MIRA INFORM REPORT

Report Date :

30.11.2011

IDENTIFICATION DETAILS

Name :	CHEMICO SYNTHETICS LIMITED
Registered Office :	206, Functional Industrial Area, Patparganj Industrail Area, Delhi – 110092, India
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	30.01.1997
Com. Reg. No.:	55- 084759
Capital Investment / Paid-up Capital :	Rs. 29.993 Millions
CIN No.: [Company Identification No.]	U17114DL1997PLC084759
TAN No.: [Tax Deduction & Collection Account No.]	DELC04952D
PAN No.: [Permanent Account No.]	AACCC9078M
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Manufacturer of Antimony Metal and Chemical, Molybdenum Products.
No. of Employees :	88 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (33)

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

Maximum Credit Limit :	USD 167000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some accumulated losses recorded by the company in previous year. However, with some improvement in financial positions the company has successful in wiping off those losses. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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. Neeraj Jain
Designation :	Director
Contact No.:	91-9871985353
Date :	29.11.2011

LOCATIONS

Registered Office :	206, Functional Industrial Area, Patparganj Industrail Area, Delhi – 110092, India
Tel. No.:	91-11-22167148/22143971/22143981/22165633/30183861-65/22165633
Mobile No.:	91-9871985353 (Mr. Neeraj Jain)
Fax No.:	91-11-22167149/22168135/42141619
E-Mail :	kkgheiandco@rediffmail.com neeraj@cslmoly.com India@cslmoly.com finance@cslmoly.com
Website :	www.cslmoly.com
Location :	Owned
Factory :	Located at Ghaziabad

DIRECTORS

As on 30.09.2010

Name :

Mr. Bimal Kumar Jain

Designation :

Director

Address :

D-9, Vivek Vihar, Delhi-110092, India

Date of Birth/Age :

10.01.1950

Date of Appointment :

30.01.1997

Din No.:

00204260

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	U24139DL1987PTC028836	Elochem India Private Limited	Director	06-08-87	06-08-87	-	Strike off	NO
2	U74899DL1984PTC017720	Chemico Chemicals Private Limited	Director	28-09-90	28-09-90	-	Active	NO
3	U17114DL1997PLC084759	Chemico Synthetics Limited	Managing director	01-04-11	30-01-97	-	Active	NO
4	U50101DL2001PTC110119	Elegant Cars Private Limited	Director	22-03-01	22-03-01	-	Active	NO
5	U27310DL2007PTC161696	Arihant Macfab Private Limited	Director	05-04-07	05-04-07	10-03-11	Active	NO

Name :

Mr. Rajnish Jain

Designation :

Director

Address :

D-9, Vivek Vihar, Delhi-110092, India

Date of Birth/Age :

12.02.1973

Date of Appointment :

30.01.1997

Din No.:

00204423

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	U74899DL1984PTC017720	Chemico Chemicals Private Limited	Director	02-04-94	02-04-94	-	Active	NO
2	U17114DL1997PLC084759	Chemico Synthetics Limited	Director	30-01-97	30-01-97	-	Active	NO
3	U50101DL2001PTC110119	Elegant Cars Private Limited	Director	22-03-01	22-03-01	-	Active	NO
4	U74899DL1986PTC024161	Arhant Dye Chem Private Limited	Director	22-09-06	22-09-06	-	Active	NO
5	U27310DL2007PTC161696	Arihant Macfab Private Limited	Director	05-04-07	05-04-07	10-03-11	Active	NO

Name :

Mr. Neeraj Jain

Designation :

Whole Time Director

Address :

D-9, Vivek Vihar, Delhi-110092, India

Date of Birth/Age :

16.08.1976

Date of Appointment :

30.01.1997

Din No.:

00206206

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	U74899DL1986PTC024161	Arhant Dye Chem Private Limited	Director	02-04-94	02-04-94	-	Active	NO
2	U17114DL1997PLC084759	Chemico Synthetics Limited	Whole-time director	01-10-10	30-01-97	-	Active	NO
3	U74899DL1984PTC017720	Chemico Chemicals Private Limited	Director	15-06-06	15-06-06	-	Active	NO
4	U50101DL2001PTC110119	Elegant Cars Private Limited	Director	22-08-06	22-08-06	-	Active	NO
5	U27310DL2007PTC161696	Arihant Macfab Private Limited	Director	05-04-07	05-04-07	10-03-11	Active	NO

Name :

Mrs. Kusum Jain

Designation :

Director

Address :

D-9, Vivek Vihar, Delhi-110092, India

Date of Birth/Age :

15.03.1955

Date of Appointment :

15.11.2010

Din No.:

00393673

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	U17114DL1997PLC084759	Chemico Synthetics Limited	Director	15-11-10	30-01-97	-	Active	NO
2	U74899DL1986PTC024161	Arhant Dye Chem Private Limited	Director	01-07-97	01-07-97	-	Active	NO
3	U27310DL2007PTC161696	Arihant Macfab Private Limited	Director	05-04-07	05-04-07	10-03-11	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2011

Names of Shareholders	No. of Shares
Jain Bimal Kumar	1779700
Jain Rajnish Kumar	1550000
Jain Neeraj Kumar	1550000
Jain Kusum Kumari	1070000
Jain Vibha Kumari	100
Jain Rashmi Kumari	250000
Jain Saroj Kumaaari	100
Jain Komal 0	100
TOTAL	6200000

As on 30.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Antimony Metal and Chemical, Molybdenum Products.

Products :

Item Code	Product Description
26131000	Roasted Molybdenum
81101000	Antimony Metal
72027000	Fero Molybdenum

• Antimony Metal
• Molybdenum Disulfide (MoS₂ )
• Molybdenum Trioxide (MoO₃)
• Ferro-Molybdenum (FeMo)
• Roasted Molybdenum Concentrate / Oxide
• Antimony Trichloride Anhydrous (SbCl₃)
• Antimony Pentoxide Powder
• Ferro Molybdenum Powder

Exports :

Products :

Antimony Metal and Chemical, Molybdenum Products

Countries :

• Canada
• USA
• UK
• France
• Swedan
• Egypt
• Nigeria
• Turkey
• Hong Kong
• Japan

Imports :

Products :

Raw Material

Countries :

Canada

China

African and European Countries

Terms :

Selling :

L/C, Cash and Credit (30 – 60 Days)

Purchasing :

L/C, Cash and Credit (30 – 60 Days)

GENERAL INFORMATION

Customers :

Wholesalers, OEM’s and Industrial

No. of Employees :

88 (Approximately)

Bankers :

• State Bank of Bikaner And Jaipur, D-10 Block D Shopping Center, Vivek Vihar, Delhi-110095, India
• ICICI Bank

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
State Bank of Bikaner and Jaipur (Secured against hypothecation of stocks and book debts)	46.896	11.407
State Bank of Bikaner and Jaipur (secured against hypothecation of car)	0.771	1.217
ICICI Bank (Secured against hypothecation of Machinery)	0.434	0.764
Total	48.101	13.388
Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From Shareholders	0.788	1.341
Total	0.788	1.341

Banking Relations :	--
Auditors :
Name :	K K Ghei And Co Chartered Accountant
Address :	806, Hemkunt House, 6 Rajendra Place, New Delhi-110008, India
Tel. No.:	91-11-25714080/25759511
Fax No.:	91-11-25759512
E-Mail :	kkgheiandco@rediffmail.com
Sister Concern :	Chemico Chemicals Private Limited, 341, FIE, Patparganj, Delhi – 92, India

CAPITAL STRUCTURE

After 30.09.2011

Authorized Capital Rs. 100.000 Millions

Issued, Subscribed and Paid Up capital of Rs. 75.000 Millions

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6200000	Equity Shares	Rs.10/- each	Rs. 62.000 Millions

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2999300	Equity Shares	Rs.10/- each	Rs.29.993 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		29.993	19.003	10.003
2] Share Application Money		0.000	0.990	0.000
3] Reserves & Surplus		11.823	0.000	0.000
4] (Accumulated Losses)		0.000	(1.187)	(1.011)
NETWORTH		41.816	18.806	8.992
LOAN FUNDS
1] Secured Loans		48.101	13.388	0.008
2] Unsecured Loans		0.788	1.341	2.087
TOTAL BORROWING		48.889	14.729	2.095
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		90.705	33.535	11.087
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		32.195	17.238	11.425
Capital work-in-progress		2.947	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.573	0.544
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	27.122	15.523	0.000
	Sundry Debtors	54.615	15.938	0.883
	Cash & Bank Balances	8.435	6.448	0.046
	Other Current Assets	31.332	0.000	0.000
	Loans & Advances	14.772	3.583	0.347
Total Current Assets		136.276	41.492	1.276
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	71.092	21.775	0.529
	Other Current Liabilities	0.929	3.836	1.539
	Provisions	8.692	0.172	0.120
Total Current Liabilities		80.713	25.783	2.188
Net Current Assets		55.563	15.709	(0.912)
MISCELLANEOUS EXPENSES		0.000	0.015	0.030
TOTAL		90.705	33.535	11.087

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	296.093	194.881	0.964
		Other Income	0.461	0.337	0.544
		TOTAL (A)	296.554	195.218	1.508
Less	EXPENSES
		Raw Material Consumed	253.667	182.752	1.495
		Power and Fuel	3.091	2.121	0.105
		Freight Cartage and insurance	1.292	0.606	0.016
		Commission	1.102	0.955	0.000
		Repairs and Maintenance	1.639	0.541	0.110
		Bank charges and interest	6.429	5.115	0.110
		Preliminary expenses	0.015	0.015	0.015
		Other Expenditure	0.329	0.165	0.784
		TOTAL (B)	267.564	192.270	2.635
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		28.890	4.948	(1.127)
Less	FINANCIAL EXPENSES (D)		4.916	4.177	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		23.974	0.771	(1.127)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.306	0.916	0.090
	PROFIT BEFORE TAX (E-F) (G)		21.668	(0.145)	(1.217)
Less	TAX (H)		7.298	0.031	0.005
	PROFIT AFTER TAX (G-H) (I)		14.370	(0.176)	(1.222)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(1.187)	(1.010)	0.212
Less	APPROPRIATIONS
		Transfer to General Reserve	1.500	0.000	0.000
		Provision for Dividend	1.163	0.000	0.000
		Provision for Dividend Distribution Tax	0.198	0.000	0.000
	BALANCE CARRIED TO THE B/S		10.322	(1.187)	(1.010)
	EARNINGS IN FOREIGN CURRENCY		25.712	2.144	NA
	VALUE OF IMPORTS (C.I.F)		194.996	160.313	NA
	Earnings Per Share (Rs.)		9.29	(0.128)	NA

Particulars	31.03.2011
Sales Turnover	880.000 (Due to plant and machinery and more order for exports)

Expected Sale(2011-2012 ) : Rs. 1200.000 Millions

The above information has been parted by Mr. Neeraj Jain (Director)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.85	(0.09)	(81.03 )
Net Profit Margin (PBT/Sales)	(%)	7.32	(0.07)	(126.24)
Return on Total Assets (PBT/Total Assets}	(%)	12.86	(0.25)	(9.58)
Return on Investment (ROI) (PBT/Networth)		0.52	(0.01)	(0.13)
Debt Equity Ratio (Total Liability/Networth)		3.10	2.16	0.47
Current Ratio (Current Asset/Current Liability)		1.69	1.60	0.58

LOCAL AGENCY FURTHER INFORMATION

Note:

The registered office has been shifted from D-9 Vivek Vihar, Delhi-110092, India to present w.ef. 15.04.2008.

CONTINGENT LIABILITIES

(Rs. in millions)

Particulars	31.03.2010	31.03.2009
Bank Guarantees	0.878	NIL
Sales/ Tax	0.027	NIL

Form 8:

Corporate identity number of the company	U17114DL1997PLC084759
Name of the company	CHEMICO SYNTHETICS LIMITED
Address of the registered office or of the principal place of business in India of the company	341, FIE, Patparganj, Delhi-110092, India Email : kkgheiandco@rediffmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10096912
Type of charge	Book Debts Movable Property Immovable Property
Particular of charge holder	State Bank of Bikaner And Jaipur, D-10 Block D Shopping Center, Vivek Vihar, Delhi-110095, India Email: sbbj10502@abbj.co.in
Nature of instrument creating charge	Sanction Letter for limits Agreement of Loan cum Hypothecation SME-2 letter of Arrangement SME-1, Supplementary Agreement of loan cum Hypothecation SME-4
Date of instrument Creating the charge	24.09.2010
Amount secured by the charge	Rs. 200.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: The effective rate at present is 11.25% p.a Terms of repayment : The limit is for 1 year effective from 23.09.2010 Margin: 25% on Stocks of Raw Material, Semi Finished Goods and Finished Goods 40% margin on debtors LC 10% Extent and operation of charge: One year from 23.09.2010 Others : First charge on entire fixed assets and equitable mortgage of leasehold industrial plot
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Stocks WIP, Finished goods, entire fixed assets, Book Debts, Equitable mortgage of Industrial plot and shed at A-14/2 Site IV, Industrial Area,Sahibabad.
Date of instrument modifying the charge	21.04.2010
Particulars of the present modification	CC. Hyp increased from Rs.60.000 millions to 80.000 with submits within A i ) book debts outstanding for not more than 60 days Rs. 40.000 millions ll) EPC Rs. 40.000 Millions iii) FBP / FBD Rs. 40.000 millions iv) against clearing Rs. 2.500 millions B ) LCDA/ DP increased from Rs. 50.000 millions Rs. 120.000 millions with submit of buyers credit Rs. 100.000 millions C) one way interchangeability from CC to LC Rs. 30.000 millions

Fixed Assets:

• Lease Hold Land
• Building
• Machinery
• Lab Equipment
• Electric Fitting
• Car
• Computer
• Fire Fighting Equipments
• Fork Lift
• Mobile Phone
• Packing Machine
• Scooter
• Tubewell
• Weights And Measurement
• Tools And Equipment
• Building Under Construction
• Capital Work In Progress(Plant)
• Capital Work In Progress(ATH)

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.51.98
UK Pound	1	Rs.80.59
Euro	1	Rs.69.12

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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		33

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

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.