MIRA INFORM REPORT

Report Date :

29.12.2012

IDENTIFICATION DETAILS

Name :	SANGHAVI JEWEL PRIVATE LIMITED
Registered Office :	402, Mehta Mahal, 15, Mathew Road, Charni Road, Mumbai-400004, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	21.02.2005
Com. Reg. No.:	11-151449
Capital Investment / Paid-up Capital :	Rs.49.000 Millions
CIN No.: [Company Identification No.]	U36910MH2005PTC151449
TAN No.: [Tax Deduction & Collection Account No.]	MUMS48165F
PAN No.: [Permanent Account No.]	AAICS7624R
Legal Form :	Private Limited Liability Company
Line of Business :	MANUFACTURER OF DIAMOND STUDDED GOLD JEWELLERY AND SILVER JEWELLERY.
No. of Employees :	550 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 2400000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears loss in the current year recorded by the company. However, General financial position of the company seems good. Trade relations are reported to be fair. Business is active. Payment are reported to be usually correct and as per commitments. 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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

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

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities: BBB-
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligation, it carry moderate credit risk.
Date	March, 2012

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. Chitaranjan
Designation :	Finance Accounts Head
Contact No.:	91-22-66487198

LOCATIONS

Registered Office :	402, Mehta Mahall, 15, Mathew Road, Charni Road, Mumbai – 400004, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	jog.aabid@gmail.com rajan@sanghaviseapz.com aabid.jog@gmail.com
Website :	http://www.sanghaviseepz.com
Area :	10000 sq. ft.
Location :	Owned
Corporate Office :	502- Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra, India
Tel No.:	91-22-40378200
Fax No.:	91-22-23632936
Email:	info@sanghaviexports.com
Factory :	Plot No. GJ-01, Seepz++, Seepz, Andheri (East), Mumbai – 400096, Maharashtra, India
Tel. No.:	91-22-66487000
Fax No.:	91-22-28291956/ 23632033/ 28291898
E-Mail :	marketing@sanghaviseepz.com ranjan@sanghaviseepz.com mgassociates@vsnl.com aabid.jog@gmail.com
Area :	70000 sq. ft
Location:	Owned

DIRECTORS

(AS ON 29.09.2011)

Name :

Mr. Jayesh Vasantlal Sanghavi

Designation :

Managing Director

Address :

19, Kailesh Niketan, 24 LD Ruparel Marg, Walkeshwar, Mumbai-400006, Maharashtra, India

Date of Appointment :

01.01.2011

DIN No.:

00814828

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U36912MH1994PTC079134	SANGHAVI JEWELLERY MANUFACTURING COMPANY PRIVATE LIMITED	Director	23/06/1994	23/06/1994	Active	NO
2	U99999MH1995PTC092912	VASANT SANGHAVI SECURITIES PRIVATE LIMITED	Director	20/09/1995	20/09/1995	Dormant	NO
3	U36911MH2007PTC170013	SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED	Director	16/04/2007	16/04/2007	Active	NO
4	U36910MH2005PTC151449	SANGHAVI JEWEL PRIVATE LIMITED	Managing director	01/01/2011	01/01/2011	Active	NO

Name :

Mr. Chandrakantbhai Ravchandrabhai Sanghvi

Designation :

Director

Address :

25/252, Pariki Plot No. 1, Behind Tribhuvan Complex, Athwalines, Surat-395007, Gujarat, India

Date of Birth/Age :

06.12.1951

Date of Appointment :

16.02.2007

DIN No.:

00392409

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U36912MH1991PTC060438	SANGHAVI DIAMONDS PRIVATE LIMITED	Director	25/02/1991	25/02/1991	-	Active	NO
2	U91110GJ2000NPL039065	GUJARAT HIRA BOURSE	Director	14/12/2000	14/12/2000	-	Active	NO
3	U45201GJ2004NPL044389	SAR INFRACON	Director	01/11/2004	01/11/2004	-	Active	NO
4	U99100MH1966GAP013486	THE GEM AND JEWELLERY EXPORT PROMOTION COUNCIL	Director	29/09/2006	29/09/2006	-	Active	NO
5	U36910MH2005PTC151449	SANGHAVI JEWEL PRIVATE LIMITED	Director	16/02/2007	16/02/2007	-	Active	NO
6	U36911MH2007PTC170013	SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED	Director	16/04/2007	16/04/2007	-	Active	NO
7	U51109MH2008PTC177895	SANGHAVI STAR RETAIL PRIVATE LIMITED	Director	18/01/2008	18/01/2008	-	Active	NO
8	U36911MH2007PTC172505	JEWEL CRAFT PRIVATE LIMITED	Director	23/04/2010	23/04/2010	26/07/2010	Active	NO
9	U36912GJ2010PLC062808	SURAT ROUGH DIAMOND SOURCING(INDIA) LIMITED.	Director	03/11/2010	03/11/2010	-	Active	NO

Name :

Mr. Ketankumar Kirtilal Sanghavi

Designation :

Director

Address :

1301, Walkeshwar, Chandanbala RR Thakker Marg, Opposite Ridge Road, Mumbai-400006, Maharashtra, India

Date of Birth/Age :

01.06.1968

Date of Appointment :

21.02.2005

DIN No.:

00794060

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U36910MH2004PLC148983	SPECTRUM JEWELLERY LIMITED	Director	05/10/2004	05/10/2004	29/10/2009	Active	NO
2	U36910MH2005PTC151449	SANGHAVI JEWEL PRIVATE LIMITED	Director	21/02/2005	21/02/2005	-	Active	NO
3	U36911MH2006PTC161582	SANGHAVI STAR JEWELLERY PRIVATE LIMITED	Director	03/05/2006	03/05/2006	-	Strike off	NO
4	U36911MH2007PTC170013	SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED	Director	16/04/2007	16/04/2007	-	Active	NO
5	U51109MH2007PTC176099	COHORT MERCANTILE PRIVATE LIMITED	Director	18/12/2007	18/12/2007	-	Active	NO
6	U51109MH2008PTC177895	SANGHAVI STAR RETAIL PRIVATE LIMITED	Director	18/01/2008	18/01/2008	-	Active	NO
7	U51399MH2007PTC176138	CUPIDITY TRADING PRIVATE LIMITED	Director	03/03/2008	03/03/2008	-	Active	NO
8	U36912MH1991PTC060438	SANGHAVI DIAMONDS PRIVATE LIMITED	Director	30/09/2009	01/06/2009	-	Active	NO

Name :

Mr. Rameschandra Ravchandbhai Sanghavi

Designation :

Director

Address :

3, Sanghavi Bunglow, Near Indoor Stadium, Tribuvan Complex, Ghod Dod Road, District Surat-395002, Gujarat, India

Date of Birth/Age :

29.08.1949

Date of Appointment :

01.04.2005

DIN No.:

00813863

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U36912MH1991PTC060438	SANGHAVI DIAMONDS PRIVATE LIMITED	Director	25/02/1991	25/02/1991	Active	NO
2	U36910MH2005PTC151449	SANGHAVI JEWEL PRIVATE LIMITED	Director	01/04/2005	01/04/2005	Active	NO
3	U36911MH2007PTC170013	SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED	Director	16/04/2007	16/04/2007	Active	NO
4	U51109MH2008PTC177895	SANGHAVI STAR RETAIL PRIVATE LIMITED	Director	18/01/2008	18/01/2008	Active	NO

Name :

Mr. Kirtilal R Sanghavi

Designation :

Director

Address :

SY No. 2369/ 7 2369/ 8 EP 251 252 PAIY, Plot 4 B / H Tribhuvan Somplex, Athwalines, Surat-395002, Gujarat, India

Date of Birth/Age :

02.11.1947

Date of Appointment :

01.04.2005

DIN No.:

01037677

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U36912MH1991PTC060438	SANGHAVI DIAMONDS PRIVATE LIMITED	Director	25/02/1991	25/02/1991	Active	NO
2	U36910MH2005PTC151449	SANGHAVI JEWEL PRIVATE LIMITED	Director	01/04/2005	01/04/2005	Active	NO
3	U45201GJ1990PTC014475	AGAM ESTATES PRIVATE LIMITED	Director	20/10/2006	20/10/2006	Active	NO
4	U36911MH2007PTC170013	SANGHAVI EXPORTS INTERNATIONAL PRIVATE LIMITED	Director	16/04/2007	16/04/2007	Active	NO
5	U51109MH2007PTC176099	COHORT MERCANTILE PRIVATE LIMITED	Director	18/12/2007	18/12/2007	Active	NO
6	U51109MH2008PTC177895	SANGHAVI STAR RETAIL PRIVATE LIMITED	Director	18/01/2008	18/01/2008	Active	NO

KEY EXECUTIVES

Name :	Mr. Chitaranjan
Designation :	Finance Accounts Head

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2011)

Names of Shareholders	No. of Shares
Sanghvi Exports International Private Limited	4460000
Vasantlal Sanghavi	1000
Vasantlal Sanghavi (HUF)	334000
Kirtilal R Sanghavi (HUF)	35000
Chandrakant Ravhandbhai Sanghavi (HUF)	35000
Rameschandra Ravchandbhai Sanghavi (HUF)	35000
Total	4900000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Bodies corporate	91.00
Directors or relatives of directors	9.00
Total	100.00

BUSINESS DETAILS

Line of Business :

MANUFACTURER OF DIAMOND STUDDED GOLD JEWELLERY AND SILVER JEWELLERY.

PRODUCTION STATUS [AS ON 31.03.2011]

(a) Licensed Capacity *

(b) Installed Capacity *

(c) Actual Production in respect of goods manufactured

Particulars	Actual Production [Quantity Pieces]
Studded Jewellery
Gold	273204
Silver	188088
Platinum	673

NOTE:

(a) * In the opinion of the management of the company, looking into the product mix of jewellery as well as the intricacies involved therein, information with respect to licensed and installed capacity is not feasible and hence not stated.

(b) * Studded Jewellery included Rings, Earrings, Pendants, Bracelets, Necklaces, Bangles.

GENERAL INFORMATION

No. of Employees :

550 [Approximately]

Bankers :

· Bank of India,

Seepz Branch, Seepz, Andheri (East), Mumbai-400096, Maharashtra, India

· Union Bank of India,

Overseas Branch, Seepz++, Unit No. 007, Block No. II, Seepz++ Complex, Marol Industrial Area, Andheri (East), Mumbai-400096, Maharashtra, India

· State Bank of Patiala

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Working Capital Loans from Banks	669.462	716.355
Total	669.462	716.355
Unsecured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Loans and Advances from Related Parties	60.383	60.383
Total	60.383	60.383

Banking Relations :	--
Auditors :
Name :	M A Parikh and Company Chartered Accountant
Address :	Yusuf Building, 2^nd Floor, 43, Mahatma Gandhi Road, Fort, Mumbai-400001, Maharashtra, India
Tel. No.:	91-22-22043850
Fax No.:	91-22-22874524
PAN No.:	AAAFM1433H
E-Mail :	maparikh@eth.net
Holding Company:	· Sangavi Exports International Private Limited CIN No.: U36911MH2007PTC170013 Address: 502- Prasad Chambers, Opera House, Mumbai-400004, Maharashtra, India Line of Business: Manufacturer and Exporter of Polished Diamonds.
Fellow Subsidiaries/ Associates/ Concerns in which Directors of the company have significant influence:	· Sanghavi Fareast PTE Limited · Sanghavi Diamond Inc. (N.Y.) · Sanghavi Diamond Inc. (L.A) · Sanghavi Diamond Private Limited, India · Sanghavi Jewel Tokyo Company Limited · Sanghavi Jewellery Manufacturing Company Private Limited · Sanghavi Star Retail Private Limited

CAPITAL STRUCTURE

(AS ON 29.09.2012)

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4900000	Equity Shares	Rs.10/- each	Rs.49.000 Millions

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		49.000	49.000	49.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		547.583	564.093	529.027
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		596.583	613.093	578.027
LOAN FUNDS
1] Secured Loans		669.462	716.355	703.314
2] Unsecured Loans		60.383	60.383	60.383
TOTAL BORROWING		729.845	776.738	763.697
DEFERRED TAX LIABILITIES		0.000	11.647	12.338
TOTAL		1326.428	1401.478	1354.062
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		196.667	202.555	207.286
Capital work-in-progress		2.172	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	595.230	681.593	641.656
	Sundry Debtors	882.820	953.320	990.349
	Cash & Bank Balances	2.005	10.663	188.505
	Other Current Assets	150.178	123.632	0.000
	Loans & Advances	45.783	56.907	42.162
Total Current Assets		1676.016	1826.115	1862.672
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	541.832	608.150	697.710
	Other Current Liabilities	3.916	8.132	12.889
	Provisions	2.679	10.910	5.297
Total Current Liabilities		548.427	627.192	715.896
Net Current Assets		1127.589	1198.923	1146.776
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1326.428	1401.478	1354.062

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income		1729.972	1617.530
		Other Income		56.804	8.009
		TOTAL (A)	1520.034	1786.776	1625.539
Less	EXPENSES
		Raw Material Consumed		1457.342	1371.334
		Employee Remuneration and other Benefits		109.907	84.163
		Operating and Administrative Expenses		165.140	112.835
		Stock Differential		(56.128)	(29.815)
		TOTAL (B)	1548.192	1676.261	1538.517
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(Including Financial Expenses and Depreciation)	110.515	87.022
Less	FINANCIAL EXPENSES (D)			57.170	58.648
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			53.345	28.374
Less/ Add	DEPRECIATION/ AMORTISATION (F)			11.909	11.382
	PROFIT BEFORE TAX (E-F) (G)		(28.158)	41.436	16.992
Less	TAX (H)		11.648	6.370	(1.069)
	PROFIT AFTER TAX (G-H) (I)		(16.510)	35.066	18.061
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	485.876	467.815
	BALANCE CARRIED TO THE B/S		NA	520.942	485.876
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1488.165	1723.558	1603.250
	TOTAL EARNINGS		1488.165	1723.558	1603.250
	IMPORTS
		Raw Materials	870.925	1007.904	1005.777
		Consumables	8.092	10.768	9.959
		Capital Goods	0.224	4.823	3.760
	TOTAL IMPORTS		879.241	1023.495	1019.496
	Earnings Per Share (Rs.)		(5.12)	18.86	3.69

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(1.09)	1.96	1.11
Net Profit Margin (PBT/Sales)	(%)	NA	2.40	1.05
Return on Total Assets (PBT/Total Assets}	(%)	(1.50)	2.04	0.82
Return on Investment (ROI) (PBT/Networth)		(0.05)	0.07	0.03
Debt Equity Ratio (Total Liability/Networth)		2.14	2.29	2.56
Current Ratio (Current Asset/Current Liability)		3.06	2.91	2.60

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 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	Yes
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
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	Yes

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 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th 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. India 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 30^th 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 20000.000 Millions 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.

NOTE:

The Registered office of the company has been shifted from Plot No. GJ-01, Seepz++, Seepz, Andheri (East), Mumbai-400096, Maharashtra, India to present address w.e.f. 25.09.2010.

FORM 8

This form is for	Creation of charge
Corporate identity number of the company	U36910MH2005PTC151449
Name of the company	SANGHAVI JEWEL PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	402,Mehta Mahal.15, Mathew Road, Charni Road, Mumbai – 400004, Maharashtra, India jog.aabid@gmail.com
Type of charge	Book Debts Movable Property
Particular of charge holder	Bank of India Seepz Mid Corporate Branch, Behind Seepz Service Centre Marol Industrial Area, Seepz, Andheri (East), Mumbai – 400096, Maharashtra, India MCB.Seepz@bankofindia.co.in
Nature of description of the instrument creating or modifying the charge	Agreement of Hypothecation of Plant and Machinery, Stocks and Book debts
Date of instrument Creating the charge	24/08/2012
Amount secured by the charge	Rs.20.000 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest Adhoc EPC/PCFC: As per Extant guidelines with monthly rests or at such other rate/s of interest as may be notified by the bank from time to time. Terms of Repayment On Demand. Margin 25% against Raw Materials, Finished Goods, Stores, Goods in Process, 10% against Exports receivables upto 180 days in Cash Credit, No lending against Book Debts outstanding for more than 180 days or as required by the bank from time to time. Extent and Operation of the charge Security and charge hereby created shall be by way of 1st charge on all the said hypothecated assets for due payment as provided in the deed of all monies including the principal sums, interest/commission costs charges and expenses and all other monies whatsoever due owing and payable by the Borrower to the Bank under or in respect of or in connection with or in any wise concerning or relating to the said Adhoc EPC/PCFC facility agreed to be granted and /or granted by the Bank to the borrower. Others or due repayment of all present and future indebtedness and liabilities of the borrower to the Bank of any kind in any manner whether solely or jointly primary or collateral accrued or accruing with all relative interest/commission, charges, costs and expenses. Facility and Limit: Adhoc EPC/PCFC Rs.20.000 Millions.
Short particulars of the property charged	a) All tangible movable machineries and plant, both present and future situate at Seepz, Andheri (East), Mumbai - 400096 or elsewhere, b)All tangible movable properties and assets and stocks of whatsoever nature of the Borrower both present and future wheresoever’s situate at Seepz, Andheri (East),Mumbai - 400096 or wherever else, c) All present and future book debts, outstanding, money receivables, claims, bills which are now due and owing or which may at any time hereafter during the continuance of this security become due and owing to the Borrower.

FIXED ASSETS:

· Leasehold Land

· Factory Building

· Plant and Machinery

· Electrical and Other Installation

· Office Equipment

· Furniture and Fixture

· Vehicles

· Computer

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 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.54.96
UK Pound	1	Rs.88.68
Euro	1	Rs.72.45

INFORMATION DETAILS

Report Prepared by :

NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		42

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.