1. Summary Information

		Country	India
Company Name	AUCTUS PHARMA LIMITED	Principal Name 1	Mr. Aluru Sivarama Prasad
Status	Satisfactory	Principal Name 2	Mr. Suryadevara Venkateshwara Rao
		Registration #	01 – 34319
Street Address	Flat No.102, 1^st Floor, Aditya Trade Centre, Ameerpet, Hyderabad – 500 038, Andhra Pradesh, India
Established Date	25.04.2000	SIC Code	--
Telephone#	91-40-66361958 / 59	Business Style 1	Manufacturer
Fax #	91-40-23757626	Business Style 2	--
Homepage	http://www.auctuspharma.com	Product Name 1	Active Pharmaceutical Ingredients
# of employees	--	Product Name 2	Drug Intermediates
Paid up capital	Rs.39,000,000/-	Product Name 3	--
Shareholders	Foreign holdings 2.56%, Directors or relatives of directors 91.85%, Other top fifty shareholders 5.59%	Banking	Indian Overseas Bank
Public Limited Corp.	No	Business Period	12 Years
IPO	No	International Ins.	-
Public Enterprise	No	Rating	Ba (49)
Related Company
Relation	Country --	Company Name	--
Note	-

2. Summary Financial Statement

Balance Sheet as of	31.03.2011		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	335,344,000	Current Liabilities	281,617,000
Inventories	79,259,000	Long-term Liabilities	206,148,000
Fixed Assets	203,610,000	Other Liabilities	27,347,000
Deferred Assets	000	Total Liabilities	515,112,000
Invest& other Assets	127,795,000	Retained Earnings	191,896,000
		Net Worth	230,896,000
Total Assets	746,008,000	Total Liab. & Equity	746,008,000
Total Assets (Previous Year)	591,464,000
P/L Statement as of	31.03.2011		(Unit: Indian Rs.)
Sales	945,117,000	Net Profit	37,706,000
Sales(Previous yr)	759,610,000	Net Profit(Prev.yr)	26,218,000

MIRA INFORM REPORT

Report Date :

23.04.2012

IDENTIFICATION DETAILS

Name :	AUCTUS PHARMA LIMITED [w.e.f. 30.07.2007]
Formerly Known As :	AUCTUS PHARMA PRIVATE LIMITED [w.e.f. 20.08.2003] SHARP ORGANICS PRIVATE LIMITED
Registered Office :	Flat No.102, 1^st Floor, Aditya Trade Centre, Ameerpet, Hyderabad-500038, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	25.04.2000
Com. Reg. No.:	01 – 34319
Capital Investment / Paid-up Capital :	Rs.39.000 Millions
CIN No.: [Company Identification No.]	U24230AP2000PLC034319
TAN No.: [Tax Deduction & Collection Account No.]	HYDS03801A
Legal Form :	A Closely held Public Limited Liability Company
Line of Business :	Manufacturers of Active Pharmaceutical Ingredients (APIs) and Drug Intermediates
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 920000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. 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

LOCATIONS

Registered Office :	Flat No.102, 1^st Floor, Aditya Trade Centre, Ameerpet, Hyderabad-500038, Andhra Pradesh, India
Tel. No.:	91-40-66361958 / 59
Fax No.:	91-40-23757626
E-Mail :	info@auctuspharma.com sales@auctuspharma.com finance@auctuspharma.com
Website :	http://www.auctuspharma.com
Factory 1:	154, Darga Road, Rangapur Village, Kothur Mandal, Mahaboobnagar-509228 District, Andhra Pradesh, India
Tel. No.:	91-8548-257278
Factory 2:	Plot No. 8, JN Pharma City, Tadi Village, Parawada Mandal, Visakhapatnam District, Andhra Pradesh, India
Factory 3:	# 216, Bonthapally Village, Jinnaram Mandal, Medak District, Andhra Pradesh, India
Tel. No.:	91-8458-275442

DIRECTORS

As on 08.08.2011

Name :

Mr. Aluru Sivarama Prasad

Designation :

Managing Director

Address :

Plot No.85, Siddhartha Nagar, Hyderabad – 500 038, Andhra Pradesh, India

Date of Birth/Age :

10.01.1956

Date of Appointment :

27.10.2008

Din No.:

00361671

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24110AP1994PTC017884	NEO MEDICHEM PRIVATE LIMITED	Director	03-11-03	03-11-03	Amalgamated	NO
2	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Managing director	03-11-11	03-11-03	Active	NO
3	U24100AP2010PLC066882	AUCTUS LIFE SCIENCES LIMITED	Director	02-02-10	02-02-10	Active	NO
4	U24232AP2011PTC072550	NVNS LABORATORIES PRIVATE LIMITED	Director	10-02-11	10-02-11	Active	NO

Name :

Mr. Suryadevara Venkateshwara Rao

Designation :

Joint Managing Director

Address :

Plot No.260, Road No.10C, MLA and MP Colony, Jubilihills, Hyderabad – 500 033, Andhra Pradesh, India

Date of Birth/Age :

10.05.1964

Date of Appointment :

31.07.2003

Din No.:

00363121

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24110AP1994PTC017884	NEO MEDICHEM PRIVATE LIMITED	Managing director	09-12-02	09-12-02	Amalgamated	NO
2	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Managing director	01-04-11	31-07-03	Active	NO
3	U24100AP2010PLC066882	AUCTUS LIFE SCIENCES LIMITED	Director	02-02-10	02-02-10	Active	NO
4	U24232AP2011PTC072550	NVNS LABORATORIES PRIVATE LIMITED	Director	10-02-11	10-02-11	Active	NO

Name :

Dr. Mohan Bandari

Designation :

Whole Time Director

Address :

Flat No.501, Sai Likhitas Samrat Sadan, 8-3-167/D/250 and 251, Kalyan Nagar, Phase I, Hyderabad – 500 038, Andhra Pradesh, India

Date of Birth/Age :

15.04.1955

Date of Appointment :

04.04.2007

Din No.:

01422436

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Director	27-09-07	04-04-07	Active	NO
2	U24100AP2010PLC066882	AUCTUS LIFE SCIENCES LIMITED	Director	02-02-10	02-02-10	Active	NO

Name :

Talasila Venkateswara Rao

Designation :

Non-Executive Director

Address :

2-22-1/65/305, Dwaraka Mai Manson, Bhagya nagar Colony, Kukatpally, Hyderabad – 500 072, Andhra Pradesh, India

Date of Birth/Age :

09.04.1954

Date of Appointment :

16.06.2008

Din No.:

00686154

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24230AP1997PTC027928	INDU FORMULATIONS PRIVATE LIMITED	Managing director	11-09-97	11-09-97	Active	NO
2	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Director	16-06-08	28-03-08	Active	NO

Name :

Kudaravalli Subramanyeswara Rao

Designation :

Non-Executive Director

Address :

7-1-636/26, Model Colony, S.R. Nagar, B.K. Guda, Hyderabad – 500 038, Andhra Pradesh, India

Date of Birth/Age :

10.08.1942

Date of Appointment :

28.03.2008

Din No.:

00038416

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U28932AP1975PLC006382	CMH TOOLS LIMITED	Director	14-03-02	14-03-02	Active	NO
2	L24239AP1987PLC008066	SMS PHARMACEUTICALS LIMITED	Director	29-05-05	29-05-05	Active	NO
3	U24230AP1995PTC020182	SREENIVASA PHARMA PRIVATE LIMITED	Director	25-05-07	25-05-07	Amalgamated	NO
4	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Director	16-06-08	28-03-08	Active	NO
5	U45200AP2004PTC042471	YESWANTH INDUSTRIAL INFRASTRUTURE PROJECTS PRIVATE LIMITED (U/S 21)	Director	26-11-11	26-11-11	Active	NO

Name :

Garlapati Nageswara Rao

Designation :

Director

Address :

H. No. 3-6-61/5/1, Plot NO. 374, Vivekananda Nagar, Kukatpally, Hyderabad-500072, Andhra Pradesh, India

Date of Birth/Age :

14.06.1962

Date of Appointment :

14.09.2010

Din No.:

01561484

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U25209AP1998PTC028831	VIJETHA POLYTEK PRIVATE LIMITED	Managing director	04-02-98	04-02-98	Active	NO
2	U24230AP2000PLC034319	AUCTUS PHARMA LIMITED	Director	08-08-11	14-09-10	Active	NO
3	U31900AP2011PTC074100	RAYDIANCE SOLAR ENERGY PRIVATE LIMITED	Director	26-04-11	26-04-11	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 08.08.2011

Names of Shareholders	No. of Shares
Aluru Sivarama Prasad	1181500
Aluru Mahalakshmi	420500
Suryadevara Venkateshwara Rao	1284000
Suryadevara Lakshmidevi	382000
Mohan Bandari	150000
B. Sridhar	200000
Talasila Venkateswara Rao	25000
Talasila Hari Prasad	25000
Talasila Rajeswari	25000
Talasila Lakshmi Kumari	25000
Viljko Zorzut	50000
Bright Key Group Limited, Hong Kong	50000
Aluru Vasmsi Krishna	64000
Satambakkam Prem Kumar Reddy	6000
Vyasabattu Srinivasa Raju	3000
Dandu Ravi	3000
Parupalli Ramkumar	2000
Mullapudi Venkata Nagendra Rao	2000
Boppana Sudha Rani	2000
Total	3900000

As on 08.08.2011

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	2.56
Directors or relatives of directors	91.85
Other top fifty shareholders	5.59
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Active Pharmaceutical Ingredients (APIs) and Drug Intermediates

Products :

PRODUCT DESCRIPTION	ITEM CODE
Fluconazole	29036990
Citirizine	29242190
Pantoprazole	29332990
Losartanpostaslum	29153990

PRODUCTION STATUS [AS ON 31.03.2011]

Particulars	Unit	Installed Capacity	Actual Production
Bulk Drugs and Intermediates	Kgs.	400000	381037
Conversion	Kgs.	--	11816

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Indian Overseas Bank, M.G. Road Branch, Chandralok Complex, Secunderabad-500003, Andhra Pradesh, India

· Indian Bank, Hyderabad Main Surabhi Arcade, Bank Street, Koti, Hyderabad-500001, Andhra Pradesh, India

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Term Loan
From Indian Bank [Payable within one year Rs.43.580 millions]	114.582	81.594
Working Capital Loan
From Indian Bank	91.566	92.647
Total	206.148	174.241
Unsecured Loan
From Directors	0.000	12.000
Total	0.000	12.000

Banking Relations :	--
Auditors :
Name :	K. Nagaraju and Associates Chartered Accountants
Address :	H. No.1-8-197, Chikkadpally, Hyderabad – 500 020, Andhra Pradesh, India
Tel. No.:	91-40-27667878
Pan No.:	ABHPK1930B

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
4500000	Equity Shares	Rs.10/- each	Rs.45.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3900000	Equity Shares	Rs.10/- each	Rs.39.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		39.000	37.000	36.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		191.896	152.661	127.573
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		230.896	189.661	164.073
LOAN FUNDS
1] Secured Loans		206.148	174.241	131.546
2] Unsecured Loans		0.000	12.000	13.750
TOTAL BORROWING		206.148	186.241	145.296
DEFERRED TAX LIABILITIES		12.896	14.481	14.830
TOTAL		449.940	390.383	324.199
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		203.610	204.486	222.010
Capital work-in-progress		127.732	25.535	2.266
INVESTMENT		0.063	0.223	0.242
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	79.259	89.875	53.478
	Sundry Debtors	278.928	214.682	130.023
	Cash & Bank Balances	7.110	12.260	6.406
	Other Current Assets	1.081	0.890	0.328
	Loans & Advances	48.225	43.513	40.774
Total Current Assets		414.603	361.220	231.009
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	269.117	184.273	123.200
	Other Current Liabilities	12.500	0.000	0.000
	Provisions	14.451	16.808	8.128
Total Current Liabilities		296.068	201.081	131.328
Net Current Assets		118.535	160.139	99.681
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		449.940	390.383	324.199

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	945.117	759.610	596.071
		Other Income	4.219	3.503	7.990
		TOTAL (A)	949.336	763.113	604.061
Less	EXPENSES
		Material Consumed	664.533	550.953	371.268
		Manufacturing Expenses	78.899	66.201	73.484
		Employee Cost	56.612	47.714	43.445
		Administrative Expenses	13.762	15.507	11.698
		Selling Expenses	18.345	15.831	15.875
		Increase / Decrease in Stocks	13.673	(18.281)	(2.038)
		TOTAL (B)	845.824	677.925	513.732
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		103.512	85.188	90.329
Less	FINANCIAL EXPENSES (D)		21.800	19.855	23.002
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		81.712	65.333	67.327
Less/ Add	DEPRECIATION/ AMORTISATION (F)		24.657	24.007	21.735
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		57.055	41.326	45.592
Less	TAX (H)		19.349	15.108	14.201
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		37.706	26.218	31.391
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		3.161	2.073	0.897
Less	APPROPRIATIONS
		Interim Dividend	5.550	0.000	0.000
		Proposed Dividend	0.000	4.399	4.030
		Tax on Dividend	0.922	0.731	0.685
		Transfer to General Reserve	30.000	20.000	25.500
	BALANCE CARRIED TO THE B/S		4.395	3.161	2.073
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	290.212	353.732	212.498
	IMPORTS
		Raw Materials	131.105	145.138	90.343
		Capital Goods	1.767	0.977	0.288
	TOTAL IMPORTS		132.872	146.115	90.631
	Earnings / (Loss) Per Share (Rs.) (Basic)		9.67	7.09	8.60
	Earnings / (Loss) Per Share (Rs.) (Diluted)		9.20	7.02	8.00

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.97	3.44	5.20
Net Profit Margin (PBT/Sales)	(%)	6.04	5.44	7.55
Return on Total Assets (PBT/Total Assets}	(%)	9.23	7.31	10.06
Return on Investment (ROI) (PBT/Networth)		0.25	0.22	0.28
Debt Equity Ratio (Total Liability/Networth)		2.17	2.04	1.69
Current Ratio (Current Asset/Current Liability)		1.40	1.80	1.76

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	No
9) Name of person contacted	No
10) Designation of contact person	No
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter involved in	--
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	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes

INDUSTRY:

Pharmaceutical Industry in India may be considered a high technology industry. It has vide range capabilities in the field of dug manufacture and has transformed itself into a world leader in the production of high quality drugs for the past 3 decades. The industry is the third largest in the world in terms of volume and ranks fourteenth in term of value. The annual growth rate is about 8% to 9%.

REVIEW OF OPERATIONS AND OUTLOOK:

During the year, the company recorded a gross sales and other income of Rs.996.513 millions as against Rs.803.562 millions during the previous year. The net profit after taxes stood at Rs.37.706 millions as against Rs.26.219 million in the previous year. The expansion of Phase III at Parwada Unit was completed and commercial production commenced in the month of May 2011.

During the year, the company has purchased land about 29 acreas in Srikakulam district of Andhra Pradesh for future expansion of the company’s manufacturing facilities. In view of the performance and also the potentiality of industry, the directors are hopeful of posting better performance in the coming year.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	10009990
Corporate identity number of the company	U24230AP2000PLC034319
Name of the company	AUCTUS PHARMA LIMITED
Address of the registered office or of the principal place of business in India of the company	Flat No.102, 1^st Floor, Aditya Trade Centre, Ameerpet, Hyderabad-500038, Andhra Pradesh, India
Type of charge	Book Debts Movable Property [not being pledge] Others
Particular of charge holder	Indian Bank, Hyderabad Main Surabhi Arcade, Bank Street, Koti, Hyderabad-500001, Andhra Pradesh, India
Email	ibhydmain@rediffmail.com
Nature of description of the instrument creating or modifying the charge	1) Memorandum of agreement relating to deposit of title deed for extension of security interest. 2) Sanction Letter from Bank.
Date of instrument Creating the charge	01.03.2011
Amount secured by the charge	Rs.474.400 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest OCC-Base rate + TP + 3.5%, PC-Base rate +2%, FBP/FBN - Base rate +2%, MTL-1 BPLR+TP-1.5%, MTL-II BPLR+TP-1.5%, MTL-III BPLR+TP-1.5%, MTL-IV BPLR+TP-1.5%, MTL-V BPLR+TP-1%. Terms of Repayment Working capital limits are repayable on demand. There is no change in repayment for term loans I to V. Margin 25% on OCC, 10% on FBP/FBN, Inland/Import LC/DP/DA and performance Guarantee Extent and Operation of the charge 1) Exclusive first charges on company's Fixed Assets 2) Hypothecation of stocks and book debts worth Rs. 343.800 Millions as on 31.01.2011.
Short particulars of the property charged	EM of factory land and building and P and M situated in SYNos. Part of 156, 157, 159, 160 and 161, Plot No. 8, JNPC, Parawada Md, Visakhapatnam Dist., belonging to Company. EM of factory land, building, P and M, in situated at SY No. 216, Bonthapalli Village, Jinnaram Mandal, Medak District belonging to company. EM of office premises admeasuring 2691 sq. ft on 7th floor Aditya Trade Centre, Ameerpet, Hyderabad belonging to Mr. S. Venkateswara Rao and Mrs. Lakshmi Devi. EM of shop. No. 13, Annapurna Block, Aditay Trade Centre, Ameerpet, Hyderabad, belonging to Sri. A. Siva Rama Prasad.
Date of latest modification prior to the present modification	24.02.2011
Particulars of the present modification	There is no Change in the total fund based and non fund based limits of Rs. 474.400 Millions. These limits are secured by the extension of equitable mortgage of deposit of title deeds in favour of the Bank.

CONTINGENT LIABILITIES:

Particulars	31.03.2011 (Rs. in millions)	31.03.2010 (Rs. in millions)
Bills Discounted with Banks	40.532	17.693
Bank Guarantees	3.914	3.894
Direct Taxes in Appeals	2.453	1.510
Total	46.899	23.097

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Pipes and Valves

· Electrical Installation

· Lab Equipment

· Factory Equipment

· Computers

· Furniture and Fixtures

· Vehicles

· Office Equipment

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.52.00
UK Pound	1	Rs.83.54
Euro	1	Rs.68.40

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		49

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.