MIRA INFORM REPORT

Report Date :

08.04.2011

IDENTIFICATION DETAILS

Name :	L. D. CREATIONS

Registered Office :	Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon

Country :	Hong Kong

Date of Incorporation :	25.03.2006

Com. Reg. No.:	36669282-000-03

Legal Form :	Sole Proprietorship

Line of Business :	Importer and Exporter of all kinds of diamonds and jewellery products, emerald, etc

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Small Company
Payment Behaviour :	Regular
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 31, 2010

Country Name

Previous Rating

(30.09.2010)

Current Rating

(31.12.2010)

Hong Kong

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Company name

L. D. CREATIONS

Company ADDRESS

Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

PHONE: 2365 1223, 2311 9628

FAX: 2311 4498

E-MAIL: komal@komalgems.com

MANAGEMENT

Manager: Mr. Rakesh Girdharlal Gajera

SUMMARY

Establishment: 25th March, 2006.

Organization: Sole Proprietorship.

Capital: Not disclosed.

Business Category: Diamond Trader.

Employees: 8. (Including affiliates)

Main Dealing Banker: Wing Lung Bank Ltd., Hong Kong.

Banking Relation: Satisfactory.

Company ADDRESS

Head Office:-

Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

Affiliated Companies:-

Cygnus Jewelry Inc., USA.

Komal Gems N.V., Belgium.

Komal Gems, Hong Kong. (Same address)

Laxmi Dia Jewels Pvt. Ltd., India.

Laxmi Diamond (HK) Ltd., Hong Kong. (Same address)

Laxmi Diamond (Shanghai) Ltd., China.

Laxmi Diamond Pvt. Ltd., India.

Laxmi Jewel Pvt. Ltd., India.

Mili Star (N.Y.) Inc., USA.

Mili Star Co. Ltd., Thailand.

BUSINESS REGISTRATION NUMBER

36669282-000-03

MANAGEMENT

Manager: Mr. Rakesh Girdharlal Gajera

SOLE PROPRIETOR

Name: Mr. Rakesh Girdharlal GAJERA

Residential Address: Flat 8C, 8/F., Tower 12A, Laguna Verde, 8 Laguna Verde Avenue, Hunghom, Kowloon,

Hong Kong.

HISTORY

The subject was established on 25th March, 2006 as a sole proprietorship concern owned by Mr. Neelang Arvind Popat under the Hong Kong Business Registration Regulations.

The following table shows the changes of the partners:-

Name	Incoming Date	Outgoing Date
Neelang Arvind Popat	25-03-2006	01-06-2008
Vipulkumar Kesubhai Boghani	28-02-2007	19-06-2008
Rakesh Girdharlal gajera	01-06-2008	-

Initially the subject was located at Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong, moved to Flat F, 14/F., Union Mansion, 33-35 Chatham Road, Tsimshatsui, Kowloon, Hong Kong in October 2006; and further moved back to Guardforce Centre in June 2008.

Apart from these, neither material change nor amendment has been ever traced and noted.

OPERATIONS

Activities: Importer and Exporter.

Lines: All kinds of diamonds and jewellery products, emerald, etc.

Employees: 8. (Including affiliates)

Commodities Imported: India, Belgium, Israel, etc.

Markets: Japan, Thailand, other Asian countries, etc.

Terms/Sales: L/C, T/T, etc.

Terms/Buying: L/C, T/T, D/P, etc.

FINANCIAL INFORMATION

Capital: Not disclosed.

Profit or Loss: Making a small profit every year.

Condition: Business is active and steady.

Facilities: Making active use of general banking facilities.

Payment: Met trade commitments as required.

Commercial Morality: Satisfactory.

Bankers:-

Wing Lung Bank Ltd., Hong Kong.

Antwerpse Diamant Bank NV (also known as Antwerp Diamond Bank NV), Hong Kong Branch.

Standing: Small.

GENERAL

L. D. Creations is a sole proprietorship owned by Mr. Rakesh Girdharlal Gajera who is an Indian. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. Gajera is the manager of the subject.

As a diamond trader, the subject has got affiliated companies Laxmi Diamond (HK) Ltd. [Laxmi Diamond] and Komal Gems located at its operating address.

Komal Gems is a partnership jointly owned by Mr. Vipulkumar Kesubhai Boghani and Gajera. Mr. Vipulkumar Kesubhai Boghani is also the director of Laxmi Diamond.

The subject also has got another affiliated company Komal Gems N.V. [Komal] which is a Belgium-based firm. Komal is a manufacturer and wholesaler of diamonds and gems. Komal is a subsidiary of Lamxi Diamond. It is one of the largest diamond wholesalers in Southeast Asia.

Having more than 30 years experience in manufacturing diamonds products, Laxmi Diamond is also one of the largest diamond manufacturing companies in India. Laxmi Diamond become a sightholder of the Diamond Trading Company [DTC] of India in 1995.

Komal is specialised in manufacturing star and melee from white to “TTLB”. It also produces a wide range of diamond in round, princess cut, taper and marquise. Possessing substantial stocks, Komal is able to supply customers with diamonds in large quantities on diamonds. The major markets of Komal are the United States, China, Singapore, Thailand, the Philippines, Taiwan, Belgium, Japan and Europe. The subject also has had the same markets. Komal is also trading in rough diamonds. It is a diamond importer while Laxmi Diamond is an exporter.

Besides the subject, Laxmi Diamond has got affiliated companies in India, Belgium, China, Thailand and the United States.

Laxmi Diamond has had three jewellery brands: “Cygnus” in India, “Noor” in the United States and a branded diamond “Gabrielle” also in the United States.

Currently, the Chairman of Laxmi Diamond Group is Mr. Vasant Gajera.

The subject is fully supported by Laxmi Diamond and the Gajera family. Overall business is improving and satisfactory.

On the whole, as the history of the subject in Hong Kong is over five years, consider it good for normal business engagements.

COURT CASES: None per our.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.22
UK Pound	1	Rs.71.97
Euro	1	Rs.63.23

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	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

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%)

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