MIRA INFORM
REPORT
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Report Date : |
28.04.2012 |
IDENTIFICATION DETAILS
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Name : |
L.
D. CREATIONS |
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Registered Office : |
Room 802, 8/F., Guardforce Centre, |
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Country : |
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Date of Incorporation : |
25.03.2006 |
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Com. Reg. No.: |
36669282-000-03 |
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Legal Form : |
Sole Proprietorship |
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Line of Business : |
Importer and Exporter of all Kinds of Diamonds and Jewellery
Products, Emerald, etc |
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No. of Employees : |
8. (Including affiliates) |
RATING & COMMENTS
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MIRAs 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 : |
Regular |
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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, 2012
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Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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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 |
L. D.
CREATIONS
Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
PHONE: 2365 1223, 2311 9628
FAX: 2311 4498
E-MAIL: komal@komalgems.com
Manager: Mr. Rakesh Girdharlal Gajera
Establishment: 25th March, 2006.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Diamond Trader.
Employees: 8. (Including affiliates)
Main Dealing Banker: Wing Lung Bank Ltd.,
Banking Relation: Satisfactory.
Head Office:-
Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
Affiliated
Companies:-
Cygnus Jewelry Inc.,
Komal Gems N.V.,
Komal Gems, Hong Kong. (Same address)
Laxmi Dia Jewels Pvt. Ltd.,
Laxmi Diamond (HK) Ltd., Hong Kong. (Same address)
Laxmi Diamond (
Laxmi Diamond Pvt. Ltd.,
Laxmi Jewel Pvt. Ltd.,
Mili Star (N.Y.) Inc.,
Mili Star Co. Ltd.,
36669282-000-03
Manager: Mr. Rakesh Girdharlal Gajera
Name: Mr. Rakesh Girdharlal GAJERA
Residential Address: Flat 8C, 8/F., Tower 12A, Laguna Verde, 8 Laguna Verde Avenue, Hunghom, Kowloon,
The subject was established on 25th March, 2006 as a sole proprietorship concern owned by Mr. Neelang Arvind Popat under the Hong Kong Business Registration Regulations.
The following table shows the changes of the partners:-
Name |
Incoming Date |
Outgoing Date |
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Neelang Arvind Popat |
25-03-2006 |
01-06-2008 |
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Vipulkumar Kesubhai Boghani |
28-02-2007 |
19-06-2008 |
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Rakesh Girdharlal gajera |
01-06-2008 |
- |
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Initially the subject was located at Room 802, 8/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong, moved to Flat F, 14/F., Union Mansion, 33-35 Chatham Road, Tsimshatsui, Kowloon, Hong Kong in October 2006; and further moved back to Guardforce Centre in June 2008.
Apart
from these, neither material change nor amendment has been ever traced and
noted.
Activities: Importer and Exporter.
Lines: All kinds of diamonds and jewellery products, emerald, etc.
Employees: 8. (Including affiliates)
Commodities Imported:
Markets:
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Capital: Not disclosed.
Profit or Loss: Making a small profit every year.
Condition: Business is active and steady.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Bankers:-
Wing Lung Bank Ltd.,
Antwerpse Diamant
Standing: Small.
L.
D. Creations is a sole proprietorship owned by Mr. Rakesh Girdharlal Gajera who
is an Indian. He is a Hong Kong ID Card
holder and has got the right to reside in
As a diamond trader, the subject has got affiliated companies Laxmi Diamond (HK) Ltd. [Laxmi Diamond] and Komal Gems located at its operating address.
Komal Gems is a partnership jointly owned by Mr. Vipulkumar Kesubhai Boghani and Gajera. Mr. Vipulkumar Kesubhai Boghani is also the director of Laxmi Diamond.
The
subject also has got another affiliated company Komal Gems N.V. [Komal] which
is a Belgium-based firm. Komal is a
manufacturer and wholesaler of diamonds and gems. Komal is a subsidiary of Lamxi Diamond. It is one of the largest diamond wholesalers
in
Having
more than 30 years experience in manufacturing diamonds products, Laxmi Diamond
is also one of the largest diamond manufacturing companies in
Komal
is specialised in manufacturing star and melee from white to TTLB. It also produces a wide range of diamond in
round, princess cut, taper and marquise.
Possessing substantial stocks, Komal is able to supply customers with
diamonds in large quantities on diamonds.
The major markets of Komal are the
Besides
the subject, Laxmi Diamond has got affiliated companies in
Laxmi
Diamond has had three jewellery brands: Cygnus in
Currently, the Chairman of Laxmi Diamond Group is Mr. Vasant Gajera.
The subject is fully supported by Laxmi Diamond and the Gajera family. Overall business is improving and satisfactory.
On
the whole, as the history of the subject in
COURT CASES: None per our.
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.52.68 |
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UK Pound |
1 |
Rs.85.12 |
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Euro |
1 |
Rs.69.38 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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 SCs 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.