MIRA INFORM REPORT

Report Date :

24.04.2012

IDENTIFICATION DETAILS

Name :	CHADHA RUBBER PRIVATE LIMITED (W.e.f. 13.06.2003)
Formerly Known As :	CHADHA RUBBER LIMITED
Registered Office :	Compound Chadha Palace, Prince Road, Moradabad – 244001, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	10.03.1988
Com. Reg. No.:	20-009435
Capital Investment / Paid-up Capital :	Rs.15.194 Millions
CIN No.: [Company Identification No.]	U25111UP1988PTC009435
TAN No.: [Tax Deduction & Collection Account No.]	LKNC05227F
PAN No.: [Permanent Account No.]	AABCR4523R
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Tyre and Tube Flaps.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (27)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 130000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company is low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered 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 :	Compound Chadha Palace, Prince Road, Moradabad – 244001, Uttar Pradesh, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	mbd@chadharubber.com
Factory :	B-143, Okhla Industrial Area, Phase -1, New Delhi – 110020, India
Tel. No.:	91-11-41628419/ 32959837/ 26832609
Fax No.:	91-11-40587050

DIRECTORS

AS ON 30.09.2010

Name :

Mr. Narender Singh Chadha

Designation :

Director

Address :

455 Civil Lines, Moradabad, Uttar Pradesh, India

Date of Birth/Age :

12.04.1954

Date of Appointment :

10.03.1988

DIN No.:

00260109

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	U25111UP1988PTC009435	CHADHA RUBBER PRIVATE LIMITED	Director	10-03-88	10-03-88	Active	NO
2	U74999DL1979PTC009538	PIONEER THEATRES PRIVATE LIMITED	Director	03-01-91	03-01-91	Active	NO
3	U45201UP2004PTC029163	KC DEVELOPERS (INDIA) PRIVATE LIMITED	Director	13-10-04	13-10-04	Active	NO
4	U45400UP2011PTC046614	PLATINUM INFRABUILD PRIVATE LIMITED	Director	14-09-11	14-09-11	Active	NO

Name :

Mr. Surjeet Singh Chadha

Designation :

Director

Address :

455 Civil Lines, Moradabad, Uttar Pradesh, India

Date of Birth/Age :

15.07.1952

Date of Appointment :

10.03.1988

DIN No.:

00992696

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	U25111UP1988PTC009435	CHADHA RUBBER PRIVATE LIMITED	Director	10-03-88	10-03-88	Active	NO
2	U70109DL2006PTC153523	WATSONIA TOWN PLANNERS PRIVATE LIMITED	Director	30-09-08	30-07-08	Active	NO
3	U74210DL1998PTC096766	ISTHMUS INDUSTRIES PRIVATE LIMITED	Director	22-09-09	02-01-09	Active	NO

Name :

Mr. Parminder Singh Chadha

Designation :

Director

Address :

455 Civil Lines, Moradabad, Uttar Pradesh, India

Date of Birth/Age :

14.10.1975

Date of Appointment :

01.04.1995

DIN No.:

00229347

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	U25111UP1988PTC009435	CHADHA RUBBER PRIVATE LIMITED	Director	01-04-95	01-04-95	Active	NO
2	U70109DL2006PTC153523	WATSONIA TOWN PLANNERS PRIVATE LIMITED	Director	30-09-08	30-07-08	Active	NO
3	U45309DL2011PTC216969	WAVE INFRATRADE PRIVATE LIMITED	Director	04-04-11	04-04-11	Active	NO

Name :

Mrs. Balbir Kaur Chadha

Designation :

Director

Address :

455 Civil Lines, Moradabad, Uttar Pradesh, India

Date of Appointment :

16.03.2004

DIN No.:

00993000

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	U25111UP1988PTC009435	CHADHA RUBBER PRIVATE LIMITED	Director	16-03-04	16-03-04	Active	NO
2	U70109DL2006PTC153523	WATSONIA TOWN PLANNERS PRIVATE LIMITED	Director	30-09-08	30-07-08	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2010

Names of Shareholders	No. of Shares
Harbhajan Singh Chadha	31390
Surjeet Singh Chadha	13480
Prakash Kaur	750
Jasbir Kaur	250
Balbir Kaur Chadha	11530
Rajinder Kaur	1250
Ravinder Kaur	1100
Jitender Kaur	500
Narender Singh Chadha	500
Rajinder Singh Chadha	1000
Inderjeet Singh Chadha	2500
Gurjeet Singh Chadha	1000
Gurdeep Singh Chadha	8820
Hardeep Singh Chadha	4750
Dinita Chadha	1500
Bandana Chadha	1500
Satender Singh Chadha	5388
Parminder Singh Chadha	36680
Kulwant Singh Chadha	15000
T. S. Chadha	13050
Total	151938

AS ON 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Tyre and Tube Flaps.

PRODUCTION STATUS (AS ON 31.03.2010)

Licensed Capacity	9000 KGS
Installed Capacity	9000 KGS

ACTUAL PRODUCTION:

Particular	Actual production
Tubes (NOS)	1447462
Flaps (NOS)	0
FCCB and Envelopes (NOS)	1810
SCRAP (KGS)	70703.47

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Allahabad Bank, Civil Lines, Moradabad - 244001, Uttar Pradesh, India

Facilities :

Secured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
Term Loans
ICICI Term Loan	0.000	0.394
ICICI Term Loan I	0.000	0.019
ICICI Term Loan II	0.000	0.030
Kotak Mahindra Bank	1.796	1.769
Tata Capital Limited	0.885	0.000
Kotak Mahindra – Car Loan	0.370	0.534
ICICI Auto Loan	0.277	0.775
Standard Chartered Bank	2.074	2.500
ABN Amro Bank	0.311	0.841
HDFC Bank	0.534	1.029
Reliance Capital Limited	4.958	0.000
HDFC Bank #2	0.333	0.000
Cholamandalam DBS Finance Limited	0.571	0.000
Barclays Bank # 2	2.026	0.000
Barclays Bank	1.356	2.513
Working Capital Loans
Allahabad Bank C/C	13.370	12.973
Allahabad Bank PCL	26.880	22.390
Allahabad Bank FBP/FBN	7.664	2.127
Allahabad Bank BG	24.791	0.000
Total	88.196	47.894
Unsecured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
Loans from shareholders, directors and their relatives	20.220	15.309
Chadha Finance Company	0.109	0.109
Total	20.329	15.418

Banking Relations :	--
Auditors :
Name :	Mahesh Chandra Agarwal Chartered Accountant
Address :	MIG B – 17, Ramganga Vihar – 1, Sonakpur Stadium Road, Moradabad – 244001, Uttar Pradesh, India
Income-tax PAN of auditor or auditor's firm :	AHXPA9947J

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
151938	Equity Shares	Rs.100/- each	Rs.15.194 Millions

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		15.194	15.194	15.194
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		17.535	17.956	17.424
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		32.729	33.150	32.618
LOAN FUNDS
1] Secured Loans		88.196	47.894	71.585
2] Unsecured Loans		20.328	15.418	14.754
TOTAL BORROWING		108.524	63.312	86.339
DEFERRED TAX LIABILITIES		4.823	4.761	4.798
TOTAL		146.076	101.223	123.755
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		46.623	32.953	31.572
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.329	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	100.110	99.944	94.281
	Sundry Debtors	48.154	23.640	54.048
	Cash & Bank Balances	21.544	4.817	5.923
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	22.276	21.061	22.090
Total Current Assets		192.084	149.462	176.342
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	90.490	78.787	82.049
	Other Current Liabilities	0	0	0
	Provisions	3.470	2.405	2.110
Total Current Liabilities		93.960	81.192	84.159
Net Current Assets		98.124	68.270	92.183
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		146.076	101.223	123.755

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	357.632	245.990	221.824
		Other Income	4.855	5.233	7.497
		TOTAL (A)	362.487	251.223	229.321
Less	EXPENSES
		Increase/ Decrease in Stock	(8.664)	(11.511)
		Materials Consumed	287.283	194.497
		Manufacturing Expenses	48.245	32.711	217.654
		Selling and Administrative Expenses	15.399	16.615
		Duty and Cess Paid	7.742	4.435
		TOTAL (B)	350.005	236.747	217.654
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		12.482	14.476	11.667
Less	FINANCIAL EXPENSES (D)		8.299	10.441	8.049
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		4.183	4.035	3.618
Less/ Add	DEPRECIATION/ AMORTISATION (F)		3.359	2.529	2.453
	PROFIT BEFORE TAX (E-F) (G)		0.824	1.506	1.165
Less	TAX (H)		0.577	0.338	0.120
	PROFIT AFTER TAX (G-H) (I)		0.247	1.168	1.045
Less	PREVIOUS YEAR EXPENSES		0.668	0.637	NA
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		17.956	17.425	NA
	BALANCE CARRIED TO THE B/S		17.535	17.956	NA
	Earnings Per Share (Rs.)		1.63	7.69	6.87

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.07	0.46	0.46
Net Profit Margin (PBT/Sales)	(%)	0.23	0.61	0.53
Return on Total Assets (PBT/Total Assets}	(%)	0.35	0.83	0.56
Return on Investment (ROI) (PBT/Networth)		0.03	0.05	0.04
Debt Equity Ratio (Total Liability/Networth)		6.19	4.35	5.23
Current Ratio (Current Asset/Current Liability)		2.04	1.84	2.10

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	No
30) Major Shareholders, if available	Yes

COMPANY PERFORMANCE

During the year the company has achieved turnover of Rs. 357.632 Millions in comparison to previous year sales of Rs 245.990 Millions in the previous year and achieved profit before tax of Rs. 0.824 Millions against previous year profit of Rs 1.506 Millions. The director do not recommend any dividend.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	80035733
Corporate identity number of the company	U25111UP1988PTC009435
Name of the company	CHADHA RUBBER PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Compound Chadha Palace, Prince Road, Moradabad – 244001, Uttar Pradesh, India mbd@chadharubber.com
Type of charge	Immovable Property Book Debts
Particular of charge holder	Allahabad Bank Civil Lines Branch, Moradabad – 244001, Uttar Pradesh, India mbd@chadharubber.com
Nature of description of the instrument creating or modifying the charge	General Letter of Hypothecation Dated. 16/07/2010
Date of instrument Creating the charge	16/07/2010
Amount secured by the charge	Rs.113.850 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest For Cash Credit Limit @ 12 % For Packing Credit Limit @ 9.25 % For Term Loan @ 12 % Terms of Repayment As per agreement Margin As per agreement Extent and Operation of the charge All Tangible Movable Machine, Plants, Machinery, Furniture, Fixture, Fittings, Book Debts, Money Receivables, Claims etc.
Short particulars of the property charged	Movable Goods and Assets both present and future, book debts, stock of raw material including semi-finished and finished, packing material, bills receivable, claims etc. Land and Building at village Naipura Gajraula in the name of Mrs. Balveer Kaur and Mr. Parminder singh Chaddha Lease hold factory land and building of Chaddha Rubber (Private) Limited Land at Naipura Gajraula of Guru Nanak Cane Crushing factory Land and Building of Chaddha Enterprises situated at village Badhonia Land and Building at W-113 Greater Kailash New Delhi in the name Mr. S. S. Chaddha, Land and Building at B. P. Colony ,Civil Lines Rampur in the joint name of Mr. Hardeep Singh Chadha and Mrs. Jasdeep Kaur. Land and Building of Residential Property, Plot No.1590, Gali No.13,Govind Puri, Kalka Ji, New Delhi in the name of Mrs. Bhavneet Chadha
Date of latest modification prior to the present modification	29/12/2008
Particulars of the present modification	Amount of charge has been increased from 69.500 Millions to 113.850 Millions.

FIXED ASSETS:

· Building

· Electrical Fittings

· Plant and Machinery

· Boiler

· Mould

· Fire Fighting Equipment

· Generator Set

· Television

· Office Equipments

· Furniture and Fixtures

· Air Conditioner and Refrigerator

· Computer

· Motor Vehicles

· Bicycle

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.52.23
UK Pound	1	Rs.84.16
Euro	1	Rs.68.84

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.