|
Report Date : |
24.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
LOPEZ DIAMOND CO. LTD. |
|
|
|
|
Registered Office : |
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
07.03.1989 |
|
|
|
|
Com. Reg. No.: |
12720694 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer and Exporter of Loose diamond trader |
|
|
|
|
No. of Employees : |
Not Available |
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Hong Kong - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.
|
Source : CIA |
LOPEZ DIAMOND CO.
LTD.
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point, Hong
Kong.
PHONE: 6448 8378
FAX: Not available
Managing Director: Mr. Sia Kwok
Ka, Charles
Incorporated on: 7th March, 1989.
Organization: Private Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$3.00
Business Category: Diamond
Trader.
Employees: Nil.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
LOPEZ DIAMOND CO.
LTD.
Registered
Office:-
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point,
Hong Kong.
12720694
0244636
Managing Director: Mr. Sia Kwok Ka,
Charles
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$3.00
(As per registry dated 07-03-2012)
|
Name |
|
No. of shares |
|
SIA Kwok Ka, Charles |
|
1 |
|
Elesio O. LOPEZ |
|
2 |
|
|
|
–– |
|
|
Total: |
3 = |
(As per registry dated 07-03-2012)
|
Name (Nationality) |
Address |
|
SIA Kwok Ka, Charles |
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point, Hong
Kong. |
|
Elesio O. LOPEZ |
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point, Hong
Kong. |
(As per registry dated 07-03-2012)
|
Name |
Address |
|
SZETO Sui Yee, Stella |
Flat D, 5/F., Victoria Mansion, 6-14 Gordon Road, North Point, Hong
Kong. |
The subject was incorporated on 7th March, 1989 as a private limited
liability company under the Hong Kong Companies Ordinance.
Originally the subject was registered under the name of Covitex Ltd., name
changed to the present style on 27th October, 1989.
The subject moved to the present address in October 2006.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer
and Exporter.
Lines: Loose
diamond trader.
Employees: Nil.
Commodities Imported: India,
Israel, Belgium, etc.
Markets: Hong
Kong, China, Europe, US, other Asian countries, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$10,000.00
(Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$3.00
Profit or Loss: Making
a small profit every year.
Condition: Keeping in a satisfactory
condition.
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: Small.
Having issued 3 ordinary shares of HK$1.00 each, Lopez Diamond Co. Ltd.
is jointly owned by Mr. Charles Sia Kwok Ka, holding one share; and
Ms. Elesio O. Lopez, holding two shares.
They are also directors of the subject.
The latter is a Philippines passport holder. The subject is named after Elesio O.
Lopez. They are a couple.
The subject does not have its own operating office. Its registered and operating address is in
the residence of the shareholders.
The subject’s telephone number and fax number have not registered with
local telephone company nor listed on telephone directories. However, Mr. Charles Sia Kwok Ka can be
reached at his mobile phone number 6448 8378.
The subject has no employees in Hong Kong.
The subject has set up a subsidiary known as Diamant Ltd. [Diamant]. However, Diamant has not registered with the
Companies Registry of Hong Kong. It
is likely that Diamant is in the Philippines.
Diamant was formed to cater to the high-end fine jewellery market and is
a loose diamond and jewellery design studio specialized in GIA and EGL
certified diamonds.
Diamant has been a leading supplier of loose diamonds for over 35 years,
serving wholesale customers exclusively.
Diamant is a subsidiary of the subject, it was claimed.
Diamant is an industry pioneer in offering a complete jewellery design
studio from stone selection, designing, and manufacturing using the latest
jewellery designing technologies.
The subject a supplier of loose diamonds serving chiefly wholesale
customers both in Hong Kong and abroad.
All diamonds are sourced directly from cutting centres in Israel,
Belgium, and India. Export markets
include Europe, the United States, and some of the Asian countries.
The subject has got an associated company bearing the same name in the
Philippines. It also has had an office
in Canada. The Canada firm is known as
Ace Diamond Trading Corporation.
The business of the subject is chiefly handled by the two shareholders.
As the history of the subject is over twenty-three years in Hong Kong,
on the whole, consider it good for normal business engagements in small credit
amounts.
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.55.08 |
|
UK Pound |
1 |
Rs.89.53 |
|
Euro |
1 |
Rs.72.77 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.