MIRA INFORM REPORT
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Report Date : |
05.10.2011 |
IDENTIFICATION DETAILS
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Name : |
G.S. MILLENIUM DIAMONDS LTD. |
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Registered Office : |
1 Jabotinski Street, C/O Roromban Shief, Cpa, Ramat Gan 52520 |
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Country : |
Israel |
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Date of Incorporation : |
17.01.1999 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
subject operates as dealers and traders of diamonds |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Moderate |
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Payment
Behaviour : |
Unknown |
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Litigation : |
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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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
Israel |
a2 |
a2 |
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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 |
Company
name & address
G.S. MILLENIUM
DIAM
Cellular 972 54 397 70 49
Registered Address
1 Jabotinski Street
C/o Roromban Shief, CPA
RAMAT GAN 52520 ISRAEL
HISTORY & LEGAL FORMATION
A private limited
company, incorporated as per file No. 51-273318-9 on the 17.01.1999.
SHARE CAPITAL
Authorized share
capital of NIS 36,000.00, divided into:-
36,000 ordinary shares of NIS 1.00
each,
of which 100 shares amounting to NIS 100.00
were issued.
SHAREHOLDERS
Subject is fully owned by Sasson Hanoch Hanuka.
SOLE DIRECTOR & GENERAL
MANAGER
Sasson Hanoch Hanuka
(Registered address: 24 Hayovel Street, Ra'anana)
BUSINESS
We assume subject
operates as dealers and traders of diamonds.
Exact line of
business not forthcoming, as subject is not listed on the Diamond Exchange
(although Mr. Sasson Hanuka is listed), and Mr. Hanuka refused to cooperate
with us at all.
Subject's Registered Address: 1 Jabotinski Street (C/o Roromban Shief,
CPA), Ramat Gan.
Note: According to some Internet directories, subject operates from 54
Bezalel Street, Diamond Exchange, Yahalom Bldg., Ramat Gan, with the Telephone
Number 972 3 575 55 40 and fax number 972 3 575 55 39. These numbers belong to
other companies and not to subject.
Number of employees not forthcoming.
MEANS
Financial data
not forthcoming.
There are no
charges registered on the company's assets.
REVENUES
Sales data not
forthcoming.
BANKERS
Bank data not forthcoming.
CHARACTER AND REPUTATION
Sasson Hanuka refused to disclose any data at all.
We did not find anything detrimental on
subject or its owner.
According to the
Telephone Directory, there is a telephone number under subject's name (+972 3
575 09 92) at the address of 155 Aba Hillel Road, Ramat Gan (out of the Diamond
Exchange compound). We called and received a fax tone.
SUMMARY
Dealings, if any,
are recommended on cash in advance basis only.
DIAMOND INDUSTRY – INDIA
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From time immemorial, India is well known in the world as the birthplace
for diamonds. It is difficult to trace the origin of diamonds but history
says that in the remote past, diamonds were mined only in India. Diamond
production in India can be traced back to almost 8th Century B.C.
India, in fact, remained undisputed leader till 18th Century
when Brazilian fields were discovered in 1725 followed by emergence of S.
Africa, Russia and Australia.
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The achievement of the Indian diamond industry was possible only due to
combination of the manufacturing skills of the Indian workforce and the
untiring and unflagging efforts of the Indian diamantaires, supported by
progressive Government policies.
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The area of study of family owned diamond businesses derives its
importance from the huge conglomerate of family run organizations which operate
in the diamond industry since many generations.
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Some of the basic traits of family run business enterprises include
spirit of entrepreneurship, mutual trust lowers transaction costs, small,
nimble and quick to react, information as a source of advantage and
philanthropy.
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Family owned diamond businesses need to improve on many fronts including
higher standard of corporate governance, long-term performance – focused
strategies, modern management and technology.
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The diamond jewellery industry in India today may be more than Rs 60000
mil and is rated amongst the fastest growing in the world. Indi ranks
third in the world in domestic diamond consumption.
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Utmost caution is to be exercised while dealing with some medium and
large diamond traders which are usually engaged in fictitious import – export,
inter-company transactions, financially assisted by banks. In the process,
several public sector banks lost several hundred million rupees. They mostly
diverted borrowed money for diamond business into real estate and capital
markets.
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Excerpts from Times of India dated 30th October 2010 is as
under –
DIAMOND SAGA –
DIRTY DOZEN STUCK WITH 2K CR DEBT
This could be the biggest credibility crisis the Indian diamond industry
has ever faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a
dozen diamond firms in Surat. Until about two months ago, they had not
repaid these dues. Bankers believe many diamantaires borrowed money
during the economic downturn two years ago and diverted funds to businesses
like real estate and capital markets. Many of themselves made money from these
businesses but their diamond companies have gone sick and declared insolvency.
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Most of the money borrowed from the banks in the name of their diamond
business has been diverted in real estate and the share market. The banks are
not in a position to seize their properties because in many cases, these were
purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.23 |
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UK Pound |
1 |
Rs.76.07 |
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Euro |
1 |
Rs.65.06 |
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 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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.