MIRA
INFORM REPORT
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Report Date : |
28.03.2011 |
IDENTIFICATION DETAILS
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Name : |
CHOICE ELECTRICALS |
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Registered
Office : |
12, S.M. Plaza, Ground Floor, No.93 (Old No.45), |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Year of
Establishment : |
1998 |
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TIN No.: |
33880080942 |
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Legal Form : |
Sole Proprietory Concern |
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Line of Business
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Dealer, Trader and Distributor of various kinds of
Luminaires, Cables, Switches, Wires, Fans and other accessories. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (51) |
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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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Maximum Credit Limit : |
-- |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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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 good for normal 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. Saravanan |
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Designation : |
Executive |
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Contact No.: |
91-44-25223322 |
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Date : |
26.03.2011 |
LOCATIONS
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Registered Office : |
12, S.M. Plaza, Ground Floor, No.93 (Old No.45), |
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Tel. No.: |
91-44-25223322/ 42161627 |
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Fax No.: |
91-44-25357203 |
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E-Mail : |
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Website : |
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Branch/ Sales Office : |
New No.325 (Old No.158), |
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Tel. No.: |
91-44-25355522 |
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Fax No.: |
91-44-25357203 |
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E-Mail : |
SOLE PROPRIETOR
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Name : |
Mr. K.V. Mohandass |
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Designation : |
Proprietor |
KEY EXECUTIVES
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Name : |
Mr. Saravanan |
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Designation : |
Executive |
BUSINESS DETAILS
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Line of Business : |
Dealer, Trader and Distributor of various kinds of
Luminaires, Cables, Switches, Wires, Fans and other accessories. |
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Products : |
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Agencies Held : |
• Philips • Legrand Electrical Equipment • Mosaic Electrical Equipment • Mk India Electrical Equipment • Polycab Electrical Equipment • Finolex Electrical Equipment • Usha Electrical Appliances • Crompton Greaves Electrical Equipment • Anchor Electrical Equipment • Zucchini and Cablofil Electrical Equipment |
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Terms : |
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Selling : |
Cash and Credit (30 days) |
GENERAL INFORMATION
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Customers : |
Wholesalers, Retailers and End Users |
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No. of Employees : |
30 (Approximately) |
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Bankers : |
Punjab National Bank, |
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Banking Relations
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-- |
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Auditors : |
Not Available |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Not Available |
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Borrowed : |
Not Available |
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Total : |
Not Available |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
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31.03.2010 (Approximately) |
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Sales Turnover |
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200.000 |
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LOCAL AGENCY FURTHER INFORMATION
TRADE REFERENCES:
·
Apollo Hospitals Enterprises Limited, Chennai
·
Ashok Leyland Limited, Chennai
·
Chennai Petroleum Corporation Limited
·
Bailey Hydropower Limited
·
·
MRF Limited
·
SRF Limited
·
Sundaram Fasteners Limited, Chennai,
·
Tube Products of India Limited, Chennai
·
TI Diamond Chain Limited, Chennai
·
Visteon Automotive India Limited, Chennai
·
Vellammal Educational Trust, Chennai
·
Prathyusha Educational Trust, Chennai
PROFILE:
This is a proprietorship firm started 13 years ago that is in 1998, by
Mr. K V Mohandass. They are traders of various kinds of Luminaires, Cables,
Switches, Wires, Fans and other accessories. They cater to the construction and
infrastructure sectors. They deal in the products of the following companies
• Polycab
• Philips
• Legrand
• Havells
• Cablofil
They do no do any exports or imports. They are dealers and traders all
over
They are one of the leading dealers in this field as their turnover is
about 200.000 millions. About 30 people work for them on the field and off it
at the office. Their bankers are Punjab National bank at Linghi chetty Street,
Chennai 600001.
They claim that their location in the Parry’s corner which is the hub of
the electrical market gives them an advantage for whole sale sales. They are
also empanelled by several leading construction companies for the supply of
electrical goods and lighting equipment for their buildings. They have a brisk
counter sales and have a sales office in Linghi chetty street. There is no way
to assess their financial strength of this firm. Caution advised in all
financial transaction with the firm. However they spoke to Mr. Saravanan who is
in the accounts department and he said that the firm is not under any debt to
any bank and their turnover is well over 200.000 millions annually.
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
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Indian Rupees |
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US Dollar |
1 |
Rs.44.65 |
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1 |
Rs.71.91 |
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Euro |
1 |
Rs.63.28 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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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 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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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 |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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51 |
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
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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- |
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.