MIRA INFORM REPORT

Report Date :

14.04.2011

IDENTIFICATION DETAILS

Name :	B.B. DIAM
Registered Office :	Flat C, 5/F., Dor Fu Court, 5-6 Hau Fook Street, Tsimshatsui, Kowloon
Country :	Hong Kong
Date of Incorporation :	25.01.2008
Com. Reg. No.:	38887648-000-01
Legal Form :	Partnership Concern
Line of Business :	Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, emerald, precious stones, etc.

RATING & COMMENTS

MIRA’s Rating :

B

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	a2	a2

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

Company name

B.B. DIAM

Company ADDRESS

Flat C, 5/F., Dor Fu Court, 5-6 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.

PHONE: 2116 9566, 6386 0100 (Mobile)

FAX: 3585 6617

MANAGEMENT

Manager: Mr. Paresh Babubhai Vaghani

SUMMARY

Establishment: 25th January, 2008.

Organization: Partnership.

Capital: Not disclosed.

Business Category: Diamond Trader.

Employees: Nil.

Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Banking Relation: Satisfactory.

Company ADDRESS

Head Office:-

Flat C, 5/F., Dor Fu Court, 5-6 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.

Associated/Affiliated Companies:-

B. B. Creation Co., India

B. B. Diam (HK) Ltd., Hong Kong.

B. B. Diam Co. Ltd., Thailand.

B.B. Diam Ltd., India.

Vaghani Bros., India.

BUSINESS REGISTRATION NUMBER

38887648-000-01

MANAGEMENT

Manager: Mr. Paresh Babubhai Vaghani

PARTNERS

Name: Mr. Paresh Babubhai VAGHANI

Residential Address: 8 Arogyadham, 3/F., Dattatray Road, Santacruz West, Mumbai-400054, India.

Name: Mr. Manjibhai Bhagwanbhai VAGHANI

Residential Address: 7 India House, Tagore Road, Santacruz West, Mumbai‑400054, India.

HISTORY

The subject was established on 25th January, 2008 as a sole proprietorship concern owned by Mr. Arvind Bhagvan Bhai Vaghani under the Hong Kong Business Registration Regulations.

The following table shows the changes of the partners:-

Name	Incoming Date	Outgoing Date
Arvind Bhagvan Bhai VAGHANI	25-01-2008	19-06-2009
Paresh Babubhai VAGHANI	07-03-2008	-
Manjibhai Bhagwanbhai VAGHANI	19-06-2009	-

Initially the subject was located at Flat B, 6/F., Kimley Building, 1‑3 Kimberly Street, Tsimshatsui, Kowloon, Hong Kong, moved to the present address in May 2010.

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

OPERATIONS

Activities: Importer, Exporter and Wholesaler.

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

Employees: Nil.

Commodities Imported: India, Thailand, etc.

Markets: Asian countries, Europe, 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: Keeping a balance account.

Condition: Business is fairly active.

Facilities: Making fairly active use of general banking facilities.

Payment: Met trade commitments as required.

Commercial Morality: Satisfactory.

Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Standing: Small.

GENERAL

B.B. Diam is a partnership jointly owned by Mr. Paresh Babubhai Vaghani and Mr. Manjibhai Bhagwanbhai Vaghani. The two partners are India passport holders and do not have the right to reside in Hong Kong permanently. They belong to the Vaghani family of India.

The subject commenced business in January 2008. Its registered address is located at Flat C, 5/F., Dor Fu Court, 5-6 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong. This office is not in a commercial building but a residential building. The subject moved to this new address in May 2010. It is likely that it is the residential address of the partners when they are in Hong Kong. The residential building is not trespassed by outsiders.

The subject is a diamond importer, exporter and wholesaler. It is trading in single-cut diamond, fullcut loose diamond, carat size diamonds, etc. Commodities are chiefly imported from India and Thailand. Currently, the subject’s old partner Mr. Arvind Bhagvan Bhai Vaghani who retired on 19th June, 2009 is residing in Bangkok, Thailand. He is responsible for supplying the subject with rough diamonds and related products. The subject’s polished and cut diamonds are marketed in Hong Kong, exported to Thailand, other Asian countries and Europe. Business is improving.

The subject has had associated companies B. B. Diam (HK) Ltd. in Hong Kong and B.B. Diam Ltd. [India B.B. Diam] in India.

India B.B. Diam was set up by Mr. Babubhai B. Vaghani in 1972 in Surat, India. In 1981, he started a factory employing about 100 persons. The factory is known as B. B. Creation Co. In 1990, India B.B. Diam set up a sales office in Surat which has become the head office. India B.B. Diam set up a sales office in Mumbai named Vaghani Bros. with Mr. Damjibhai Bhagwanbhai Vaghani joined in as a partner. India B.B. Diam started importing rough diamonds from Belgium and Israel in 1994. In 2007, India B.B. Diam set up a marketing office in Bangkok, Thailand which is the 30% interests holder of the subject. Now, India B.B. Diam has had about 550 workers in India.

The subject is just a two-man company. History in Hong Kong is over three years and two months.

On the whole, since the registered office of the subject is in a residential building, consider it good for normal business engagements on secured basis.

COURT CASES: None per our.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.48
UK Pound	1	Rs.72.37
Euro	1	Rs.64.42

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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