MIRA INFORM REPORT

Report Date :

24.08.2011

IDENTIFICATION DETAILS

Name :	J. K. GEMS

Registered Office :	Room 803, 8/F., Tower 2, Harbour Centre, 8 Hok Cheung Street, Hunghom, Kowloon

Country :	Hong Kong

Date of Incorporation :	09.09.1970

Com. Reg. No.:	03066340-000-09

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

J. K. GEMS

Company ADDRESS

Room 803, 8/F., Tower 2, Harbour Centre, 8 Hok Cheung Street, Hunghom, Kowloon, Hong Kong.

PHONE: 2376 2512

FAX: 2376 3693

E-MAIL: zaveri@netvigator.com

MANAGEMENT

Manager: Mr. Jayant Kumar Kantilal Jhaveri

SUMMARY

Establishment: 9th September, 1970.

Organization: Sole Proprietorship.

Capital: Not disclosed.

Business Category: Diamond Trader.

Annual Turnover: HK$15~20 million.

Employees: 6. (Including affiliate)

Main Dealing Banker: Indian Overseas Bank, Hong Kong Branch.

Banking Relation: Satisfactory.

Company ADDRESS

Head Office:-

Room 803, 8/F., Tower 2, Harbour Centre, 8 Hok Cheung Street, Hunghom, Kowloon, Hong Kong.

P.O. Box 95602, Tsim Sha Tsui Post Office, Kowloon, Hong Kong.

Affiliated Company:-

R. J. Exports, Hong Kong. (Same address)

BUSINESS REGISTRATION NUMBER

03066340-000-09

MANAGEMENT

Manager: Mr. Jayant Kumar Kantilal Jhaveri

SOLE PROPRIETOR

Name: Mr. Jayant Kumar Kantilal JHAVERI

Residential Address: 8-C, 8/F., Rattan House, 4 Hankow Road, Tsimshatsui, Kowloon, Hong Kong.

HISTORY

The subject was established on 9th September, 1970 as a sole proprietorship concern owned by Mr. Jayant Kumar Kantilal Jhaveri under the Hong Kong Business Registration Regulations.

At the very beginning, the subject was located at 8-C, 8/F., Rattan House, 4 Hankow Road, Tsimshatsui, Kowloon, Hong Kong, moved to Flat B, 8/F., Bo Yip Building, 6 Ashley Road, Tsimshatsui, Kowloon, Hong Kong in October 1981, and further to the present address in April 2007.

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: 6. (Including affiliate)

Commodities Imported: India, Belgium, Africa, USA, etc.

Markets: Asian countries, Western Europe, Africa, North America, Middle East, etc.

Annual Turnover: HK$15~20 million.

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

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

MEMBERSHIP

· Diamond Federation of Hong Kong, China Ltd., Hong Kong.

· The Indian Chamber of Commerce Hong Kong, Hong Kong.

FINANCIAL INFORMATION

Capital: Not disclosed.

Profit or Loss: Making a small profit every year.

Condition: Business is normal and steady.

Facilities: Making active use of general banking facilities.

Payment: Met trade commitments as contracted.

Commercial Morality: Satisfactory.

Banker: Indian Overseas Bank, Hong Kong Branch.

Standing: Small.

GENERAL

J. K. Gems is a sole proprietorship set up and owned by Mr. Jayant Kumar Kantilal Jhaveri who is an Indian and has been in Hong Kong for a very long time. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.

Business commenced in September 1970, the subject is trading in the following commodities:-

· Ruby (from South Africa and India)

· Blue or Coloured Sapphire (from South Africa and India)

· Loose diamonds (from the United States, Belgium and India)

The subject also trades in emerald, precious stones, gem stones, semi‑precious stones, etc. It is also an export agent and buying co-operator. It imports diamond, gem stones and jade from Belgium, India, Israel, the United States, South Africa, etc. After processing or cutting in Hong Kong or China, finished products are marketed in Hong Kong, exported to Asian countries, Western Europe, Africa, North America, the Middle East, etc. Business is rather steady.

The subject is a member of The Indian Chamber of Commerce Hong Kong, Hong Kong. The annual sales turnover of the subject ranges from HK$15 to 20 million. Making a small profit every year. Regular suppliers and customers have been maintained.

The subject has got an affiliated company R. J. Exports located at its operating address. R. J. Exports is also a diamond and gem stone trader. Business is handled by Mr. Rakesh Zaveri who is also an Indian. Zaveri is also a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. He is also the sole owner of R. J. Exports. R. J. Exports seems to be a business partner of the subject.

Business handled by Jayant Kumar Kantilal Jhaveri himself, the subject is one of the oldest diamond traders in Hong Kong.

Since the history of the subject is over forty years and seven months, on the whole, consider it good for normal business engagements.

COURT CASES: None per our.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.68
UK Pound	1	Rs.75.29
Euro	1	Rs.65.77

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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