MIRA INFORM REPORT

Report Date :

05.11.2011

IDENTIFICATION DETAILS

Name :	CHEMICAL PROCESS EQUIPMENTS PRIVATE LIMITED
Registered Office :	C P E Plots BSD Marg, Govandi Station Road, Govandi, Mumbai – 400 088, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.10.1970
Com. Reg. No.:	11-14849
Capital Investment/ Paid-up Capital:	Rs.9.900 millions
CIN No.: [Company Identification No.]	U74999MH1970PTC014849
TAN No.: [Tax Deduction & Collection Account No.]	MUMC13438F
PAN No.: [Permanent Account No.]	AAACC0465C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of FRP Tanks.
No. of Employees:	125 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 700000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company 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.

INFORMATION PARTED BY

Name :	Mr. Nitin shetty
Designation :	Finance Marketing
Date :	03.11.2011

LOCATIONS

Registered Office / Factory :	C P E Plots BSD Marg, Govandi Station Road, Govandi, Mumbai – 400 088, Maharashtra, India
Tel. No.:	91-22-679781414 / 44
Mobile No.:	91-22-679781414 (Mr. Nitin shetty)
Fax No.:	91-22-25562248
E-Mail :	cpe@giasbm01.vsnl.net.in cpe@vsnl.com
Website :	http://www.cpel.com
Area :	3600 Sq. ft.
Location :	Owned
Administrative Office :	40 Hamam Street (Ambalal Doshi Marg), Mumbai - 400 023, India
Factories :	Located at : · Silvassa, Union Territory · Navi Mumbai, Maharashtra · Baroda · Ghansoli

DIRECTORS

(AS ON 29.09.2010)

Name :

Mr. Bagh Singh Rajpurohit

Designation :

Director

Address :

B-1, Runwal Park, Chembur, Mumbai – 400 071, Maharashtra, India

Date of Birth/Age :

01.09.1936

Date of Appointment :

21.10.1970

DIN No :

00793939

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74999MH1970PTC014849	Chemical Process Equipments Private Limited	Director	19/04/2007	21/10/1970	-	Active	NO
2	U25206MH2004PTC149230	Chemical Process Piping Private Limited	Director	25/10/2004	25/10/2004	-	Active	NO
3	U74999MH2005PTC151117	Tec-Hub India Private Limited	Director	8/2/2005	8/2/2005	18/12/2008	Active	NO
4	U45209MH2010PTC209626	Rajpurohit Projects Private Limited	Director	29/10/2010	29/10/2010	-	Active	NO
5	U18219MH1995PTC176326	Rajpurohit Cardtec Private Limited	Director	30/09/2011	########	-	Active	NO

Name :

Mr. Ashwin B. Rajpurohit

Designation :

Managing Director

Address :

B-1, Runwal Park, Chembur, Mumbai – 400 071

Date of Birth/Age :

04.05.1964

Date of Appointment :

20.08.1996

DIN No :

01037481

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74999MH1970PTC014849	Chemical Process Equipments Private Limited	Managing director	19/04/2007	20/08/1996	-	Active	NO
2	U74999MH1989PTC053816	Rajpurohit Systematix Private Limited	Director	########	########	-	Active	NO
3	U25206MH2002NPL136130	All India Reinforced Plastic Moulders Association	Director	5/6/2002	5/6/2002	-	Active	NO
4	U25206MH2004PTC149230	Chemical Process Piping Private Limited	Director	19/04/2007	########	1/4/2008	Active	NO
5	U25200MH1985PTC037773	Deluxe Polyfab Private Limited	Director	15/07/2005	15/07/2005	-	Active	NO
6	U45209MH2010PTC209626	Rajpurohit Projects Private Limited	Director	29/10/2010	29/10/2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Nitin shetty
Designation :	Finance Marketing

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2010)

Names of Shareholders	No. of Shares
Baghsingh Rajpurohit	31240
Ashwin B. Rajpurohit	33880
Master Aryaman Rajpurohit through his father and natural guardian Mr. Aswin Rajpurohit	33880
Total	99000

Equity share Breakup

(AS ON 30.09.2010)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of FRP Tanks

Products :

• FRP Piping
• Other chemical equipments
• FRP Tanks and vessels

Product Descriptions	Item Code No.
FRP Tanks	303303
FRP Piping	303303
Scrubbers	N.A.

Exports :

Products :

FRP tanks

Countries :

· European Countries

Imports :

Products :

Raw material

Countries :

· China

· European Countries

Terms :

Selling :

L/C / Cash / Credit

Purchasing :

Cash / Credit

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit*	Licensed Capacity	Installed Capacity	Actual Production
FRP Tanks and Vessels	Nos.	Not	Not	155
FRP Piping	Jobs	Applicable	Ascertain-	18
Other Equipments	Jobs		able	5

* Units of various types and sizes

GENERAL INFORMATION

Customers :

End users

No. of Employees :

125 (Approximately)

Bankers :

· Bank of Baroda, Corporate Financial Services, Branch – Fort, 4^th Floor, 10/12, Mumbai Samachar Marg, Fort, Mumbai-400023, Maharashtra, India.

Facilities :

(Rs. in millions)

Secured Loans	As on 31.03.2011	As on 31.03.2010
Working Capital Facilities from a Bank [Secured by way of hypothecation of stocks, Book debts, other movables and current assets and also collaterally secured by way of equitable mortgage of the Company’s immovable properties (both present and future) and personally guaranteed by the Main Directors’ viz.: Mr. B. S. Rajpurohit and Mr. Ashwin Rajpurohit. The charge on these assets also extends to Non-Fund based facilities viz. outstanding Bank Guarantees, Letter of Credit, FBP Agreements and Counter Indemnity signed by the Company]	70.193	26.267
Hire Purchase Loans [Secured by the way of first charge over the assets taken there against and personality guaranteed by the Chairman] Amount payable within one year Rs.0.484 millions (Previous year Rs.0.163 millions)	2.101	0.163
Total	72.294	26.430

Banking Relations :	---
Auditors :
Name :	Gupta Verma and associates Chartered Accountants
Address 1 :	Apurva Castle, Plot No.44, 301, S.T. Road, Union Bank, Chembur, Mumbai-400071, Maharashtra, India.
Tel. No.:	91-22-25202662
Fax No.:	91-22-25200334
E-Mail :	Rams1923@gmail.com
Income-tax PAN of auditor or auditor’s firm :	AABFE9514A
Associates/Subsidiaries :	· Chemical Process Piping Private Limited · Delux Polyfab Private Limited · Rajpurohit Systematix Private Limited Rajpurohit Composites Rajpurohit Equipments · Rajpurohit Cardtec Private Limited · Rajpurohit Projects Private Limited

CAPITAL STRUCTURE

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity share	Rs.100/- each	Rs.10.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
99000	Equity share	Rs.100/- each	Rs.9.900 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		9.900	9.900	9.900
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		168.387	156.551	142.763
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		178.287	166.451	152.663
LOAN FUNDS
1] Secured Loans		72.294	26.430	37.767
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		72.294	26.430	37.767
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		250.581	192.881	190.430
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		89.857	40.381	36.931
Capital work-in-progress		0.000	36.679	17.677
INVESTMENT		0.517	0.517	0.517
DEFERREX TAX ASSETS		2.124	2.313	2.200
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	196.386	65.395	120.336
	Sundry Debtors	113.064	116.902	57.880
	Cash & Bank Balances	23.911	23.076	20.572
	Other Current Assets	3.504	1.872	2.452
	Loans & Advances	74.403	53.295	60.673
Total Current Assets		411.268	260.540	261.913
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	92.328	62.252	46.695
	Other Current Liabilities	98.156	35.184	19.888
	Provisions	62.701	50.113	62.225
Total Current Liabilities		253.185	147.549	128.808
Net Current Assets		158.083	112.991	133.105
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		250.581	192.881	190.430

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income from Operations	325.285	485.568	490.021
		Other Income
		TOTAL	325.285	485.568	490.021
	EXPENSES
		Increase / Decrease in Stocks	111.405	(35.935)	(34.492)
		TOTAL	111.405	(35.935)	(34.492)
	PROFIT BEFORE TAX		21.043	33.373	28.843
Less	TAX		9.207	13.795	13.028
	PROFIT AFTER TAX		11.836	19.986	15.815
Less	Short Provision of Income Tax for earlier years		0.000	0.408	3.422
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		144.000	132.171	131.441
Less	APPROPRIATIONS
		Interim Dividend / Proposed Dividend	0.000	4.950	8.910
		Corporate Tax on Dividend	0.000	0.841	1.514
		Amount Transferred to General Reserve	0.000	1.958	1.239
	BALANCE CARRIED TO THE B/S		155.836	144.000	132.171
	EARNINGS IN FOREIGN CURRENCY
		FOB Value	146.543	286.982	233.206
	TOTAL EARNINGS		146.543	433.525	520.188
	IMPORTS
		Raw Materials	63.296	49.200	73.369
	TOTAL IMPORTS		63.296	112.496	122.569
	Earnings Per Share (Rs.)		119.56	197.76	125.18

Expected Sales (2011-2012) : above Rs.600.000 millions

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.64	4.12	3.23
Net Profit Margin (PBT/Sales)	(%)	NA	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	4.20	11.09	9.65
Return on Investment (ROI) (PBT/Networth)		0.12	0.20	0.19
Debt Equity Ratio (Total Liability/Networth)		1.83	1.05	1.09
Current Ratio (Current Asset/Current Liability)		1.62	1.76	2.03

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS:

(Rs. in millions)

Particulars	As on 31.03.2011	As on 31.03.2010	As on 31.03.2009
Sundry Creditors	92.328	62.252	46.695

OPERATIONS:

Due to cut throat competition and increased inflation in the market, the turnover of the company has increased from Rs. 485.568 millions to Rs.325.285 millions. There is a sharp decrease in Net Profit After Tax from Rs.19.986 millions to Rs.11.835 millions. As there was no prior period adjustments, appropriation for dividend, dividend tax and no transfer of profit to General Reserve, the same balance in profit and Loss Account carried to Balance sheet.

Check List by Info Agents	Available in reports
1) Year of Establishment	Yes
2) Locality of the Firm	Yes
3) Constitution of the Firm	Yes
4) Premises Details	Yes
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s Background	---------
8) No. of Employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm of last two years	Yes
12) Profitability for last three years	No
13) Reasons for variations <> 20%	No
14) Estimation for coming financial year	Yes
15) Capital in the business	No
16) Details of Sister concern	Yes
17) Major Suppliers	No
18) Major Customers	No
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
21) Market Information	---------
22) Litigation that the firm / promoter involved	---------
23) Banking Details	Yes
24) Banking facility Details	Yes
25) Conduct of the banking account	---------
26) Buyer visit details	---------
27) Financials, if provided	----------
28) Incorporation details, if applicable	----------
29) Last account field at ROC	----------
30) Major Shareholders, if available	----------

CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF:

(Rs. in millions)

Particulars	As on 31.303.2011	As on 31.03.2010
Outstanding Letters of Credit	21.406	6.976
Outstanding Bank Guarantee	100.469	60.723
Disputed Excise Duty demands (excluding interest)	1.950	1.950
Disputed Income Tax demands (excluding interest)	2.384	Nil
Total	126.209	126.209

FIXED ASSETS:

· Freehold land

· Flat

· Factory building

· Plant and Machinery

· Air conditioners and heating equipments

· Computers

· Moulds and Dies

· Scientific Lab Equipments

· Storage Equipments

· Cranes, Forklifts and Monorails

· Office equipments

· Electrical fittings

· Transformers

· Furniture and Fixtures

· Motor 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.49.08
UK Pound	1	Rs.78.65
Euro	1	Rs.67.79

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		45

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.