MIRA INFORM REPORT

 

 

Report Date :

17.04.2012

 

IDENTIFICATION DETAILS

 

Name :

DAY  SHINE  LTD.

 

 

Registered Office :

Unit 14, 13/F., Peninsula Square, 19 Sung On Street, Hunghom,   Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

21.02.2003

 

 

Com. Reg. No.:

33730717

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, etc.

 

 

No. of Employees :

6.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

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, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


Company name and address

 

DAY  SHINE  LTD.

 

 

Address:           Unit 14, 13/F., Peninsula Square,

                        19 Sung On Street, Hunghom,

                        Kowloon, Hong Kong.

 

 

(Formerly located at:

Flat B, 12/F., South Sea Mansion,

81 Chatham Road, Tsimshatsui,

Kowloon, Hong Kong.     )

 

 

PHONE:            2314 4414,  2314 4114

 

FAX:     2314 4444

 

E-MAIL: 2314 4444

 

 

MANAGEMENT

 

Managing Director:  Mr. Dilip Ramniklal Shah

 

 

SUMMARY

 

Incorporated on:             21st February, 2003.

 

Organization:                  Private Limited Company.

 

Capital:                         Nominal:           HK$10,000.00

Issued:              HK$2.00

 

Business Category:        Jewellery Trader.

 

Employees:                   6.

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


ADDRESS

 

Registered Head Office:-

Unit 14, 13/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.

 

Associated/Affiliated Companies:-

Aesh Diam, Hong Kong.

Decent Dia & Jew LLC, UAE.

Decent Dia-Jewels Pvt. Ltd., India.

Decents Spain S.L., Spain.

Dia-Brilliant Jewelery Co., Hong Kong.

Diaccents Exports (Shanghai) Ltd., China.

Diaccents Exports, Hong Kong.

Diaccents, Taiwan.

Diamond Link, India.

Nation Apex, China.

RI-Decent Diam, South Africa.

 

 

BUSINESS REGISTRATION NUMBER

 

33730717

 

 

COMPANY FILE NUMBER

 

0834235

 

 

MANAGEMENT

 

Managing Director:  Mr. Dilip Ramniklal Shah

 

 

CAPITAL

 

Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$2.00

 


SHAREHOLDERS

(As per registry dated 21-02-2012)

 

Name

 

No. of shares

Dilip Ramniklal SHAH

 

1

Kaushal Dilip SHAH

 

1

 

 

––

 

Total:

2

=

 

 

DIRECTORS

(As per registry dated 21-02-2012)

 

Name

(Nationality)

 

Address

Dilip Ramniklal SHAH

Unit 14, 13/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.

 

Kaushal Dilip SHAH

Unit 14, 13/F., Peninsula Square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.

 

 

SECRETARY

(As per registry dated 21-02-2012)

 

Name

Address

Co. No.

Excellence Group Ltd.

Flat D, 2/F., Right Time Building, 21-27 Playing Field Road, Mongkok, Kowloon, Hong Kong.

0567136

 

 

HISTORY

 

The subject was incorporated on 21st February, 2003 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject was located at Flat B, 12/F., South Sea Mansion, 81 Chatham Road, Tsimshatsui, Kowloon, Hong Kong, moved to the present address in March 2012.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           All kinds of diamonds and jewellery products, etc.

 

Employees:                   6.

 

Commodities Imported:   India, other Asian countries, Europe, etc.

 

Markets:                       Hong Kong, other Asian countries, Middle East, UK, USA, etc.

 

Terms/Sales:                 L/C or as per contracted.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$2.00

 

Profit or Loss:                Making a small profit every year.

 

Condition:                      Keeping in a satisfactory manner.

 

Facilities:                      Making 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:                      Normal.

 

 

GENERAL

 

Day Shine Ltd. is equally owned by Ms. Kaushal Dilip Shah and Mr. Dilip Ramniklal Shah.  The subject has just issued 2 ordinary shares of HK$1.00 each while each of the shareholders holds a single share.

The subject moved to the present new address in March 2012.

The subject is a diamond trader.  It has had an affiliated company Diaccents Exports located at its operating office.  The subject and Diaccents Exports are engaged in the same lines of business, more or less.

Established in 1981 in Hong Kong by Mr. Dilip Shah, Diaccents Exports has expanded today to seven renowned business associates, namely, Decent Dia‑Jewels Pvt. Ltd. [DDJPL], Decents Spain S.L. (Spain), Diaccents Exports (Shanghai) Ltd. (China), Nation Apex (China), Diaccents (Taiwan), RI‑Decent Diam (South Africa), and Decent Dia & Jew LLC (Dubai).

Initially started as a loose diamond exporter, Diaccents Exports has good reputation in exclusive jewellery designing, manufacturing, exporting and also catering to the international market in wholesaling as well as retailing.  Its jewellery designs have found ready markets such as Asian countries, the Middle East, Hong Kong, the United Kingdom, and the United States.  Besides, Diaccents Exports has set up three retail showrooms in Spain.

Diaccents Exports has had its own workshop.  Raw materials used are diamonds, round, princess, emeralds and also some natural colour diamonds which are made into rings, pendants, necklaces, ear-rings, sets and brooches in gold and platinum.  Diaccents Exports has 430 workers in its workshop.  Currently, it is exporting 18Kt yellow and white gold diamond studded jewellery.

DDJPL was established in 1978 and has become an Export House recognised by the Government of India.  It was formed by two partners Mr. Chetan Shah and Mrs. Hema Shah.  DDJPL is engaged in diamonds manufacturing and exporting.  Now, DDJPL has got sales offices and production facilities worldwide.  DDJPL usually has got bulk orders through its market associates in Hong Kong, Barcelona, Spain, South Africa, Dubai and China.  At present, DDJPL has over 340 managing personnel and 6,000 workers.  Its manufacturing facilities provide worldwide customers with different shapes and sizes of polish diamonds.

Most of the subject’s products are also provided by DDJPL.  The subject and its associates are owned by the Shah family.

The subject has got associated companies in Hong Kong such as Aesh Diam and Dia-Brilliant Jewelery Co.  Both firms are located at different addresses in Hong Kong.  Ms. Kaushal Dilip Shah is also the sole proprietor of Aesh Diam.

The business of the subject seems to be expanding.

As the history of the subject is over nine years and a month in Hong Kong, on the whole, consider it good for normal business engagements.

 


DIAMOND INDUSTRY – INDIA

 

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.51.66

UK Pound

1

Rs.81.79

Euro

1

Rs.67.18

 

 

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

 

--

 

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%)

 

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.