MIRA INFORM REPORT

Report Date :

06.06.2008

IDENTIFICATION DETAILS

Name :	SAHAJANAND TECHNOLOGIES PRIVATE LIMITED
Formerly Known As :	SAHAJANAND LASER TECHNOLOGY PRIVATE LIMITED
Registered Office :	401/Gandhi Smruti Parsi Street Sayedpura, Surat – 395003, Gujarat
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	15.03.1993
Com. Reg. No.:	04-19133
CIN No.: [Company Identification No.]	U72900GJ1993PTC019133
IEC No.:	0893003638
TAN No.: [Tax Deduction & Collection Account No.]	SRTS00836D
PAN No.: [Permanent Account No.]	AADCS4343N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Supplier, Trader and Exporter of Diamond cutting laser Machine, laser spot welding Machine, card personalization laser systems, rapid prototyping Machine, laser engraving Machine.

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 1400000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and reputed company having satisfactory track records. Directors are reported as experienced, respectable and resourceful industrialist. Their trade relations are fair. Profit margin is under severe pressure. Payments are usually correct and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions.

LOCATIONS

Registered/ Head Office :	401/Gandhi Smruti Parsi Street Sayedpura, Surat – 395003, Gujarat, India.
Tel. No.:	91-261-2451 451-58
Fax No.:	91-261-2427947
E-Mail :	contact@sahajanand.co.in pvtltd1981@yahoo.co.in
Website:	http://www.sahajanand.co.in
Area :	1050 sq. Mtr.
Location :	Owned
Corporate Office :	48-A, Arvind Estate, B/h. Indica Laboratory, L.B.S. Road, Bapunagar, Ahmedabad - 380 025,Gujarat, India.
Tel. No.:	91-79-22200950, 22201247
Fax No.:	91 - 79 - 22201456
E-Mail :	info@sahajanandlaser.com
Factory 1 :	Plot No. 33, 34, 35, 52, 53, & 54, Surat Special Economics Zone, Sachin, Surat – 395 003, Gujarat, India.
Tel. No.:	91-261-2398463
Fax No.:	91-261-2398331
Area :	6000 sq. Mtr.
Location :	Owned
Factory 2 :	Plot No. 168/7, Dabhel Industrial Cooperative Society Limited, Village, Dabhel, Daman (U. T.)
Tel. No.:	91-260-2240692
Fax No.:	91-260-2240692
Area :	2425 sq. Mtr.
Location :	Owned
Factory 3:	E-30, G. I. D. C., Electronic Estate, Sector – 26, Gandhinagar – 382044 Gujarat, India
Tel. No.:	91-79-23226877/ 23241379-80-81
Fax No.:	91-79-23241465
Factory 4:	Unit - 137 & 138, Plot No : 256, Special Economic Zone, SurSEZ, Surat - 394230
Tel. No.:	91-261-2398411 / 419
Branch :	Surat ::  Sahajanand House, 5, Krishnakunj Soc, Opp. Sadhna School, Varachha Road, Surat, Gujarat, India.
Tel. No.:	91-261-2568447 - 48
Branch :	Mumbai: 8, Orchid plaza, R. T. Roas, B/h, Moviegem Theater, Dahiser (East) Mumbai – 400 061
Tel. No.:	91-22-55765408
Branch :	Sahajanand Laser Technology Ltd Unit 2, Kingsbury Works Estate Off Kingsbury Road kingsbury, London NW9 8UP
Tel. No.:	91-44-208 201 3881
Fax No.:	91-44-208 201 3882
E-Mail :	kanti@sahajanandlaser.com
Branch :	Sahajanand Laser Technology USA Inc. 1501, W Shady Grove Road Grand Prairie TX 75050 DALLAS, TEXAS, USA.
Tel. No.:	001 972 790 7610
Fax No.:	001 972 786 3135
E-Mail :	http://www.sahajanandlaser.com
Branch :	524, Sandhrust Bldg., 3rd Floor, Above Shree Krishna Hotel, Opp. Tiwari Bros., Charni Road, Opera House, Mumbai – 4, INDIA
Tel. No.:	91-22-23890607, 23890608
Fax No.:	91-22-23890609

DIRECTORS

Name :	Mr. Dhirajlal V. Kotadia
Designation :	Director
Address :	43, Narayanmuninagar Society, Nani Ved, Ved Road, Surat – 395003, Gujarat, India.
Date of Birth/Age :	48 Years
Date of Appointment:	15.09.1994
Name :	Mr. Dhirajkumar S. Vasoya
Designation :	Chairman Cum Managing Director
Address :	‘Parishram’, 47, Narmad Nagar, Athwalines, Surat – 395003, Gujarat, India.
Date of Birth/Age :	44 Years
Date of Appointment:	15.09.1994
Name :	Mr. Vallabhbhai N. Kotadia
Designation :	Director
Address :	43, Narayanmuninagar Society, Nani Ved, Ved Road, Surat – 395003, Gujarat, India.
Date of Birth/Age :	69 Years
Date of Appointment:	10.07.2004

KEY EXECUTIVES

Name :	Mrs. V. H. Pandya
Designation :	Company Secretary
Address :	C/2/5, Kumbhnath Society, Maninagar, Ahmedabad - 8
Date of Appointment:	01/05/2003

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2005)

Names of Shareholders	No. of Shares
Vallabhbhai N. Kotadia	2250000
Shardaben D. Kotadia	1999500
Dhirajlal Vallabhbhai Kotadia	250000
Dhirajkumar Savjibhai Vasoya	500500
Total	5000000

(AS ON 30.09.2007)

Category	Percentage
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Supplier, Trader and Exporter of Diamond cutting laser Machine, laser spot welding Machine, card personalization laser systems, rapid prototyping Machine, laser engraving Machine.
Products :	· Laser System for Diamond & Material Processing · Diamond Planner M/c. · Diamond Polishing M/c.
Terms :
Selling :	Credit (30 Days)
Purchasing :	Credit (30 – 60 Days)

PRODUCTION STATUS

Particulars	Installed Capacity	Actual Production
Laser Machines	350 M/c.	123 M/c.
Diamond Planner M/c.	500 M/c.	42 M/c.
Diamond Polishing M/c.	100 M/c.	77 M/c.

GENERAL INFORMATION

Customers :	End users
No. of Employees :	240
Bankers :	· Dena Bank Industrial Finance Branch, Maker Tower ‘E’, 9^th Floor, Cuffe Parade, Mumbai – 400005, India
Facilities :	Credit Limit: Rs. 50.000 Millions

Banking Relations :	Satisfactory
Auditors :
Name :	Surendra Shah and Associates
Address :	4004, Trade House, Ring Road, Surat.
Tel. No.:	91-261-2353774
E-Mail :	Rajeshshah_surat@hotmail.com
Group Companies:	· Sahajanand Vascular Technoventions Private Limited · Nyalkaran Industries Private Limited · SS Processors · SS International · Sahajanand Enterprises
Associates/Subsidiaries :	· Sahajanand Medical Technologies Private Limited. Address - 304, Sahajanand House, Parsi Street, Saiyedpura, Surat – 395 003, Gujarat, India. Line of Business - Manufacturer of Cardiovascular medical stents · Sahajanand Biotech Private Limited Address - Sahajanand House, Parsi Street, Saiyedpura, Surat – 395 003, Gujarat, India. Line of Business - Manufacturer of Herbal Medicines.

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs. 10/- each	Rs. 70.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs. 10/- each	Rs. 50.000 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		50.000	50.000	50.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		308.714	281.283	280.949
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		358.714	331.283	330.949
LOAN FUNDS
1] Secured Loans		53.681	78.904	124.276
2] Unsecured Loans		5.050	0.000	0.000
TOTAL BORROWING		58.731	78.904	124.276
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		417.445	410.188	455.225
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		62.248	57.188	62.429
Capital work-in-progress		0.405	9.388	5.085
INVESTMENT		2.864	2.863	2.865
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	138.919	127.461	150.577
	Sundry Debtors	154.455	132.848	123.731
	Cash & Bank Balances	0.850	0.430	0.543
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	86.052	107.491	132.208
Total Current Assets		380.276	368.230	407.059
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	22.783	27.504	18.703
	Provisions	5.823	0.000	3.540
Total Current Liabilities		28.606	27.504	22.243
Net Current Assets		351.670	340.726	384.816
MISCELLANEOUS EXPENSES		0.258	0.023	0.030
TOTAL		417.445	410.188	455.225

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
Sales Turnover (Including Other Income)		260.217	208.826	217.572
Total Income		260.217	208.826	217.572
Profit/(Loss) Before Tax		28.067	0.812	(41.323)
Provision for Taxation		0.000	0.000	0.000
Profit/(Loss) After Tax		28.067	0.812	(41.323)
Earnings in Foreign Currency :
	Export Earnings	NA	NA	24.675
Total Earnings		NA	NA	24.675
Imports :
	Raw Materials	NA	NA	86.422
Total Imports		NA	NA	86.422
Expenditures :
	Depreciation & Amortization	9.091	9.149	0.000
	Other Expenditure	223.059	198.865	258.424
Total Expenditure		232.150	208.014	258.424

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	10.78	0.38	(18.99)
Net Profit Margin (PBT/Sales)	(%)	10.78	0.38	(18.99)
Return on Total Assets (PBT/Total Assets}	(%)	6.34	0.19	(8.66)
Return on Investment (ROI) (PBT/Networth)		0.07	0.00	(0.12)
Debt Equity Ratio (Total Liability/Networth)		0.23	0.32	0.44
Current Ratio (Current Asset/Current Liability)		13.29	13.38	18.30

LOCAL AGENCY FURTHER INFORMATION

Form 8:

Name of the company

Sahajanand Technologies Private Limited

Presented By

Jointly Company and Charge holder

1) Date and description of instrument creating the change

No Instrument was executed. Charge created on 28.11.2002 by way of equitable mortgage by deposit of title deeds.

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

Rs. 180.000 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

Immovable properties of the company viz., Plot No. 168/7A and168/7, Dabhel Industrial Society, Daman.

All the piece of immovable property known as plot No. 168/7A and 168/7 part consisting of land admeasuring 1225 & 1200 sq.mtrs.; respectively and construction of factory made thereon constituting the land of survey No. 168 of Moje: village; Dabhel ; Situated at village; Dabhel, Taluka : daman, sub district : and Districts : Daman, together with buildings, Structures, erections, plant and machinery attached to the earth or permanently fastened to anything attached to the earth, fixtures, fittings now erected or here after to be erected thereon both present and future.

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

(1) Security to cover principal amount together with interest, costs, charges, expenses etc.

(2) Details of credit facilities:

	(Rs. in Millions)
Cash Credit (Hypothecation of stock and book debts)	90.000
WCDL	90.000
FLC (DA /DP)	(25.000)

With in overall limit of Rs. 180.000 Millions

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

Dena Bank

9^th Floor, Maker Tower ‘E;, Cuffe Parade, Mumbai – 400005, India

6) Date and brief description of instrument modifying the charge

No instrument was executed. Charge created on 27/06/2003 by way of equitable mortgage by deposit 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.

Additional Security provided of the following immovable properties viz.

1. Plot No. 16, Gayatri Industrial Estate, Vasta Devdi Road, Surat and
2. Plot No. 16, Gayatri Industrial Estate, Vasta Devdi Road, Surat

Together with the land, building, structures, erections, plant and machinery attached to the earth or permanently fastened to anything attached to earth, fixtures, fittings now erected or hereafter to be erected thereon both present and future.

Name of the company

Sahajanand Technologies Private Limited

Presented By

Jointly Company & Charge holder

1) Date and description of instrument creating the change

Agreement of Hypothecation (Goods, Book debts & other movable assets to secure multiple facilities) Dated 16/11/2002

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

Rs. 180.000 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

All the stock of raw materials, goods in process and finished good such as Laser Machines, Planner machine etc. consumable stores and spares, packing materials, etc. both present and future now or hereafter brought in to or upon or now or hereafter in course of transit to any godowns, jathas or place whatsoever and whosesoever in the possession or occupation of the company

All the intangible movable properties and assets of whatsoever nature including plant & machinery, tools and accessories, stores, spares relating to the plant & machinery, furniture, articles, office equipments, computers, and things belonging to the company and lying and being at their premises/ factories at Daman and Surat being movable properties and capable of passing by delivery, both present and future, whether installed or not and now lying loose or in cases and now being or at any time brought into or upon or at anytime in course of transit to the premises of the company at Daman and Surat either by way of substitution or in additions or other place whatsoever and whatsoever in the possession or occupation of the company.

All the present and future book debts, outstanding, money, receivable, claims, bills rights to or in movable properties and movable assets and which are now due, owing or payable or belonging to the company or which may at any time hereafter become due, owing, payable or belonging to the company in the course of its business by any person, firm , company or body corporate or by the government Central or state or Indian railways, any government department or office or any municipal or local or public or semi government body or authority or any body corporate or under tacking or project whatever in the public sector.

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

Security to be available as first charge and to cover principal amount together with interest, costs, charges, expenses etc.

Details of credit facilities:

	(Rs. in Millions)
Cash Credit (Hypothecation of stock & book debts)	90.000
WCDL	90.000
FLC (DA /DP)	(25.000)

With in overall limit of Rs. 180.000 Millions

Interest at such rates as fixed by the bank from time to time.

Margin to be obtained as stipulated by the bank from time to time.

Bank to have power of entry, power of appoint receiver, power of sale, etc.

Individual limits within the aggregate amount secured to be decided between the company and bank from time to time.

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

Dena Bank, 9^th Floor, Maker Tower ‘E;, Cuffe Parade, Mumbai – 400 005.

6) Date and brief description of instrument modifying the charge

NA

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.

NA

AS PER WEBSITE:

Under the dynamic and inspirational leadership of Mr. Arvind Patel and its inspirational implementations by Mr. Dinesh Patel. Sahajanand Laser Technology set up its base in Gandhinagar, Gujarat, India in 1992. Making forays in the ‘sunrise’ laser technology it was just a matter of time that domestic leadership was achieved in the field.

Next to follow were a revolution and an area where excellent application that took shape to change the face of Indian diamond industry. It was due to their Arvind Patel’s research and acumen that he was awarded the prestigious Dr. Vikram Sarabhai Young Scientist Award for his invaluable contribution in the Industry Application of Laser Technology, particularly for Diamond industry.

11 years of leadership in the field of Laser Technology application has provided them ample experience to understand and provide the right kind of solutions for their customers. Their Laser Marking Machines and CNC systems for diamond industry are developed and backed by in-house software research and development.

They develop, design and integrate automation with their standard laser system. Their team of experts, proffer customer specific solutions, which are flexible and user friendly. They cost effective, production enhancing and over all increase the efficiency for their customers. They also train their client’s operators and provide adequate spares with efficient after-sales services.

Last year they sold over 20 laser marking systems taking their tally to 50 so far. They have already supplied over 600 systems in the diamond sector similar to Nd: YAG laser marking systems.

They have exported their laser systems and CNC solutions to Russia, Thailand, Sri Lanka and Israel. They look forward to making inroads in other countries within a short time to attain their vision of global leadership.

Their technically qualified manpower is competent enough to provide excellent after-sales services and Annual Maintenance Services to all their customers. They maintain floating stocks of spares as they are aware the industries are in a 24x7x365 operation mode to ensure uninterrupted production for their clients.

Today, Sahajanand Laser Technology is the most experienced, technologically superior organization and having one of the largest installation bases with 80% market share in industrial and CNC solutions.

The Group of Companies:

· Sahajanand Laser Technology

· Sahajanand Software Private Limited (100 % EOU)

· Sahajanand Enterprise

· Shreeji Services

· Sahajanand Technocrats

SAHAJANAND LASER TECHNOLOGY - world’s largest manufacturer of CNC laser systems for diamond processing, is an Indian company located in Gandhinagar (Gujarat) was incorporated in 1992 and now, has become a leader in the field of laser & CNC technology and marching towards global ventured under the innovative ideology of Mr. Arvind Patel and its inspirational implementations by Mr. Dinesh Patel.

ABOUT THE GROUP

"Sahajanand", a group of Companies operating in diversified activities under one trade name of Sahajanand. With its three arms Sahajanand presently operates in three different business areas: Engineering & Laser technology, Medical technology and Biotechnology.

"Sahajanand" was founded by Shri Dhirajlal V. Kotadia in the year 1993 with primary aim to cater Diamond industry with Laser Technology based solutions. With successful establishment as pioneer in providing automated capital equipment for diamond industry in India, Sahajanand developed its range of industrial applications with use of laser of Sahajanand Medical Technologies Private Limited. Sahajanand Medical grab the opportunity to become India's largest manufacturer of cardiovascular medical stents of international quality standard and easy and cheaper availability compared to foreign competitors. The third arm Sahajanand Biotech Private Limited is engaged in the field of research in Biotechnology and herbal medicinal formulations manufacturing.

ABOUT THE COMPANY

Inspired by unique advantages of Laser technology like high productivity, automation worthiness, non-contact possessing, elimination of finishing operations, reduced processing cost Subject was incorporated in 1993 for the purpose of providing hi end capital equipments to diamond industry. It has always been endeavour of the company to harness hi-end technology, to put it to worth while use in many forms. Sahajanand has pursued this endeavour with success till now by way of introducing various hi end engineering products ranging from processing rough diamond to polishing of finished diamond, including diamond planner systems. Sahajanand has always been known for defining products. This has given Sahajanand a unique place as trendsetter in diamond industry. Sahajanand’s market leadership is based not only on providing state of art products, but also diligent customers support and initiative to introduce latest technology to the industry. Starting from laser machine for diamond cutting Sahajanand has successfully presented diamond industry technologically advanced products developed inhouse by its well experienced technical work force and achieved a high growth rate than the industry rate. Sahajanand provided new standard in the diamond industry with a varied range of products like Laser Sawing, Bruiting, Auto-Blocking, Polishing & Planner machines etc; used at different stages of diamond manufacturing process.

Company has come out with various industrial products like Laser Cutting, Welding and Marking machines for different industrial use. Sahajanand caters the Laser cutting requirement of the solar cell manufacturing companies all over India, in furtherance to its commitment.

Success of Sahajanand is revealed by large spread of customers and achievement of customer support. Sahajanand through its dedicated efforts, commitment to quality, customer satisfaction and technical excellence has supported diamond industry in increasing the business manifold during last ten years. The company is a pioneer in India, with a market share of around 80 % of the supply of the aforesaid machines, the rest are either imported, or are manufactured by few other manufacturers, having a very limited manufacturing capacity. Company's products are comparatively cheaper then the imported ones and technology wise they are at par with the imported products. All this has become possible through advance infrastructure in terms of manufacturing facilities and service, teamwork of its multidisciplinary team of Laser Physicists, computer and software engineers, electronics & mechanical engineers and visionary core management team.

Sahajanand has manufacturing units at Special Economic Zone, Sachin and its registered office at Surat and marketing offices at Mumbai. The clientele of Sahajanand is spread all over India.

Sahajanand group is committed to the ongoing development of innovative hi-end technologies and upgrading of current laser systems and devices, for the further advancement of not only the diamond industry but also the other industries that might benefit from revolutionary laser light. They are also committed to bring these technologies within the reach of every Indian engaged in these industries and to save the precious foreign exchange worth millions of dollars for the country. Their motto is “Quality … is remembered even after… price is forgotten”

AWARDS & ACHIEVEMENT:

Year: 2004

Award: Outstanding Business person of the year

Conferred By: Southern Gujarat Chamber of Commerce

Conferred For: Outstanding Business person of the year

Year: 2003

Award: Best Enterpreneur

Conferred By: Federation of Gujarat Industries

Conferred For: For Best Enterpreneur

Year: 2003

Award: Business Person of the year

Conferred By: Gujarat Zone - 8 Award

Conferred For: For Innovation and uniqueness in the business

Year: 2003

Award: Business Person of the year

Conferred By: Surat Jacees Chapter

Conferred For: For Innovation and uniqueness in the business

Year: 2003

Award: Best export in SSI

Conferred By: South Gujarat Chamber of Commerce & Industry

Conferred For: For best export performance in Small Scale Industries

Year: 2002

Award: Samaj Ratna

Conferred By: Sardar Patel Seva Trust

Conferred For: To Shri Dhirajlal Kotadia for his contribution in Diamond & Stent Industry

Year: 2002

Award: Udyog 2002

Conferred By: South Gujarat Chamber of Commerce & Industry

Conferred For: For Best Display to Company

Year: 2001

Award: Udyog Ratan Award

Conferred By: Institute of Economic Studies

Conferred For:To Shri Dhirajlal Kotadia for his contribution in Industry

Year: 2000

Award: Momento of Appreciation

Conferred By: Saurashtra Jaldhara Trust

Conferred For: For the contribution in helping to build the check Dam as part of Sahajaand's social obligation

Year: 2000

Award: Udyog - 2000

Conferred By: South Gujarat Chamber of Commerce & Industry

Conferred For: For Excellence in Presentation

Year: 1997

Award: Dijem-97

Conferred By: South Gujarat Chamber of Commerce & Industry

Conferred For: For Active Participation

Year: 1995

Award: IMTMA Award

Conferred By: Indian Machine Tools Manufacturing Association. Confederation of Indian Industry

Conferred For: For Best Display

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.42.86
UK Pound	1	Rs.83.58
Euro	1	Rs.66.17

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		63

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

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