MIRA INFORM REPORT

Report Date :

08.04.2011

Note: The 2010 and 2009 Financial Details (PDF File) are not available.

IDENTIFICATION DETAILS

Name :	VEENITA ENTERPRISES PRIVATE LIMITED
Registered Office :	Plot No.512/10, Road No.14, Phase – II, Kathwada GIDC, Ahmedabad-382430, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	12.04.2006
Com. Reg. No.:	04-48121
CIN No.: [Company Identification No.]	U51100GJ2006PTC048121
TAN No.: [Tax Deduction & Collection Account No.]	AHMV02659G
PAN No.: [Permanent Account No.]	AACCV2331G
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture of Aluminium Wire Rod, Shots, Ingots, Cubes, Powder and Copper Scrap.

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 130000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered for normal business dealings at usual trade terms and conditions.

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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Mr. Rahul Kalya
Designation :	Director
Contact No.:	91-9913603606
Date :	07.04.2011

LOCATIONS

Registered Office/ Factory :	Plot No.512/10, Road No.14, Phase – II, Kathwada GIDC, Ahmedabad-382430, Gujarat, India
Tel. No.:	91-79-22901118/ 22890106
Mobile No.:	91-9898959111 (Mr. Mahendra Raj Purohit)
Fax No.:	91-79-22890859
E-Mail :	mahen@bmj.co.in mahen_raj@hotmail.com rinkesh_1983@yahoo.co.in rskalya@yahoo.o.in mahenpurohit@hotmail.com
Website :	http://www.bmj.co.in
Area :	3500 sq. mtr.
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Mahendra Raj Purohit
Designation :	Director
Address :	3 Subhash Society, Jain Upashray Lane, Commerce Six Road, Navrangpura, Ahmedabad – 380009, Gujarat, India
Date of Birth/Age :	19.07.1973
Qualification :	MBA
Date of Appointment :	12.0.4.2006
Email :	Tej-us Infotech Private Limited 04-37622
Name :	Mr. Kailash Chandra Kalya
Designation :	Director
Address :	A/1, Shyam Tenament, Chhotalalni Chali, Udhav, Ahmedabad – 382415, Gujarat, India
Date of Birth/Age :	15.07.1957
Qualification :	Graduate
Date of Appointment :	12.0.4.2006
Proprietorship Firm:	· Veenita Enterprises 512/10, Road No14, GIDC, Kathwasa, Ahmedabad – 382430, Gujarat, India

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 27.08.2007

Names of Shareholders	No. of Shares
Bhavsar Trading Company	5000
Kamaljit P. Chaudhary	5000
Naresh Trading Company	5000
Ramlalit S. Sharma	5000
Raviraj International	5000
Shetal Sureshbhai shah	5000
Sarita Textile	5000
Sun Traders	5000
Vishwanath R. Sharma	5000
Kilolini B. Patel	30000
Total	75000

As on 25.03.2009

Names of Allotment	No. of Shares Allotted
Chaturbhai Gordhanbhai Patel	35000
Total	35000

As on 31.03.2009

Names of Allotment	No. of Shares Allotted
Chandrakant Vrajlal Solanki	10000
Hitendra Vrajlal Solanki	15000
Parshwanath Sales Limited	30000
Total	55000

As on 30.09.2009

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacture of Aluminium Wire Rod, Shots, Ingots, Cubes, Powder and Copper Scrap.
Products :	· Aluminium Wire Rod · Shots · Ingots · Cubes · Powder · Copper Scrap
Imports :
Products :	Materials
Countries :	Germany France Middle East
Terms :
Selling :	L/C / Cash / Credit
Purchasing :	L/C / Cash / Credit

GENERAL INFORMATION

Customers :

Manufacturer, End Users and OEM’s

No. of Employees :

55 (Approximately)

Bankers :

· State Bank of India, SPL Commercial Branch, Gandhigram, Opposite Gandhigram Railway Station, Ahmedabad – 380009, Gujarat, India

· Axis Bank Limited, Trishul, 3^rd Floor, Opposite Samartheshwar Temple, Law Garden, Ellisbridge, Ahmedabad – 380006, Gujarat, India

· Axis Bank Limited, Mani Nagar Branch, India

Facilities :

Secured Loans	31.03.2008 (Rs. In Millions)
State Bank of India	7.574
Cholamandlam Investment and Finance Company Limited (Secured against the hypothecation of Eicher Tempo)	0.258
Total	7.832
Unsecured Loans	31.03.2008 (Rs. In Millions)
Inter Corporate Deposit	0.000
Loans from Others	28.268
Total	28.268

Banking Relations :	--
Auditors :
Name :	Raman Jain and Company Chartered Accountant
Address :	B-31, Ghanshyam Avenue, Opposite C. U. Shah Collage, Navjivan Press Road, Ahmedabad – 380014, Gujarat, India
Associates/Subsidiaries :	· BMJ Cables Limited Address: 562, Kathwada GIDC, Ahmedabad, Gujarat, India Line of Business : Manufacturer of Aluminium Scrap · Riya International – Ahmedabad · Ramdev Enterprises – Ahmedabad

CAPITAL STRUCTURE

AS ON 30.09.2009

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
260970	Equity Shares	Rs.10/- each	Rs.2.610 Millions

AS ON 31.03.2010

Authorised Capital – Not Available

Issued, Subscribed & Paid-up Capital – Rs.3.060 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		3.060	2.610	1.710
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		31.922	25.895	16.624
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		34.982	28.505	18.334
LOAN FUNDS
1] Secured Loans		32.318	21.782	7.832
2] Unsecured Loans		13.695	20.835	28.268
TOTAL BORROWING		46.013	42.617	36.100
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		80.995	71.122	54.434
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.928	0.919	0.572
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	12.138	7.349	8.083
	Sundry Debtors	59.133	63.673	47.138
	Cash & Bank Balances	12.918	1.379	1.801
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	26.199	30.848	28.881
Total Current Assets		110.388	103.249	85.903
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors			26.423
	Others Liabilities	30.243	31.692	4.504
	Provisions	1.360	1.671	1.162
Total Current Liabilities		31.603	33.363	32.089
Net Current Assets		78.785	69.886	53.814
MISCELLANEOUS EXPENSES		0.282	0.317	0.048
TOTAL		80.995	71.122	54.434

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Sales Turnover		223.313	197.615	143.924
Other Income		0.807	0.016	0.031
Total Income		224.120	197.631	143.955
Profit/(Loss) Before Tax		2.924	1.757	2.299
Provision for Taxation		0.947	0.586	0.718
Profit/(Loss) After Tax		1.977	1.171	1.581
Expenditures :
	Purchases made for re-sale	215.556	187.786	128.114
	Employees Cost	0.804	0.360	0.332
	Manufacturing Expenses	0.037	0.037	0.006
	Administrative Expenses	1.438	2.877	1.317
	Increase/(Decrease) in Finished Goods	(4.786)	0.734	9.908
	Interest	7.829	3.895	1.792
	Depreciation & Amortization	0.318	0.185	0.187
Total Expenditure		221.196	195.874	141.656
Earnings Per Share (Rs.)		NA	NA	9.25

Expected Sales (2010-2011) : Rs. 450.000 Millions.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.88	0.59	1.10
Net Profit Margin (PBT/Sales)	(%)	1.31	0.89	1.60
Return on Total Assets (PBT/Total Assets}	(%)	2.60	1.69	2.66
Return on Investment (ROI) (PBT/Networth)		0.08	0.06	0.13
Debt Equity Ratio (Total Liability/Networth)		3.49	2.67	3.72
Current Ratio (Current Asset/Current Liability)		3.49	3.09	2.68

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITOR DETAILS:

Particulars	31.03.2010 (Rs. in millions)	31.03.2009 (Rs. in millions)	31.03.2008 (Rs. in millions)
Sundry Creditors For Goods	NA	NA	26.327
Sundry Creditors Expenses	NA	NA	0.096
Total	NA	NA	26.423

FORM 8:

Corporate identity number of the company	U51100GJ2006PTC048121
Name of the company	Veenita Enterprise Private Limited
Address of the registered office or of the principal place of business in India of the company	512/10, Road No. 14, G.I.D.C Kathwada, Odhav, Ahmedabad- 382430, Gujarat, India
This form is for	Creation of charge
Type of charge	Book Debts Movable Property Others- Hypothecation Stocks, Book Debts and Plant and Machinery and Other current Assets
Particular of charge holder	· State Bank of India SPL Commercial Branch, Gandhigram, Opposite Gandhigram Railway Station, Ahmedabad – 380009, Gujarat, India sbi.04087@sbi.co.in
Nature of instrument creating charge	Agreement of loan cum hypothecation (SME-2), Dated 18/09/2007 Letter of Arrangement (SME - 1)
Date of instrument Creating the charge	18.09.2007
Amount secured by the charge	Rs.12.500 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interests: Working Capital: Interest at 1.00% above SBAR (SBAR = 12.75%) with a minimum of 13.75% p.a. rising or falling therewith on daily products with monthly rests. (Present effective rate 13.75% p.a.). Terms of Repayment: Working Capital: Repayable on Demand Margin: Raw Material (Indigenous) - 25% Semi Finished Goods - 40% Finished Goods - 40% Receivables (Cover Period 90 days) - 50% Extent and Operation of the charge: The Credit Facilities of Rs.12.500 Millions to be secured by way of 1st charge against hypothecation of all stock including Raw Materials, Semi Finished Goods, finished Goods, Stores and Spares, Receivable/Book Debts, Plant and Machinery and entire current assets both present and future of the company. Other terms and conditions as per letter of arrangement enclosed herewith. Others: The Credit Facilities Secured as Under : Fund Base: DCC (Stocks and Receivables - Rs.11.000 Millions Stand By Line of Credit (SLC) - Rs.1.500 Millions Making Overall Credit Facilities of Rs.12.500 Millions.
Particulars of the property charged	Hypothecation of all stock including Raw Materials, Semi Finished Goods, finished Goods, Stores and Spares, Receivable/Book Debts, Plant and Machinery and entire current assets both present and future of the company.

FIXED ASSETS:

· Computers

· Eicher Tempo

· Mobile Instrument

· Plant and Machinery

· Two Wheeler

· Furniture

TRADE REFERENCE:

· Marudhar Industries Limited – Ahmedabad (Vatva)

· B. R. Metals and Alloys Gujarat Private Limited – Ahmedabad

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.44.22
UK Pound	1	Rs.71.97
Euro	1	Rs.63.23

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		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

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
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.