MIRA INFORM REPORT

Report Date :

30.05.2011

IDENTIFICATION DETAILS

Name :	SANCHETI AND SONS JEWELLERS
Registered Office :	65/67, 2^nd Floor, Shop No.-07, Sheikh Memon Street, Zaveri Bazar, Mumbai-400002, Maharashtra
Country :	India
Financials (as on) :	31.03.2011 (Provisional)
Year of Establishment :	1988
Capital Investment/ Paid-up Capital:	Rs. 13.462 Millions
PAN No.: [Permanent Account No.]	AAFPS0110E
Legal Form :	Sole Proprietory Concern
Line of Business :	Manufacturer and Dealer of Gold Ornaments.
No. of Employees:	6 (Office 4, Branch 2) (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	No Complaints
Litigation :	Clear
Comments :	Subject seems to be an established concern having moderate track. Trade relations are reported as fair. The valuation report provided is of a lesser value than the transaction amount. No complaints have been heard from indirect or market sources. It would be advisable to take adequate securities while dealing with the subject.

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

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
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. Raj Singh
Designation :	Finance Division
Contact No.:	91-9833759393
Date :	24.05.2011

LOCATIONS

Registered Office :	65/67, 2^nd Floor, Shop No.-07, Sheikh Memon Street, Zaveri Bazar, Mumbai-400002, Maharashtra, India
Tel. No.:	91-22-22438430/ 66078430/ 65148430
Mobile No.:	91-9867260841 (Mr. Kiran Surana)
E-Mail :	ashok_sancheti@yahoo.co.in
Area :	Owned
Branches :	Located at: Varanasi

SOLE PROPRIETOR

Name :	Mr. Ashok Sancheti
Designation :	Proprietor
Date of Birth/Age :	42 Years
Qualification :	Graduate

KEY EXECUTIVES

Name :	Mr. Raj Singh
Designation :	Finance Division

BUSINESS DETAILS

Line of Business :	Manufacturer and Dealer of Gold Ornaments.
Terms :
Selling :	Credit ( 60-90 Days)
Purchasing :	Cash and Credit (60 Days)

GENERAL INFORMATION

Suppliers :

· KBJ Gold Ornaments Limited

· Prakash Saboo and Associates

· V R Ornaments

· Gold Prince

· Sun Craft

· Star Bangle

· Kishor Rupwani

Customers :

Wholesalers

· Dayalu Jewellers

· Shri Radha Krishna Jewellers

· Hari Om Jewellers

· Titan Industries Limited

· VDC

· Dhan Laxmi Gold

· Kanak Jewellers

· KBJ Jewels Private Limited

· Rigal Gold Private Limited

· Tejas Gold

No. of Employees :

6 (Office 4, Branch 2) (Approximately)

Bankers :

• The Saraswat Co-Operative Bank Limited, Thakurdwar
• Bank of India, Bullion Exchange Branch.
• HDFC Bank

Facilities :

Secured Loans	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
HDFC Bank	0.000	0.000
Union Bank of India	0.000	5.818
The Saraswat Bank Co-operative Bank Limited	32.438	0.000
Total	32.438	5.818
(Secured against hypothecation of stock and mortgage of residential of proprietor and F.D. with Union Bank personal guarantee of proprietor)
Unsecured Loan	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
G.R. Pharmacetical	0.554	0.500
Satakar Gold (L)	0.332	0.300
Shashikala M Jain	0.190	0.176
Ashok L Sancheti H.U.F.	1.351	0.075
Dr. K.N. Punmiya HUF	0.300	0.150
Mohanlal J Jain	0.300	0.300
Pradeep B Munot	0.200	0.200
Tina B Munot	0.100	0.100
Bupendra S Patel	0.000	0.321
Dr. K N Punmiya	0.800	0.400
Hema Mahendra Jain	0.000	0.008
Himmatlal D Rathod	0.000	0.004
Jalak Jatin D Sanghvi	0.000	0.100
Ketan Agarchandji Surana (Jain)	0.136	1.500
Leela K Punmiya	0.550	0.250
L.P. Sancheti	0.000	0.150
Madanlal D Rathod	0.000	0.004
Mehta Brother	0.023	0.250
Neelam S Mehta	0.073	0.068
R Rajendra Kumar	0.000	0.772
Sajan C Mehta	0.126	0.116
Sunit Corporation	0.500	0.500
Vikas H Rathod	0.000	0.004
Rohan A Sancheti	0.933	0.000
Rajubhai Purohit	0.000	0.000
Total	6.468	6.248

Credit Limits: - Rs. 4000.000 Millions (From Saraswat Co-Operative Bank Limited)

Banking Relations :	--
Auditors :
Name :	Arun D Bhandari Chartered Accountant
Address :	Office No. 408, 4^th Floor, Cotton Exchange building, 175, Kalbadevi Road, Mumbai-400002, Maharashtra, India
Tel. No.:	91-22-22404781/ 25031772
E-Mail :	arun3_bhandari@rediffmail.com

CAPITAL STRUCTURE

CAPITAL ACCOUNT

As on 31.03.2011 (Provisional)

Particulars	Amount (Rs. in Millions)
Advance Tax (10-11)	[0.050]
Ashok L Sancheti	14.354
Aviva Life Insurance	[0.017]
Drawings	[0.080]
HDFC Insurance	[0.100]
Life Insurance Premium	[0.124]
S.A. Tax	[0.440]
Tax on Regular Assessment	[0.033]
Tax on Interest Received	[0.010]
TDS Received	[0.038]
Total Capital Account	13.462

FINANCIAL DATA

[all figures are in Rupees Millions]

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011 (Provisional)	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		13.462	12.856	7.026
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		3.159	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		16.621	12.856	7.026
LOAN FUNDS
1] Secured Loans		46.009	32.438	5.818
2] Unsecured Loans		7.174	6.468	6.248
TOTAL BORROWING		53.183	38.906	12.066
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		69.804	51.762	19.092
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.091	0.107	0.096
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.025	0.025	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	48.448	29.741	9.335
	Sundry Debtors	46.745	37.991	4.698
	Cash & Bank Balances	0.494	1.101	1.095
	Other Current Assets	2.934	0.000	0.000
	Loans & Advances	1.524	5.349	5.586
Total Current Assets		100.145	74.182	20.714
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	30.514	22.408	1.570
	Other Current Liabilities	[0.117]	0.000	0.000
	Provisions	0.060	0.144	0.148
Total Current Liabilities		30.457	22.552	1.718
Net Current Assets		69.688	51.630	18.996
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		69.804	51.762	19.092

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011 (Provisional)	31.03.2010	31.03.2009
	SALES
		Income	738.806	497.224	48.425
		Job Charges received	0.000	0.497	6.098
		Other Income	2.500	0.363	0.701
		TOTAL	741.306	498.084	55.224
Less	EXPENSES
		Cost of Goods Sold	724.269	509.922	50.792
		Administrative and Selling Expenses	0.000	1.566	1.983
		Increase in Stock	0.000	[20.406]	[5.104]
		Job Charges Paid	0.000	1.631	4.870
		Bank Charges	0.127	0.000	0.000
		Bank Interest DOD	5.537	0.000	0.000
		Conveyance	0.068	0.000	0.000
		Salary	0.234	0.000	0.000
		Traveling Expenses	0.202	0.000	0.000
		Weightment Charges	0.002	0.000	0.000
		Other Expenses	7.691	0.000	0.000
		TOTAL	738.130	492.713	52.541
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		3.176	5.371	2.683
Less	FINANCIAL EXPENSES		0.000	2.918	1.489
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		3.176	2.453	1.194
Less/ Add	DEPRECIATION/ AMORTISATION		0.017	0.000	0.000
	NET PROFIT		3.159	2.453	1.194

KEY RATIOS

PARTICULARS		31.03.2011 (Provisional)	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.43	0.49	2.16
Net Profit Margin (PBT/Sales)	(%)	0.43	0.49	2.47
Return on Total Assets (PBT/Total Assets}	(%)	3.15	3.30	5.74
Return on Investment (ROI) (PBT/Networth)		0.19	0.19	0.17
Debt Equity Ratio (Total Liability/Networth)		5.03	4.78	1.96
Current Ratio (Current Asset/Current Liability)		3.29	3.29	12.06

LOCAL AGENCY FURTHER INFORMATION

MR. ASHOK L. SANCHETI

(Proprietor)

CAPITAL ACCOUNT

As on 31.03.2010

(Rs. in Millions)

Particulars	Amount	Particulars	Amount
To Advance Tax	0.050	By Balance b/d	5.256
To Aviva Life Insurance	0.025	By Net Profit Transfer from Profit and Loss Account	2.453
To Bank Charges	0.001	By M.T.N. L Refund	0.001
To Drawings	0.060	By Bank Interest received	0.000
To Interest on Loan	0.285	By Telephone Refund	0.004
To L.I.C.	0.103	By Interest received	0.027
To L.I.C. Interest	0.101	By HDFC Insurance refund	0.049
To Mahanagar Charges	0.001	By Dividend	0.000
To Maintenance Charges	0.064
To Mediclaim	0.013
To Prakash Shaboo and Company	0.001
To S.A. Tax	0.075
To Tata Interest	0.004
To TDS on F.D.	0.013
To TDS on Interest	0.003
To TDS on Interest	0.010
To TDS on Labour	0.007
To TDS received for Titan	0.018
To Telephone Charges	0.000
To Balance C/d	6.957
Total	7.790		7.790

BALANCE SHEET

(Rs. in Millions)

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		6.957	5.256
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		6.957	5.256
LOAN FUNDS
1] Secured Loans		0.605	0.504
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		0.605	0.504
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		7.562	5.760
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.448	1.448
Capital work-in-progress		0.000	0.000
INVESTMENT		13.403	7.385
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000
	Sundry Debtors	0.000	0.000
	Cash & Bank Balances	0.002	0.004
	Other Current Assets	0.000	0.000
	Loans & Advances	0.000	0.000
Total Current Assets		0.002	0.004
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	7.291	3.077
	Other Current Liabilities
	Provisions
Total Current Liabilities		7.291	3.077
Net Current Assets		[7.289]	[3.073]
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		7.562	5.760

MR. ASHOK L. SANCHETI

(Proprietor)

STATEMENT OF TOTAL INCOME

ASSESSMENT YEAR 2010-11

(Rs. in Millions)

Particulars	Amount	Amount	Amount
1. INCOME FROM BUSINESS
Net Profit as per Profit and Loss Account (Sancheti and Sons Jewellers)	2.453
Less: Interest Paid	0.359		2.094
2. INCOME FROM OTHER SOURCES
Bank Interest (Savings)	0.000
Interest Received	0.027
Dividend Received	0.000
	0.027
Less: Exempt U/s 10 (34)	0.000
Less: Interest Paid	0.027		0.000
GROSS TOTAL INCOME			2.094
Less: Deductions under Chapter VI-A
U/s : L.I.C. resticted to		0.100
U/s 80 D: Mediclaim		0.013	0.113
TOTAL INCOME			1.981
R/OFF			1.981
Tax Payable			0.498
Add: Education Cess @ 3%			0.015
BALANCE PAYABLE			0.513
Less: Advance Tax			0.050
BALANCE PAYABLE			0.463
Less: T.D.S.
F.D.		0.013
Interest		0.012
TDS received		0.018
Labour		0.007	0.050
BALANCE PAYABLE			0.413
Less: Self Assessment Tax Paid on			0.440
Refund Due			[0.027]

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MR. ASHOK L. SANCHETI

(Proprietor)

NET WORTH STATEMENT

This is to certify that Mr. Ashok L Sancheti (Proprietor: Sancheti and Sons Jewellers) (PAN AAFPS0110E) having address at 2^nd Floor, 65/67, Shaikh Memon Street, Zaveri Bazar, Mumbai-400002 is the client fro more than 2 years and the networth of Ashok L Sancheti in the proprietor concern Sancheti and Sons Jewellers as per the balance sheet signed by us as on 31^st March 2010 is Rs. 12.900 Millions

------------------------------------------------------------------------------------------------------------------------------

PROFIT AND LOSS ACCOUNT

(Rs. in Millions)

Particulars	31.03.2011 (Provisional)	31.03.2012 (Estimated)	31.03.2013 (Projected)
Gross Sales (Net of returns)
- Domestic	738.804	1000.000	1350.000
- Export	--	--	--
Sub Total (Gross Sales)	738.804	1000.000	1350.000
% wise rise/ fall in sales as compared to previous year	48.59	35.35	35.00
Other Operating Income
Export Incentives	--	--	--
Commission/ Brokerage received	--	--	--
Others	2.500	3.410	4.000
Total Operating Income	741.304	1003.410	1354.000
COST OF SALES
Purchases	742.976	990.000	1336.500
Other Trading expenses (Carriage inward, commission and brokerage on purchase)	4.817	4.500	6.075
Sub Total	747.793	994.500	1342.575
Add: Opening Stock	29.741	48.448	83.333
Less: Closing Stock	48.448	83.333	128.800
Total Cost of Sales	729.086	959.615	1297.108
Selling, General and Administrative Expenses	8.190	13.585	18.225
Operating Profit before Interest and Depreciation	4.028	30.210	38.667
Interest	0.787	12.000	12.000
Depreciation	0.016	0.107	0.107
Operating Profit after Interest and Depreciation	3.226	18.103	26.660
Non Operating Items	--	--	--
Add Non Operating Income	--	--	--
Profit on Sale of Assets/ Investments	--	--	--
Interest from Investment	--	--	--
Forex Gains	--	--	--
Non- Operating Income from subsidiaries	--	--	--
Tax Refund	--	--	--
Other non operating Income	--	--	--
Total Non-Operating Income	--	--	--
Deduct Non Operating Expenses	--	--	--
Loss on sales of Assets	--	--	--
Preliminary Expenses written off	--	--	--
Other non-operating expenses	--	--	--
Total Non-Operating Expenses	0.000	0.000	0.000
Net of Non-Operating Income/ Expenses	0.000	0.000	0.000
Profit Before Tax	3.225	18.103	26.560
Provision for Taxation:
Current	0.967	5.974	7.968
Deferred	--	--	--
Sub Total: Provision for Taxation	0.967	5.974	7.968
Net Profit After Tax	2.258	12.129	18.592
Extraordinary Items Adjustments:	--	--	--
Extraordinary Income Adjustments (+)	--	--	--
Extraordinary Expenses Adjustments (-)	--	--	--
Sub Total Extraordinary Items	0.000	0.000	0.000
Adjusted PAT (excluding Extraordinary Items)	2.258	12.129	18.592
Dividend Paid
On Equity Capital	--	--	--
On Preference Share Capital	--	--	--
Dividend Tax	--	--	--
Partners’ Withdrawal	--	--	--
Dividend (%)	--	--	--
Retained profit	2.258	12.129	18.592
Cash Accruals	2.274	12.236	18.699

BALANCE SHEET

(Rs. in Millions)

Particulars	31.03.2011 (Provisional)	31.03.2012 (Estimated)	31.03.2013 (Projected)
CURRENT LIABILITIES
Short term borrowings from Banks (Including bills purchased, discounted and excess borrowings placed on repayment basis) Note: Bills negotiated under LC should be excluded i) From Applicable Bank ii) From Other banks
Bank borrowings- From the Bank	--	100.000	100.000
Bank Borrowings- From Other Banks	--	--	--
Sub Total	45.919	100.000	100.000
Short term borrowings from others	--	--	--
Creditors for Purchases	30.514	24.411	64.000
Advances/ Payments from customers / deposits from dealers
Provision
- Tax	0.967	5.974	7.968
- Others	--	--	--
Dividend Payable	--	--	--
Statutory liabilities due within one year	--	--	--
Installments of Term Loans/ Deferred payment credits/ Debentures/ deposits redeemable preference shares (due within one year)	--	--	--
Deposits	--	--	--
Other Current Liabilities	0.060	0.200	0.225
Total Current Liabilities	77.460	130.585	172.193
TERM LIABILITIES
Debentures	--	--	--
Preference Shares	--	--	--
Dealer’s Deposit	--	--	--
Deferred Tax Liability	--	--	--
Term Loans	--	--	--
Term Deposits	--	--	--
Unsecured Loans (Quasi Equity)	4.293	4.293	5.293
Other term Liabilities	--	--	--
Total Term Liabilities	4.293	4.293	5.293
TOTAL OUTSIDE LIABILITIES	81.763	134.878	177.486
NET WORTH
Equity Shares Capital	--	--	--
Share Capital (Paid-up)	--	--	--
Share Application (Installed fro Allotment)	--	--	--
Sub Total (Share Capital)	0.000	0.000	0.000
General Reserve	--	--	--
Revaluation Reserve	--	--	--
Other Reserve and Surplus:	--	--	--
Partners Capital/ Proprietor’s Capital	12.856	18.490	30.619
Share Premium	--	--	--
Capital Subsidy	--	--	--
Others	3.377	--	1.000
Balance in P and L Account (+/ -)	2.258	12.129	18.592
Net Worth	18.491	30.619	50.211
Total Liabilities	100.244	185.497	227.697
ASSETS
Current Assets
Cash and Bank Balances	0.358	2.368	3.195
Investments
Government and Other Trustee Securities	--	--	--
Fixed Deposits with Banks	2.930	3.500	3.500
Others	--	--	--
Receivables	--	--	--
Receivables Other than Deferred and Exports (Domestic)	46.745	73.771	89.500
Export Receivables	--	--	--
Note:
1. All receivables upto 180 days only to be included	--	--	--
2. Sale bills negotiated under LC to be excluded	--	--	--
Deferred receivables (due within one year)	--	--	--
Stocks- in- trade	48.448	83.333	128.800
Advances to suppliers	--	--	--
Advance payment of tax	--	--	--
Other Current Assets	1.643	1.716	2.000
Total Current Assets	100.124	164.688	226.995
Fixed Assets
Gross Block	0.268	1.067	1.067
Less: Accumulated Depreciation	0.176	0.283	0.390
NET BLOCK	0.092	0.784	0.877
Capital Work in Progress	--	--	--
Non-Current Assets
Investments/ Book-Debts/ Advances/ Deposits (which are not current assets)	--	--	--
Investment in Group Concern	--	--	--
Loans to group concerns/ Advances to subsidiaries	--	--	--
Investment in others	0.025	0.025	0.025
Advances to suppliers of capital goods and contractors	--	--	--
Deferred receivables (Maturity exceeding one year)	--	--	--
Debtors > 6 Months	--	--	--
Security Deposits	--	--	--
Others (Loans and Advances non current in nature, ICD’s etc.)	--	--	--
Deferred Tax Assets	--	--	--
Obsolete Stocks	--	--	--
Other Non-Current Assets (Including dues from directors)	--	--	--
TOTAL NON CURRENT ASSETS	0.025	0.025	0.025
Intangible Assets:
Goodwill, Patents and Trademarks	--	--	--
Accumulated Losses, Preliminary Expenses, Miscellaneous Expenditure not written off, Other deferred revenue expenses	--	--	--
Total Assets	100.241	165.497	227.697
Tangible Networth	18.491	30.619	60.211

-------------------------------------------------------------------------------------------------------------------------

VALUATION REPORT

Name of the Owner	Mr. Ashok Sancheti Mrs. Saroj Ashok Sancheti
Year of Construction	1986
Year of Purchase	2000
Estimated Residual Life	36 years
Location	This premises is located in well developed commercial/ Residential area with all necessary civic amenities. The site is ¼ km from Dadar Railway Station. Transport and Communication facilities are well developed which are including BEST Services and Other Public Transports.
Type of Construction	This is Stilt + 13 Storied RCC structure with slabs and Beams. There are 4 flats on each floor. This premises is located on 11^th Floor. It is comprising of One Bed Room, Hall and Kitchen.
No. of Wings	3 Nos. of Wing
Walls	All the external walls are made up of 9” thick brick Masanory with cement plaster and internal walls are made up of 4 1/2” thick brick masanory with cement plaster.
Ceiling Height	Ceiling Height is 9 feet
Wiring	Concealed Wiring is provided
Flooring	Flooring is made up of Marble
Doors and Windows	Teakwood Framed Doors and Powder Coated Sliding Windows are provided
Toilet	Toilet is made of Ceramic Tiles and Concealed plumbing
Kitchen	Kitchen is made of Granite Platform and Concealed Plumbing
Lift	Lift is provided to this building
Carpet Area	Carpet area is 483 sq.ft.
Super Built up Area	Super Built up area is 665 sq.ft.
In view of the location and type of construction and facilities provided to this premises, the prevailing market rate is Rs. 0.024 Million /- per sq.ft. on Super Built up area. Hence the valuation of this Residential Premises is Rs. 0.024 Million X 665 ssq.ft. = Rs. 15.960 Millions ----------------------------------------------------- (I)
In view of the location and type of Furniture, Fixture provided to this premises, the prevailing market rate is Rs. 0.002 Million/ per sq.ft. Hene the valuation of this Residential premises is Rs. 0.002 Million X 483 sq.ft = Rs. 0.725 Millions --------------------------------------------------------------------------------------------------- (II)
The Lumpsum for Stilt Car Parking should be considered as Rs. 0.700 Millions--------------(III)
Total valuation of this premises is I + II + III i.e. Rs. 15.960 Millions + Rs. 0.725 Million + Rs. 0.700 Million = Rs. 17.385 Millions.
Realizable Value	Rs. 14.777 Millions
Forced Sale Value	Rs. 13.038 Millions
The valuation is based on present day market price. The premium available in the market is considered for this valuation, for the location and building.

Trade References:

· Saloni Jewels Private Limited

91-9820079401 (Mr. Kiran Surana)

· Puniya Gold India Limited

91-9820079401 (Mr. Kiran Surana)

Fixed Assets:

· Air Conditioner

· Computer

· Fire Equipment

· Furniture and Fixture

· Television

· Vaccum Cleaner

· Weight Scale

· Xerox Machine

· LCD TV

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.45.21
UK Pound	1	Rs.74.31
Euro	1	Rs.64.40

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.