MIRA
INFORM REPORT
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Report Date : |
21.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
GEARS INDIA |
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Registered Office : |
D – 107, Bulandshahar Road, Industrial area, B. S. Road, Ghaziabad,
Uttar Pradesh |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Year of Establishment: |
1970 |
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Legal Form : |
Partnership concern with an unlimited liability of the Partners |
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Line of Business : |
Manufacturer and Exporter of Gears for Cement and Sugar |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 28000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed concern. Trade relations are
fair. Payments are made regularly as
reported. The concern can be considered good for normal business dealings. Mr. S. K. Sharma [Marketing Department] declined to part with other
information. |
INFORMATION PARTED
BY [GENERAL INFORMATION]
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Name : |
Mr. Amit Arora |
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Designation : |
Partner |
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Contact No.: |
91-11-65476741 / 9899024323 |
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Date : |
06.05.2008 |
LOCATIONS
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Registered Office/Factory : |
D – 107, Bulandshahar Road, Industrial area, B. S. Road, Ghaziabad,
Uttar Pradesh, India |
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Tel. No.: |
91-120-2700660 / 2700401 |
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Fax No.: |
91-120-2700401 |
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E-Mail : |
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Website : |
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Area : |
4800 Sq. yards |
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Location : |
Owned |
PARTNERS
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Name : |
Mr. Mohan Lal Arora |
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Designation : |
Partner |
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Date of Birth/Age : |
63 Years |
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Qualification : |
Graduate |
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Experience : |
32 Years |
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Name : |
Mr. Amit Arora |
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Designation : |
Partner |
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Date of Birth/Age : |
31 Years |
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Qualification : |
Mechanical Engineer |
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Experience : |
6 Years |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Exporter of Gears for Cement and Sugar |
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Products : |
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Imports : |
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Products : |
Machinery |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash and Credit |
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Purchasing : |
L/C, Cash and Credit |
PRODUCTION STATUS
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Particulars |
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Actual
Production |
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Gears |
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As per Demand |
GENERAL INFORMATION
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Customers : |
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No. of Employees : |
94 [In Office 14 + In Factory 80] |
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Bankers : |
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Facilities : |
Rs. 5.000 Millions |
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Banking
Relations : |
Satisfactory |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 7.000 Millions |
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Borrowed : |
-- |
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Total : |
Rs. 7.000 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
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Particulars |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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Sales Turnover |
26.500 |
26.200 |
26.000 |
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Profit/Loss for the year |
2.300 |
2.250 |
2.215 |
LOCAL AGENCY
FURTHER INFORMATION
Trade References:
- Saraswati
Sugar Mills, Yamunanagar
- Panipat Sugar
Mills Limited
- Portland
Cements Industry Limited
- J. K. Cement
AS PER WEBSITE DETAILS
PROFILE
Subject has been in the market since the
last 35 years & has been serving industry since then. They specialise in
manufacturing Customized Gears, Precision Gears
& Gear Boxes upto 12000 mm (12 Mts. Diameter) * 75 module.
Their products confirm to the most exacting international quality standard for
Sugar Industry, Mining Industry, Sponge Iron Plants, Paper Industry, Steel
Plants and Thermal Power Plants.
Gears India has successfully completed 35 years of manufacturing Precision
Gears and Gear boxes. Started by a group of qualified technocrats, they have
grown to become one of the India's leading supplier of Open Transmission gears.
Gear (India) is amongst the well known names from India for manufacturing,
exporting and supplying premium quality equipment like gears , foundry products
catering to the need of sugar plants, power plants, steel mills, paper plants.
Capable to manufacture gears upto 12 meters & steel components upto 50 tons
in single peace.
The company follows strict quality management as per international standards
and strive forward to excel in its every sphere of activity. It was formed in
1972 and since then it has achieved many recognition to come to its present
status. It is a professionally managed company believing in providing its
customers products that are high in accuracy and endurance.
Using latest product testing facilities a team of engineers conduct strict
quality checks to ascertain maximum performance under harsh conditions. Besides
strict quality guidelines the company has been also admired for its customer
oriented policies. The company value its customers and that's why it always
strive to maintain highest level of customer satisfaction.
Experienced managerial cadre led by vastly experienced Mr M L Arora, has
ensured the company's steadfast commitment towards persistent quality
standards. The company assures high performance and more durable product range
at affordable prices.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 42.67 |
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UK Pound |
1 |
Rs. 83.41 |
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Euro |
1 |
Rs. 66.39 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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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 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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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 |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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45 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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