MIRA INFORM REPORT

 

 

Report Date :

18-12-2008

 

IDENTIFICATION DETAILS

 

Name :

KARAN AUTOMOTIVE PRIVATE LIMITED

 

 

Registered Office :

D- 33, Molarband Extn, Badarpur, New Delhi – 110044

 

 

Country :

India

 

 

Financials (as on) :

31.03.2007

 

 

Date of Incorporation :

14.02.2003

 

 

Com. Reg. No.:

05- 118971

 

 

CIN No.:

[Company Identification No.]

U34300DL2003PTC118971

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Exporter, Importer and Supplier of Automobiles Parts

 

 

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 72000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well- established and reputed company having satisfactory track records. Trade relations are fair. Business is active. No complaints have been heard.

 

The company can be considered good for normal business dealings.

 

 

 

LOCATIONS

 

Registered Office :

D- 33, Molarband Extn, Badarpur, New Delhi – 110044, India

E-Mail :

camkrungta@gmail.com

 

 

DIRECTORS

 

Name :

Mr. Ravinder Singh

Designation :

Director

Address :

106- E, Nissen Huts NH- 5, Faridabad - 121001, Haryana

Date of Birth/Age :

15.05.1972

Date of Appointment :

14.02.2003

 

 

Name :

Mr. Rajit Singh

Designation :

Director

Address :

106- E, Nissen Huts NH- 5, Faridabad - 121001, Haryana

Date of Birth/Age :

07.02.1975

Date of Appointment :

14.02.2003

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 29.09.2007

 

Names of Shareholders

 

No. of Shares

Mr. Ravinder Singh

 

5000

Mr. Ranjit Singh

 

5000

Power

 

22000

Noor Apparels Private Limited

 

28000

Raj Peripherals Private Limited

 

16000

Wrack Electronics Private Limited

 

32000

 

AS ON 29.09.2007

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Bodies corporate

 

90.70

Directors or relatives of directors

 

9.30

 

 

BUSINESS DETAILS

 

Line of Business :

 

 

 

GENERAL INFORMATION

 

Bankers :

Vijaya Bank, Nit Faridabad – 121001, Haryana, India

 

 

Facilities :

Secured Loan

Rs. In millions

31.03.2007

Vijaya Bank

(against hypothecation of stock)

4.412

Vijaya bank MTL, A/c (Building)

4.412

Vijaya Bank term loan machinery

2.358

Vijaya Bank term loan building 2

1.239

Vijaya Bank Car Loan

0.498

Packing credit limit

0.274

ICICI Bank

0.274

American Express Bank Loan

0.862

Citi Bank Na Loan A/c

0.542

 

 

Unsecured Loan

 

Manpreet Kaur

0.896

 

 

 

Auditors :

 

Name :

Mr. Dhawan and Associate

Chartered Accountant

Address :

FF- 11, SCO – 35, Sector – 16, District Shoping Center, Faridabad, Haryana – 121002, India

 

 

CAPITAL STRUCTURE

 

AS ON 29.09.2007

 

Authorised Capital :

No. of Shares

Type

Value

Amount

250000

Equity Shares

Rs. 10/- Each

Rs.2.500 Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

108000

Equity Shares

Rs. 10/- Each

Rs.1.080 Millions

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2007

31.03.2006

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

1.080

1.080

2] Share Application Money

 

4.580

4.580

3] Reserves & Surplus

 

8.558

6.332

4] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

14.218

11.992

LOAN FUNDS

 

 

 

1] Secured Loans

 

39.590

17.032

2] Unsecured Loans

 

0.896

0.797

TOTAL BORROWING

 

40.486

17.829

DEFERRED TAX LIABILITIES

 

1.875

0.930

 

 

 

 

TOTAL

 

56.579

30.751

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

31.468

24.065

Capital work-in-progress

 

1.505

0.000

 

 

 

 

INVESTMENT

 

0.000

0.000

DEFERREX TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 
11.880

7.652

 

Sundry Debtors
 
62.795

48.852

 

Cash & Bank Balances
 
0.534

0.653

 

Other Current Assets
 
0.000

0.000

 

Loans & Advances
 
4.749

3.085

Total Current Assets
 
79.958

60.242

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 
55.190

52.574

 

Provisions
 
1.171

1.001

Total Current Liabilities
 
56.361

53.575

Net Current Assets
 
23.597

6.667

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.009

0.019

 

 

 

 

TOTAL

 

56.579

30.751

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

 

31.03.2007

31.03.2006

Total Income

 

227.296

187.538

 

 

 

 

Profit/(Loss) Before Tax

 

3.378

2.488

Provision for Taxation

 

1.314

1.177

Profit/(Loss) After Tax

 

2.064

1.311

 

 

 

 

Total Expenditure

 

223.918

185.050

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2007

31.03.2006

PAT / Total Income

(%)
 

00.90

00.69

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
 

01.48

01.32

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
 

02.99

02.95

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
 

0.23

0.20

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

6.81

5.95

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

1.41

1.12

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

This form is for

Modification of charge

Charge identification number of the modified 

10036509

Corporate identity number of the company

U34300DL2003PTC118971

Name of the company

KARAN AUTOMOTIVE PRIVATE LIMITED

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

D- 33, Molarband Extn, Badarpur, New Delhi – 110044, India

Type of charge

Movable Property

Immovable Property 

Particular of charge holder

Name :

Vijaya Bank

Address :

Nit Faridabad – 121001, Haryana, India

Email :

Faridabad8301@vijayabank.com

Nature of description of the instrument creating or modifying the charge

Supplementary Letter of Hypothecation dated 14.01.2008

Sanction letter no. ROC: CD” SSB: 6631/ 2007 dated 20.12.2007

Date of instrument Creating the charge

14.01.2008

Amount secured by the charge

Rs.25.000 Millions

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

Rate of Interest

CCH 14.50%

PCL 9.50% up to 180 Days

All other term and conditions in respect of existing SL 2.5 Millions and ML 2.5 Millions will remain same.

 

Terms of Repayment

Facilities for a period of 1 year from the date of sanction

 

Margin

25% on paid stock

50% on book debts

20% on ML

25% on SL

 

Extent and Operation of the charge

As per terms and conditions of sanction letter and supplementary agreement Hyp of fully paid stock of RM/ WIP/ Finish Goods/ Book Debts/ Exportable Goods EMTD of land and Building as collateral security of plot no 17-C, Industrial Area, NIT, Faridabad Hyp of Complete Plant and Machinery and Fresh Machinery

Continuing security of land and building as collateral security of plot no.4, Indl Area, NIT, Faridabad first charge on the entire assets of the assets.

 

Others

The charge to operate as a cumulative charge as under

Nature of Facility

Amount (Existing)

Rs. In millions

Amount (Fresh)

Rs. In millions

CC(H)

15.000

20.000

SL

2.500

2.500

ML

2.500

2.500

Total

20.000

25.000

Short particulars of the property charged

As per terms and conditions of sanction letter – hyp of machinery, book debt and stocks Hyp of fully paid stock of RM/ WIP/ Finish Goods/ Book Debts/ Exportable Goods EMTD of land and Building as collateral security of plot no 17-C, Industrial Area, NIT, Faridabad Hyp of Complete Plant and Machinery and Fresh Machinery

First charge on the same entire assets of the company

 

When ever of the property or interest therein under reference is not registered in the name of the company

If yes, in whose name it is registered  

Land and building as collateral security of plot no 4 Indl area NIT faridabad in the name of Ranjit Singh Harbans Kaur Ravinder Sing and Gurdeep Singh

Particulars of the present modification 

The present charge is consequent to enhancement of existing CC(H) of Rs.15.000 millions to Rs.20.000 Millions other facility remaining same.

Nature of Facility

Amount (Existing)

Rs. In millions

Amount (Fresh)

Rs. In millions

CC(H)

15.000

20.000

SL

2.500

2.500

ML

2.500

2.500

Total

20.000

25.000

 

 

 

FIXED ASSETS

 

 

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.47.33

UK Pound

1

Rs.73.92

Euro

1

Rs.66.69

 

 

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

NO

--AFFILIATION

YES/NO

NO

--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