MIRA INFORM REPORT

Report Date :

20.04.2011

IDENTIFICATION DETAILS

Name :	FINE DIAMOND (HK) LTD.
Registered Office :	Flat D, 12/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon
Country :	Hong Kong
Date of Incorporation :	19.02.1991
Com. Reg. No.:	14285783
Legal Form :	Private Limited Company
Line of Business :	Importer and Re-exporter of all kinds of diamonds, jewellery and precious stones

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
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

FINE DIAMOND (HK) LTD.

Company address

Flat D, 12/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

PHONE: 2739 1022, 2739 1077

FAX: 2311 3810

E-MAIL: fineaj@netvigator.com

MANAGEMENT

Managing Director: Mr. Alpesh Shantichand Jhaveri

SUMMARY

Incorporated on: 19th February, 1991.

Organization: Private Limited Company.

Capital: Nominal: HK$3,000,000.00

Issued: HK$3,000,000.00

Business Category: Diamond Trader.

Employees: 4.

Main Dealing Banker: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.

Banking Relation: Satisfactory.

Company ADDRESS

Registered Head Office:-

Flat D, 12/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

BUSINESS REGISTRATION NUMBER

14285783

COMPANY FILE NUMBER

0299955

MANAGEMENT

Managing Director: Mr. Alpesh Shantichand Jhaveri

Contact Person: Mr. Mohamed Noohu

CAPITAL

Nominal Share Capital: HK$3,000,000.00 (Divided into 300,000 shares of HK$10.00 each)

Issued Share Capital: HK$3,000,000.00

SHAREHOLDERS

(As per registry dated 19-02-2010)

Name		No. of shares
Alpesh Shantichand JHAVERI		180,000
Poorvi Alpesh JHAVERI		120,000
		–––––––
	Total:	300,000 ======

DIRECTORS

(As per registry dated 19-02-2010)

Name (Nationality)	Address
Alpesh Shantichand JHAVERI	Flat 3, 12/F., Kiu Fung Mansion 18 Austin Avenue, Tsimshatsui, Kowloon, Hong Kong.
Poorvi Alpesh JHAVERI	Flat 3, 12/F., Kiu Fung Mansion 18 Austin Avenue, Tsimshatsui, Kowloon, Hong Kong.

SECRETARY

(As per registry dated 19-02-2010)

Name	Address	Co. No.
Buttar.HK Ltd.	1/F., Mau Lam Commercial Building, 16-18 Mau Lam Street, Jordan, Kowloon, Hong Kong.	975326

HISTORY

The subject was incorporated on 19th February, 1991 as a private limited liability company under the Hong Kong Companies Ordinance.

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

OPERATIONS

Activities: Importer and Re-exporter.

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

Employees: 4.

Commodities Imported: Imported from Belgium, India, etc.

Markets: Southeast Asia, Europe, USA, Middle East, etc.

Annual Turnover: Quite large amount.

Terms/Sales: L/C or as per contracted.

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

MEMBERSHIP

The Indian Chamber of Commerce Hong Kong, Hong Kong.

FINANCIAL INFORMATION

Nominal Share Capital: HK$3,000,000.00 (Divided into 300,000 shares of HK$10.00 each)

Issued Share Capital: HK$3,000,000.00

Alternation of Capital:-

Initially	paid up	HK$ 100,000.00
26-10-2007	paid up	HK$ 2,900,000.00
		–––––––––––––––
Total:	paid up	HK$ 3,000,000.00 ==============

Increase of Nominal Capital:-

From

HK$100,000.00

to

HK$3,000,000.00

on

26-10-2007

Mortgage or Charge:-

Date of Charge Over Deposits – CD 1 (09a): 07-01-2010

Amount: To secure the payment or discharge of all moneys, obligations and liabilities, whether actual or contingent at the date of the Charge or at any time after the date thereof, due, owing or incurred by the Company to Standard Chartered Bank (Hong Kong) Ltd.

Property: 1) By fixed Charge: all the Company’s rights in respect of (i) the sum deposited by the Company; and (ii) all other sums in any currency from time to time standing to the credit of the Company or the credit of any other person for the Company’s benefit whether alone or jointly with others, on any deposit account with the Bank or any other SCB Group Company including additions to or renewals or replacements of such sum; and all interest from time to time accruing or payable on the sums specified in (i) and (ii) above;

2) By assignment: all Deposits held with any SCB Group Company

Mortgagee: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.

Profit or Loss: Business is profitable.

Condition: Keeping in an active and satisfactory condition.

Facilities: Making active use of general banking facilities.

Payment: Met trade commitments as contracted.

Commercial Morality: Satisfactory.

Bankers:-

· Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.

· The Royal Bank of Scotland N.V., Hong Kong Branch.

Standing: Normal.

GENERAL

Having issued 300,000 ordinary shares of HK$10.00 each, Fine Diamond (HK) Ltd. is jointly owned by two Indian, Mr. Alpesh Shantichand Jhaveri, holding 60% interests; and Mr. Poorvi Alpesh Jhaveri, holding 40%. Believed to be the members of the same family, the two Mr. Jhaveris have been in Hong Kong for a very long time and each of them has got a Hong Kong ID Card and has got the right to reside in Hong Kong permanently.

The subject is trading in loose, polished and cut diamonds, gemstones, etc. These include carat size diamonds, fancy diamonds, etc. Commodities, mostly fancy cut diamonds, are mainly imported from Belgium, Israel and India. However, India is the principal supplying country. The subject has had a number of suppliers in India.

The subject also trades in the following pearls: Akoya Pearl, South Sea Pearl, Tahitian Pearl, Black Pearl, etc. It is specialized in round, princess, tapper, marques, emerald, pear, heart and single cut diamonds. Imported products are re-exported to worldwide countries while the prime markets are the United States, Japan, Southeast Asia, other Asian countries, the Middle East, Europe, etc. Main customers are diamond brokers, diamond wholesalers and jewellery manufacturers. Size of diamonds supplied range from 0.005 carat to 5.000 carats. It focuses on I to L, M, N colours including brown as well as treated colour diamonds. Business has been active and steady.

In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities. The exhibition usually taken part by the subject is Hong Kong International Jewellery Show which is held in Hong Kong annually.

The annual sales turnover of the subject is very significant. Making a small profit every year. Business keeps on improving. Regular customers have been maintained.

The contact person of the subject Mr. Mohamed Noohu is also an Indian.

On the whole, having a history of over twenty years and a month, the subject is considered good for normal business engagements.

COURT CASES: None per our.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.68
UK Pound	1	Rs.72.56
Euro	1	Rs.63.53

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%)

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.