MIRA INFORM REPORT

 

 

Report Date :

12.02.2008

 

IDENTIFICATION DETAILS

 

Name :

MAHARANI PAINTS (INDIA) PRIVATE LIMITED

 

 

Registered Office :

TA-3/146-C, Tughlakabad Extension, New Delhi-110019

 

 

Country :

India

 

 

Financials (as on) :

31.03.2007

 

 

Date of Incorporation :

07.01.1986

 

 

Com. Reg. No.:

55-23000

 

 

CIN No.:

[Company Identification No.]

U74899DL1986PTC023000

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELM08298D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing of Industrial Paints, Allied and Powder.

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 2255292

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well-established company having fine track. Financial Positions is good. Payments are usually correct and as per commitments. The company is doing well.

 

The company can be considered good for any normal business dealings at usual trade terms and conditions.

 

LOCATIONS

 

Registered Office :

TA-3/146-C, Tughlakabad Extension, New Delhi-110019, India

Tel. No.:

91-11-25054009/10/26092741

Fax No.:

91-11-25054008 / 26092413

E-Mail :

rkb.maharani@touchtelindia.net

mpi_brb369@yahoo.com

brb_mpl369@yahoo.com

Website :

http://www.maharanipaints.com

Location :

Leased

 

 

Factory :

Plot No. 343, 344, 349, Sector 24, Faridabad-121005, Haryana, India

Tel. No.:

91-129-25021128 / 29

Fax No.:

91-129-25023130

 

 

Head Office :

5L/156, NIT Faridabad – 21001, Haryana, India

Tel No.:

91-129-4054009/405010

Fax No.:

91-129-4054008

 

 

Branches :

·         82, Sector –27 Noida, Uttar Pradesh, India

Tel No :- 91-120-2548009

 

  • 172, Avas Vikas Colony, Civil Lines, Muradabad, Uttar Pradesh, India

Tel No :- 91-591-2417096

 

·         Shop No. 1, 2 and 4, B-XVI, 1931, Gali No. 3, Preet Nagar, Sewakrupa,

M. G. Ludhiana, Punjab, India Tel No :- 91-161-2539292 / 2541947

 

·         129, Industrial Area, Phase-II, Chandigarh, India

Tel No :- 91-172-3134932

 

·         Arihant Industrial Estate, Gala No. 21, Ground Floor, Plot No. 94-C and

94-D, Kranti Nagar, Saki Naka, Andheri (East), Mumbai-400072,      Maharashtra, India Tel No :- 91-22-28595246 / 28595247

 

·         65, New Timber Yard Layout, Mysore Road, Bangalore-560026,

Karnataka, India Tel No :- 91-80-26756971

 

·         Shop No. 2 and 3, Gate No. 627, Kuruli, Rajguru Nagar, Khed, Pune

Maharashtra, India Tel No :- 91-20-9822845492

 

KEY EXECUTIVES

 

Name :

Ms. Mayuri Gupta

Designation :

Company Secretary

Address :

House No.63, Sector – 15, Faridabad – 121007, Haryana, India

Tel No.:

91-129-2283881

Mobile :

91-9350318055

 

DIRECTORS

 

Name :

Mr. Bhatia Raj Baldev

Designation :

Director

Address :

House No. 1319, Sector – 15, Faridabad – 121 007, Haryana, India.

Date of Birth/Age :

18.03.1953

Qualification :

Graduate

Experience :

27 years

Date of Appointment :

07.01.1986

 

 

Name :

Mr. Bhatia Mukesh

Designation :

Director

Address :

House No. 1045, Sector – 15, Faridabad – 121 007, Haryana, India.

Date of Birth/Age :

09.04.1967

Qualification :

Graduate

Experience :

12 years

Date of Appointment :

07.01.1986

 

 

Name :

Mr. Bhatia Kumar Raj

Designation :

Director

Address :

House No. 1043, Sector – 15, Faridabad – 121 007, Haryana, India.

Date of Birth/Age :

06.09.1958

Qualification :

Graduate

Experience :

24 years

Date of Appointment :

01.04.1995

 

 

Name :

Mr. Bhatia Kumar Vipin

Designation :

Director

Address :

House No. 1254, Sector – 15, Faridabad – 121 007, Haryana, India.

Date of Birth/Age :

22.10.1961

Qualification :

Graduate

Experience :

27 years

Date of Appointment :

01.04.1995

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

 

No. of Shares

 

 

 

Bhatia Raj Baldev

 

24160

Bhatia Kumar Raj

 

16060

Bhatia Kumar Vipin

 

7860

Bhatia Mukesh

 

17210

C. D. Bhatia

 

13110

Rama Bhatia

 

1450

Manju Bhatia

 

11350

Reeta Bhatia

 

6700

Neelam Bhatia

 

2100

 

 

 

Total

 

100000

 

 

 

Category

 

Percentage

 

 

 

Directors or relatives of directors

 

100.00

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of Industrial Paints, Allied and Powder.

 

 

Products :
  • Industrial Paints
  • Allied and
  • Powder

 

 

Exports :

 

Countries :
  • China
  • Australia.

 

 

Imports :

 

Countries :
  • Taiwan
  • Japan
  • Switzerland
  • HongKong
  • Thailand
  • China.

 

 

Terms :

 

Selling :

Credit (60 days)

 

 

Purchasing :

Credit (60 days)

 

PRODUCTION STATUS

 

Particulars

Installed Capacity

Actual Production

 

 

 

Epoxide Resins (Powder Coating Paints)

250 Tons per month

120 Tons per month

Industrial Paints Lacquers and Allied Products

400 Tons per month

100 Tons per month

 

 

GENERAL INFORMATION

 

Suppliers :

·         Atul Limited, New Delhi

  • Aman Overseas, Faridabad
  • Resins and Plastics Limited, Mumbai
  • Best Dye Chem, New Delhi
  • Cray Valley Resins, New Delhi
  • DSV Chemicals Private Limited, Mumbai
  • Dadar Sales Corporation, Faridabad
  • Synthetics and Polymer Industries, Ahmedabad
  • DSM Sales Corporation, Mumbai
  • Macro Polymers Private Limited, Ahmedabad
  • Victor Agencies, Faridabad
  • Prime Surface Coatings, Thane
  • Dow Corning India Private Limited, Mumbai
  • Rishichem Distributors Private Limited, Mumbai
  • G. E. Bayer Silicones India Private Limited, Mumbai
  • Aerotech India Private Limited, New Delhi
  • Abbott Air System
  • Anshul Agencies
  • Associated Container Teminals Limited
  • Bhemla Engineering Works
  • Bullows Paint Equipment (Private) Limited
  • Bureau Veritas Consumer Products
  • Chemi Enterprise
  • Dujodwala Resins and Terpenses Limited
  • Goldschmidt Chemicla Jkarta
  • Gupta Enterprise
  • Hindustan Apparatus Manufacturing Company
  • IOCL
  • Indian Container Leasing Company Limited
  • Lo – Temp Engineering
  • Mobile Centre
  • National Chemicals and Colours Company
  • New Tola ram and Sons
  • Prachi Enterprises
  • Rieco Industrial Limited
  • Satguru Electricals Works
  • Shreyans Marketing Company
  • Tarapur Coating (Private) Limited
  • Trichem Laboratories Private Limited
  • Vishwakarma Enterprises

 

 

Customers :

·         Bharti Industries Limited, Faridabad

  • Faridabad Fabricators Private Limited, Faridabad
  • Havells India Limited, Faridabad
  • Hindustan Wires Limited, Faridabad
  • Nikko Auto Limited, Faridabad
  • Vee Gee Industrial Enterprises, Faridabad
  • Bajaj Motors Limited, Gurgaon
  • Omax Autos Limited (Manesar) , Gurgaon
  • Prasha Technologies Limited, Gurgaon
  • Rico Auto Industries Limited, Gurgaon
  • Q H Talbros Limited, Gurgaon
  • S and R Exports, Gurgaon
  • Sunbeam Auto Limited, Gurgaon
  • X. O. Stamping Limited, Gurgaon
  • Curio Craft, Jodhpur
  • T. I Limited, Naini
  • Mahavir Aluminium Limited, Bhiwadi
  • Eveready Industries India Limited, Lucknow
  • A to Z Exports, Noida
  • Alps Industries Limited, Noida
  • Caryaire Equipments India Private Limited, Noida
  • Fedders Llyod Corporation Limited, Noida

 

 

No. of Employees :

250   

 

 

Bankers :

·         State Bank of Travancore, NIT Faridabad, SIB Branch

(Subject enjoys Cash Credit facility of Rs.41 millions from its bankers)

 

  • State Bank of India, Jalandhar , Punjab

(Subject enjoys term loan of Rs.1.237 millions and Overdraft Facility and ash Credit facility of Rs.11 millions with State Bank of India, Faridabad)

 

  • State Bank of India, SIB Branch

65, Neelam Bata Road, Faridabad – 121001, Haryana, India

 

·         State Bank of Patiala, Faridabad

  • State Bank of Patiala, Mumbai
  • State Bank of India, Faridabad
  • State Bank of India, jalandhar
  • State Bank of India, Ludhaina
  • State Bank of India, Banjalore
  • Bank of India (Under Closure)
  • HSBC Bank
  • Kotak Mahindra Primus Limited
  • ABN Amro Bank
  • Standared Charted Bank
  • ICICI Bank Limited
  • HDFC Bank

 

 

Facilities :

Secured Loan

Amount (in Millions)

Bank Loan

 

State Bank of India

(Secured against Receivables andBook Debts and Personal Guarantee of Directors)

60.388

State Bank of India

(Adhoc Limit / SLC)(Secured against Stock and Personal Guarantee of the directors)

7.500

 

 

Car Hypothecation Loan

 

Kotak Mahindra Primus Limited

(Secured against Car)

0.046

ABN Amro Bank

(Secured against Cars)

0.722

Standared Charted Bank

(Secured against Car)

0.145

ICICI Bank Limited

(Secured against Car)

2.387

HDFC Bank

(Secured against Car)

0.773

 

 

Credit Cards:

 

Standared Charted Bank

 (Credit card of Director) (Secured against personal Guarantee of the director)

0.017

American Express Bank (Outstanding of Credit card of Directors; Secured against personal Guarantee of the Director)

0.220

 

 

Unsecured Loans:

 

From Directors, Shareholders and Others

 

B. R. Bhatia

0.815

C. D. Bhatia

0.315

Kailash Kr. Bhatia

0.000

Manju Bhatia

0.855

Bhatia Mukesh

0.235

Neelam Bhatia

0.800

R. K. Bhatia

0.370

Rama Bhatia

0.150

Reeta Bhatia

0.620

Vipin Bhatia

0.590

 

 

TOTAL:

76.948

 

 

 

Banking Relations :

Good

 

 

Auditors :

 

Name :

T. R. Arya and Associates

Chartered Accountant

Address :

11, Darya Ganj, New Delhi – 110 002, India

Tel. No.:

91-23261427 / 23266877

 

 

Associates/Subsidiaries :

·         C Dass Chemicals Private Limited

Plot No. 287-288, Sector 24,  Faridabad

            - Manufacturer of Thinners

 

  • Vamaru Overseas Private Limited,

Plot No. 138/24, Faridabad

            - Manufacturer of Wooden Furniture, Wrought Iron, Handicraft, Articles

 

 

Amalgamation Process :

The Company has successfully completed the process of amalgamation with M/s. Sono Electricals Private Limited and M/s. C. Dass Chemical Private Limited  (Companies in the same management)

The scheme has been duly approved by the honorable High out of Delhi.

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4000000

Equity Shares

Rs.10/- each

Rs.40.000 Millions

 

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3400000

Equity Shares

Rs.10/- each

Rs.34.000 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

34.000

10.000

10.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

529.823

126.719

86.497

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

563.823

136.719

96.497

LOAN FUNDS

 

 

 

1] Secured Loans

284.862

136.972

72.200

2] Unsecured Loans

28.835

15.040

4.750

TOTAL BORROWING

313.697

152.012

76.950

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

877.520

288.731

173.447

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

436.992

31.385

38.593

Capital work-in-progress

133.801

46.542

0.000

 

 

 

 

INVESTMENT

5.454

0.694

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
148.755

89.602

0.000

 

Sundry Debtors
240.226

163.360

0.000

 

Cash & Bank Balances
10.873

10.937

0.000

 

Other Current Assets
0.000

0.000

198.320

 

Loans & Advances
33.820

23.291

24.724

Total Current Assets
433.674

287.190

223.044

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
130.169

74.912

68.690

 

Provisions
2.567

2.252

19.500

Total Current Liabilities
132.736

77.164

88.190

Net Current Assets
300.938

210.026

134.854

 

 

 

 

MISCELLANEOUS EXPENSES

0.335

0.084

0.000

 

 

 

 

TOTAL

877.520

288.731

173.447

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2007

31.03.2006

31.03.2005

Sales Turnover

879.800

652.506

523.234

Other Income

0.000

0.000

0.000

Total Income

879.800

652.506

523.234

 

 

 

 

Profit/(Loss) Before Tax

74.018

66.530

55.724

Provision for Taxation

0.000

0.000

0.000

Profit/(Loss) After Tax

74.018

66.530

55.724

 

 

 

 

Total Expenditure

805.782

585.976

467.508

 

 

 

KEY RATIOS

 

 

PARTICULARS

 

 

31.03.2007

31.03.2006

31.03.2005

PAT / Total Income

(%)
8.41

10.20

10.65

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
8.41

10.20

10.65

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
8.50

20.88

21.30

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.13

0.49

0.58

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
0.79

1.68

1.71

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
3.27

3.72

2.53

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Its product range includes

 

·         Polyurethane Paints- A special high performance coating

 

 

 

profile

 

Subject is a manufacturer of coating materials of international quality standards with prime concern and commitment to quality and customer service. It is a professionally managed fast growing organization with an enviable track record of growth, profitability and productivity.

 

Subject started its operations in the year 1980 under the name of C Dass Chemicals Private Limited and over the years earned recognition as a manufacturer of Quality Thinners for different paints namely Epoxy, Polyurethane, Stoving, Auto Refinishing etc. and the only ISO 9002 certified Thinner manufacturer in the country.

 

Subject was incorporated in the year 1986 under expansion programme to manufacture Industrial Paints and Powder Paints of International Quality for Industrial Applications. Ever since its incorporation the company has been providing its customers, the best quality products and services with a reasonable pricing policy.

 

The company has grown manyfold by enhancing production capacity, modernisation, expansion of network, etc. and obtained the recognition as a quality product manufacturer. In April, 1997, the company got ISO 9002 accreditation from DET NORSKE VERITAS, The Netherlands.

 

 

Financial Operators:

 

The Directors express satisfaction that during the year the company has increased its Turnover from Rs.337.848 Millions to about Rs.488.841 Millions. The company generated net profit Before Tax for the year to the tune of Rs.55.724 Millions (Last year Rs.47.151 Millions)

 

 

Business Outlook:

 

The company is growing at a robust sales growth rate of 40 – 50%p.a. The company today has a Pan – Indian Footprint in form of Branches / Own Representative at Eleven cities ij India, Including New Delhi, Mumbai , Moida, Moradabad, Chandigarh, Ludhina, Amritsar, Jaliandhar, Pune, Bangalore, Malerkotla apart from the faridabad – Gurgaon – Dharudhera belt, directly billed from the Factories in Faridabad.

 

New Customers are being developed and the company has embarked on an ambitious target of a sales Turnover Rs.1000.000 Millions in the Financial Year 2006 – 07.

 

The international prices of all Petro Chemical Products have been on a high fluctuating note during the whole of the last year. This posed great challenges to the company, since most of the company’s requirements of raw materials is based on the petro products. The Directors have begun too secure direct supplies from the various international Petrochemical Houses to bring a degree of stability and reduction in intermediary margins from such direct supply.

 

 

Dividend for the Year:

 

The Directors recommended dividend @ 18 % for the year and to pay dividend tax thereon. The dividend if approved will be paid with in the prescribed period. This is the maiden Dividend for the company, and a matter of grat pleasure, to propose the same before the shareholders.

 

 

Form 8:

 

Corporate identity number (CIN) Foreign company registration number

U74899DL1986PTC023000

Name of the Company

MAHARANI PAINTS (INDIA) PRIVATE LIMITED

Address

TA-3/146-C, Tughlakabad Extension, New Delhi-110019, India

This form is for

Modification of charge

Type of Charge

Immovable Property

Book Debts

Movable Property (not being pledge)

Floating Charge

Particulars of the charge holder 

State Bank of India SIB Branch

65, Neelam Bata Road, Faridabad – 121001, Haryana, India

priyangarg@gmail.com

Nature or description of the instrument(s) creating or modifying the charge

Agreement of loan for overall limit (C-1)

Agreement Hypothecation Goods and Assets(C-2)

Date of the instrument creating or modifying the charge

21.12.2006

Amount secured by the charge

Rs.536.100 Millions

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

Rate of Interest :

Working Capital: - AT 1.50% below SBAR, Minimum 9.50% p.a. with monthly rests against CRA rating SB-2 and Corporate loan:-AR 1% below SBAR Minimum 10% p.a. with monthly rests against CRA Rating of SBTL-1.

 

Terms of Repayments:

Corporate Loan of repayment at first 6 quarterly installment of Rs.3.700 Millions and Next 6 quarterly installment of Rs.3.800 Millions

 

Margin :

Raw Material- 25% SIP and FG-30%

Stores and spares- 40%

Receivables- 30%

Letter of credit- 10%

 

Extent and operation of the charge:

Primary Security: CC Hypothecation of first charge on pari passu basis with ICICI Bank on the entire current assets, present and future, of company. Our share 96% and on term loan first charge over all the fixed assets with a Wdv of Rs.129.400 Millions as at 31.03.2006. The above includes the following E. M. of Plot No.349/ Sector – 24, Faridabad. 2nd Charge on projects at prithala, Sitarganj and corporate office, financed by ICICI and Extent of charge on all over assets, present and future in the name of company.

 

Other :

Personal Guarantee of all the directors of the company namely Mr. B R Bhatia, R K Bhatia, Vipen Bhatia, Mukesh Bhatia and Third party of Guarantee of Mr. Rama Bhatia, corporate Guarantee of MS Bhatia Sons, Vipen Sons and V k Bhatia and Sons. Corporate Guarantee of Sono Electricals Private Limited

Short particulars of the property charged (including location of the property)

Collateral : Plot No.343, Sector – 24, Faridabad of MS Bhatia Sons Plot No.344, Sector – 24 Faridabad, Vipen and Company Plot No.1044/Sector 15, Faridabad, of Mr. Vipen Bhatia Plot No.1045/ sector No.15, Faridabad, of Mr. Rama Bhatia, Plot No.1314, Sector 15, Faridabad, of Ms V k Bhatia and Sons (HUF), and Plot No.241/242, Sector 24 in the name of Sono Electricals Private Limited.

Particular of the present modification 

Limit Enhanced to Rs.536.100 Millions

CC Hypothecation Rs.260.000 Millions

CC Book Debts of Rs.200.000 Millions

Term Loan of Rs.21.100 Millions

Corporate Loan Rs.45.000 Millions

LC (Foreign) Rs.180.000 Millions

And SLC Rs.30.000 Millions

 

Name of the company

MAHARANI PAINTS INDIA PRIVATE LIMITED

Presented By

Bank of India, 65, Prita Road, Faridabad, Haryana

1) Date and description of instrument creating the change

General Agreement of hypothecation of goods and debts for increase in the overall limit dated 04.10.1999

2) Amount secured by the charge/amount owing on the securities of charge

Limit : Rs.19.800 Millions

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 of Immovable Properties, Plant and  Machinery, Stock in trade, Book Debts etc.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest @ 2.25% SBAR minimum rate @14.25% + Interest rate. Present effective Rate is 14.53% p.a.

5) Name and Address and description of the person entitled to the charge.

Bank of India, 65, Prita Road, Faridabad, Haryana

6) Date and brief description of instrument modifying the charge

Not Applicable

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.

Not Applicable

 

Name of the company

MAHARANI PAINTS INDIA PRIVATE LIMITED

Presented By

Bank of India, 65, Prita Road, Faridabad, Haryana

1) Date and description of instrument creating the change

Supplemental Agreement of loan for increase in the overall limit, Supplemental Agreement of Hypothecation of goods and Assets for increase in the overall limit

 

Dated 13.03.2003

2) Amount secured by the charge/amount owing on the securities of charge

Limit enhanced from Rs.140.000 Millions to Rs.270.000 Millions Satnd by Line of Credit Rs.10.000 Millions .

 

Letter of Credit Rs.120.000 Millions, Margin 25%, SLPFG 30%, BD 40%, L/C 20%

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 of Immovable Properties, Plant &  Machinery, Stock in trade, Book Debts etc.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest on Working Capital 1.50% below SBAR i.e. 8.75% p.a. and Corporate Loan 9.25% i.e. below 1% SBAR

5) Name and Address and description of the person entitled to the charge.

Bank of India, 65, Prita Road, Faridabad, Haryana

6) Date and brief description of instrument modifying the charge

Not Applicable

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.

Not Applicable

 

Name of the company

MAHARANI PAINTS INDIA PRIVATE LIMITED

Presented By

Mr. Baldev Raj Bhatia, Director

1) Date and description of instrument creating the change

General Agreement Dated 4.10.199 registered on 29.10.1999 for Rs.19.800 Millions which enhanced to Rs.25.500 Millions dated 20.04.2001 registered on 02.05.2001 which further enhanced to Rs.28.000 Millions dated 18.09.2001registered on 25.09.2001 further enhanced to Rs.34.500 Millions dated 26.11.2002registered on 23.12.2002

2) Amount secured by the charge/amount owing on the securities of charge

Rs.19.800 Millions

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 of all goods, movable, Plant and Machinery, Stock in trade, Book Debts and other assets to the borrower equitable mortgage of land and building at plot no. 349 sec. 24, Faridabad studding in the nature of company. Personal guarantee of all the directors.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest @ 2.25% Over SBAR minimum rate @14.25% + Interest Tax. Present effective Rate is 14.53% p.a.

5) Name and Address and description of the person entitled to the charge.

State Bank of India, 65, Prita Road, Faridabad, Haryana

6) Date and brief description of instrument modifying the charge

Dated 14.10.2003 Supplemental general agreement for the grant of small industries advances and hypothecation of all goods, movable and other assets.

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.

Present limit enhanced to Rs.38.500 Millions , Book Debts 15.000 Millions, DDchques – Rs.1.000 Millions, SME Credit Plus Rs.2.500 Millions, Letter of Credit – Rs.5.000 Millions, Extension of charge on stocks of raw material , stock in process, finished goods, receivables etc. each table mortgage of land and building at 349/24 finished goods 1288.88 sq. yds. Owned by the company charge over current fixed assets of the company. further interest rate @1.60 % over minimum 12.60% with monthlu rests margin – 30%

 

Name of the company

MAHARANI PAINTS INDIA PRIVATE LIMITED

Presented By

Mr. R K Bhatia, Director

1) Date and description of instrument creating the change

General Agreement Dated 4.10.199 registered on 29.10.1999 for Rs.19.800 Millions which enhanced to Rs.25.500 Millions dated 20.04.2001 registered on 02.05.2001 which further enhanced to Rs.28.000 Millions dated 18.09.2001registered on 25.09.2001 further enhanced to Rs.34.500 Millions dated 26.11.2002registered on 23.12.2002.Further enhanced to Rs.38.500 Millions at 14.10.2003 Registered on 13.11.2003 which further enhanced to Rs.61.700 Millions at 2.03.2004 registered on 29.01.2004 which further enhanced to Rs.109.00 Millions at 31.01.2005 registered on 24.02.2005.

2) Amount secured by the charge/amount owing on the securities of charge

Rs.19.800 Millions

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 of all goods, movable, Plant and Machinery, Stock in trade, Book Debts and other assets to the borrower equitable mortgage of land and building at plot no. 349 sec. 24, Faridabad studding in the nature of company. Personal guarantee of all the directors.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest @ 2.25% Over SBAR minimum rate @14.25% + Interest Tax. Present effective Rate is 14.53% p.a.

5) Name and Address and description of the person entitled to the charge.

State Bank of India, SIB Branch, 65, Prita Road, Faridabad, Haryana

6) Date and brief description of instrument modifying the charge

 Supplemental Agreement of loan for increase in the overall limit for C1 – A, C2 – A, C4 – A, C5, Dated 31.03.2005

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.

Present limit enhanced to Rs.140.000 Millions, (CC[Hypothecation]) of Rs.80.000 Millions stand by Left Corers LC = Rs.50.000 Millions Hypothecation of Stocks of Stores – Spares, SIP, Lying in factory, Godown and else where including goods in transit, Hypothecation of present and future book debts, receivables equitable mortgage of land and Building 349, Sector 24, Faridabad  owned by the company charged on current + Fixed assets of the company present and future corporate guarantee of M/S Sono Electrical (Private) Limited in favour of State Bank of India, SIB Branch, by equitable mortgage of  its land & building at Sector 24, Faridabad, Rate of Interest1.50% over SBAR 8.75% p.a. with monthly interest.

 

Name of the company

MAHARANI PAINTS INDIA PRIVATE LIMITED

Presented By

Mr. B R Bhatia, Director

1) Date and description of instrument creating the change

General Agreement Dated 4.10.199 registered on 29.10.1999 for Rs.19.800 Millions which enhanced to Rs.25.500 Millions dated 20.04.2001 registered on 02.05.2001 which further enhanced to Rs.28.000 Millions dated 18.09.2001registered on 25.09.2001 further enhanced to Rs.34.500 Millions dated 26.11.2002registered on 23.12.2002.Further enhanced to Rs.38.500 Millions at 14.10.2003 Registered on 13.11.2003 which further enhanced to Rs.61.700 Millions at 2.03.2004 registered on 29.03.2001.

2) Amount secured by the charge/amount owing on the securities of charge

Rs.19.800 Millions

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 of all goods, movable, Plant and Machinery, Stock in trade, Book Debts and other assets to the borrower equitable mortgage of land and building at plot no. 349 sec. 24, Faridabad studding in the nature of company. Personal guarantee of all the directors.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of Interest @ 2.25% Over SBAR minimum rate @14.25% + Interest Tax. Present effective Rate is 14.53% p.a.

5) Name and Address and description of the person entitled to the charge.

State Bank of India, SIB Branch, 65, Prita Road, Faridabad, Haryana

6) Date and brief description of instrument modifying the charge

Dated 31.01.2005

 

 Form C1 – A Supplemental Agreement of loan for increase in the overdraft limit.

 

Form C2 – A, Supplemental Agreement of Hypothecation of goods + Assets for increase in the over all limit. Letter confirming deposits of title deeds.

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.

Present limit enhanced to Rs.109.000 Millions, (CC[Stock]) of Rs.18.500Millions CC Book Debts – Rs. 30.000 Millions, DDP Cheque  - Rs.150.000 Millions  stand by line of credit LC = Rs.150.000 Millions, CC Limit Rs.15.000 Millions, Adhoc SLC – Rs.7.500 Millions , Letter of Credit – Rs.10.000 Millions , Adhoc  L.C Rs.25.000 Millions Hypothecation of Stocks of Stores – Spares, SIP, Lying in factory, Godown and else where including goods in transit, Hypothecation of present & future book debts, receivables equitable mortgage of land & Building 349, Sector 24, Faridabad  owned by the company charged on current + Fixed assets of the company present and future corporate guarantee of M/S Sono Electrical (Private) Limited in favour of State Bank of India, SIB Branch, by equitable mortgage of  its land and building at Sector 24, Faridabad, measuring 2200 sq. yards.  Rate of Interest 2.00% over SBAR minimum 12.25% p.a. at monthly.

 

 

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.39.73

UK Pound

1

Rs.77.34

Euro

1

Rs.57.80

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

8

PAID-UP CAPITAL

1~10

8

OPERATING SCALE

1~10

8

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

8

--LIQUIDITY

1~10

8

--LEVERAGE

1~10

8

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

68

 

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