MIRA INFORM REPORT

Report Date :

12.12.2012

IDENTIFICATION DETAILS

Name :	KANTILAL MANILAL AND COMPANY PRIVATE LIMITED
Registered Office :	Apeejay Chambers, 1^st Floor, Wallace Street, Fort, Mumbai – 400 001, Maharashtra
Country :	India
Financial (as on) ;	31.03.2012
Date of Incorporation :	18.04.1984
Com. Reg. No.:	11-032694
Capital Investment / Paid-up Capital :	Rs.1.000 Million
CIN No.: [Company Identification No.]	U24110MH1984PTC032694
TAN No.: [Tax Deduction & Collection Account No.]	MUMK12362A
PAN No.: [Permanent Account No.]	AAACK5165B
Legal Form :	Private Limited Liability Company
Line of Business :	Traders, Exporter and Importer of Pharmaceutical Chemicals.
No. of Employees :	21 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 340000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established and a reputed company having satisfactory track. Trade relations are fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered good for normal 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.

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Vinayak Desai
Designation :	Finance Manager
Contact No.:	91-9969857187
Date :	11.12.2012

LOCATIONS

Registered Office :	Apeejay Chambers, 1^st Floor, Wallace Street, Fort, Mumbai – 400 001, Maharashtra, India
Tel. No.:	91-22-22317612 / 22072325 / 22077192 / 66317612 / 22817612 / 22072354 / 22071671 / 66317614
Mobile No.:	91-9969857187 (Mr. Vinayak Desai)
Fax No.:	91-22-22317610 / 22070376 / 22040376 / 66317610
E-Mail :	mark21@bom3.vsnl.net.in pankaj@kmcpl.com admn@kmcpl.com kantimani@vsnl.com admin@kmcpl.com
Area :	1000 Sq. ft
Location :	Rented
Warehouse :	Located at Bhiwandi

DIRECTORS

AS ON 29.08.2012

Name :	Mr. Anil Pannalal Shah
Designation :	Director
Address :	Sagar Kunj 78, Nepean Sea Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	27.11.1944
Qualification :	Post Graduate
Date of Appointment :	30.09.1995
DIN No.:	02422033
Name :	Mr. Pankaj Pannalal Shah
Designation :	Director
Address :	510, Chandralok, A-97, Nepean Sea Road, Mumbai - 400 006, Maharashtra, India
Date of Birth/Age :	14.08.1951
Qualification :	B. Com.
Date of Appointment :	30.09.1995
DIN No.:	00900217
Name :	Mr. Atul Vinubhai Shah
Designation :	Director
Address :	53, Sagar Kunj 78, Nepean Sea Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	28.12.1960
Date of Appointment :	30.09.1995
DIN No.:	02422085
Name :	Mr. Mukesh Kantilal Shah
Designation :	Director
Address :	12A, Capri Co-Operative Society Limited, Mumbai - 400 006, Maharashtra, India
Date of Birth/Age :	01.10.1959
Date of Appointment :	30.09.1995
DIN No.:	00501188
Name :	Mrs. Nilamben Champaklal Shah
Designation :	Director
Address :	12A, Capri Co-Operative Society Limited, Mumbai - 400 006, Maharashtra, India
Date of Birth/Age :	21.08.1932
Date of Appointment :	30.09.1995
DIN No.:	02368354

KEY EXECUTIVES

Name :	Mr. Vinayak Desai
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.08.2012

Names of Shareholders	No. of Shares
Anil P Shah Jointly Devyani A Shah	1100
Anil P Shah (HUF) Jointly Devyani A Shah	750
Pankaj P. Shah (H.U.F.) Jointly Charu P. Shah	750
Charu P Shah Jointly Pankaj P Shah	850
Mansi P. Shah Jointly Charu P. Shah	50
Aditi P. Shah Jointly Charu P. Shah	50
Devyani A Shah Jointly Anil P Shah	750
Roma A. Shah Jointly Anil P. Shah	100
Pooja A. Shah Jointly Anil P. Shah	100
Atul Vinibhai Shah Jointly Sheetal A Shah	1000
Kokilaben V. Shah Jointly Vinubhai P. Shah	200
Atul Vinibhai Shah Jointly Sheetal A Shah	675
Sheetal A Shah Jointly Atul Vinibhai Shah	200
Dipali V. Shah Jointly Vinubhai P. Shah	100
Mukesh K Shah Jointly Jyoti M Shah	650
Jyoti M. Shah Jointly Mukesh K. Shah	150
Pankaj P. Shah Jointly Charu P. Shah	1100
Nilamben C. Shah Jointly Pankaj P. Shah	400
Alok A. Shah – Minor Atul V. Shah, Jointly Sheetal A. Shah	175
Akshay A. Shah – Minor Atul V. Shah Jointly Sheetal A. Shah	150
Jinal M. Shah –Minor Mukesh K. Shah Jointly Jyoti M. Shah	150
Atul V. Shah (H.U.F. Atul V. Shah Jointly Sheetal A. Shah)	300
Mukesh K Shah ( K. M. Shah H.U.F. Jointly Jyoti M Shah)	250
TOTAL	10000

AS ON 29.08.2012

Equity Shares Break Up	Percentage of Holding
Directors or relatives of Directors	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :	Traders, Exporter and Importer of Pharmaceutical Chemicals.
Products :	· Aipic Acid · Butyl Cellosove · Bisphenol · Carbitol · Chloroform · Cyclohexane · Cycloxexanone · Cyclohexulamine · Dimethyl Carbonate · DMDCS · Epichlorohydrine · Hydrazine Hydrate · Hydroquinone · Glycerine · Maleic Anhydride · Methyl Cellosolve · Morpholine · Neophentyl Glycol · Perchloroehtylene · Petroleum Ether · Potassium Carbonate · N-propariol Pure · Propionic Acid · Propionis Anhydride · Propylene Glycol · Pyridine Pure · Thioglycollic Acid · Vinyl Acetane Manomer Generic Name of the Principal Product of the company is : · Trading Pharmaceutical Chemicals
Exports :
Countries :	Europe
Imports :
Countries :	USA China Europe
Terms :
Selling :	Cash, Credit
Purchasing :	Cash, Credit

GENERAL INFORMATION

Customers :

• End Users

No. of Employees :

21 (Approximately)

Bankers :

• The Hongknong and Shanghai Banking Corporation Limited, 52/60, Mahatma Gandhi Road, Fort, Mumbai-400001, Maharashtra, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Short Term Borrowings
Short Term Loans – From Banks
HSBC Mauritius	58.978	67.020
(Under guarantee of HSBC Mumbai secured against stock, fixed deposit with bank and debtors)
TOTAL	58.978	67.020
Unsecured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Long Term Borrowings
Long Term Loans – Others
From Directors	80.850	83.032
From Others	144.853	140.295
TOTAL	225.703	223.327

Banking Relations :	--
Auditors :
Name :	Ramesh C. Shah and Company Chartered Accountants
Address :	307, Venkatesh Chambers, 3^rd Floor, Prescot Road, Behind Khadi Bhandar, Fort, Mumbai – 400 001, Maharashtra, India
Tel. No.:	91-22-22075636
Fax No.:	91-22-22070012
PAN No.:	AADPS8834K
Sister Concern :	Kantilal Manilal Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
25000	Equity Shares	Rs.100/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.100/- each	Rs. 1.000 Million

NOTES

The details of share holder holding more than 5% shares

Name of the shareholder	No. of Shares Held	Percentage held
Pankaj P Shah HUF	750	7.50
Mukesh K Shah	450	4.50
Pankaj P Shah	1200	12.00
Anil P Shah	1100	11.00
Charu P Shah	850	8.50
Devyani A Shah	750	7.50
Atul A Shah	1675	16.75
Anil P Shah HUF	750	7.50
Atul V Shah HUF	300	3.00
Kantilal M Shah HUF	150	1.50

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		1.000	1.000	1.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		85.422	77.284	68.372
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		86.422	78.284	69.372
LOAN FUNDS
1] Secured Loans		58.978	67.020	36.438
2] Unsecured Loans		225.703	223.327	160.470
TOTAL BORROWING		284.681	290.347	196.908
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		371.103	368.631	266.280
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3.078	3.863	4.642
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.388	0.387	0.844
DEFERREX TAX ASSETS		0.266	0.245	0.230
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	217.023	201.934	203.334
	Sundry Debtors	222.665	188.840	123.091
	Cash & Bank Balances	79.889	56.404	76.426
	Other Current Assets	0.052	0.000	0.000
	Loans & Advances	14.509	13.273	5.096
Total Current Assets		534.138	460.451	407.947
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	144.300	78.159	132.301
	Other Current Liabilities	18.367	13.406	14.622
	Provisions	4.100	4.750	0.460
Total Current Liabilities		166.767	96.315	147.383
Net Current Assets		367.371	364.136	260.564
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		371.103	368.631	266.280

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	NA	832.872	NA
		Other Income
		TOTAL	NA	832.872	NA
Less	EXPENSES
		Office Expenses	NA	819.229	NA
		Administrative Expenses
		Advertising Expenses
		TOTAL	NA	819.229	NA
	PROFIT / (LOSS) BEFORE TAX		NA	13.643	NA
Less	TAX		NA	4.732	NA
	PROFIT / (LOSS) AFTER TAX		8.138	8.911	8.481
	IMPORTS		486.125	454.664	550.347
	Earnings Per Share (Rs.)		813	891.13	848.42

Expected Sales (2012-2013) : Rs. 800.000 Millions

The above information has been parted by Mr. Vinayak Desai.

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	1.07	NA
Return on Total Assets (PBT/Total Assets}	(%)	NA	2.94	NA
Return on Investment (ROI) (PBT/Networth)		NA	0.17	NA
Debt Equity Ratio (Total Liability/Networth)		5.22	4.94	4.96
Current Ratio (Current Asset/Current Liability)		3.20	4.78	2.77

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	Yes
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last one years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	-----
14]	Estimation for coming financial year	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
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
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

SUNDRY CREDITORS DETAILS

(Rs. In Millions)

Particulars	31.03.2012	31.03.2011	31.03.2010
Sundry Creditors
Sundry Creditors	144.300	78.056	132.301
Advance Received	0.000	0.103	0.000
TOTAL	144.300	78.159	132.301

OPERATIONS AND FINANCIAL REVIEW

The company has made a net profit after tax of Rs.8.138 Millions as against Rs.8.911 Millions in the previous year.

FORM 8

Corporate identity number of the company	U24110MH1984 PTC032694
Name of the company	KANTILAL MANILAL A COMPANY PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Apeejay Chambers, 1^st Floor, Wallace Street, Fort, Mumbai – 400 001, Maharashtra, India
This form is for	Modification of charge
Charge identification number of the charge to be modified	90228629
Type of charge	Book debts Others
Particular of charge holder	The Hongknong and Shanghai Banking Corporation Limited, 52/60, Mahatma Gandhi Road, Fort, Mumbai-400001, Maharashtra, India
Nature of instrument creating charge	Sixth Supplemental Hypothecation Agreement dated 15 May 2012 for Exclusive charge on Stock and Receivables both present and future for INR 240Mn.
Date of instrument Creating the charge	15.05.2012
Amount secured by the charge	Rs. 240.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Interest shall be payable by the Company on the banking facilities as per Bank tariff subject however that the Bank shall have the right to change the rate of interest after giving notice to the Company. Terms of repayment In Consideration of Banking facilities sanctioned/to be sanctioned by the bank to the company, the company has hypothecated and charged to the bank by way of Exclusive charge on S&R both present and future for INR 240 M as mentioned in Principal Deed of Hypothecation to secure the repayments of the advances together with interest cost and all other charges. Margin The company shall maintain such margin as may be specified by the Bank from time to time. Extent and operation of the charge In case the Company fails to fulfill its obligations under the agreement , the bank shall be entitled to take possession of the hypothecated assets and sell them by public auction or private contract and utilize the proceeds in full or part settlement of its claims
Short particulars of the property charged (Including location of the property)	All the borrowers's stock in trade both present and future, including stock of raw materials, work in progress, spares and stores and finished goods wherever stored or in transit and All the borrower's present and future book debts, outstanding monies, receivables and claims more particularly described in Principal DOH and Supplemental Agreements.
Date of instrument modifying the charge	23.04.2010
Particulars of the present modification	The present modification is being done to increase the charge over stocks and book debts from INR 185.000 Millions to INR 240.000 Millions on a Exclusive charge basis to secure the increase in credit facilities sanctioned by The Hongkong and Shanghai Banking Corporation Limited up to INR 240.000 Millions

FIXED ASSETS

• Godown Premises
• Furniture and Fixtures
• Electrical Installation
• Type Writers
• Air Conditioner
• Refrigerator
• Xerox Machine
• Fax Machine
• Computer and Printers
• Voltage Stabilizer
• Weighing Machine
• Fire Extinguishers
• Telephone System
• Motor Cars
• Microwave Oven
• Books
• Printers
• Modem
• Capacitor
• Television
• UPS

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 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. 54.31
UK Pound	1	Rs. 87.36
Euro	1	Rs. 70.36

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	DPT

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	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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		50

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.