MIRA INFORM REPORT
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Report Date : |
08.10.2011 |
IDENTIFICATION DETAILS
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Name : |
DANI’S
DIAM |
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Registered Office : |
Flat C, 11/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, |
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Country : |
Hong Kong |
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Date of Incorporation : |
03.06.2009 |
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Com. Reg. No.: |
50736902-000-06 |
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Legal Form : |
Sole Proprietorship. |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of diamond and jewellery products |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Small Company |
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Payment
Behaviour : |
No Complaints |
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Litigation : |
Clear |
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
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Hong Kong |
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
DANI’S DIAM
Company ADDRESS
Flat C, 11/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 2366 3298
FAX: 2366 3290, 2732 4338
MANAGEMENT
Manager: Mr. Ketan Vinodlal Dani
SUMMARY
Establishment: 3rd June, 2009.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Diamond Trader.
Employees: 2. (Including affiliate)
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Company ADDRESS
Head Office:-
Flat C, 11/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.
Affiliated
Companies:-
· Blue Diam Co., Hong Kong. [Operated by Worldata Investment Ltd.]
· Worldata Investment Ltd.
· Flat E2, 6/F., Kaiser Estate, Phase 1, 41 Man Yue Street, Hunghom, Kowloon, Hong Kong.
BUSINESS REGISTRATION NUMBER
50736902-000-06
MANAGEMENT
Manager: Mr. Ketan Vinodlal Dani
SOLE PROPRIETOR
Name: Mr. Ketan Vinodlal DANI
Residential Address: Flat J, 33/F., Block 2, Royal Peninsula, Hunghom Bay, Kowloon, Hong Kong.
HISTORY
The subject was established on 3rd June, 2009 as a sole proprietorship concern owned by Mr. Ketan Vinodlal Dani under the Hong Kong Business Registration Regulations.
At the very beginning, the subject was located at Flat J, 33/F., Block 2, Royal Peninsula, Hunghom Bay, Kowloon, Hong Kong, moved to 18/F., Cameron Plaza, 23-25 Cameron Road, Tsimshatsui, Kowloon, Hong Kong in early 2010 and further to 11/F. of the same building in June of the same year.
Apart from these, neither material change nor amendment has been ever traced and noted.
OPERATIONS
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamond and jewellery products.
Employees: 2. (Including affiliate)
Commodities Imported: India, Belgium, other European countries, etc.
Markets: Japan, other Asian countries, Middle East, North America, etc.
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, D/P, etc.
FINANCIAL INFORMATION
Capital: Not disclosed.
Profit or Loss: Made a small loss in 2010.
Condition: Business is under development.
Facilities: Making fairly active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
GENERAL
Dani’s Diam is a sole proprietorship set up and owned by Mr. Ketan Vinodlal Dani who is an Indian. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. Dani is the manager of the subject who can be reached at his mobile phone number 9467 5473.
The subject is a diamond importer, exporter and wholesaler. It is trading in the following commodities: single-cut diamond, fullcut loose diamond, carat size diamonds, blue sapphire, fancy diamonds, etc.
Rough, cut or polished diamonds are imported from India, Belgium or other European countries. After processing in Hong Kong or China, commodities are exported to Japan, other Asian countries, the Middle East, North America, Central and South America, etc. Business is still under development.
In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong.
It is also going to take part in Hong Kong International Jewellery Show which will be held during the period of 16 to 20 February, 2012.
The subject has got an affiliated company Worldata Investment Ltd. [Worldata] which is located at a different address.
Worldata was incorporated on 2nd July, 1991 and jointly owned by Mr. Nareshkumar Maneklal Shah, holding 59.9% interests, and Mr. Naitik Mukesh Shah, holding 40.1%. Mr. Ketan Vinodlal Dani is the third shareholder holding an insignificant stake of Worldata. The first and second are India passport holders. The first is residing in Hong Kong while the second, residing in Dubai, the United Arab Emirates. Worldata is operating a firm known as Blue Diam Co. which is also a diamond trader.
The subject’s business is chiefly handled by Dani himself.
The history of the subject in Hong Kong is just over two years and nine months.
On the whole, since the history of
the subject is short, consider it good for normal credit requirements on
secured basis.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.49.14 |
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UK Pound |
1 |
Rs.75.97 |
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Euro |
1 |
Rs.65.99 |
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.