MIRA INFORM REPORT

Report Date :

21.01.2011

IDENTIFICATION DETAILS

Name :	SHINE STONE (HK) LTD.
Registered Office :	Room 707, 7/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon
Country :	Hong Kong
Date of Incorporation :	19.05.2006
Com. Reg. No.:	36766082
Legal Form :	Private Limited Company
Line of Business :	Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, emerald, precious stones, etc.

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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
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

SHINE STONE (HK) LTD.

ADDRESS

Room 707, 7/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon, Hong Kong.

PHONE: 3521 1444

FAX: 3521 1441, 3747 4694

E-MAIL: info@shine-stone.net

shinestoneltd@yahoo.com

shinestone@in.com

MANAGEMENT

Managing Director: Mr. Hitesh Parshotambhai Mangukia

SUMMARY

Incorporated on: 19th May, 2006.

Organization: Private Limited Company.

Capital: Nominal: HK$3,000,000.00

Issued: HK$3,000,000.00

Business Category: Diamond Trader.

Employees: 3.

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

Banking Relation: Satisfactory.

ADDRESS

Registered Head Office:-

Room 707, 7/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon, Hong Kong.

Affiliated Company:-

Sonal Gems (India), India.

BUSINESS REGISTRATION NUMBER

36766082

COMPANY FILE NUMBER

1046366

MANAGEMENT

Managing Director: Mr. Hitesh Parshotambhai Mangukia

CAPITAL

Nominal Share Capital: HK$3,000,000.00 (Divided into 3,000,000 shares of HK$1.00 each)

Issued Share Capital: HK$3,000,000.00

SHAREHOLDERS

(As per registry dated 19-05-2010)

Name		No. of shares
Hitesh Parshotambhai MANGUKIA		2,100,000
Parita Hitesh MANGUKIYA		900,000
		––––––––
	Total:	3,000,000 =======

DIRECTORS

(As per registry dated 19-05-2010)

Name (Nationality)	Address
Hitesh Parshotambhai MANGUKIA	Room 707, 7/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon, Hong Kong.
Parita Hitesh MANGUKIYA [Alternate director to Hitesh Parshotambhai MANGUKIA]	Room 707, 7/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon, Hong Kong.

SECRETARY

(As per registry dated 19-05-2010)

Name	Address	Co. No.
Champion Corporate Ltd.	Room 2002, 20/F., Emperor Group Centre, 288 Hennessy Road, Wanchai, Hong Kong.	0657221

HISTORY

The subject was incorporated on 19th May, 2006 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, Exporter and Wholesaler.

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

Employees: 3.

Commodities Imported: India, Belgium, other European countries, etc.

Markets: Japan, other Asian countries, Middle East, etc.

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

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

MEMBERSHIP

Hong Kong Watch Manufacturers Association Ltd., Hong Kong.

FINANCIAL INFORMATION

Nominal Share Capital: HK$3,000,000.00 (Divided into 3,000,000 shares of HK$1.00 each)

Issued Share Capital: HK$3,000,000.00

Alternation of Capital:-

Initially	paid up	HK$ 1,500,000.00
16-09-2009	paid up	HK$ 1,500,000.00
		–––––––––––––––
Total:	paid up	HK$ 3,000,000.00 ==============

Increase of Nominal Capital:-

From

HK$1,500,000.00

to

HK$3,000,000.00

on

16-09-2009

Mortgage or Charge: (See attachment)

Profit or Loss: Made a small profit in 2009.

Condition: Business is normal.

Facilities: Adequate for current running.

Payment: Met obligations as contracted.

Commercial Morality: Satisfactory.

Bankers:-

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

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Standing: Small.

GENERAL

Having issued 1.5 million ordinary shares of HK$1.00 each, Shine Stone (HK) Ltd. was wholly owned by Mr. Hitesh Parshotambhai Mangukia who is an Indian. H. P. Mangukia is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. He is also the only director of the subject. His alternate director, appointed on 16th September, 2009, is Mr. Parita Hitesh Mangukiya.

Formerly the subject was jointly owned by an Indian company, Jay Manav Impex, holding 55% interests; and H. P. Mangukia, holding 45%. On 30th January, 2009, Jay Manav Impex transferred all its shares to H. P. Mangukia. Since then, H. P. Mangukia had become the sole owner of the subject. In September 2009, the subject increased its ordinary shares to 3 million of HK$1.00 each, of which 2.1 million shares were allotted to H. P. Mangukia while the rest 0.9 million shares were allotted to Mr. Parita Hitesh Mangukiya who is the new shareholder. After the allotment, H. P. Mangukia is holding 70% interests of the subject while P. H. Mangukiya, holding 30%. The subject is a family business of the Mangukias.

The subject is a diamond importer, exporter and wholesaler. It is trading in all kinds of loose diamonds and fancy diamonds. Some of the real single cut and full cut diamonds are for watches.

The subject is a subsidiary company of Sonal Gems (India) [Sonal Gems] which is an India-based firm specialized in single cut and full cut diamonds for jewellery and watches. Sonal Gems is in Mumbai, India. This firm is a member of the Sonal Group of Companies in India.

The subject also trades in wristwatches for ladies and men. Most of the commodities are imported from India and Europe. Prime markets are Hong Kong, Japan and the other Asian countries.

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 Watch and Clock Fair” and “Hong Kong International Jewellery Show” which are held in Hong Kong annually.

The latest two exhibitions taken part by the subject was Hong Kong International Jewellery Show 2010 which had been held during the period of 5 to 9 March, 2010 and Hong Kong Watch & Clock Fair 2010 which had been held during the period of 6th to 10th September, 2010.

The subject’s business is chiefly handled by the Mangukias themselves. The contact person is Mr. Heet Mangukia.

The subject had got an associated company Shamya Exim Ltd. which was located at the subject’s operating address. However, Shamya Exim Ltd. has moved out since December 2008.

The history of the subject is about four years and five months in Hong Kong. Overall business is active.

On the whole, consider it good for normal business engagements.

REMARKS

Court Cases: None per our.

Property information of the company:-

1. Property Location: Workshop Unit No. 7 on 7/F., Heng Ngai Jewelry Centre,
4 Hok Yuen Street East, Kowloon, Hong Kong.

Owner: Shine Stone (HK) Ltd.

Date of Purchase: n.a.

Purchased Price: n.a.

Incumbrances:-

Date of Mortgage	Amount Consideration	Mortgagee	Nature
23-09-2009	-	The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.	Mortgage to secure general banking facilities

2. Property Location: Flat B on 16/F. of Tower 9, Villa Verde (Phase IIA), Laguna Verde, 8 Laguna Verde Avenue, Kowloon, Hong Kong.

Owner: Shine Stone (HK) Ltd.

Date of Purchase: n.a.

Purchased Price: n.a.

Incumbrances:-

Date of Mortgage	Amount Consideration	Mortgagee	Nature
22-10-2008	-	Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.	Mortgage to secure general banking facilities

MORTGAGE OR CHARGE

Date	Particulars	Amount
22-10-2008	Instrument: Mortgage Property: 44/534,325th parts or shares of and in Kowloon Inland Lot No. 11056 [Flat B on 16/F. of Tower 9 of Villa Verde (Phase IIA) of Laguna Verde, 8 Laguna Verde Avenue, Kowloon, Hong Kong.] Mortgagee: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.	All moneys
21-07-2009	Instrument: Deed of Rectification Property: 44/534,325th parts or shares of and in Kowloon Inland Lot No. 11056 [Flat B on 16/F. of Tower 9 of Villa Verde (Phase IIA) of Laguna Verde, 8 Laguna Verde Avenue, Kowloon, Hong Kong.] Mortgagee: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.	To secure all moneys in respect of general banking facilities
23-09-2009	Instrument: Mortgage Property: 20/4,978th parts or shares of and in Section D of Kowloon Marine Lot No. 113 [Workshop Unit No. 7 on 7/F. of Heng Ngai Jewelry Centre (formerly known as Regent Centre), 4 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.] Mortgagee: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.	All moneys

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.58
UK Pound	1	Rs.72.73
Euro	1	Rs.61.45

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.