MIRA INFORM REPORT

 

 

Report Date :

31.12.2007

 

IDENTIFICATION DETAILS

 

Name :

PRABHA ENGINEERING COMPANY

 

 

Registered Office :

B -17/G/1, Street # 9, Anand Parbat Industrial Area, New Delhi-  110 005

 

 

Country :

India

 

 

Financials (as on) :

31.03.2007

 

 

Date of Incorporation :

1985

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELP12224C

 

 

PAN No.:

[Permanent Account No.]

AABFP1402C

 

 

Legal Form :

Sole Proprietory Concern.

 

.

Line of Business :

Manufacturer and Exporter of Tractor Parts, Truck Part, Replacement Tractor Parts, Heavy Duty Truck Parts, Heavy Tractor Parts, Heavy Duty Tractor Parts, Truck Replacement Parts, Tractor Gears and other light commercial Vehicle 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 8000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well – established and reputed concern having satisfactory track. Proprietor is reported as experienced and respectable businessman. Trade relations are reported as fair. Business is active. Payments are reported as usually correct and as per commitments.

 

The concern can be considered normal for business dealings at usual trade terms and conditions.

 

LOCATIONS

 

Registered Office/Factory  :

B -17/G/1, Street # 9, Anand Parbat Industrial Area, New Delhi-  110 005, India

Tel. No.:

91-11-30928333 / 32928333 / 25439176

Mobile No.:

91-9350835800

Fax No.:

91-11-25439176

E-Mail :

tractorparts@vsnl.net

Website :

http://www.tractorgears.com

Area :

500 sq .fts approximately

Location :

 Owned

 

SOLE PROPRIETOR

 

Name :

Mr. Dinesh Kapur

Designation :

Proprietor

Address :

C -22, Kirti Nagar, New Delhi – 110 015, India

Date of Birth/Age :

52 years

Qualification :

Chartered Accountants 

Experience :

35 years

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Tractor Parts, Truck Part, Replacement Tractor Parts, Heavy Duty Truck Parts, Heavy Tractor Parts, Heavy Duty Tractor Parts, Truck Replacement Parts, Tractor Gears and other light commercial Vehicle Parts.

 

 

Products :

·         Transmission and Industrial Gears

·         Spur Gears, Shaped Gears, Helical Gears, Small Gears and Others Gears

·         Crown Wheel and Pinion, Bevel Gears, Custom Gears and Shafts

·         Axle Shafts, Wheel Shafts, PTO Shafts, Main Shafts

·         Steering Shafts, Custom Gears and Shafts. 

 

 

Exports :

 

Products :

Tractor Parts, Truck Part, Replacement Tractor Parts, Heavy Duty Truck Parts, Heavy Tractor Parts, Heavy Duty Tractor Parts, Truck Replacement Parts, Tractor Gears and all types of Shaft, Axles, Steering Shaft, PTO Shafts and Components Crown Wheels.

Countries :

Sri Lanka, Nepal, Bangladesh, USA, Dubai, Pakistan 

 

 

Terms :

 

Selling :

L/C, Cash, Credit

 

 

Purchasing :

Cash, Credit

 

PRODUCTION STATUS

 

Capacity to increase production by 50%

 

GENERAL INFORMATION

 

Suppliers :

Own manufacturing (purchase of raw material from open market)

 

 

Customers :

Wholesalers

 

 

No. of Employees :

Around 50

 

 

Bankers :

Centurion Bank of Punjab , Karol Bagh Branch, New Delhi – 110 005, India

 

 

Facilities :

C/C, L/C

 

 

Banking Relations :

Satisfactory

 

 

Associates/Subsidiaries :

Nil

 

CAPITAL STRUCTURE

 

Capital Investment :

 

Owned :

Rs. 2.000 millions

Borrowed :

----

Total :

Rs. 2.000 millions

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

 

31.03.2007

31.03.2006

Sales Turnover

 

6.000

8.000

 

Expected Sales (2007-08): Rs.9.000 millions

Has undergone loss in 2007 but not divulged the reason.

 

LOCAL AGENCY FURTHER INFORMATION

 

WEBSITE DETAILS:

Subject is in the business of building Trust and Mutual Profitable Partnerships. Since 1985, they have always focused on expectations and comforts of their customers, while graduating from manufacturing Forgings for Tractor and Automobile to Gears, Gear Shafts, Axle Shafts, Fly Wheel Ring Gears, Steering Shafts, Spindle Arms and host of other Iron and Steel based components for Tractors, Trucks, Jeeps, Cars and Industrial applications.

They are grateful to their privileged customers to help them grow over these years!


“CAN DO” attitude of their committed “Human Resource Pool” makes the intricate process of gear manufacturing enjoyable for them. Complete Customer Satisfaction, their mission, is guaranteed by an optimum blend of technology, equipment and human craftsmanship.

 

High Volumes or Low Volumes, they meet their customer’s requirement of quality product at competitive and workable at their end prices. They offer a vide range of SPUR, HELICAL, SPLINE and WORM Gears and Shafts.

They enjoy developing “Customized Products”.

 

 

 

Main Products are:

They manufacture and export tractor parts, truck part, replacement tractor parts, heavy duty truck parts, heavy tractor parts, heavy duty tractor parts, truck replacement parts, tractor gears and other light commercial vehicle parts. Their products include:-

Their Gears are used to improve the function, versatility, and simplicity of many mechanical processes. Their industry expertise has been responsible for solving various manufacturing and production challenges successfully.

 

Strengths

They develop and innovate new products with specific emphasis on customer satisfaction. They at their manufacturing site, maintain a structured set of general and detailed written procedures, which cover all the recognized elements of a quality assurance system. Their growth philosophy lies in the amalgamation of infrastructure, human recourses, and comfort level of the final consumer while keeping the costs in check. They use their engineering and service experience to provide their customer with fast, friendly service, cost effective solutions and quality parts.

 

Infrastructure

The concern is equipped with state-of-art machines like CNC turning-milling-gear shaping-hobbing- spline cutting- sharing and grinding machines. Meat important, their human resource pool comprises of professionals driven by customer satisfaction.


Product Range:-

 

Transmission and Industrial Gears

Spur Gears | Shaped Gears | Helical Gears | Small Gears

Other Gears

Crown Wheel and Pinion | Bevel Gears | Custom Gears and Shafts

Shafts

Axle Shafts | Wheel Shafts | PTO Shafts | Main Shafts
Steering Shafts | Custom Gears and Shafts

 

 

 

CMT REPORT (Corruption, Money Laundering and 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.39.44

UK Pound

1

Rs.78.73

Euro

1

Rs.57.69

 

 

SCORE and RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

---

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

48

 

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 and 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 and favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

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