MIRA
INFORM REPORT
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Report Date : |
02.06.2011 |
IDENTIFICATION DETAILS
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Name : |
RUMANA LEATHER COMPANY |
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Registered
Office : |
Anugraha Apartments C-Block, 1A, 1st Floor, 1, Nungambakam
High Road, Chennai-600034, Tamil Nadu |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Year of Establishment
: |
1993 |
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VAT No.: |
33581501381 |
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Capital
Investment / Paid-up Capital : |
Not Divulged |
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Legal Form : |
Sole Proprietory Concern. |
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Line of Business
: |
Manufacturer and Exporters of finished leather. |
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No. of Employees
: |
50 (In Factory) (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (47) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established proprietory concern having satisfactory track.
Trade relations are reported as fair. Business is active. Payments are
reported to be usually correct and as per commitments. The concern can be considered normal for 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 – April 1, 2010
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Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INFORMATION PARTED BY
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Name : |
Mr. Ahmed |
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Designation : |
Office Assistant |
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Contact No.: |
91-44-28202092 |
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Date : |
28.05.2011 |
LOCATIONS
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Registered Office / Corporate Office : |
Anugraha Apartments C-Block, 1A, 1st Floor, 1, Nungambakam
High Road, Chennai-600034, Tamil Nadu, India |
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Tel. No.: |
91-44-28202092 /3 / 28232186 |
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Fax No.: |
91-44-28258806 |
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E-Mail : |
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Website : |
www.althafshoes.com (under
construction) |
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Factory 1 : |
64, Komeswaram, M. C. Road, Ambur-635002, Tannery, India |
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Tel. No.: |
91-4174-243041/ 241106 / 242041 |
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Fax No.: |
91-4174-243042 |
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E-Mail : |
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Factory 2 : |
395, Pazhanjur Road, Chembarambakkam Post, Chennai-602103, Tamil Nadu,
India |
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Tel. No.: |
91-44-26811928 |
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Fax No.: |
91-44-26811926 |
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E-Mail : |
SOLE PROPRIETOR
|
Name : |
Mr. Mohamed Musthaque |
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Designation : |
Proprietor |
KEY EXECUTIVES
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Name : |
Mr. A. Altahf Ahmed |
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Designation : |
Office Assistance |
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Name : |
Mr. E Kamala Kannan |
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Designation : |
General Manager |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Exporters of finished leather. |
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Products : |
Finished Leather. |
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Exports : |
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Products : |
Finished Leather. |
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Countries : |
·
Slovakia ·
Austria ·
Germany ·
Switzerland ·
Europe ·
USA |
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Imports : |
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Products : |
Chemicals |
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Terms : |
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Selling : |
L/C, Credit |
PRODUCTION STATUS AS ON
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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Finished Leather Tanning |
SQ. Ft. |
NA |
100000 |
To Full Capacity |
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GENERAL INFORMATION
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Customers : |
·
Wholesalers ·
End Users |
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No. of Employees : |
50 (In Factory) (Approximately) |
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Bankers : |
·
State Bank of India, Madame Cama Road,
Mumbai-400021, Maharashtra, India ·
Indian Bank, Periamet, Chennai-600003, Tamil
Nadu, India |
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Banking
Relations : |
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Auditors : |
Not Divulged |
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Members : |
·
Leather Council of India, Periamet,
Chennai-600003, Tamil Nadu, India ·
Indian Shoe Federation, 3rd Floor,
CMDA Tower II, Gandhi Irwin Bridge Road, Egmore, Chennai-600008, Tamil Nadu,
India ·
Indian Foot wear Components Manufacturers
Association, FDDI Complex, A10/A, Sector 24, Noida-201301, India |
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Sister Concern : |
Althaf Shoes Private Limited Address :Chembarabakkam, Chennai, Tamil Nadu, India Line of Business : Manufacturer of Children Shoes, Footwear, Shoe
Uppers, Shoes |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Not Divulged |
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Borrowed : |
Not Divulged |
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Total : |
-- |
FINANCIAL DATA
[all figures are in
Rupees Millions]
|
Particulars |
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31.03.2010 |
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Sales Turnover |
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100.000 |
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The above information has been parted by Mr. Ahmed.
Note : Sole Proprietory and Partnership concerns are exempted
from filing their financials with the Government Authorities or Registry
Records.
LOCAL AGENCY FURTHER INFORMATION
History
Subject is a decicated tannery to Althaf Shoes
Private Limited and belongs to the group. The tannery does about 1 Lakh sq. ft.
of leather per month and does a turnover of about 100.000 millions individually
and 500.000 millions for the group.
Profile
This is a proprietory firm, a tannery so to say
started by Mr. K H Mohamed Musthaque in Ambur. Tannery is situated in the heart
of Ambur, the Mecca of South Indian Tanneries. Ambur as you know is the busiest
place for tanning and finished leather manufacturing and the place is full of
them. Rumana is one of the tanneries. The tannery has state of the art
machinery to turn wet blue leather thus produced is sent to their shoe
producing factory at Chembaramakkam on the outskirts of Chennai. They manage to
produce about one lakh sq. ft. of leather per month. The leather produced is
solely used by their factory called Althaf Shoes Private Limited. The excess
leather is exported. Althaf Shoes is a very big name in the footwear industry
and has bagged many a prizes from the leather council at Chennai and from other
bodies. About 2000 people work in this factory. The group was incorporated in
the year 1993. The company’s modernized tannery is Rumana Leather Company. Both
the tannery at Ambur and the factory at Chembarambakkam are equipped with the
latest machinery catering to the leading brands of shoes in Europe. They also
have two direct injection molding units in their new facility specializing in
children foot wear. Needless to say that their shoes are manufactured as per
European standards and are branded by the buyers. The group has a turnover of
Rs. 500.000 millions INR. Their bankers are State Bank of India, Madam Cama
Road, Mumbai-400021 at Mumbai and Indian Bank at Chennai.
A very big Tanner and Shoe manufacturer with
various awards and prizes to their credit.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.44.89 |
|
|
1 |
Rs.73.84 |
|
Euro |
1 |
Rs.64.76 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
5 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
NO |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
47 |
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 |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.