MIRA
INFORM REPORT
|
Report Date : |
01.07.2008 |
IDENTIFICATION
DETAILS
|
Name : |
SPELL FASHIONS PRIVATE LIMITED |
|
|
|
|
Registered Office : |
World Trade Centre, 14/1 Ezra Street, Kolkata 700001, West Bengal |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as on) : |
31.03.2007 |
|
|
|
|
Date of Incorporation : |
30.09.2005 |
|
|
|
|
Com. Reg. No.: |
21-105698 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U18109WB2005PTC105698 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CALS18739A |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAKCS2192N |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturer and Exporter of Men’s Shirt |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 15800 |
|
|
|
|
Status : |
Project under Implementation |
|
|
|
|
Payment Behaviour : |
Usually correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a new project and setting up a manufacturing plant. The promoters are reported as experienced
and respectable businessmen. Trade
relations are fair. Payments are
reported as usually made as per commitments. The company can be considered for small to mediocre business dealings
initially. |
INFORMATION PARTED
BY
|
Name : |
Mr. Rajesh Punnsari |
|
Designation : |
Export Manager |
|
Contact No.: |
91-9830084594 |
|
Date : |
27.06.20008 |
LOCATIONS
|
Registered Office : |
World Trade Centre, 14/1 Ezra Street, Kolkata 700001, West Bengal,
India |
|
Tel. No.: |
91-33-22358211 |
|
Fax No.: |
91-33-22215653 |
|
E-Mail : |
|
|
|
|
|
Branch: |
Located at Mumbai and Delhi |
DIRECTORS
|
Name : |
Mr. Shankar Lal Shroff |
|
Designation : |
Director |
|
Address : |
18, New Road, Alipore, Kolkata 700027, West Bengal, India |
|
Date of Birth/Age : |
11.08.1936 |
|
Date of Appointment : |
30.09.2005 |
|
|
|
|
Name : |
Mr. Sanjiv Shroff |
|
Designation : |
Director |
|
Address : |
18, New Road, Alipore, Kolkata 700027, West Bengal, India |
|
Date of Birth/Age : |
17.05.1961 |
|
Date of Appointment : |
30.09.2005 |
|
|
|
|
Name : |
Mr. Ram Niwas Sharma |
|
Designation : |
Director |
|
Address : |
205-B, Circle View Apartment, Sukhadiya Circle, Udaipur 313001,
Rajasthan, India |
|
Date of Birth/Age : |
29.12.1947 |
|
Date of Appointment : |
18.04.2008 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
[As on 31.03.2007]
|
Names of Shareholders |
|
No. of Shares |
|
Sanjiv Shroff |
|
50000 |
|
Ramgopal Rajpuria |
|
80000 |
|
Bimla Devi Shroff |
|
187500 |
|
Total |
|
317500 |
|
|
|
|
|
List of
Allottees |
|
|
|
Ram Gopal Rajpuria |
|
80000 |
|
Sanjiv Shroff |
|
40000 |
|
Bimla Devi Shroff |
|
177500 |
|
Vijay Kumar Kejriwal |
|
500 |
|
Mahesh Kumar Gupta |
|
7500 |
|
Manisha Gupta |
|
12500 |
|
Mahesh Kumar Rahul Kumar represented by Mahesh Kumar Gupta as Karta |
|
10000 |
|
Harsh Vardhan Sonthalia |
|
100000 |
|
Sunita Sonthalia |
|
50000 |
|
Sanjiv Shroff |
|
102000 |
|
Suman Jain |
|
20000 |
|
Modern Fibotex India Limited |
|
240000 |
|
JDM Financial Services Limited
|
|
60000 |
|
KLG Orchards and Resorts Private Limited |
|
80000 |
|
|
|
|
|
Equity Share
Break-up [As on 31.03.2007] |
|
Percentage of
Holding |
|
Directors or relatives of the Directors |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Men’s Shirt |
|
|
|
|
Exports : |
|
|
Countries : |
|
|
|
|
|
Imports : |
|
|
Products : |
Fabric |
|
Countries : |
Europe |
|
|
|
|
Terms : |
|
|
Selling : |
L/C |
|
|
|
|
Purchasing : |
Credit [30 days] |
GENERAL
INFORMATION
|
Customers : |
|
|
|
|
|
No. of Employees : |
70 [In Office 20 + In Factory 50] |
|
|
|
|
Bankers : |
Andhra Bank |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
G. P. Kejriwal and Associates Chartered Accountants |
|
Address : |
5, Clive Row, Room No. 30, Kolkata 700001, West Bengal, India |
|
|
|
|
Associates/Subsidiaries : |
|
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1000000 |
Equity Shares |
Rs. 10/- each |
Rs. 10.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
317500 |
Equity Shares |
Rs. 10/-
each |
Rs. 3.175
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 |
|
0.200 |
0.200 |
|
|
2] Share Application Money |
|
2.975 |
0.000 |
|
|
3] Reserves & Surplus |
|
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
|
0.000 |
[0.003] |
|
|
NETWORTH |
|
3.175 |
0.197 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
0.000 |
0.000 |
|
|
2] Unsecured Loans |
|
0.061 |
0.001 |
|
|
TOTAL BORROWING |
|
0.061 |
0.001 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
3.236 |
0.198 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
0.000 |
0.022 |
|
|
Capital work-in-progress |
|
3.560 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
0.004 |
0.000 |
|
|
DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
0.000 |
0.000 |
|
|
Sundry Debtors |
|
0.000 |
0.000 |
|
|
Cash & Bank Balances |
|
0.430 |
0.007 |
|
|
Other Current Assets |
|
0.000 |
0.000 |
|
|
Loans & Advances |
|
0.174 |
0.000 |
|
Total
Current Assets |
|
0.604 |
0.007 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
|
1.105 |
0.004 |
|
|
Provisions |
|
0.000 |
0.000 |
|
Total
Current Liabilities |
|
1.105 |
0.004 |
|
|
Net Current Assets |
|
0.501 |
0.003 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.173 |
0.173 |
|
|
|
|
|
|
|
|
TOTAL |
|
3.236 |
0.198 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
|
|
Sales Turnover |
|
NA |
NA |
|
|
Other Income |
|
NA |
NA |
|
|
Total Income |
|
NA |
NA |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
|
NA |
[0.003] |
|
|
Provision for Taxation |
|
NA |
0.000 |
|
|
Profit/(Loss) After Tax |
|
NA |
[0.003] |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Capital Work in progress |
|
|
|
|
|
- Building under construction |
|
3.059 |
|
|
|
- Building Material at site |
|
0.284 |
0.003 |
|
|
- Project Development Expenditure |
|
0.217 |
|
|
Total Expenditure |
|
3.560 |
0.003 |
|
|
|
Project Development Expenditure Details |
|
31.03.2007 |
|
|
|
|
|
|
|
Land Rent |
|
0.000 |
|
|
Lease Rent |
|
0.060 |
|
|
Rates and Taxes |
|
0.007 |
|
|
Legal and Professional Charges |
|
0.024 |
|
|
Payment to Auditors |
|
0.020 |
|
|
Security Service charges |
|
0.016 |
|
|
Puja Expenses |
|
0.045 |
|
|
Miscellaneous Expenses |
|
0.018 |
|
|
Interest |
|
0.001 |
|
|
Project Expenses |
|
0.022 |
|
|
Profit and Loss A/C |
|
0.003 |
|
|
Fringe Benefit Tax |
|
0.000 |
|
Total Expenditure |
|
0.216 |
|
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2007 |
31.03.2006 |
|
Return on Investment (ROI) (PBT/Networth) |
|
|
NA |
14.80 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
|
0.37 |
0.02 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
0.55 |
1.75 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8
|
This form is for |
Creation of
charge |
|
Corporate
identity number of the company |
U18109WB2005PTC105698 |
|
Name of the
company |
SPELL FASHIONS
PRIVATE LIMITED |
|
Address of the registered
office or of the principal place of
business in India of the company |
World Trade Centre, 14/1 Ezra Street, Kolkata 700001, West Bengal,
India |
|
Type of charge |
|
|
Particular of charge
holder |
Industrial
Development Bank of India Limited IDBI Tower, WTC
Complex, Cuffe Parade, Mumbai 400005, Maharashtra, India |
|
Nature of
description of the instrument creating or modifying the charge |
Loan cum
hypothecation agreement dated 22.04.2008 |
|
Date of
instrument Creating the charge |
22.04.2008 |
|
Amount secured by
the charge |
Rs. 27.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest BPLR + 0.5% Benchmark
Prime Lending Rate] the rate of interest would be subject to reset depending
on charge on BPLR. Interest on term
loan under TUFS shall be payable on first day of every month commencing from
first date of disbursement. All other
terms and conditions are as contained in the loan cum hypothecation agreement
dated 22.04.2008. Terms of
Repayment The term loan of
Rs. 14.000 Millions under TUFS will be repayable in 96 monthly installments
including 12 month as moratorium commencing from the date of first
disbursement. All other terms and
conditions are as contained in the loan cum hypothecation agreement dated
22.04.2008. Margin 10% to 25%. All other terms and conditions are as
contained in the loan cum hypothecation agreement dated 22.04.2008. Extent and
Operation of the charge The charge on the
movable properties in favour of IDBI shall rank as stated in the Loan cum
hypothecation Agreement dated 22.04.2008.
The hypothecation shall be a continuing security till such time the
loan together with interest and all other monies payable by the company in
terms of loan cum hypothecation agreement dated 22.04.2008 is fully repaid by
the company to IDBI. Others All other terms and
conditions are as contained in the loan cum hypothecation agreement dated
22.04.2008. |
|
Short particulars
of the property charged |
The whole of the
movable properties of the company including raw materials, stock of goods,
book debts, consumable stores etc. together with the buildings and other
structures movable plant and machinery etc. and other movables both present
and future more particularly loan cum hypothecation agreement dated
22.04.2008. |
CMT REPORT (Corruption,
Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 42.95 |
|
UK Pound |
1 |
Rs. 85.62 |
|
Euro |
1 |
Rs. 67.81 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
-- |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
- |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
26 |
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 |
|