MIRA
INFORM REPORT
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Report Date : |
26.02.2008 |
IDENTIFICATION
DETAILS
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Name : |
GOLD STAR JEWELLERY LIMITED |
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Registered Office : |
Block ’C’, Plot No. 16 P, 17, 28 and 29(P), Seepz, Andheri (East),
Mumbai – 400096, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
18.06.1990 |
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Com. Reg. No.: |
056881 |
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CIN No.: [Company
Identification No.] |
L39611MH1990PLC056881 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMG08117E |
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PAN No.: [Permanent
Account No.] |
AAACG3264B |
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Legal Form : |
A Public Limited Liability Company. The Company’s shares are listed on the stock exchanges. |
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Line of Business : |
Manufacturer, Importer or Dealer in or undertake process in Gold, Silver, Diamonds, Rough Diamonds, Precious and Semi Precious Stones and to Export Jewellery made out of its. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit Limit : |
USD 2988000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company engaged in the business as importer, exporter and wholesalers of Diamonds and Jewellery. The company’s business is progressing well. Its trade relations are fair. Payments are usually correct and as per commitments. It can be considered normal for business dealings at usual trade terms and conditions. |
LOCATIONS
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Registered Office/ Factory : |
Block ‘C’, Plot 16P, 17, 28 and 29 (P), Seepz, Andheri (East), Mumbai-400096, Maharashtra, India |
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Tel. No.: |
91-22-26947000 |
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Fax No.: |
91-22-28290255/ 28291257 |
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E-Mail : |
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Website : |
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Overseas Office : |
· 45, West, 45 Street, Suite # 201, New York, N. Y. 10036, USA Tel. 001 212 3912021 Fax. 001 212 3917444 E-mail. ankur@goldstarjewellery.com · Hongkong Tel. 008 522 3673947 E-mail. jhalak@hkstar.com
Tel. 008 133 845 9880 E-mail. nileshara@hotmail.com |
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Branches : |
Located at :- 7/714, Prasad Chambers, Opera House, Mumbai – 400 004, Maharashtra Tel. 91-22-23646171-72-73 Fax. 91-22-22634544 E-mail. admin@rtdiamond.co.in 269, Kothari House, 2nd Floor, RMR Road, Opera House, Mumbai – 400 004, Maharashtra Tel. 91-22-23840223-224-230 Fax. 91-22-23840227 E-mail. sales@goldstar.co.in |
DIRECTORS
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Name : |
Mr. Satish R. Shah |
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Designation : |
Chairman |
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Address : |
13, Aryavarta ND Road, Nepean Sea Road, Mumbai-400006, Maharashtra |
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Date of
Birth/Age : |
03.08.1942 |
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Date of
Appointment : |
28.09.2002 |
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Name : |
Mr. Alkesh S. Shah |
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Designation : |
Vice Chairman |
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Address : |
04, Aryavarta ND Road, Nepean Sea Road, Mumbai-400006, Maharashtra |
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Date of Birth/Age
: |
06.02.1970 |
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Date of
Appointment : |
29.09.2003 |
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Name : |
Mr. Ashish V. Shah |
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Designation : |
Managing Director |
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Address : |
19/ Suvarna Nagar, Soni House, N.S. Road No.4, JVPD Scheme, Vile Parle (West), Mumbai-400056, Maharashtra |
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Date of
Birth/Age : |
04.05.1970 |
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Date of
Appointment : |
01.04.2005 |
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Name : |
Mr. S. Ramesh Acharya |
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Designation : |
Director (Technical) |
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Address : |
A 502, Dheeraj Garden, Poonam Nagar, Mahakali Caves Road, Andheri (East), Mumbai-400093, Maharashtra, India |
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Date of
Birth/Age : |
01.06.1967 |
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Date of
Appointment : |
01.04.2000 |
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Name : |
Mrs. Smita A. Shah |
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Designation : |
Director |
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Address : |
13, Aryavarta ND Road, Nepean Sea Road, Mumbai-400006, Maharashtra |
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Date of
Birth/Age : |
21.05.1971 |
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Date of
Appointment : |
25.09.2002 |
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Name : |
Mr. Vikram Advani |
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Designation : |
Director Marketing |
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Address : |
1-44, Nanik Nivas, Bhulabhai Desai Road, Mumbai-400026, Maharashtra |
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Date of
Birth/Age : |
23.05.1967 |
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Date of
Appointment : |
21.10.2003 |
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Name : |
Mr. Hemant Manial Shah |
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Designation : |
Director |
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Address : |
Building No.6, Flat No.40, 6th Floor, Haji Ali, Mumbai-400034, Maharashtra, India |
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Date of
Birth/Age : |
20.07.1955 |
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Date of
Appointment : |
01.09.2006 |
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Other Directorships : |
Gold Star Info Soft Private Limited |
KEY EXECUTIVES
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Name : |
Mr. Shreerang Ketkar |
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Designation : |
Company Secretary |
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Address : |
16, Gurudeo Society, Jijamata Marg, Thane (East), Thene-400603, Maharashtra |
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Date of
Birth/Age : |
31.12.1969 |
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Date of
Appointment : |
01.06.2001 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
No. of Shares |
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Mr. Satish R. Shah |
1951990 |
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Mr. Alkesh S. Shah |
515000 |
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Mrs. Smita A. Shah |
47000 |
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Mrs. Hansaben S. Shah |
145000 |
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Mr. Sanjay S. Shah |
685000 |
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Mrs. Shweta S. Shah |
33000 |
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Mr. Sanjay S. Shah |
420000 |
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Mr. Satish R. Shah |
393000 |
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Mr. Sayam S. Shah |
10 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer, Importer or Dealer in or undertake process in Gold, Silver, Diamonds, Rough Diamonds, Precious and Semi Precious Stones and to Export Jewellery made out of its. |
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Products : |
Diamond Studded with Gold Jewellery · Bridals Rings · Gents Bands · Floral Design Set · Diamond Clusters · Bracelets · Platinum Heart Set · Platinum Rings · Three Stone Collection – Triplets · Color Jewellery Wear |
GENERAL
INFORMATION
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No. of Employees : |
500 |
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Bankers : |
Seepz Branch, Seepz, Andheri (East), Mumbai-400096, Maharashtra, India |
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Facilities : |
SECURED LOAN (Rs. In millions)
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
B. J. Shah and Associates Chartered Accountants |
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Address : |
7, Someshwar, Garden Lane, Sanghani Estate, Ghatkopar
(West), Mumbai-400086, Maharashtra, India
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Associates: |
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Subsidiaries: |
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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5000000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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4190000 |
Equity Shares |
Rs. 10/- each |
Rs. 41.900 millions |
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FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
41.900 |
41.900 |
41.900 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
705.100 |
827.154 |
825.408 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
747.000 |
869.054 |
867.308 |
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LOAN FUNDS |
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1] Secured Loans |
828.500 |
723.305 |
722.848 |
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2] Unsecured Loans |
256.900 |
62.079 |
24.113 |
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TOTAL BORROWING |
1085.400 |
785.384 |
746.961 |
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DEFERRED TAX LIABILITIES |
0.000 |
17.870 |
17.193 |
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TOTAL |
1832.400 |
1672.308 |
1631.462 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
178.600 |
178.604 |
154.483 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
3.300 |
15.592 |
11.883 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
896.900
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1092.929 |
754.294 |
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Sundry Debtors |
1986.600
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1430.142 |
1356.323 |
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Cash & Bank Balances |
36.500
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124.949 |
78.658 |
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Other Current Assets |
0.000
|
21.813 |
10.393 |
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Loans & Advances |
67.400
|
83.580 |
30.134 |
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Total
Current Assets |
2987.400
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2753.413 |
2229.802 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
1277.700
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1249.023 |
735.492 |
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Provisions |
59.200
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26.278 |
29.212 |
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Total
Current Liabilities |
1336.900
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1275.301 |
764.704 |
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Net Current Assets |
1650.500
|
1478.112 |
1465.098 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
1832.400 |
1672.308 |
1631.464 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
5570.000 |
3394.501 |
4825.828 |
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Other Income |
40.300 |
0.000 |
0.000 |
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Total Income |
5610.300 |
3394.501 |
4825.828 |
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Profit/(Loss) Before Tax |
57.200 |
22.477 |
122.482 |
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Provision for Taxation |
2.200 |
4.301 |
5.565 |
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Profit/(Loss) After Tax |
55.000 |
18.176 |
116.917 |
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Export Value |
NA |
NA |
2683.626 |
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Import Value |
NA |
NA |
1095.870 |
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Expenditures : |
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Raw Material Consumed |
5016.700 |
2879.924 |
4195.046 |
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Power & Fuel |
9.100 |
9.000 |
9.300 |
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Other Manufacturing Expenses |
114.700 |
111.600 |
86.000 |
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Employee Cost |
109.300 |
126.700 |
124.100 |
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Selling and Administrative Expenses |
189.000 |
158.800 |
214.600 |
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Miscellaneous Expenses |
4.500 |
7.500 |
12.500 |
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Interests and Financial Charges |
83.300 |
54.200 |
39.000 |
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Depreciation |
26.500 |
24.300 |
22.800 |
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Other Expenditure |
0.000 |
0.000 |
0.000 |
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Total Expenditure |
5553.100 |
3372.024 |
4703.346 |
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KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
0.98 |
0.53 |
2.42 |
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Net Profit Margin (PBT/Sales) |
(%) |
1.03 |
0.66 |
2.54 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
1.81 |
0.77 |
5.14 |
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Return on Investment (ROI) (PBT/Networth) |
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0.08 |
0.02 |
0.14 |
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Debt Equity Ratio (Total Liability/Networth) |
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3.24 |
2.37 |
1.74 |
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Current Ratio (Current Asset/Current Liability) |
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2.23 |
2.16 |
2.91 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8
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Name of the company |
GOLD STAR
JEWELLERY LIMITED, MUMBAI |
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Presented By |
BANK OF INDIA, SEEPZ BRANCH,
MUMBAI |
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1) Date and description of instrument creating the change |
Agreement of Hypothecation of Plant and Machinery, stocks and Book Debts dated 27.07.2004 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Export Packing Credit Limit – Rs.25.000 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 |
Bank of India, Seepz Branch, Mumbai have sanctioned the packing credit facilities to the company (the borrower) : By hypothecating all tangible movable machinery and plant both present and future whether installed or not and where lying loose or incases at site or in transit or being or upon or about the Company’s godowns at Seepz viz. all types of machines including Automatics and Semi Automatic Diamond Cutting Machines, Setting Machines, dust Collecting Machines, Investment Mixers, Furnaces, Electroplating Machines, Grooving Machines, Gold Carat Testing Machines, Lazor Welding Machines, Tool Room Machines, CAD/CAM Model Making machines, air cleaning machines, air compressors, wax injectors, sand blasting systems, air dryers, dye making machines, electric motors, hot plates, air coolers vulcanizers injection systems, mixing, grinding, melting machines, casting units, jigs, dyes and toos, welding machines, office equipments, Air Conditioners, Furniture and fixtures, computers and computer printers, refrigerators, vehicles and all other types of machines required for manufacturing of plain and studded jewellery as specified in schedule II, Part A of the said Agreement. All tangible movable properties both present and future viz. all stocks of raw materials, stock in process, finished stocks such as gold, silver, diamonds, precious and semi-precious stones, alloys, mounting and samples, findings, rubber moulds, plaster of paris and other raw materials, work-in-process, finished goods, ornaments, jewellery etc. All present and future book debts, outstanding money receivable, claims bills which are now due and owing etc. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
All the hypothecated machinery and plants, hypothecated goods and debts shall be a security by way of first charge in favour of the Bank Rate of interest is payable as per schedule I attached to the said agreement The other terms and conditions are stipulated in the said agreement |
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5) Name and Address and description of the person entitled to the charge. |
Bank of India Seepz Branch, Seepz, Andheri (East), Mumbai-400096 |
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6) Date and brief description of instrument modifying the charge |
Not Applicable |
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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. |
Not Applicable |
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Name of the company |
GOLD STAR
JEWELLERY LIMITED, MUMBAI |
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Presented By |
BANK OF INDIA, SEEPZ BRANCH,
MUMBAI |
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1) Date and description of instrument creating the change |
Memorandum of entry/oral assent dated 01.02.2003 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.75 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 |
Equitable mortgage by deposit of title deeds of the immovable property being superstructure constructed on Plot No.16, 17, 28 and 29 (part) in Seepz, Andheri (East), Mumbai-400096 consisting of Ground floor, first floor and second floor, third floor and fourth floor, totally admeasuring 2930.53 Sq. mts, together with all immovable plant and machinery, erected or installed thereon or permanently fastened to anything attached to earth, both present and future, covering the above said facilities sanctioned as stated against Point No.2. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
As stated in the Memorandum of entry / oral assent dated 01.02.2003 and also as per sanction dated 09.12.2002 and as per bank norms and rules |
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5) Name and Address and description of the person entitled to the charge. |
Bank of India Seepz Branch, Seepz, Andheri (East), Mumbai-400096 |
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6) Date and brief description of instrument modifying the charge |
Not Applicable |
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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. |
Not Applicable |
Fixed Assets:
- Factory Building
- Leasehold Building
- Furniture and Fixture
- Plant and Machinery
- Electrical Fitting
- Computers
- Vehicles
- Office Equipments
- Tools
- Equipments
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.40.05 |
|
UK Pound |
1 |
Rs.78.75 |
|
Euro |
1 |
Rs.59.39 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
9 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
7 |
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--CREDIT LINES |
1~10 |
7 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
54 |
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 |
|