MIRA INFORM REPORT
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Report Date : |
28.02.2012 |
IDENTIFICATION DETAILS
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Name : |
JAL DIAM SDN. BHD. |
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Registered Office : |
Ramanathan & Associates, Kuala Lumpur, Wilayah Persekutuan, Zip/Postal Code 50100 |
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Country : |
Malaysia |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
29.09.2001 |
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Com. Reg. No.: |
560270-K |
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Legal Form : |
Private Company Limited By Shares |
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Line of Business : |
Import and export in precious stones and diamonds |
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No. of Employees : |
02 |
RATING & COMMENTS
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MIRA’s 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 : |
No Complaints |
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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 – September 30th, 2011
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Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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Malaysia |
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 |
Verified Address
Subject name :
JAL DIAM SDN. BHD.
Business
address : A-15-12,
Waldorf Tower Service Apartment
62,
Jalan Sri Hartamas 1
Town
: Kuala Lumpur
Province :
Wilayah Persekutuan
Zip/postal code :
50480
Country :
Malaysia
Tel :
+60 12 2297426
Registered
address : RAMANATHAN
& ASSOCIATES
Town :
Kuala Lumpur
Province :
Wilayah Persekutuan
Zip/postal code
: 50100
Country :
Malaysia
Comments
: The Subject does not operate from a physical office instead operates from
residential
premises
of Mr. Jignesh Rameshkumar Jhaveri.
Executive Summary
Date founded or registered :
29/09/2001
Legal form
: Private Company Limited By Shares
Chief executive :
Jignesh Rameshkumar Jhaveri
Issued & paid up capital
: MYR 350,000
Sales turnover :
MYR 7,590,031 (Non-consolidated 12 months, 31/12/2010)
Net income :
MYR 26,683 (Non-consolidated 12 months, 31/12/2010)
Total fixed assets
: MYR 6,845,641 (Non-consolidated 12 months, 31/12/2010)
Line of business
: Import and export in precious stones and diamonds.
Staff employed :
2 employees
Company Analysis
Country risk :
Country risk is minimal
Operation trend :
Operational trend is declining
Management experience :
Management is modestly experienced
Financial performance
: Financial performance is fair
Organisation structure :
Organisational structure is acceptable
Detrimental
: No detrimental records found
Payment history
: No payment delays noted
Registry Data
Registration date :
29/09/2001
Legal form : Private
Company Limited By Shares
Registration no 560270-K
Registered authority
: Companies Commission of Malaysia
Registry status :
Live/Active
Previous name :
None reported.
Change of legal form
: None reported.
Key Management
Name :
Jignesh Rameshkumar Jhaveri
Designation : Managing Director
Appointments
Name
: A. Maheswary A/P S.Arjunan
Designation :
Director
Identification no :
660818-10-6180
Appointment date :
29/09/01
Address
: Block C, C01-08, Palm Court Condominium
Jalan Berhala
Brickfields
50470 Kuala Lumpur
Wilayah Persekutuan
Malaysia
Name : Jignesh Rameshkumar Jhaveri
Designation Director
Identification no :
Z012926
Appointment date :
29/09/01
Address : A-15-12,
Waldorf Tower Service Apartment
62, Jalan Sri Hartamas 1
50480 Kuala Lumpur
Wilayah Persekutuan
Malaysia
Name : M
Ramanathan A/l S M Meyyappan
Designation : Company
Secretary
Identification no : 600923-10-6815
Appointment date : 29/09/01
Address : 15,
Jalan Dato Abdul Aziz 14/29
46100 Petaling Jaya
Selangor Darul Ehsan
Malaysia
Staff employed : 2
employees
Key Advisors
Auditors : WSJ & CO
136A, Jalan Cerdas
Taman Connaught
Cheras 56000
Kuala Lumpur
Wilayah Persekutuan
Malaysia
Composition
Authorized Capital : MYR
500,000
No of shares : 500,000
Ordinary Shares
Share par value : MYR
1
Issued capital : MYR
350,000
Paid up capital : MYR
350,000
OWNERSHIP /
How listed : Full
List
Composition
Shareholder name Siti
Suhana Binti Mohamed Othman
Address : 3432,
Jalan 18/60B
Taman Sri Serdang
43400 Seri Kembangan
Selangor Darul Ehsan
Malaysia
No. of shares
122,500 Ordinary Shares
Shareholder name A.
Maheswary A/P S.Arjunan
Address : Block
C, C01-08, Palm Court Condominium
Jalan Berhala
Brickfields
50470 Kuala Lumpur
Wilayah Persekutuan
Malaysia
No. of shares : 122,500
Ordinary Shares
Shareholder name : Jignesh
Rameshkumar Jhaveri
Address :
A-15-12, Waldorf Tower Service Apartment
62, Jalan Sri Hartamas 1
50480 Kuala Lumpur
Wilayah Persekutuan
Malaysia
No. of shares
105,000 Ordinary Shares
Structure
Related
companies and corporate affiliations comments : None Reported
Bank Details
Name of bank : Malayan
Banking Berhad (Maybank)
Address : Malaysia
Account details :
Current Account
Comments : It is generally not the policy of local banks to
provide credit status information to non related parties, however interested
parties would be advised to consult first with the Subject if banker's references
are required.
Mortgages : None reported.
Legal Fillings
Bankruptcy fillings : None reported.
Court judgements : None reported.
Tax liens : None reported.
Others : None reported.
FINANCIAL DATA
Description
Source of financial
statement Commercial
registry Filings
Financial statement date 31/12/2010
Type of accounts Full Audited
Currency Malaysia,
Ringgit (MYR)
Exchange rate 1 USD =
MYR 3.16 as of 19-11-2011
Summarized Financial Information
Consolidation type Non Consolidated Non Consolidated
Currency Malaysia, Ringgit
(MYR) Malaysia, Ringgit (MYR)
Denomination (x1) One (x1) One
Date of financial year end 31/12/2010 31/12/2009
Length of accounts 12 months 12 months
Sale turnover / Income 7,590,031 9,580,403
Gross profit 350,066 398,373
Profit before tax 35,149 91,610
Net income 26,683 71,743
Non current assets 51,235 62,850
Current assets 6,794,406 6,608,350
Inventories 1,397,691 1,151,103
Total assets 6,845,641 6,671,200
Current liabilities 6,201,460 60,53,702
Total liabilities 6,201,460 60,53,702
Share equity 644,181 617,498
Retained earning 294,181 267,498
Main activities
: The Subject's main activities are import and export of precious stones and
diamonds.
Purchases
International
: India, Hong Kong
Sales
International :
None reported.
Property &
Assets
Premises : The Subject operates from residential premises located at the verified heading address
consisting of administrative office.
Branches :
None reported.
Other property
: Total NBV of property, plant and equipment as of 31-12-2010 was MYR 51,235.
Gross Domestic Products (GDP) & Economic
Overview
Central bank : Central Bank of Malaysia
Reserve of foreign exchange & gold : US$134.4 billion as of 14 October 2011
Gross domestic product - GDP : US$ 247.781 billion
GPP (Purchasing power parity) : 442.01 billion of International dollars
GDP per capita - current prices : US$ 8,624
GDP - composition by sector : agriculture: 9.4% industry: 40.9% services: 49.7%
Inflation 2008: 5.4%
2009: 0.6%
2010: 1.7%
Unemployment 2008 : 3.3 %
2009 : 3.6 %
2010: 3.3 %
Public debt
(General Government gross
debt as a % GDP) 2008:
42.8 %
2009: 55.4 %
2010: 54.2%
Government bond
ratings Standard
& Poor's: A-/Stable/A-2
Moody's rating: A3
Moody's outlook: STA
Market value of publicly traded shares US$ 420 billion
Largest
companies in the country : CIMB Group Holdings (Banking), Sime
Darby (Conglomerates), Public Bank (Banking), Maybank (Banking), Tenaga
Nasional(Utilities), Petronas Chemicals, Maxis Berhad
Trade & Competitiveness Overview
Total exports US$210.3
billion
Exports commodities electronic
equipment, petroleum and liquefied natural gas, wood and
wood products, palm oil, rubber, textiles,
chemicals
Total imports US$156.2
billion
Imports commodities electronics,
machinery, petroleum products, plastics, vehicles, iron and
steel products, chemicals
Export - major
partners US
15.6%, Singapore 14.6%, Japan 9.1%, China 8.8%, Thailand 5%,
HongKong 4.6%
Import - major
partners Japan
13%, China 12.9%, Singapore 11.5%, US 10.8%, Taiwan 5.7%,
Thailand 5.3%, South Korea 4.9%, Germany
4.6%, Indonesia 4.2%
FDI Inflows 2007:
US$8,538 million
2008: US$7,318 million
2009: US$1,381 million
FDI Outflows 2007:
US$11,280 million
2008: US$14,988 million
2009: US$8,038 million
Best countries for
doing business 21 out of 183
countries
Global
competitiveness ranking 26
(ranking by country on a basis of 133, the first is the best)
Country and Population Overview
Total population :
28.23 million
Total area :
329,847 km2
Capital : Kuala Lumpur
Currency : Malaysia Ringgits (MYR)
Internet
users as % of total population : 57.61%
Purchase Term
International :
Credit 120-150 days D/A
Sales Term
International :
Credit 120-150 days D/A
Trade Reference/
Payment Behaviour
Comments : As local and international trade references were not supplied, the Subject's payment
track record history cannot be
appropriately determined but based on our research, payments are believed
to be met without delay.
Investigation Note
Sources :
Interviews and material provided by the Subject
:
Other official and local business sources
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.49.05 |
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UK Pound |
1 |
Rs.77.78 |
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Euro |
1 |
Rs.65.89 |
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 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.