MIRA INFORM REPORT

Report Date :

07.02.2012

IDENTIFICATION DETAILS

Name :	UNITED CHLORO-PARAFFINS PRIVATE LIMITED
Registered Office :	Village : Uttar Rajya Dharpur, P.O. Baidyabati, District Hooghly – 712222, West Bengal
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	25.07.2003
Com. Reg. No.:	21-096643
Capital Investment / Paid-up Capital :	Rs.14.827 Millions
CIN No.: [Company Identification No.]	U24119WB2003PTC096643
TAN No.: [Tax Deduction & Collection Account No.]	CALU01775E
PAN No.: [Permanent Account No.]	AAACU6289J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Chlorinated Paraffin, Hydrochloric Acid and Sodium Hypochlorite
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 170000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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 :	Village : Uttar Rajya Dharpur, P.O. Baidyabati, District Hooghly – 712222, West Bengal, India
Tel. No.:	91-33-22590225
Fax No.:	91-33-22590225
E-Mail :	dghosh@unitedchloro.com dchand@unitedchloro.com vtewary@unitedchloro.com uccpl@rediffmail.com
Website :	http://www.unitedchloro.com
Head Office :	Suite No.907, 9^th Floor, Om Towers, 32, J L Nehru Road, Kolkata – 700071, West Bengal, India
Tel. No.:	30025600 / 5601
Fax No.:	91-33-22889434
Factory :	Located at · Baidyabati, West Bengal, India · Ganjam, Orissa, India

DIRECTORS

As on 30.09.2011

Name :	Mr. Debdip Ghosh
Designation :	Director
Address :	Satya Kusum Apartment, Flat – 3, 92B, Biren Roy Road, Muchipara, Kolkata – 700061, West Bengal, India
Date of Birth/Age :	12.11.1971
Date of Appointment :	30.07.2003
DIN No.:	00381787
Election Commission Identity Card No.:	WB11831282420

Other Directorships

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24119WB2003PTC096643	United Chloro-Paraffins Private Limited	Director	30-07-03	30-07-03	-	Active	NO
2	U24121WB2006PTC111595	United Chloro Organics Private Limited	Director	25-10-06	25-10-06	-	Active	NO
3	U24233WB2010PTC150734	LHP International Private Limited	Director	28-06-10	28-06-10	-	Active	NO

Name :	Mr. Gopal Khandelwal
Designation :	Director
Address :	Block –B8, 2^nd Floor, A-Type Ganesh Garden, Howrah – 711102, West Bengal, India
Date of Birth/Age :	16.10.1969
Date of Appointment :	25.07.2003
DIN No.:	00482389
Election Commission Identity Card No.:	AIOPK5350P

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24119WB2003PTC096643	United Chloro-Paraffins Private Limited	Director	25-07-03	25-07-03	-	Active	NO
2	U24121WB2006PTC111595	United Chloro Organics Private Limited	Director	25-10-06	25-10-06	-	Active	NO

Name :	Mr. Vijay Kumar Tewary
Designation :	Director
Address :	Block –B5, 4^th Floor, D-Type Ganesh Garden, Howrah – 711102, West Bengal, India
Date of Birth/Age :	17.07.1969
Date of Appointment :	25.07.2003
DIN No.:	00393159
Election Commission Identity Card No.:	ABXPT5467E

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24119WB2003PTC096643	United Chloro-Paraffins Private Limited	Director	25-07-03	25-07-03	-	Active	NO
2	U24121WB2006PTC111595	United Chloro Organics Private Limited	Director	25-10-06	25-10-06	-	Active	NO

Name :	Mr. Gobinda Charan Ghosh
Designation :	Director
Address :	Satya Kusum Apartment, Flat – 3, 92B, Biren Roy Road, Muchipara, Kolkata – 700061, West Bengal, India
Date of Birth/Age :	04.11.1940
Date of Appointment :	25.07.2003
DIN No.:	00602150
Election Commission Identity Card No.:	WB18113282285

Other Directorships

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24119WB2003PTC096643	United Chloro-Paraffins Private Limited	Director	25-07-03	25-07-03	-	Active	NO
2	U24121WB2006PTC111595	United Chloro Organics Private Limited	Director	25-10-06	25-10-06	-	Active	NO
3	U24233WB2010PTC150734	LHP International Private Limited	Director	28-06-10	28-06-10	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Gopal Khandelwal	266212
Vijay Kumar Tewary	265167
Gobinda Charan Ghosh	159947
Dipti Ghosh	56000
Manohar Lal Tewary	21500
Phalguni Tewary	67000
Sudha Khandelwal	52000
Madhumita Ghosh	79800
Gopal Khandelwal (HUF)	7000
Vijay Kumar Tewary (HUF)	17000
Debdip Ghosh	213600
Unted Chemicals, India	84500
United Industries, India	69000
Maharashakti Commodities Private limited, India	20000
Devlok Marketing Private Limited, India	60000
Shaw Dhiraj	5000
Prem Jha	5000
Subhas Kumar	4000
Sunil pandey	4000
Sushil Pandey	4000
Yogesh Seth	6000
Chhote Lal Shaw	6000
Lala Yadav	6000
Santosh Yadav	4000
Total	1482726

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	5.40
Directors or relatives of Directors	74.44
Other top fifty shareholders	20.16
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Chlorinated Paraffin, Hydrochloric Acid and Sodium Hypochlorite

Products :

Product Description	Item Code No.:
Chlorinated Paraffin	3812 20 90
Hydrochloric Acid	2806 10 00
Sodium Hypochlorite	2828 90 19

PRODUCTION STATUS

As on 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Chlorinated Paraffin	MT	10500	10500	4461.696
Hydrochloric Acid	MT	18600	18600	7563.665
Sodium Hypochlorite	MT	3600	3600	689.912

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

State Bank of India, Commercial Branch, 9, G. T. Road (S), Howrah – 700001, West Bengal, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Term Loan from State Bank of India Commercial Branch, Howrah (Secured by Hypothecation/Pledge on Plant and Machinery and Other Movable Fixed "Assets and Equitable Mortgage charge on the Factory Land of the Company at Uttar Rajyadharpur Baidyabati, Hooghly along with shed and Building constructed thereon and Personal Guarantees of Directors of the company and third Party Guaranty of some relatives and associates of Directors.	5.225	7.818
Cash Credit from State Bank of India Commercial Branch, Howrah (Secured by Hypothecation/ of Stocks (Raw Materials, Stock in Process, Finished goods) and 3ook Debts and Personal Guaranties of Directors of the company and third Party Guaranty of some relatives and associates of Directors.	39.901	25.500
Export Packing Credit	14.833	13.272
State Bank Of India (SLC)	0.000	0.058
Buyer's Credit	15.897	12.339
Bill Discounting	0.823	0.000
Loan taken from Axis Bank	14.841	0.000
Total	91.520	58.987
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Directors	0.100	0.000
Total	0.100	0.000

Banking Relations :
Auditors :
Name :	Marodia Khanna and Associates Chartered Accountants
Address :	4, Gangadhar Babu Lane, Kolkata – 700012, West Bengal, India
PAN.:	AAFFM6784J

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2500000	Equity Shares	Rs.10/- each	Rs.25.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1482726	Equity Shares	Rs.10/- each	Rs.14.827 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		14.827	13.012	11.002
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		27.176	15.208	11.389
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		42.003	28.220	22.391
LOAN FUNDS
1] Secured Loans		91.520	58.987	48.880
2] Unsecured Loans		0.100	0.000	0.870
TOTAL BORROWING		91.620	58.987	49.750
DEFERRED TAX LIABILITIES		3.707	3.041	2.700
TOTAL		137.330	90.248	74.841
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		44.058	25.155	24.839
Capital work-in-progress		12.359	0.000	0.000
INVESTMENT		1.180	1.180	1.180
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	29.948	29.761	13.743
	Sundry Debtors	64.585	43.635	36.901
	Cash & Bank Balances	0.789	3.391	0.281
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	20.319	20.195	17.281
Total Current Assets		115.641	96.982	68.206
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	32.908	31.715	18.996
	Other Current Liabilities	1.728	0.000	0.000
	Provisions	1.278	1.367	0.408
Total Current Liabilities		35.914	33.082	19.404
Net Current Assets		79.727	63.900	48.802
MISCELLANEOUS EXPENSES		0.006	0.013	0.020
TOTAL		137.330	90.248	74.841

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	301.134	250.558	185.627
		Other Income	6.540	2.019	4.280
		TOTAL (A)	307.674	252.577	189.907
Less	EXPENSES
		Cost of Material Consumed	229.756	187.060	151.408
		Manufacturing Expenses	7.565	6.130	3.658
		Personnel Expenses	4.649	2.533	1.632
		Administrative, Selling and Other Expenses	26.427	24.918	8.557
		Excise Duty	15.704	10.860	13.911
		Vat/Sales Tax (Central/Local)	4.037	3.652	3.311
		Preliminary Expenses Written off	0.007	0.007	0.007
		(Increase)/Decrease in Stock	0.577	1.618	(4.749)
		TOTAL (B)	288.722	236.778	177.735
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		18.952	15.799	12.172
Less	FINANCIAL EXPENSES (D)		10.732	8.805	7.114
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		8.220	6.994	5.058
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.570	1.466	1.219
	PROFIT BEFORE TAX (E-F) (G)		6.650	5.528	3.839
Less	TAX (I)		1.943	1.708	1.925
	PROFIT AFTER TAX (G-I) (J)		4.707	3.820	1.914
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		10.876	7.056	5.142
	BALANCE CARRIED TO THE B/S		15.583	10.876	7.056
	Earnings Per Share (Rs.)		2.13	2.94	1.74

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.53	1.51	1.01
Net Profit Margin (PBT/Sales)	(%)	2.21	2.19	2.07
Return on Total Assets (PBT/Total Assets}	(%)	4.16	4.53	4.13
Return on Investment (ROI) (PBT/Networth)		0.16	0.20	0.17
Debt Equity Ratio (Total Liability/Networth)		3.04	3.26	3.09
Current Ratio (Current Asset/Current Liability)		3.22	2.93	3.52

LOCAL AGENCY FURTHER INFORMATION

Performance:

The Company has achieved a turnover of Rs.301.100 Millions against Rs.250.500 Millions in the previous year. Profit before tax and Profit after tax for the year is Rs.6.650 Millions and Rs.4.707 Millions respectively as compared to Rs.5.528 Millions and Rs. 3.820 Millions respectively in the previous year.

Form 8:

Corporate identity number of the company	U24119WB2003PTC096643
Name of the company	UNITED CHLORO-PARAFFINS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Village : Uttar Rajya Dharpur, P.O. Baidyabati, District Hooghly – 712222, West Bengal, India E-Mail : dghosh@unitedchloro.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10070393
Type of charge	Book debts Movable property (not being pledge) Floating charge Others (All other Current and Movable Fixed Assets.)
Particular of charge holder	State Bank of India, SME Branch, 9, G. T. Road (South), Howrah – 700001, West Bengal, India E-Mail : sbi.04150@sbi.co.in
Nature of instrument creating charge	Supplemental Agreement of Loan-cum-Hypothecation
Date of instrument Creating the charge	30.09.2011
Amount secured by the charge	Rs.216.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit : At 6.75% above Base Rate with monthly rests, Term Loan : At 7.25% above Base Rate with monthly rests. EPC/FBD : At 1.75% above Base Rate.. Terms of Repayment Working Capital Limit is repayable on demand. The existing Term Loan of Rs.12.900 Millions (present outstanding Rs.5.200 Millions) is repayable in 20 equal quarterly installments of Rs.0.645 Millions each commencing from June, 2008 and ending on March, 2013. Margin As stipulated by the Bank for the respective assets from time to time. Raw Materials (Domestic and Imported) : 25%, Stock in Progress : 25%, Finished Goods : 25%, Receivables (cover 90 days) : 30%, Letters of Credit : 15% and Bank Guarantee : 25%. Extent and Operation of the charge The charge operates as first charge basis on the whole of the hypothecated current assets and moveable fixed assets including plant and machinery of the Company, both present and future situated at Ganjam, Orissa and Baidyabati ,Hooghly to secure the maximum amount under the said charge fixed at Rs.216.200 Millions together with interest, costs and charges thereon. Others The Borrower shall not do or allow anything which may prejudice the security and shall comply with the terms and conditions of the Agreements. All other terms and conditions continue to remain as before in full force and effect.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Cash Credit : First charge by way of hypothecation on the entire stocks of inventories, receivables, bills and other chargeable current assets of the Company, both present and future. Term Loan : First charge over plant and machinery of the Company at Ganjam Orissa.
Date of instrument modifying the charge	29.08.2011
Particulars of the present modification	By this modification, the overall limit remains same at Rs.216.200 Millions. However, the limits are now altered for the credit facilities as stated under and charge on hypothecated current assets and movable fixed assets extended to secure the overall limit : CC/EPC/FBD: Rs.70.000 Millions (fully interchangeable) LC: Rs.140.000 Millions # BG: Rs.1.000 Millions TL: Rs.5.200 Millions. # One way interchangeability from CC/EPC/FBD to LC and interchangeability from LC to CC/EPC/FBD to the extent of 25% of LC Limit.

Fixed Assets:

· Land

· Factory building

· Plant and Machinery

· Computer

· Furniture and Fixtures

· Vehicles

· Office building

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.48.68
UK Pound	1	Rs.76.52
Euro	1	Rs.63.57

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--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		30

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.