MIRA INFORM REPORT

Report Date :

15.10.2011

IDENTIFICATION DETAILS

Name :	LIPI BOILERS LIMITED
Registered Office :	Mahendra Chambers, May Fair, A-4, Dhole Patil Road, Pune-411001, Maharashtra.
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	11.09.1974
Com. Reg. No.:	11-017766
Capital Investment / Paid-up Capital :	Rs.43.500 millions
CIN No.: [Company Identification No.]	U28131MH1974PLC017766
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Industrial boilers and accessories and auxillary plants.
No. of Employees :	Approximately 150

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 930000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an old and established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitment 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.

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 [General Details]

Name :	Ms. Sonali
Designation :	HR Manager
Contact No.:	91-20-32900293
Date :	10.10.2011

LOCATIONS

Registered Office :	Mahendra Chambers, May Fair, A ‘4’, Dhole Patil Road, Pune-411001, Maharashtra, India.
Tel. No.:	91-20-32900293 / 30900294
Fax No.:	91-20-26165947
E-Mail :	contact@uttamlipi.com gramarathnam_uttam@yahoo.com
Area :	10500 Sq.ft
Location :	Owned
Factory :	E-5, Industrial Area, Chikhalthana, Aurangabad-431210, Maharashtra, India.
Area :	12000 Sq.ft
Location :	Owned

DIRECTORS

(AS ON 25.09.2010)

Name :

Mr. Rajkumar Adlakha

Designation :

Director

Address :

KD-51, Kavi Nagar, Gaziabad-2001002, Uttar Pradesh, India.

Date of Birth/Age :

22.01.1956

Qualification :

B.E. Medical

Date of Appointment :

03.10.1992

DIN No :

00133256

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	U74899DL1983PLC015815	Uttam Industrial Engineering Limited	Director	28/05/1983	28/05/1983	22/07/2009	Active	NO
2	U74899DL1985PTC022459	Uttam Properties Privet Limited	Director	6/11/1985	6/11/1985	-	Active	NO
3	U74899DL1985PTC022623	Shree Uttam Colonisers Private Limited	Director	29/11/1985	29/11/1985	-	Active	NO
4	U93000DL1988PTC033076	Uttam Car Wash Private Limited	Director	8/9/1988	8/9/1988	20/10/2009	Active	NO
5	U74140PN1981PTC024955	Lipi Consultants Private Limited	Director	3/10/1992	3/10/1992	-	Active	NO
6	U28131MH1974PLC017766	Lipi Boilers Limited	Director	1/10/2008	3/10/1992	-	Active	NO
7	U55101DL1990PLC038971	Uttam Luxury Hotels And Resorts Limited	Director	15/04/1997	15/04/1997	-	Active	NO
8	L99999UR1993PLC032518	Uttam Sugar Mills Limited	Managing director	1/9/2009	28/07/1998	-	Active	NO
9	U51909PN2000PTC017659	Telma Trading Private Limited	Director	27/03/2000	27/03/2000	-	Active	NO
10	U15426UP1994PLC016697	Shubham Sugars Limited	Director	31/05/2004	31/05/2004	-	Active	NO
11	U15520DL2004PLC128347	Uttam Distilleries Limited	Director	16/08/2004	16/08/2004	-	Active	NO
12	U51909DL2004PTC129025	Divine Grace Enterprises Private Limited	Director	14/09/2004	14/09/2004	-	Active	NO
13	U74899DL1988PTC030926	HLM Management Services Private Limited	Director	4/12/2006	4/12/2006	1/1/2009	Active	NO
14	U80302DL2005PTC137428	Uttam Lifestyle Hotels Private Limited	Director	30/09/2008	20/07/2007	-	Active	NO
15	U55101DL2008PTC177202	Uttam Elite Hotels Private Limited	Director	24/04/2008	24/04/2008	-	Active	NO

Name :

Mr. Vijaykumar Ghuliani

Designation :

Director

Address :

A-273, New Friends Colony, New Delhi-110065, India

Date of Birth/Age :

09.06.1941

Qualification :

B.E. Medical

Date of Appointment :

22.08.1995

DIN No :

00810725

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	U28131MH1974PLC017766	Lipi Boilers Limited	Director	31/03/2009	22/08/1995	-	Active	NO
2	U74140PN1981PTC024955	Lipi Consultants Private Limited	Director	25/09/2010	23/04/2010	-	Active	NO

Name :

Mr. Ramarathnam Gopalaiyer

Designation :

Director

Address :

C-102, Gateway Tower, Sector-4 Vaishali, Gaziabad-201010.Uttar Pradesh. India

Date of Birth/Age :

13.09.1941

Date of Appointment :

15.03.10

DIN No :

00289752

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	L74899DL1994PLC057377	Pariksha Fin-Invest-Lease Limited	Director	27/02/2003	27/02/2003	-	Active	NO
2	U67190DL1993PTC052533	G.M. Colonisers Private Limited	Director	28/04/2004	28/04/2004	-	Active	NO
3	U80302DL2005PTC137428	Uttam Lifestyle Hotels Private Limited	Director	9/6/2005	9/6/2005	20/07/2007	Active	NO
4	U29254DL2005PTC137418	Idea Engineering Private Limited	Director	9/6/2005	9/6/2005	22/03/2011	Active	NO
5	U65929DL1986PTC146597	Sekhri Finance And Investment Private Limited tfr. from Bombay to Delhi	Director	30/09/2006	14/07/2005	-	Active	NO
6	U28131MH1974PLC017766	Lipi Boilers Limited	Director	25/09/2010	15/03/2010	-	Active	NO

KEY EXECUTIVES

Name :	Ms. Sonali
Designation :	HR Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 25.09.2010)

Names of Shareholders	No. of Shares
Vijaykumar Goel	3125
Lipi Cinsultants Private Limited, India	104164
Rajkumar Adlakha	1689375
Rajan Adlakha	2084
Amita Adlakha	3334
Ranjan Adlakha	2084
Sonia Adlakha	2084
Shomna Adlakha	1250
Pariksha Fin-Invest-Lease Limited, India	1570000
New Castel Finance and Leasing Private Limited, India	233470
Adharshila Capital Services Limited, India	559030
G.M Coloni Sers Private Limited, India	180000
Total	4350000

Equity Share Breakup

(As On 30.09.2010)

Category	Percentage
Bodies corporate	60.84
Directors or relatives of directors	39.09
Other top fifty shareholders	0.07
Total	100

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Industrial boilers and accessories and auxillary plants.

Products :

v Boilers

v Industrials Boilers

v Heat Recovery Steam Generators

v Recovery Boilers

v Heat Exchangers

Product Description	Item Code
Steam generating Boilers and its parts.	84.02

Exports :

Products :

v Boilers

v Industrials Boilers

v Heat Recovery Steam Generators

v Recovery Boilers

v Heat Exchangers

Countries :

Africa

Imports :

Products :

Steel Materials

Countries :

China and Germany

Terms :

Selling :

Credit

Purchasing :

Credit

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Licensed Capacity	Installed Capacity	Actual Production
Boilers	Not Applicable	Not ascertained	Parts of 6 Boilers

GENERAL INFORMATION

Customers :

OEM’s

No. of Employees :

Approximately 150

Bankers :

v Indian Overseas Bank, Pune Cantonment Branch, Wonderland, 7 M.G. Road, Pune-411001, Maharashtra, India.

v Punjab National Bank, Mohan Nagar, Gaziabad-201002, Uttar Pradesh, India.

v ICICI Bank Limited

Facilities :

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
a) From Life Insurance Corporation of India: Against pledge of insurance policy taken by the company	21.819	13.200
b) From ICICI Bank Limited : Against Hypothecation of Vehicles	0.000	0.080
Total	21.819	13.280

Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
From Body Corporate	0.000	0.017
Total	0.000	0.017

Banking Relations :

Financial Institution :

TATA Capital Limited, One Forbes, Dr. V. B. Gandhi Marg, Mumbai- 400001, Maharashtra, India

Auditors :

Name :

Rajendra K. Kumar and Associates

Chartered Accountant

Address :

57, Navyug Market, Gaziabad-201002, Uttar Pradesh, India.

Tel. No.:

91-120-2790426 / 2797683

Fax No.:

91-120-4105323

E-Mail :

rkkumar.ca@gmail.com

Income-tax PAN of auditor or auditor’s firm :

ACYPK1743J

Associates/Subsidiaries :

v The Standard Type Foundry Private Limited

v Uttam Industrial Engineering Limited

v Uttam Sucrotech Limited

v Uttam Sugar Limited

v Uttam Elite Hotels Private Limited

v Telma Trading Private Limited

v Uttam Distilleries Limited

v Lipi Consultants Private Limited

v Sekhri Finance and Investment Private Limited

CAPITAL STRUCTURE

(As on 31.03.2010)

Authorised Capital:

No. of Shares	Type	Value	Amount
5200000	Equity Share	Rs.10/- each	Rs.52.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4350000	Equity Share	Rs.10/- each	Rs.43.500 millions

Note:

Of the above, 5, 65,000 Equity Shares of Rs.10/- each aggregating to Rs.5.650 millions were issued as fully paid up Bonus Shares by capitalization of reserves.

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		43.500	43.500	43.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		191.171	177.692	168.326
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		234.671	221.192	211.826
LOAN FUNDS
1] Secured Loans		21.819	13.280	7.877
2] Unsecured Loans		0.000	0.017	2.603
TOTAL BORROWING		21.819	13.297	10.480
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		256.490	234.489	222.306
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		33.386	27.635	12.781
Capital work-in-progress		8.120	6.744	3.336
INVESTMENT		145.991	137.990	88.585
DEFERREX TAX ASSETS		0.122	1.351	5.798
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	68.361	51.731	67.002
	Sundry Debtors	6.875	6.105	8.743
	Cash & Bank Balances	10.335	6.089	51.705
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	192.978	145.041	143.349
Total Current Assets		278.549	208.966	270.799
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	13.728	15.383	21.760
	Other Current Liabilities	174.188	115.075	108.010
	Provisions	21.762	17.739	29.223
Total Current Liabilities		209.678	148.197	158.993
Net Current Assets		68.871	60.769	111.806
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		256.490	234.489	222.306

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	38.455	78.942	168.107
		Other Income	20.002	14.964	120.758
		TOTAL	58.457	93.906	288.865
Less	EXPENSES
		Materials and Manufacturing	10.730	44.402	114.964
		Employees’ Remuneration and benefits	19.645	21.990	24.058
		Administration, Finance and Others	7.955	8.938	13.500
		TOTAL	38.330	75.330	152.522
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		20.127	18.576	136.343
Less/ Add	DEPRECIATION/ AMORTISATION		1.211	1.197	1.137
	PROFIT BEFORE TAX		18.916	17.379	135.206
Less	TAX		5.437	6.549	9.264
	PROFIT AFTER TAX		13.479	10.830	125.942
Less:	Previous years’ adjustments(Net)		0.000	(0.508)	(0.086)
Add/ Less	Income-Tax of earlier years		0.000	(0.955)	0.248
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		115.628	116.261	25.157
Less	APPROPRIATIONS
		Transfer to General Reserve	20.000	10.000	35.000
	BALANCE CARRIED TO THE B/S		109.107	115.628	116.261
	IMPORTS
		Raw Materials	0.000	7.434	11.164
		Plant and Machinery	6.033	14.823	0.000
	TOTAL IMPORTS		6.033	22.257	11.164
	Earnings Per Share (Rs.)		3.10	2.49	---

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	23.06	11.53	43.60
Net Profit Margin (PBT/Sales)	(%)	49.19	22.39	80.43
Return on Total Assets (PBT/Total Assets}	(%)	6.06	7.35	47.68
Return on Investment (ROI) (PBT/Networth)		0.08	0.079	0.64
Debt Equity Ratio (Total Liability/Networth)		0.99	0.73	0.80
Current Ratio (Current Asset/Current Liability)		1.33	1.41	1.70

LOCAL AGENCY FURTHER INFORMATION

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 three years	No
12) Profitability for last three years	No
13) Reasons for variations <> 20%	No
14) Estimation for coming financial year	No
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	Yes
28) Incorporation details, if applicable	--------
29) Last account field at ROC	--------
30) Major Shareholders, if available	--------

FINANCIAL RESULTS:

The working of the company for the year resulted in profit of Rs.18.916 millions as against Rs.17.378 millions in the previous year.

CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF:-

(Rs. In millions)

Particulars	As on 31.03.2010	As on 31.03.2009
a) Guarantees/Counter guarantees given	4.872	1.625
b) Corporate Guarantees gives for loan taken by: Uttam Sugar Mills Limited	6720.600	4544.400
c) Claims against the company not acknowledged as debts	0.718	3.423

FORM 8:

Corporate identity number of the company	U28131MH1974PLC017766
Name of the company	LIPI BOILERS LIMITED
Address of the registered office or of the principal place of business in India of the company	Mahindra Chambers, May fair, A-4, Dhole Patil Road, Pune-411001, Maharashtra, India E-mail id : gramarathnam_uttam@yahoo.in
This form is for	Creation of Charge
Type of charge	Movable property
Particular of charge holder	Indian Overseas Bank, Pune Cantonment Branch, Wonderland, 7 M.G. Road, Pune-411001, Maharashtra, India. E-mail id : punecant@mumnsco.iobnet.co.in
Nature of instrument creating charge	Deed of Hypothecation dated 21.07.2011
Date of instrument Creating the charge	20.07.2011
Amount secured by the charge	Rs.0.590 million
Brief of the principal terms an conditions and extent and operation of the charge	a) Rate of Interest : Base Rate + 2.50 i.e 12.75% p.a b) Terms of Repayments : The Loan of Rs.0.590 million shall be repayable in 36 Equated Monthly Installments(EMI) of Rs.0.019 million starting from 20.08.2011 c) Extent and operation of the charge : The Charge operates as security for the due repayment and discharge by the company to Indian Overseas Bank for its Term Loan/Car Loan of Rs.0.590 million together with all the monies payable to Indian Overseas Bank.
Short Particulars of the property charged	The loan shall be secured by way of first and exclusive charge by way of Hypothecation of the Vehicle-Volkswagen Polo TDI TL financed by Indian Overseas Bank.

FIXED ASSETS:

v Land

v Building(Factory)

v Building(Office and others)

v Electrical Installations

v D G Set

v Plant and Machinery

v Drawing Office Equipments

v Furniture and Fixtures

v Computers

v Office Equipments

v Air Conditioners

v Vehicles

v Material Testing Equipments

v Jigs and Fixtures

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.49.07
UK Pound	1	Rs.77.42
Euro	1	Rs.67.72

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	4
--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.