MIRA INFORM REPORT

Report Date :

28.06.2011

IDENTIFICATION DETAILS

Name :	RAJANI DISTRIBUTORS PRIVATE LIMITED
Registered Office :	1213 / 1214, GIDC II, Sabalpur, Junagadh – 362003, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	03.10.2003
Com. Reg. No.:	04-043003
Capital Investment / Paid-up Capital :	Rs.25.099 Millions
CIN No.: [Company Identification No.]	U15491GJ2003PTC043003
TIN :	24120201131
TAN No.: [Tax Deduction & Collection Account No.]	RKTR01160F
PAN No.: [Permanent Account No.]	AACCR6405K
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Trader, Exporter And Supplier Of Spices Like Chill Powder, Edible Salt, Chat Masala, Garam Masala, Turmeric, Black Paper Powder etc.
No. of Employees :	115 [In Office 25 + In Factory 80] Approximately

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 100000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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)
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. Dhaval Rajani
Designation :	Director
Contact No.:	91-8980000500
Date :	24.06.2011
Name :	Mr. Ravi T.
Designation :	Sales Manager
Contact No.:	91-2823-283501
Date :	24.06.2011

LOCATIONS

Registered Office :	1213 / 1214, GIDC II, Sabalpur, Junagadh – 362003, Gujarat, India
Tel. No.:	91-2823-283501 / 02 / 03 / 04 / 06
Mobile No.:	91-8980000500 [Mr. D. Rajani]
Fax No.:	91-2823-283505
E-Mail :	cdcfc@redffimail.com
Website :	http://www.rajanigroup.com
Area :	2000 Sq.ft.
Location :	Owned
Corporate Office :	Rajani House, New Sankli Bus Stop, Junagadh Highway, New Sankli Jetpur – 360360, Gujarat, India

DIRECTORS

As on 28.09.2010

Name :	Mr. Prashant N Adhiya
Designation :	Director
Address :	Block No 21 Sheri No 2, Sudamapuri Society B/H Shrinath Nagar, Junagadh – 362002, Gujarat, India
Date of Birth/Age :	22.11.1981
Date of Appointment :	01.08.2009
DIN :	02917978
Name :	Mrs. Radhikaben Sandipbhai Adhiya
Designation :	Director
Address :	J B Complex, Panch Hatdi Chowk, Junagadh – 362001, Gujarat, India
Date of Birth/Age :	26.06.1977
Date of Appointment :	01.08.2009
DIN :	02827133
Name :	Mrs. Dharaben J Rajani
Designation :	Director
Address :	Milan, Shambhunagar B/H Shreenath Nagar, Junagadh - 362001, Gujarat, India
Date of Birth/Age :	17.09.1985
Date of Appointment :	01.08.2009
DIN :	02921832
Name :	Mr. Jayshil Jamnadas Rajani
Designation :	Director
Address :	' Milan ' ,Shambhu Nagar, B/H Shrinath Nagar, Junagadh – 362002, Gujarat, India
Date of Birth/Age :	07.04.1983
Date of Appointment :	01.08.2009
DIN :	02940731
Name :	Mr. Nilesh Narotamdas Adhiya
Designation :	Director
Address :	Block No.21, Sheri No.2, Sudamapuri Society B/H Shrinath Nagar, Junagadh – 362002, Gujarat, India
Date of Birth/Age :	20.04.1965
Date of Appointment :	01.08.2009
Din :	02917952
Name :	Mr. Vinodbhai Keshavjibhai Pattani
Designation :	Director
Address :	Jayshri Nagar, 18, Rajkiran Appartment, Junagadh - 362001, Gujarat, India
Date of Birth/Age :	24.11.1950
Date of Appointment :	01.08.2009
Din :	02827188
Name :	Mr. Bharatkumar Gordhandas Rajani
Designation :	Director
Address :	“Ashish” Shrinath Nagar, Behind Giriraj Socity, Junagadh 362001
Date of Appointment :	03.10.2003
Din :	00501628
Name :	Mr. Dharmendrakumar Gordhands Rajani
Designation :	Director
Address :	“Govardhan Bhuvan” Giriraj Socity, Behind S.T.Stand, Junagadh 362001
Date of Appointment :	03.10.2003
Din :	00501682
Name :	Mrs. Archanaben Mukeshbhai Rajani
Designation :	Director
Address :	Premlaxmi Appt, Bl. No. 5, 2^nd Floor, Vanzari Chowk, Junagadh 362001
Date of Appointment :	30.09.2005
Din :	00501742
Name :	Mrs. Jayashriben Vinodkumar Patani
Designation :	Director
Address :	Rajkiran Aprt. 3^rd Floor, Block No.18, Behind Talav Gate, Junagadh 362001
Date of Appointment :	30.09.2005
Din :	00501766
Name :	Ms. Rupaben Virenbhai Rajani
Designation :	Director
Address :	“Maruti”, Talav Gate, Jayshree Nagar, Junagadh 362001
Date of Appointment :	30.09.2005
Din :	00501860
Name :	Mrs. Charmiben Chiragkumar Patani
Designation :	Director
Address :	Rajkiran Aprt. 3^rd Floor, Block No.18, Behind Talav Gate, Junagadh 362001
Date of Appointment :	30.09.2005
Din :	01990858

KEY EXECUTIVES

Name :	Mr. Ravi T.
Designation :	Sales Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2010

Names of Shareholders	No. of Shares
Bharatkumar Gordhandas Rajani	177800
Dharmendrakumar Gordhands Rajani	192050
Archanaben Mukeshbhai Rajani	7000
Jayashriben Vinodkumar Patani	5000
Rupaben Virenbhai Rajani	204750
Charmiben Chiragkumar Patani	131500
Radhikaben Adhiya	85500
Vinodrai Pattani	156600
Prashantbhai Adhiya	64000
Jayshil Jamnadas Rajani	16000
Dhara J Rajani	34000
Chandrikaben Adhiya	80000
Chiragbhai Pattani	157500
Chiragbhai Pattani HUF	31800
Vinodrai K. Pattani HUF	66000
Bharatbhai G. Rajani HUF	204010
Jyotiben B. Rajani	35000
Arunaben J. Rajani	39560
Bhaveshkumar J. Rajani	147000
Dharmendrakumar G. Rajani Huf	16010
Jayshilkumar J. Rajani HUF	52000
Mukeshkuamr G. Rajani	247000

As on 21.03.2011

Names of Allotteess	No. of Shares Allotted
Chandrikaben Adhiya	20800
Nileshbhai Adhiya	5500
Charmiben Pattani	9500
Chiragbhai Pattani	18300
Vinodrai Pattani	4350
Radhikaben Adhiya	8000
Prashantbhai Adhiya	8400
Rupaben Rajani	9600
Jayshreeben Pattani	6600
Mukeshkumar Rajani HUF	7400
Total	98450

As on 28.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Trader, Exporter And Supplier Of Spices Like Chill Powder, Edible Salt, Chat Masala, Garam Masala, Turmeric, Black Paper Powder etc.
Exports :
Products :	Spices
Countries :	Singapore Dubai Gulf Countries
Terms :
Selling :	L/C / Cash / Credit
Purchasing :	Cash / Credit

GENERAL INFORMATION

Customers :

• Retailers
• End users
• OEM’s

No. of Employees :

115 [In Office 25 + In Factory 80] Approximately

Bankers :

• Dena Bank, M.G. Road Branch, Junagadh - 362001, Gujarat, India
• Co-operation Bank, Gujarat, India
• Vijaya Bank
• IDBI Bank
• HDFC Bank
• Axis Bank
• ICICI Bank
• The Junagadh Commercial Cooperative Bank Limited, Junagadh – 362001, Gujarat, India
• Bank of Baroda
• Co.Op. Bank of Rajkot

Facilities :

Secured Loan [Rs. in million]	31.03.2010	31.03.2009
Secured loans from Dena bank [H D.F.C bank] secured against securities of NSC, ICICI Bonds, LIC etc. investments of the Directors and their relatives	0.000	0.000
Secured loans from Dena Bank (Dena bank secured by hypothecation of stock of raw materia!s semi finished, finished goods, stores. spares and packing materials and book debts and guaranteed by directors and collaterally secured by mortgage of immovable properties of Mr. B D Rajani and Mrs..Rupaben V. Rajani and Shop No. 1 of Mr V.G.Rajani, Residential .building at S. nagar and shop no.43 at Sarthi Complex, Junagadh.	69.096	30.030
Secured Pledge loan from Junagadh Comm Co .Op. bank limited against pledge of stock	0.000	5.637
Secured loan from kotak mahindra bank limited against hypothecation of vehicles – staff bus.	0.642	0.000
HDFC Personal Loan (Term loan )	0.000	0.548
Total	69.738	36.215
Unsecured Loan [Rs. in million]	31.03.2010	31.03.2009
Deposits against dealership	1.226	2.177
Sundry Deposit from shareholders, relative of Shareholders	0.300	6.768
Sundry Deposits from others	0.500	3.547
Total	2.026	12.492

Banking Relations :	--
Auditors :
Name :	C.H. Thadeshwar and Company Chartered Accountant
Address :	15, Chamber of commerce, Building, Jayshri Cinema Road, Junagadh – 362001, Gujarat, India
Associates/Subsidiaries :	Rajani Spices, Gujarat, India Activity – Spices Rajani Agarbatti, Gujarat, India Activity – Agarbatti

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
2,750,000	Equity Shares	Rs.10/-each	Rs.27.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2,509,950	Equity Shares	Rs.10/-each	Rs.25.099 millions

As on 21.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2,750,000	Equity Shares	Rs.10/-each	Rs.27.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2,608,400	Equity Shares	Rs.10/-each	Rs.26.084 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

Particulars		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		25.099	14.719	5.353
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.399	0.652	0.498
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		27.498	15.371	5.851
LOAN FUNDS
1] Secured Loans		69.738	36.215	7.125
2] Unsecured Loans		2.026	12.492	9.760
TOTAL BORROWING		71.764	48.707	16.885
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		99.262	64.078	22.736
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5.444	5.035	6.179
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.191	0.004	0.004
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	63.550	36.475	6.261
	Sundry Debtors	30.749	36.024	20.065
	Cash & Bank Balances	3.719	4.013	1.613
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	24.880	4.654	15.073
Total Current Assets		122.898	81.166	43.012
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	21.757	7.464	22.458
	Other Current Liabilities	2.069	0.498	1.037
	Provisions	5.445	14.201	3.036
Total Current Liabilities		29.271	22.163	26.531
Net Current Assets		93.627	59.003	16.481
MISCELLANEOUS EXPENSES		0.000	0.036	0.072
TOTAL		99.262	64.078	22.736

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income
		Other Income
		TOTAL (A)	350.094	260.770	239.844
Less	EXPENSES
		Purchase and Administrative Expenses	346.406	259.192	237.999
		Preliminary Expenses Written off	0.037	0.037	0.037
		TOTAL (B)	346.443	259.228	238.036
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3.651	1.542	1.808
Less	FINANCIAL EXPENSES (D)		0.000	0.000	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.651	1.542	1.808
Less/ Add	DEPRECIATION/ AMORTISATION (F)		[1.008]	[1.046]	1.334
	PROFIT BEFORE TAX (E-F) (G)		2.643	0.496	0.474
Less	TAX (I)		0.850	0.210	0.110
	PROFIT AFTER TAX (G-I) (J)		1.793	0.286	0.364
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.652	0.498	0.321
Less	APPROPRIATIONS
		Income Tax 31.03.2009 [31.03.2008]	[0.004]	[0.067]	[0.062]
		Fringe Benefit tax 31.03.2009 [31.03.2008]	[0.042]	[0.065]	0.125
	BALANCE CARRIED TO THE B/S		2.399	0.652	0.498
	Earnings Per Share (Rs.)		0.71	--	--

Particulars	31.03.2011
Sales Turnover [Approximately]	450.000

The above information has been parted by Mr. Dhaval Rajani [Director] and Mr. Ravi T. [Sales Manager]

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.51	0.11	0.15
Net Profit Margin (PBT/Sales)	(%)	0.75	0.19	0.20
Return on Total Assets (PBT/Total Assets}	(%)	2.06	0.57	0.96
Return on Investment (ROI) (PBT/Networth)		0.10	0.03	0.08
Debt Equity Ratio (Total Liability/Networth)		3.67	4.61	7.42
Current Ratio (Current Asset/Current Liability)		4.20	3.66	1.62

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL RESULTS:

During the year the sales become Increase in comparative to previous year sales of Rs.350.094 millions against previous year’s sales of Rs. 260.771 millions.

REVIEW OF OPERATION:

The Company has maintained desired quality of the product. The Company is constantly progressing and has achieved the set targets during the year despite of stiff competition in the market.

Bankers Charges Report as per Registry

Corporate identity number of the company	U15491GJ2003PTC043003
Name of the company	RAJANI DISTRIBUTORS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1213 1214 GIDC II Sabalpur, Junagadh – 362003, Gujarat, India
This form is for	Modification of Charge
Charge identification (ID) number of the charge to be modified	10149819
Type of charge	Book Debts Others
Particular of charge holder	Dena Bank, M.G. Road Branch, Junagadh - 362001, Gujarat, India
Nature of instrument creating charge	Unattested Memorandum Of Modification Of Hypothecation Agreement From Companies
Date of instrument Creating the charge	15.03.2011
Amount secured by the charge	Rs.97.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest - Base Rate + 2.75% I.E. At Present 11.20% P.A. Terms of Repayment - Repayable On Demand Margin - 25% - Stock Of Raw Materials, Wip, Finished Goods, Stores and Spares, Packing Materials And Others. 50% - Book Debt. Extent and Operation of the charge - First And Exclusive Charge
Short particulars of the property or asset(s) charged (including complete address and location of the property)	All stocks of raw materials, goods in process and semi finished and finished goods, stores and spares, packing materials etc. Both present and future, in course of transit to any godowns of the company. All tangible movable properties incl. Plant, machinery, tools, accessories, stores, spares, furniture, articles, office equipments, computers, things lying at the premises/factories of the company All the present and future book-debts, outstandings, moneys, receivables, claims, bills, rights T or in movable properties which are now due, owing or payable or belonging to the company.
Date of instrument modifying the charge	29.09.2009
Particulars of the present modification	Cash Credit Facility/ IES Shall Be Increased From Rs. 70.000 millions To Rs. 97.500 millions.

FIXED ASSETS :

· Plant and Machinery

· Furniture

· Computer

· Electrical Motor

· Fax Machine

· Air Conditioner

· Water Cooler

· EPABX Machine

· Inverter

· Xerox Machine

· Video Camera

· Auto Pouch Pckg

· Air Compressor Machine

· Auto Blending Machine

· Cash Counting Machine

· Packing Machine

· Stabilizer

· Printing Copier machine

· Mobile Instrument

· Vehicles

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.45.10
UK Pound	1	Rs.71.87
Euro	1	Rs.63.75

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--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		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.