MIRA INFORM REPORT

 

 

Report Date :

22.02.2011

 

IDENTIFICATION DETAILS

 

Name :

KAWARLAL AND COMPANY

 

 

Registered Office :

27, Raghunayakula Street, Park Town, Chennai - 600 003, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2007

 

 

Year of Establishment :

1960

 

 

IEC No.:

0501017305

 

 

Legal Form :

Sole Proprietory Concern

 

 

Line of Business :

Distributors, Importers and Traders of Pharmaceutical Equipments.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (28)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 740000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is an old and established proprietory concern having moderate track. Mr. Hitesh, Accountant provided to us the general information and denied to disclose financial details. However, trade relations are reported as fair. Business is active. Payment terms are not known.

 

The concern can be considered for business dealings with some caution.

 

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 (GENERAL DETAILS)

 

Name :

Mr. Hitesh

Designation :

Accountant

Contact No.:

91-44-25355801

Date :

09.02.2011

 

 

LOCATIONS

 

Registered Office/ Head Office :

27, Raghunayakula Street, Park Town, Chennai - 600 003, Tamilnadu, India

Tel. No.:

91-44-25352767 / 5801 / 7534

Fax No.:

91-44-25350234

E-Mail :

1. kawar@md3.vsnl.net.in

2. sales@kawarlal.com

3. info@kawarlal.com

Website :

http://www.kawarlal.com

Area :

600 sq. fts

Location :

Owned

 

 

Accounts Office :

16, Nyniappa Street, Chennai – 600 003, Tamilnadu

Tel. No.:

91-44-25358434 / 25344364

Fax No.:

91-44-25351199

E-Mail :

1. accounts@kawarlal.com

2. kawarac@dishnetdsl.net

 

 

Godown:

No. 166, G.N.T. Road, Nnadhavaratra , Chennai

Tel. No.:

91-44-55379527

Area :

19500 Sq.fts

Location :

Owned

 

 

Branches:

Located at:

  • Mumbai
  • Chennai
  • Hyderabad
  • Delhi
  • Ahmedabad

 

 

SOLE PROPRIETOR

 

Name :

Mrs. Manori Bai

Designation :

Proprietor

 

 

KEY EXECUTIVES

 

Name :

Mr. K. Vijay Jain

Designation :

Chief Executive

 

 

Name :

Mr. K. Parasmal Jain

Designation :

Chief Executive

 

 

Name :

Mr. K. Ramlal Jain

Designation :

Chief Executive

 

 

Name :

Mr. Hitesh

Designation :

Accountant

 

 

BUSINESS DETAILS

 

Line of Business :

Distributors, Importers and Traders of Pharmaceutical Equipments.

 

 

Products :
  • Lactose 200 Mesh
  • DCL 11
  • DCL 15
  • DCL 21
  • Sodium Starch Glycolate USP / NF
  • Croscarmellose Sodium USP / NF
  • Pregelatinated Starch USP / NF
  • Aspartame Powder USP XXV
  • L-Phenylalanine
  • Polyvinyl Pyrollidone K30 USP XXV
  • Cross Linked PVP USP XXV
  • VA64 USP XXV
  • Cremophor R H 40
  • Fumed Silica / Coloidol Silicon Di Oxide
  • ADM Xanthan Gum
  • Xantham Gum
  • Calcium Citrate USP 24
  • L-Arginine Basic
  • PVPK 30
  • Polyvinyl Pyrollidone K 30 USP XXV

 

 

Agencies Held :
  • DMV International, The Netherlands
  • The Lactose Company of New Zealand
  • HMS, Holland
  • Indimet, New York
  • Cabot, Germany
  • AVEBE, The Netherlands
  • SPI, France
  • BASF, Germany
  • Monsanto, U.S.A.
  • The Nutra Sweet Co, USA
  • Cabot Sanmar Limited
  • Jiangbeii Food Addition Factory, China
  • Ningbo Haider Amino Acid Industry Co. Limited, China
  • Simcon Laboratories Limited, Mangalore, Karnataka
  • SPI Polyols, USA and France
  • Medkhm, Russia
  • Feicheng Ruitai Fine Chemicals Co. Limited, China
  • Amtex, Colombia
  • Archer Daniels Midland Co., USA
  • Zjmi-Alpharm Chemicals Co., China
  • Amtex Quinuica, Brazil

 

 

Imports from :

 

Products :
  • Raw material
  • Finished Goods

Countries :

  • Germany
  • Netherlands
  • New Zealand
  • U.S.A.

 

 

Terms :

 

Selling :

Credit (90 days)

 

 

Purchasing :

D/A (90 to 120 days) and Credit (90 days)

 

 

GENERAL INFORMATION

 

Suppliers :
  • Dmv International, The Netherland
  • Avebe
  • The Nutra Sweet Co., U.S.A
  • B A S F., U.S.A / Germany
  • Cabot Sanmar Limited, India
  • Amtex – Coloumbia
  • Archer Daniels Midland Co., U.S.A
  • Jiangbei Food Addition Factory, China
  • Ningbo Haider Amino Acid Industry Co. Limited, China
  • Zjmi-Alpharm Chemicals Co., China
  • Feicheng Ruitai Fine Chemicals Co. Limited, China
  • S P I Polyols, U.S.A. And France
  • Medkhm, Russia
  • Simcon Laboratories Limited, Mangalore India.

 

 

Customers :
  • Wholesalers and Retailers
  • End Users and OM’s

 

 

No. of Employees :

25 ( Office: 20 Godown: 5)

Group employs 150 people

 

 

Bankers :
  • Union Bank of India, Sowcarpet Branch, Mint Street, Chennai - 600 003, Tamilnadu

 

  • Bank of India

             Sowcarpet Branch, Devaraja Maddi Street, Chennai - 600003

 

 

Facilities :

Union Bank of India :-

Cash Credit Limit : Rs. 50.000 millions (Letter of Credit Limit)

                              Rs. 20.000 millions Cash Credit

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

R. Rajendrakumar and Company

Chartered Accountants

Address :

374, Murt Street, Chennai – 600003

Tel. No.:

91-44-25354874/2934

 

 

Associates/Subsidiaries :
  • Vijay Sales Corporation 

Activity : Computer software Suppliers

 

  • Kawarlal and Sons        
    1. 27, Raghunayakulu Street, Chennai- 600003                   

Activity : Dealing in raw material for Drugs and          

Pharmaceuticals

Sole Proprietor: Mr. Parasmal Jain

Annual Turnover: Rs. 60.00 millions

 

  • Kawarlal Agencies, Chennai, Tamilnadu

 

  • D. K. Enterprises, Chennai, Tamilnadu

41, Raghunayakulu Street, Chennai – 600003.

Line of Business : Importers and Distributors of Chemicals and Pharmaceuticals          

 

  • V. P. Traders, Chennai, Tamilnadu

 

  • Vijay Sons, Chennai, Tamilnadu

 

  • Manish Global Ingredients, Chennai

 

[All the above concerns are engaged in trading activity.]

 

 

CAPITAL STRUCTURE

 

 

Capital Investment :

 

Owned :

Rs. 16.121 Millions

Borrowed :

Rs. 170.475 millions

Total :

Rs. 186.596 millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

 

 

31.03.2007

Sales Turnover

 

 

1750.000

 

 

 ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2006

31.03.2005

31.03.2004

SHAREHOLDERS FUNDS

 

 

 

1] Proprietor’s Capital

16.121

15.422

13.009

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

0.000

0.000

0.000

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

16.121

15.422

13.009

LOAN FUNDS

 

 

 

1] Secured Loans

170.475

0.000

0.000

2] Unsecured Loans

0.000

129.708

53.437

TOTAL BORROWING

170.475

129.708

53.437

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

186.596

145.130

65.118

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

3.079

3.122

0.911

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.001

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

 

23.066

 

Sundry Debtors
 

 

83.830

 

Cash & Bank Balances

NA

231.222

0.334

 

Other Current Assets
 

 

(1.651)

 

Loans & Advances
 

 

7.480

Total Current Assets

NA

231.222

114.730

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 

90.517

50.524

 

Provisions
 

0.000

0.000

Total Current Liabilities

NA

90.517

50.524

Net Current Assets

182.616

140.705

64.206

 

 

 

 

MISCELLANEOUS EXPENSES

0.900

0.000

0.000

 

 

 

 

Difference in opening balance

0.001

1.302

0.000

 

 

 

 

TOTAL

186.596

145.130

65.118

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2006

31.03.2005

31.03.2004

 

SALES

 

 

 

 

 

Income

768.308

520.000

482.405

 

 

Other Income

87.633

0.000

0.000

 

 

TOTAL                                    

855.941

520.000

482.405

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Expenses

678.869

0.000

0.000

 

 

Direct Expenses

13.186

0.000

0.000

 

 

Administrative Expenses

83.461

0.000

0.000

 

 

Other Expenditure

76.602

81.845

53.459

 

 

TOTAL                                    

852.118

81.845

53.459

 

 

 

 

 

 

PROFIT BEFORE TAX

3.823

3.694

55.956

 

 

 

 

 

Less

TAX                             

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT AFTER TAX

3.823

3.694

55.956

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2006

31.03.2005

31.03.2004

PAT / Total Income

(%)

0.45

0.71

11.60

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

0.50

0.71

11.60

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

NA

1.58

48.39

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.24

0.24

4.30

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

NA

14.28

8.07

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

NA

2.55

2.27

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Business:

Since its founding in 1959.  Kawarlal has established itself as one of Inia's leading importers and suppliers of core industrial chemicals to the Indian market.  Backed by the immence experience of nearly half a century.  Kawarlal has been providing yomen service to the growing needs of the Indian Pharmaceutical and Food sectors, and is now advancing in services to the paint, ceramics and construction industries as well.

 

 

Website Details Attached:

 

Profile:

 

The house of Kawarlal is a time tested and trusted name for the supply of quality Imported Drugs and other Pharmaceutical Excipients.

 

Established in 1959 by Late Sri. Kawarlal Jain, with the mission of offering the world's leading food ingredients and pharmaceutical excipients in India. With a solid foundation in superior customer service and technical support, we offer to the Indian Industry a broad portfolio of international ingredients designed to improve the taste, texture and performance of the end products.

 

They believe in strong fundamentals, and stand firmly committed to quality, uninterrupted supplies, reliable technical support, liberal trade policies, competitive price and amicable customer relationship.

This has seen us capturing a major market share in every sphere of our activity. We thank our principals for their growing confidence in us, which propels them into accepting newer challenges. Hence open to more business opportunities.

 

They represent various internationally well known companies to name a few like DMV International - Holland, The NutraSweet Company- USA, Feicheng Ruitai Fine Chemicals - China, Hangzhou Nanhang - China, BASF -USA., ADM - USA, Les Formages Saputo Cheese Tee Limited - Canada, Mingtai Taiwan Chemicals co. Limited - China, SPI Polyols Inc. - USA, and Amtex Quinuica - Brazil.

 

 

 

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. 45.11

UK Pound

1

Rs. 73.25

Euro

1

Rs. 61.70

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

2

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--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

 

28

 

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.