MIRA INFORM REPORT

Report Date :

14.03.2008

IDENTIFICATION DETAILS

Name :	DHARAMPAL SATYAPAL LIMITED
Registered Office :	11711, S. P. Mukherjee Marg, Delhi 110006
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	11.12.1989
Com. Reg. No.:	038613
CIN No.: [Company Identification No.]	U52110DL1989PLC038613
TAN No.: [Tax Deduction & Collection Account No.]	DELD06425G
PAN No.: [Permanent Account No.]	AAACD0132H
Legal Form :	Subject is a closely held public limited liability company.
Line of Business :	Manufacturer and Exporter of tobacco, pan masala, betalnut spreparatine, spice perfumes, aggarbatties, basmati rice, pepper powder, chili powder, ginger powder, turmeric powder, curry powder, etc.

RATING & COMMENTS

MIRA’s Rating :

Aa

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 15510000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having fine track. Trade relations are fair. Fundamentals are strong and healthy. Payments are reported as usually correct and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions. It can be regarded as a promising business partner in a medium to long run.

LOCATIONS

Registered Office :	11711, S. P. Mukherjee Marg, Delhi 110006, India
Tel. No.:	91-11-23271383/22923783/22944497
Fax No.:	91-11-2328 6335
E-Mail :	companysecretary@dsgroupindia.com
Website :	www.dsgroupindia.com
Corporate Office :	DS Group, A-85, Sector 2, Noida 201301, India
Tel. No.:	91-120-4032200 / 3083333
Fax No.:	91-120-2522592
E-Mail :	ds@dsgroupindia.com
Manufacturing Plants :	Delhi 98, Okhla Industrial Area, Phase – III, New Delhi Noida B-1, B- 19, B- 25 & B-26, Sector – 3, Noida (Gautam Budh Nagar) Uttar Pradesh A-86, Noida (Gautam Budh Nagar) Uttar Pradesh A-41, Sector 4, Noida (Gautam Budh Nagar) Uttar Pradesh
	Canpac Division A-34-35, Sector-60, Noida (Gautam Budh Nagar) Uttar Pradesh
	Barotiwala (Unit I & II, Beverages Division), 1.KM Stone, Baddi Road, Barotiwala (Solan) H.P.
	Kullu Unit II & Tobacco Div. Vill. & P.O. Raison, Kullu Himachal Pradesh, India
	Agartala Shed No.14, Agartala Bishalgarh Road, A. D. Nagar, Arundhoti Nagar Plot No. 3450-3454, Agartala Bishalgarh Road, Agartala, Tripura –West Industrial Estates, Arundhoti Nagar, Agartala, Tripura -West
	Gutkha Division Shed No.1, Industrial Growth Center, Bodhjung Nagar, Khayaspur, Agartala Tripura –West
	Pan Masala Division Shed No.1, Industrial Growth Center, Bodhjung Nagar, Khayaspur, Agartala, Tripura –West
	Beverages Division Industrial Estates, Arundhoti Nagar, Agartala, Tripura- West
	Rubber Division Zone – 1, Khatiyan No. 2Industrial Growth Centre, Bodhjung Nagar, Agartala.
	Guwahati Shed No. 6, 7 & 17, Industrial Estate, Bamuni maidan, Guwahati (Assam) Shed No. 15, 16, 18 & 19, Industrial Estate, Bamuni maidan, Guwahati (Assam) Plot No. OS/2/R/17 and OS/1/2/6, Industrial Estate, Bamuni maidan, Guwahati (Assam) Shed No. 53D, Industrial Estate, Bamuni maidan, Guwahati, (Assam) Plot No. OS/4/R/24, Industrial Estate, Bamuni maidan, Guwahati (Assam) Shed No. 5, Industrial Estate, Bamuni maidan, Guwahati (Assam) Shed No. 39 & 37 A, Industrial Estate, Bamuni maidan, Guwahati (Assam) Village : Bonda, Mauza Beltola, Guwahati (Assam)

DIRECTORS

Name :	Mr. Rajesh Kumar Gupta
Designation :	Director
Address :	A – 16, Sector 26, Noida 201301, Uttar Pradesh, India
Date of Birth/Age :	2607.1964
Date of Appointment :	09.04.2007
Name :	Mr. Atul Jain
Designation :	Director
Address :	W – 102, Greater Kailash, Part I, New Delhi 110048, India
Date of Birth/Age :	20.02.1965
Date of Appointment :	09.04.2007
Name :	Mr. Ravinder Kumar Gupta
Designation :	Director
Address :	E – 1A, Maharani Bagh, New Delhi 110065, India
Date of Birth/Age :	24.06.1954
Date of Appointment :	10.07.2003
Name :	Mr. Rajiv Kumar Gupta
Designation :	Director
Address :	E – 1A, Maharani Bagh, New Delhi 110065, India
Date of Birth/Age :	03.12.1962
Date of Appointment :	11.12.1989
Name :	Mr. Puesh Kumar Gupta
Designation :	Director
Address :	43/1, Rajpur Road, Delhi 110054, India
Date of Birth/Age :	27.09.1968
Date of Appointment :	15.12.1989
Name :	Mr. Satya Narain Gupta
Designation :	Director
Address :	43/1, Rajpur Road, Delhi 110054, India
Date of Birth/Age :	10.11.1935
Date of Appointment :	01.04.2005
Name :	Mr. Rajendra Narain Goela
Designation :	Director
Address :	E-17, Greater Kailash Part I, New Delhi - 110 048
Date of Birth/Age :	29.06.1936
Date of Appointment :	01.04.2005
Name :	Mr. Raj Kumar Kakrania
Designation :	Director
Address :	H – 1593, Chitranjan Park, New Delhi - 110 048
Date of Birth/Age :	24.12.1946
Date of Appointment :	04.09.1998
Name :	Mr. Srikishan Gupta
Designation :	Director
Address :	45/1, Rajpur Road, Delhi 110054, India
Date of Birth/Age :	25.08.1940
Date of Appointment :	10.11.2003
Date of Ceasing:	15.05.2005
Name :	Mr. Gaurav Gupta
Designation :	Director
Address :	43/1, Rajpur Road, Delhi 110054, India
Date of Birth/Age :	30.08.1977
Date of Appointment :	10.07.2003
Name :	Mr. Ritesh Kumar Gupta
Designation :	Director
Address :	E – 1A, Maharani Bagh, New Delhi 110065, India
Date of Birth/Age :	03.09.1982
Date of Appointment :	09.09.2005
Name :	Mr. Yatendra Nath Gupta
Designation :	Director
Address :	Kutcheery Pola, Kannauj, Uttar Pradesh, India
Date of Birth/Age :	01.02.1952
Date of Appointment :	01.01.2005

KEY EXECUTIVES

Name :	Mr. Sanjay Goyal
Designation :	Director
Address :	A 202, DMO Co-operative Society, Sector 62, Noida, Gautam Budh Nagar, Uttar Pradesh, India
Date of Birth/Age :	20.07.1973
Date of Appointment :	01.01.2002

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 15.09.2005

Names of Shareholders	No. of Shares
Rajiv Kumar Gupta	3822177
Satya Narain Gupta	679500
Puesh Kumar Gupta	312585
Suruchi Gupta	135302
Swati Gupta	135302
Master Rohan Gupta	196000
Sunita Gupta	3802677
Rita Kumar	3803629
Rajendra Goel	1014760
Dr. Ved Prakash Gupta	69265
Sri Kishan Gupta	106585
Rachna Gupta	131825
Aruna Gupta	131815
Riti Gupta	135302
Rakesh Gupta	64228
Rajesh Gupta	64217
Ravindra Gupta	3835150
Ajay Gupta	27010
Ritesh Gupta	196000
Raghav Gupta	196000
Ravi Gupta	196000
Vinod Gupta	54000
Amit Goela	63000
Samit Goela	63000
Sudha Gupta	27000
Rita Gupta	27000
Baba Global Limited	500000
Dharampal Premchand Limited	1500000
Equity Share Break-up [As on 31.03.2007]	Percentage of Holding
Directors or relatives of the Directors	98.68
Other top fifty shareholders	1.32
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of tobacco, pan masala, betalnut spreparatine, spice perfumes, aggarbatties, basmati rice, pepper powder, chili powder, ginger powder, turmeric powder, curry powder, etc.

Products :

Item Code No. (ITC Code)	21069020
Product Description	Pan Masala

Item Code No. (ITC Code)	24039930
Product Description	Jarda Scented Tobacco

Item Code No. (ITC Code)	24039920
Product Description	Preparation Containing Tobacco

GENERAL INFORMATION

No. of Employees :	285
Bankers :	Ø State Bank of India, Noida, Uttar Pradesh Ø Jammu and Kashmir Bank P – 2, J. O. P. Plaza, Sector 18, Noida 201301, Uttar Pradesh, India

Banking Relations :	Good
Auditor 1 :
Name :	H. R. Surendra and Company Chartered Accountants
Address :	F – 11B, Sector 27, Noida 201301, Uttar Pradesh, India
Auditor 2 :
Name :	Jain Singhal and Associates Chartered Accountant
Address :	E – 169, Masjid Moth, Greater Kailash III, New Delhi 110048, India
Associates/Subsidiaries :	Kailash Dwellers Private Limited CIN No: U45201DL2005PTC132746 Precision Dwellers Private Limited CIN No.: U45201DL2005PTC132748 Vintage Builders Private Limited CIN No.: U45201DL2005PTC132742 Shape Builders Private Limited CIN No.: U45201DL2005PTC13310 Galaxy Dwellers Private Limited CIN No.: U45201DL2005PTC134989 Abhijay Developers Private Limited CIN No.: U45201DL2005PTC138376 Best Dwellers Private Limited CIN No.: U45201DL2005PTC132749 Sabhrant Estates Private Limited CIN No: U45201DL2005PTC132733 DS Realetors Private Limited CIN No.: U74899DL2005PTC142931 Yukti Construction Private Limited CIN No.: U45201DL2005PTC138345

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
21000000	Equity Shares	Rs. 10/- each	Rs. 210.000 Millions
4000000	Preference Shares	Rs. 10/- each	Rs. 40.000 Millions
	Total		Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
19289309	Equity Shares	Rs. 10/- each	Rs. 192.893 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		192.893	192.893	212.893
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		3686.512	2873.762	2331.741
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3879.405	3066.655	2544.634
LOAN FUNDS
1] Secured Loans		1854.609	1613.385	58.147
2] Unsecured Loans		92.499	39.757	26.037
TOTAL BORROWING		1947.108	1653.142	84.184
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
Deferred Government grants		4265.181	2970.836	1590.599
TOTAL		10091.694	7690.633	4219.417
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		710.124	539.776	469.709
Capital work-in-progress		54.763	1102.667	205.836
INVESTMENT		2447.051	1202.154	595.505
DEFERREX TAX ASSETS		11.232	92.984	84.641
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1120.201	1383.669	1078.774
	Sundry Debtors	143.862	151.441	101.403
	Cash & Bank Balances	2917.046	1887.572	1808.447
	Other Current Assets	44.609	31.997	51.341
	Loans & Advances	4165.362	2509.952	1005.660
Total Current Assets		8391.080	5964.631	4045.625
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	1374.800	1348.067	1376.926
	Provisions	156.850	160.976	58.076
Total Current Liabilities		1531.650	1509.043	1435.002
Net Current Assets		6859.430	4455.588	2610.623
MISCELLANEOUS EXPENSES		0.000	0.439	0.896
Advance on Capital Accounts		9.094	297.025	252.207
TOTAL		10091.694	7690.633	4219.417

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
Sales Turnover		6439.544	5559.997	4933.753
Other Income		391.412	180.581	170.368
Total Income		6830.956	5740.578	5104.121
Profit/(Loss) Before Tax		1095.178	694.214	740.653
Provision for Taxation		194.449	64.215	67.570
Profit/(Loss) After Tax		900.729	629.999	673.083
Expenditures :
	Raw Material Consumed	3438.875	2923.380	2365.406
	Consumption of stores and spare parts	3.985	7.367	0.000
	Salaries, Wages, Bonus, etc.	316.232	284.872	238.087
	Increased or decrease in finished goods	[11.807]	0.000	0.000
	Managerial Remuneration	8.357	13.770	12.217
	Payment to Auditors	1.343	1.610	1.174
	Interest	165.816	50.633	9.987
	Insurance Expenses	35.914	45.886	33.451
	Power & Fuel	76.437	64.465	49.564
	Depreciation & Amortization	110.579	100.270	167.339
	Other Expenditure	1590.047	1561.479	1486.243
Total Expenditure		5735.778	5046.365	4363.468

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	13.18	10.97	13.18
Net Profit Margin (PBT/Sales)	(%)	17.00	12.48	15.01
Return on Total Assets (PBT/Total Assets}	(%)	12.03	10.67	16.40
Return on Investment (ROI) (PBT/Networth)		0.28	0.22	0.29
Debt Equity Ratio (Total Liability/Networth)		0.89	1.03	0.59
Current Ratio (Current Asset/Current Liability)		5.47	3.95	2.81

LOCAL AGENCY FURTHER INFORMATION

The company is in trade terms with the following :

Ø Orient Herbs Limited

Ø Mahesh Wood Products Private Limited

Ø Indcon Boilers Limited

Form 8

Bankers Charges Report as per Registry

This Form is for	Modification of charge
Charge identification number of the charge to be modified	10024445
Corporate identity number of the company	U52110DL1989PLC038613
Name of the company	DHARAMPAL SATYAPAL LIMITED
Address of the registered office or of the principal place of business in India of the company	11711, S. P. Mukherjee Marg, Delhi 110006, India
Type of charge	Corporate Guarantee and Demand Promissory note
Particular of charge holder	Jammu and Kashmir Bank P – 2, J. O. P. Plaza, Sector 18, Noida 201301, Uttar Pradesh, India
Nature of description of the instrument creating or modifying the charge	Temporary overdraft agreement with DP note for sum of Rs. 100.000 Millions, Letter of continuity, letter of waiver of notice and deed of corporate guarantee.
Date of instrument Creating the charge	07.02.2007
Amount secured by the charge	Rs. 100.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	[a] Rate of interest 11% p.a. or such other rate as may be prescribed by the Bank from time to time at its sole discretion, with monthly rest, on the temporary overdraft limit on all advances availed from the bank. [b] Terms of repayment the amount had to be repaid on or before expiry of 90 days from the day of disbursement including interest, cost etc. unless the same is renewed for any further period on such terms and conditions as may be imposed at the time of such renewal by the Bank. [c] Extent and operation of the charge The temporary Overdraft limit is for Rs. 100.000 Millions sanctioned in favour of the borrower company, repayable in a period of 90 days from the date of disbursement, or extended renewed as per terms and conditions at that time.
Short particulars of the property charged	On demand the borrower company will pay a sum of Rs. 100.000 Millions along with interest @ 11% p.a. The Directors have furnished a corporate guarantee to the Bank, to ensure repayment of the credit facility availed and the bank shall be free to invoke and the borrower undertake to repay the loan amount together with the interest and other charges, secured under the said agreement.
Date of latest modification prior to the present modification	NA
Particulars of the present modification	Other terms and conditions would remain the same, except that the rate of interest had reduced to 11% per annum on the amount of the Temporary overdraft limit on all advances availed from time to time.

AS PER WEBSITE DETAILS:

PROFILE

Dharampal Satyapal Group (DS Group) is more than Rs. 12000 Millions diversified conglomerate, which is committed towards high quality products & credited with several innovations over last seven decades. A value-driven corporate, DS Group has further consolidated its position in the last five years through successful forays into diversified sectors like FMCG, Packaging, Hospitality, Rubber thread and other businesses. Some of the popular brands owned by the Group today are – Catch Spring water, Catch flavoured water, Catch ready-to-eat snacks, Catch Spices, Pass Pass, Rajnigandha- a non tobacco Pan Masala, Baba, Tulsi and Rashmi.

Founded in 1929, DS Group has maintained its market leadership in the chewing tobacco segment. Rajnigandha, the world’s largest selling premium pan masala, is one of the most popular brands of DS Group. Its excellent taste and quality has made it the choice of millions of Pan Masala connoisseurs around the world. The Group forayed into food products in 1987 and made a beginning with Catch pepper and salt in a revolutionary tabletop rotatory dispenser. This was followed by an array of spices and seasoning under the same brand name.  The Group is also credited with the launch of the nation’s first ever natural spring water – Catch Natural Spring Water bottled at the source in Himalayas followed by the launch of Catch Club Soda, Catch Tonic water and the very popular Catch spring range. ‘Pass Pass’ - an all natural mouth freshener is another interesting innovation that caught the imagination of the entire nation to become a multi-crore brand within just a year of its launch. The brand is constantly expanding with newer product variants. BABA Elaichi & Supari - in line with the BABA heritage of excellence are 100% natural   mouth fresheners assuring long lasting refreshing experience.

DS Group’s new Food & Beverages production Unit at Guwahati is an addition to its already successful business conglomerate. To further strengthen its strong hold in the industry, the unit is a crucial step forward to its strive for expansion.

The group has also ventured into a rapidly growing hospitality sector with extensive plans of launching five star properties in the larger cities and boutique & heritage properties at tourist destinations.

The first of the many properties being set up by DS Group, Manu Maharani is a super deluxe property in Nainital promising unmatched hospitality to the guests of this beautiful mountains retreat with the blend of action and relaxation that suits all moods. This hotel epitomizes impeccable service and facilities.

Thereafter, the Group acquired the Airport Hotel at Kolkata. The hotel is currently being revamped and renovated and will soon emerge as an International standard Five Star Hotel. The hotel has plans to have a large Convention Center & Banqueting facilities, in addition to a sprawling Commercial area of over 3,00,000 sq.ft.  The project is likely to be completed by the end of 2008.The hotel will be managed by one of the reputed International Hotel chains.

The Group has also signed a MOU with Guwahati Municipal Development Authority (GMDA) to set up the first five star hotel, of the North East, in Guwahati. In addition to the above two ventures, land has been acquired in cities like Jaipur, Udaipur, Ranthambore, Shimla, Mussorie, Corbett Park, Manali & Goa with plans to set up hotels & resorts which will either be managed by the group or by renowned International players in the respective fields. The planning and designing of these hotel projects are underway.

With a boom in tourism sector, the group is all set to emerge as one of the leading players in the hospitality segment.

Packaging is another area of expansion for the Group. DS Canpac Limited, an eco friendly revolutionary packaging technology, was launched in India in association with Canpac – a leading Switzerland based packaging major. A state-of-the-art plant at Noida offers packaging solutions to other FMCG marketers as well as exporters of food products.  The group has also commissioned an ultra modern Rs. 60 crores Flexible Packaging Unit in Bonda, Assam with an installed capacity of 400MT per month. The flexible packaging unit is expected to largely benefit the growing tea industry in the state of Assam as well as other consumer product Industries present in North East.

A heat resistant rubber thread plant in Agartala under the brand name Unitex has also started production in August 2006. Latex rubber threads are made from natural rubber applying the most sophisticated European technology. The beauty of this rubber is that it can be extruded and hence can be stretched to more than seven times the original length. Their product quality caters to the complete satisfaction of their customers through continuous improvement and selection of right technology & right quality.

This unit is a major employment generator in the region. The company aspires to become an important player in the country in this segment with a total installed capacity of 20,000 MT annually. This unit largely services the garment industry and the export market of Bangladesh and other indigenous garment manufacturers. A mega Steel Plant manufacturing Cold rolled sheets, CRCA and galvanized sheets in Agartala is also being set up and the unit would be ready to start commercial production in 2008.

The group has manufacturing units in Noida, Delhi, Barotiwala in H.P, Kullu, Assam and Tripura. It also has a widespread distribution network supported by dealers and retailers. Apart from its offices in Bombay, Ahmedabad, Jaipur, Indore and Bhubaneshwar, the group has representatives in Europe, the Middle East, U.S. Australia and South East Asia.

This remarkable growth and diversification has been on account of emphasis on quality at all levels. Every stage from procurement of raw materials to the finished product is monitored with utmost care and attention. Well-equipped and sophisticated laboratory tests ensure superior quality of the products. The DSL unit of the DS Group is the only unit in the trade to be awarded the prestigious ISO 9001: 2000 Certification.

The group constantly leverages its strength in its marketing adeptness through dealer network expansion, up gradation of production facilities and bringing greater consumer orientation, while maintaining its commitments to high quality, innovation and consumer value. DS Group will also be committed to maintaining high standards in all its diversification endeavours.

PRESS RELEASE 

DS Group announces Catch’s  food production unit at Guwahati

First food production unit at Guwahati for CATCH

DS Group the Rs.12000 Millions corporate conglomerate, announces its first food production unit at Guwahati under the flagship brand Catch. The new unit is scheduled to be operational by June end 2007. With its view to capture bigger share in the spice market D S Group has come up with a new manufacturing plant to explore new and better opportunities, for their diversified product range in the food segment. The new manufacturing unit will, initiate the production of products like catch’s jaljeera, and gradually expand the production to other products.

Catch the umbrella brand for varied diversified products such as spices, beverages, snacks and gold and silver foils has become a benchmark for complete consumer satisfaction.

Catch Spices is India’s foremost spices brand known for its matchless product quality and innovative approach. Catch spices ground using the unique state-of-the-art Low Temperature Grinding (LTG) technology, which prevents the evaporation of volatile & delicate oils from spices. Catch Spices thus retain the original aroma and wholesome flavour of authentic spices. The complete assortment comprises of a variety of salt and pepper sprinklers and a diverse range of whole, ground and blended spices. Catch Spices are packed in food grade metal-lined cartons, flexible laminates and convenient composite cans available in a variety of pack sizes.

Catch Snacks another exciting range has splendid products such as Pistachios, Cashews, Green Grams, Green peas and especially imported Jumbo Corn – which is retailed in two exciting spicy blends. The premium range comprises of top of the line world-class products Catch Snacks are packed in special composite cans that preserve their freshness and taste.

The group is credited with the launch of the India’s first ever-natural spring water – Catch Natural Spring Water bottled at the source in Himalayas, followed by the launch of Catch Club Soda, Catch Tonic water and the very popular Catch spring range.

Mr. P. K. Gupta Executive Director of DS Group said “Catch is today a reliable source of supply, meeting the rigorous quality standards set by India and the countries abroad. Thus DS Group is rigorously working towards its expansion plans and the new unit is a step forward in the same direction”

Dharampal Satyapal Group (DS Group) is India’s leading diversified conglomerate renowned for its commitment towards innovating premium quality products and services. The Rs. 1200 crores group has maintained its market leadership over the years. DS group further consolidated its position in the last five years through successful forays into sectors as diversified as FMCG, Packaging, Hospitality, Rubber and Education besides Manufacturing. DS Group is a dominant player in all the sectors in which it operates.

Group’s remarkable growth and diversification has been achieved on account of emphasis on quality at all levels. Every stage from procurement of raw materials to the finished product is monitored with utmost care and attention. Well-equipped and sophisticated laboratory tests ensure superior quality of the products. The DSL unit of the DS Group is the only unit in this trade to be awarded the prestigious ISO 9001: 2000 Certification.

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. 40.44
UK Pound	1	Rs. 82.06
Euro	1	Rs. 62.90

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	9
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	9
--LEVERAGE	1~10	9
--RESERVES	1~10	9
--CREDIT LINES	1~10	9
--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	YES
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		76

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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