rs.437.50lac to rs.537.50lac to secure i) Cash credit (hyp) limit rs.400lac ii) LG limit rs.100lac and iii) Term loan rs.3.750 Millions Aggregating to rs.537.50lac sanctioned to the company security: first charge on Stocks, book debts, all types of equipments for dairy and food processing including plant and machinery present and future and e.m. Of factory land and Building at Village Prithla, Tehsil Palwal, Faridabad owned by the company.

Web Detail Attached

Subject has collaboration with one of the Pioneer companies RALLI OY (FINLAND) a leading Manufacturers and Engineering Consultancy Company for Designing, Manufacturing, Installing and Commissioning of various sizes of Food/Starch/Dairy and Biotechnology related plants having its office in Finland and India, duly established since 1985. Subject, in Association with RALLI OY (FINLAND). With a dedicated team of professional, have successfully completed various installation world wide for Evaporators and related equipment.

Subject Is one of the pioneer company, which specializes in Dairy processing plant, food processing plant, fruit processing plant, pharmaceutical & Bio-products projects along with Fabrication & Erection of Plant & Machinery and other Mechanical Works, Industrial Equipment, Evaporators, Dryers, Pressure Vessel, Storage Tanks, Stainless Steel Piping & Structural Works etc.

The company has well established facilities and expertise to support projects and to provide a wide range of engineering and construction services for clients. It has two fully Equipped fabrication Units at Faridabad, Haryana to fabricate multiple process equipment meeting the high quality with standard specifications.

FBE is backed by more than decades of experience in stainless steel fabrication field as well as the application of advance engineering and management system. The company is capable of executing projects with high standard and completing the project on schedule time with competitive prices.

Moreover, with the co-operation of technical, administration and financial professional, the company has fast grown in continuity and has proven record among its clients world over.

Finally, they hope that the above information will be of best interest to you they welcome any enquiries regarding their aspects of services with great anticipation to work in close association with you

Dairy Sector

• Milk Processing Plant
  » Evaporators
  » Spray Dryers, (Nozzle Type, Disc Atomizer Type)
  » Fluid Bed Dryers
  » Paneer Making Plant
  » Butter Churn
  » Continuous Khoa Making Plant
• Malted Milk Food Plant
• Ice Cream Plant
• Casein, Lactose & Whey Processing Plant
• Cheese Plant etc.

Food and Fruit Sector

• Dextrose & Sorbitol plant
• Liquid Glucose Plant
• Tomato Juice & Tomato Powder Plant
• Orange Juice / Lemon Juice Plant
• Onion, Chilly, Ginger Powder Plant
• Soya & Toffu plant

Herbal and Extracts and Nutraceuticals

• Herbal Extraction Plant
• Green Tea Extract
• Beta Carotene
• Fungicides for Food
• Lycopene
• Natural Food Colors
• Natural Vitamins
• Anti Obesity Compound
• Alkoloids

Biotechnological Plant

• Pectin Powder Plant
• Lemonin Oil Extract Plant
• Citrus Powder Plant
• Neem Powder & Neem Oil Extract Plant
• Oleoresin Extract Plant
• Musli (Natural viagra) Extract plant

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 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.42.87
UK Pound	1	Rs.84.01
Euro	1	Rs.65.96

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	5
--LEVERAGE	1~10	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

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

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