MIRA INFORM REPORT

Report Date :

13.01.2011

IDENTIFICATION DETAILS

Name :	BLUE GEMS

Registered Office :	Room 1707, 17/F, Workingport Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon

Country :	Hong Kong

Date of Incorporation :	02.09.1991

Com. Reg. No.:	14845597-000-09

Legal Form :	Sole Proprietorship

Line of Business :	Manufacturer, Importer, Exporter and Retailer of all kinds of diamonds and jewellery products, emerald, precious stones, etc

RATING & COMMENTS

MIRA’s Rating :

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

Status :	Satisfactory

Payment Behaviour :	No Complaints

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 – June 30, 2010

Country Name

Previous Rating

(01.04.2010)

Current Rating

(30.06.2010)

Hong Kong

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

company name

BLUE GEMS

ADDRESS

Room 1707, 17/F, Workingport Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.

PHONE: 2314 7661

FAX: 2314 7811

MANAGEMENT

Manager: Mr. Pareshkumar Himmatlal Shah (Mobile: 9805 0538)

SUMMARY

Establishment: 2nd September, 1991.

Organization: Sole Proprietorship.

Capital: Not disclosed.

Business Category: Diamond Trader.

Employees: 3.

Main Dealing Banker: Hang Seng Bank Ltd., Hong Kong.

Banking Relation: Satisfactory.

ADDRESS

Head Office:

Room 1707, 17/F, Workingport Commercial Building, 3 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong.

Associated Company:-

Samkit Diamonds Exporters, India.

BUSINESS REGISTRATION NUMBER

14845597-000-09

MANAGEMENT

Manager: Mr. Pareshkumar Himmatlal Shah

SOLE PROPRIETOR

Name: Mr. Pareshkumar Himmatlal SHAH

Residential Address: Flat E, 14/F., Hanley House, 68-80 Canton Road, Tsimshatsui, Kowloon, Hong Kong.

HISTORY

The subject was originally established on 2nd September, 1991 as a sole proprietorship owned by Mr. Pareshkumar Himmatlal Shah under the Hong Kong Business Registration Regulations. Converted into a partnership company on 1st June, 1993 when Mr. Milankumar Amrutlal Virani joined in as a partner. Changed to a sole proprietorship company again just owned by Mr. Pareshkumar Himmatlal Shah on 31st March, 1994 while Mr. Milankumar Amrutlal Virani retired.

Initially the subject was located at Flat E, 14/F., Hanley House, 68-80 Canton Road, Tsimshatsui, Kowloon, Hong Kong, moved to Flat A, 12/F., South Sea Mansion, 81 Chatham Road, Tsimshatsui, Kowloon, Hong Kong in August 1993; to Flat C, 9/F., Houng Su Mansion, 45-47 Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong in July 1999; and further to the present address in May 2002.

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

OPERATIONS

Activities: Manufacturer, Importer, Exporter and Retailer.

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

Employees: 3.

Commodities Imported: Imported from India, Thailand, Europe, etc.

Markets: Hong Kong, Singapore, US, China, South Africa, Europe, etc.

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

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

FINANCIAL INFORMATION

Capital: Not disclosed.

Profit or Loss: Making a small profit every year.

Condition: Keeping in a steady manner.

Facilities: Making rather active use of general banking facilities.

Payment: Met obligations as required.

Commercial Morality: Satisfactory.

Banker: Hang Seng Bank Ltd., Hong Kong.

Standing: Small.

GENERAL

Blue Gems is a sole proprietorship set up and owned by Mr. Pareshkumar Himmatlal Shah who is an Indian. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.

The subject is a manufacturer, importer, exporter and retailer of polished and cut diamonds in a wide variety of round and fancy shapes. It is specialized in white, ow, white natts, ow natts in vs-si and pique quality. Size ranges from 0.005 to 0.10 ct. It also supplies customers with fancy shapes particularly tapper/baquettes and princess cut diamonds. Main products of the subject are rose cut diamonds, rose cut heart, rose cut round, rose cut pears, rose cut oval, rose cut marquise, emerald cut, taper, tapered baguette, fancy cut and fancy colour diamonds, briollets beads, old mine cut diamonds round brilliant cut diamonds, marquise, pears, oval, heart, trilliant, etc. Loose and cut diamonds are chiefly imported from India, Thailand and other European countries. However, India is the main supplying countries. Most of its suppliers are in Mumbai, India. The major markets of the subject are Hong Kong, Singapore, the United States, China, South Africa, Europe, etc. Overall business is active.

The subject’s business is chiefly handled by Mr. Pareshkumar Himmatlal Shah who can be reached at his mobile phone number 9805 0538.

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. For instance, it takes part in Hong Kong Jewellery & Gem Fair every year.

The subject is an associated company of Samkit Diamonds Exporters [Samkit], an India-based firm also trading in diamonds and jewellery. It is likely that Samkit is one of the subject’s suppliers in India.

As the history of the subject in Hong Kong is about nineteen years and four 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.45.16
UK Pound	1	Rs.70.64
Euro	1	Rs.58.68

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	--

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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