MIRA INFORM REPORT

Report Date :

09.12.2011

IDENTIFICATION DETAILS

Name :	JAIN HYDRAULICS PRIVATE LIMITED
Registered Office :	10066, Multani Dhanda, First Floor, Street No. 1, Paharganj, New Delhi – 110055
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	19.05.1981
Com. Reg. No.:	55-11738
Capital Investment / Paid-up Capital :	Rs.16.298 Millions
CIN No.: [Company Identification No.]	U74899DL1981PTC011738
TAN No.: [Tax Deduction & Collection Account No.]	DELJ03573D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and Exporter of Hydraulic and Mechanical Machines.
No. of Employees :	225 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 110000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderato track. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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. A. K. Jain
Designation :	Director
Contact No.:	91-9810050967
Date :	05.12.2011

LOCATIONS

Registered Office :	10066, Multani Dhanda, First Floor, Street No. 1, Paharganj, New Delhi – 110055, India
Tel. No.:	91-11-23523966/ 23629689/ 23610291/ 41563091/ 23629639
Mobile No.:	91-9810050967 (Mr. A K Jain)
Fax No.:	91-11-25504343
E-Mail :	info@jainhydraulics.com jhpl@vsnl.com hewjhpl@ndf.vsnl.net.in rajkumarg_ca@yahoo.co.in
Website :	http://www.jainhydraulics.com
Location :	Owned
Factory :	Plot No. 86, Sector – 3, IMT-Manesar, Gurgaon, India
Tel. No.:	91-124-4369302 to 05

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Ajay Kumar Jain

Designation :

Managing Director

Address :

A-289, Vikas Puri, New Delhi – 110018, India

Date of Birth/Age :

16.08.1956

Date of Appointment :

19.05.1981

DIN No.:

00312569

Other Directorships :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74899DL1981PTC011738	JAIN HYDRAULICS PRIVATE LIMITED	Director	19/05/1981	19/05/1981	-	Active	NO
2	U27107RJ1996PTC012615	SPJ ISPATS (INDIA) PRIVATE LIMITED	Managing director	17/09/1996	17/09/1996	12/3/2008	Active	NO

Name :

Mr. Ajay Jain

Designation :

Director

Address :

A-286 Vikas Puri, New Delhi – 110018, India

Date of Birth/Age :

26.02.1967

Date of Appointment :

05.08.2002

DIN No.:

00312613

Other Directorships :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U27107RJ1996PTC012615	SPJ ISPATS (INDIA) PRIVATE LIMITED	Director	14/02/1997	14/02/1997	12/3/2008	Active	NO
2	U74899DL1981PTC011738	JAIN HYDRAULICS PRIVATE LIMITED	Director	5/8/2002	5/8/2002	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Arun Kumar Arora
Designation :	Company Secretary
Address :	Flat No. 7, DDA Flats, Mansarovar Park, Shahdara, Delhi – 110032
Name :	Mr. Akhil and Company
Designation :	Company Secretary
Address :	139, Om Shubham Tower, NIT, Faridabad – 121001, Haryana, India
Mobile No.:	91-9818799371

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 28.09.2011)

Names of Shareholders	No. of Shares
Ajay Kumar Jain	88915
Aditya Jain	8825
Virendra Kumar Jain	20
Baldev Bhatt	20
Aniket Jain	5723
Sunil Kumar Gupta	10
Abha Gupta	10
Kanta Eevi Gupta	10
Piyush Jain	250
Ajay Jain	37200
Manoj Kumar Jain	1000
Parveen Jain	8650
Vibha Jain	9850
Praveena Jain	500
V L Jain	2000
Total	162983

(AS ON 30.09.2011)

Equity Shares Break – Up

Category	Percentage
Directors or relatives of directors	99.00
Others	1.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturers and Exporter of Hydraulic and Mechanical Machines.
Products :	· Single Action Hydraulic Baling Press · Double Action Hydraulic Baling Press · Triple Action Hydraulic Baling Press · Paper and Cotton Baler · Extra Heavy Duty Hydraulic Press (Export Quality) · Shredders and Crushers · Shearing Machines · Other Hydraulic Presses (Export Quality) · Bio-Clave -- Bio-Medical waste sterilizer · Bio-Clave -- Bio-Medical waste Shredder
Exports :
Products :	Hydraulic and Mechanical Machines
Countries :	· Malaysia · South Africa · Bangladesh · Sri Lanka
Imports :
Products :	Raw Materials and Finished Good
Countries :	· China · Taiwan · Japan
Terms :
Selling :	L/C, Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :

· Aggarwal Steel Centre

· Arg Distributors (Private) Limited

· Ashoka Electrical Sales Corporation

· Balaji Lubes

· B K Garg Ispat Private Limited

· Cool Well Engineers

· GGL Steel and Strips Private Limited

· Hydraulic and engineering Works

· Indochem Oil India Limited

· Indian Steel Corporation

· Krish Engineers

· Mukesh Iron Stores

· National Electronics

· Pawan Brothers

· Sjakti Industrial Corporation

· Varun Technologies

· Vigital India

· Vikas Fabricators

Customers :

End Users and OEM’s

· Amba Steels Delhi

· Bansal Iron and Sheet Traders

· Bee Path Castings Private Limited

· Bhola Ram Metal Industries (Private) Limited

· Delhi Iron and Steel Company

· Friends Corporation

· GMR Projects (Private) Limited

· Haq Enterprises (private) Limited

· J N Traders

· Jai Hind Wire Rod Mills Limited

· K B N Plastics Industries

· Kataria Industries (Private) Limited

· Laxson Steels Limited

· Maharashtra Seamless Limited

· Metal Cans Company

· MTC Business Private Limited

· Nashik Strips (Private) Limited

· NE Thermion (Private) Limited

· Poona Traders

· Ran India steels private Limited

· Sardar Associates

· Shree Bajrang Industries

· SM Industries Suppliers (Private) Limited

No. of Employees :

225 (Approximately)

Bankers :

· Bank of India,

Vikas Puri Branch, Central Market, Budella, Vikaspuri, New Delhi-110018, India

· HDFC Bank Limited

· Standard Chartered Bank

· ICICI Bank Limited

· American Express Bank Limited

· Citi Bank NA

· Kotak Mahindra Bank Limited

· Canara Bank

· State Bank of India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Bank of India (Hypothecation of Stock) 31125	38.023	36.501
Bank of India (PCL) 0002	4.000	14.000
Bank of India (Term Loan 10163)	1.192	2.292
Bank of India (Term Loan 10164)	0.956	1.713
Bank of India Loan (DLN 1280)	0.000	0.846
Bank of India Loan (00087)	0.678	0.000
Bank of India (Term Loan 000417)	1.983	0.000
Bank of India Car Loan A/c No.137	1.306	0.000
Bank of India Loan against TDR No.378	2.500	2.500
Total	50.638	57.852

Banking Relations :	--
Auditors :
Name :	Raj Kumar and Associates Chartered Accountants
Address :	4435/7, Ansari Road, Darya Ganj, Delhi-110002, India
Tel No.:	91-11-41563091-93
Fax No.:	91-11-41563095
E mail:	rajkumarg_ca@yahoo.co.in
Website :	http://www.belgeediaomnds.com
PAN No.:	AAAFR9008B
Sister Concern :	· Hydraulic and Engineering Work · Hitech Industries

CAPITAL STRUCTURE

(AS ON 28.09.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
180000	Equity Shares	Rs.100/- each	Rs.18.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
162983	Equity Shares	Rs.100/- each	Rs.16.298 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		16.298	16.298	14.648
2] Share Application Money		0.000	0.000	1.000
3] Reserves & Surplus		12.280	9.117	7.157
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		28.578	25.415	22.805
LOAN FUNDS
1] Secured Loans		50.638	57.852	27.958
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		50.638	57.852	27.958
DEFERRED TAX LIABILITIES		2.364	2.069	1.820
TOTAL		81.580	85.336	52.583
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		22.494	20.871	18.704
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		8.428	6.434	1.613
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	59.393	74.350	33.820
	Sundry Debtors	18.998	15.259	13.011
	Cash & Bank Balances	1.833	3.448	1.022
	Other Current Assets	12.262	11.313	7.633
	Loans & Advances	6.468	6.048	4.294
Total Current Assets		98.954	110.418	59.780
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	15.531	16.468	10.848
	Other Current Liabilities	31.715	35.099	15.088
	Provisions	1.050	0.820	1.604
Total Current Liabilities		48.296	52.387	27.540
Net Current Assets		50.658	58.031	32.240
MISCELLANEOUS EXPENSES		0.000	0.000	0.026
TOTAL		81.580	85.336	52.583

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	TOTAL INCOME		202.991	160.211	160.211
Less	EXPENSES
		TOTAL	198.482	157.233	157.203
	PROFIT BEFORE TAX		4.509	2.978	3.008
Less	TAX		1.346	1.017	1.144
	PROFIT AFTER TAX		3.163	1.961	1.864
	Earnings Per Share (Rs.)		19.40	12.03	12.72

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.56	1.22	1.16
Return on Total Assets (PBT/Total Assets}	(%)	3.71	2.27	3.83
Return on Investment (ROI) (PBT/Networth)		0.16	0.12	0.13
Debt Equity Ratio (Total Liability/Networth)		3.46	4.34	2.43
Current Ratio (Current Asset/Current Liability)		2.05	2.11	2.17

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	------
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	Yes
Profitability for last three years	No
Reasons for variation <> 20%	No
Estimation for coming financial year	No
Capital in the business	Yes
Details of sister concerns	Yes
Major Suppliers	Yes
Major Customers	Yes
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	------
Litigations that the firm/ Promoters Involved in	------
Banking details	Yes
Banking Facility Details	No
Conduct of the Banking Account	------
Buyer visit details	------
Financials, if provided	No
Incorporation details is applicable	------
Last Accounts filed at ROC	------
Major Shareholders, if available	------

TRADE REFERENCE:

· SM Industries Suppliers (Private) Limited

· Indian Steel Corporation

OPERATING/ FINANCIAL RESULTS

The Company has once again given a good performance during the financial year 2010-2011. The Net Profit of the Company is Rs.4.508 Millions in the current year.

The Director is committed to give better results in future.

BANKERS CHARGES REPORT AS PER REGISTRY

Name of the company

JAIN HYDRAULICS PRIVATE LIMITED

Presented By

Bank of India, Vikaspuri, New Delhi

1) Date and description of instrument creating the change

No Instrument, Oral Assent given by deposit of title deeds on 01.10.2005

2) Amount secured by the charge/amount owing on the securities of charge

Rs. 27.500 Millions

3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given

Equitable mortgage of landed properties of the company situated at Plot No. 86, Sector – 3, IMT, Manesar, Gurgaon [Haryana]

4) Gist of the terms and conditions and extent and operation of the charge.

The above is to secure all amounts payable under the following credit facilities granted to enjoyed by the expenses, commission etc :

Nature of Credit Facility	Limit [Rs in Millions]
Fund Based
I] Including Activity
CC – Hypothecation of Stock	1.500
CC – Hypothecation Book debts [90 days maximum]	1.500
Maximum [I]	2.500
II] Manufacturing Activity
CC – Hypothecation of Stock	10.000
CC – Hypothecation Book debts [90 days maximum]	3.000
Maximum [I + II]	10.000
Bill Purchased/ Cheque Purchased maximum	2.500
Maximum [II]	12.500
Maximum of I & II	15.000
Term Loan [Land and Building]	6.000
Term Loan [Plant and Machinery]	4.000
Total Fund Based	25.000
Non-Fund Based
Bank Guarantee	2.500
Up to 3 Years
Total Non-Fund Based	2.500
Total FB & NFB	27.500

5) Name and Address and description of the person entitled to the charge.

Bank of India, Vikas Puri, New Delhi

Corporate identity number of the company	U74899DL1981PTC011738
Name of the company	JAIN HYDRAULICS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	10066, Multani Dhanda, First Floor, Street No. 1, Paharganj, New Delhi – 110055, India ca.nitinbhardwaj2009@gmail.com
This form is for	Creation of charge
Type of charge	Immovable Property
Particular of charge holder	· Bank of India, Vikas Puri Branch, Central Market, Budella, Vikaspuri, New Delhi-110018, India vikaspuri.newdelhi@bankofindia.com
Nature of instrument creating charge	Deed of hypothecation-cum-loan agreement (IFD-X) dated 11.04.2011 Credit facility agreement dated 11.04.2011 Multipurpose document L516 dated 11.04.2011
Date of instrument Creating the charge	11.04.2011
Amount secured by the charge	Rs.67.418 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest i) Term Loans @ 5.25% over base rate, presently @ 14.75% p.a. at monthly rests ii) Working capital finance @ 4% over base rate presently 13.50% p.a at monthly rests or as may be notified to the Company Terms of repayment Fund based: A) i) Term Loan-I (1.325 Millions) : 147051/- p.m. ii) Term Loan-II (1.093 Millions) : 125013/-p.m. B) CC Limits( hypo. of stocks) : On Demand C) PCL : On Demand D) FBP/FBN : On Demand F) Cheque Purchase : On Demand Non-Fund Based: G) Inland Bank Guarantee : On Demand Margin Term Loans I and II - 25% Cash Credit (Hypothecation of Stocks) - 25% PCL (upto 270days) - 25% FBP/FBN (DP-90 days/DA against L/C) - 25% Inland Bank Guarantee - 25% Extent and operation of the charge 100% Other Eq. mortgage of company’s immovable properties to secure all amounts payable under various credit facilities aggregate to Rs.67.418 Millions granted to/enjoyed by the Company together with all intt, costs, charges, exps, comm. etc. A) T/L-I: 1.325 Millions B) T/L-II: 1.093 Millions C) C/C (Hypothecation of Stocks): 55.000 Millions D) PCL:20.000 Millions E) FBP/FBN:20.000 Millions F) Max. (D+E):20.000 Millions G) Cheque Purchase:4.500 Millions H) Max(C+F+G):55.000 Millions Total F.B.:57.418 Millions NFB. Bank Guarantee – 10.000 Millions Agg.(FB+NFB):67.418 Millions
Short particulars of the property charged (Including location of the property)	Equitable mortgage of all the piece of land with buildings, Sheds and structures standing thereon situated at Plot No. 38/22/2, Village Saffipur Ranhola, Najafgarh Road, New Delhi of Jain Hydraulics Private Limited Equitable mortgage of all the piece of land with buildings, Sheds and structures standing thereon situated at Plot No. 86, Sector-3, IMT, Manesar, Gurgaon, Haryana of M/s Jain Hydraulics Private Limited

FIXED ASSETS:

· Fire Fighting Equipments

· Land

· Building

· Factory Building

· Car

· Generator

· Typewriter

· Furniture and Fixture

· Vaccume Cleaner

· Motor Cycle

· Computer

· Air Conditioner

· Fan

· Intercom

· Video Camera

· Refrigerator

· Fax

· Cellular

· Scooter

· Plant and Machinery

· Water Cooler

· Telephone Instruments

· EPABX

· R O System

· Music System

· Water Filter

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.51.77
UK Pound	1	Rs.81.32
Euro	1	Rs.69.42

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		32

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.