MIRA INFORM REPORT

Report Date :

20.01.2012

IDENTIFICATION DETAILS

Name :	EMTEK MACHINERY PRIVATE LIMITED
Registered Office :	H-9/1, 1^st Floor, Block B-1, Mohan Cooperative Industrial Estate, Mathura Road, New Delhi – 110044
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation:	17.07.1986
Com. Reg. No.:	55-024880
Capital Investment / Paid-up Capital :	Rs.16.604 Millions
CIN No.: [Company Identification No.]	U74899DL1986PTC024880
TAN No.: [Tax Deduction & Collection Account No.]	DELE00314G
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Machinery and Accessories
No. of Employees :	25 [In Office] Approximately

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 91000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions. Profit and loss account of the company is not available.

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

INFORMATION PARTED BY

Name :	Mr. Manoj
Designation :	Accountant
Contact No.:	91-11-49491666
Date :	17.01.2012

LOCATIONS

Registered Office :	H-9/1, 1^st Floor, Block B-1, Mohan Cooperative Industrial Estate, Mathura Road, New Delhi – 110044, India
Tel. No.:	91-11-49491666
Fax No.:	91-11-40503845
E-Mail :	accounts@emtek.in sunilkhanna_ca@hotmail.com
Website :	http://www.emtek.in
Location :	Owned

DIRECTORS

As on 30.09.2011

Name :

Mr. Rahul Gupta

Designation :

Director

Address :

C-5/55, Vasant Kunj, New Delhi – 110057, India

Date of Birth/Age :

20.12.1978

Date of Appointment :

30.09.2008

DIN :

02205796

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74899DL1986PTC024880	EMTEX MACHINERY PRIVATE LIMITED	Director	30/09/2008	1/5/2008	Active	NO
2	U29100DL2011PTC226038	EMTEX ENGINEERING PRIVATE LIMITED	Director	11/10/2011	11/10/2011	Active	NO

Name :

Mr. Rajesh Kumar Gupta

Designation :

Director

Address :

C-5/55, Vasant Kunj, New Delhi – 110057, India

Date of Birth/Age :

12.04.1950

Date of Appointment :

17.07.1986

DIN :

00043346

Name :

Ms. Hemlata Gupta

Designation :

Director

Address :

C-5/55, Vasant Kunj, New Delhi – 110057, India

Date of Birth/Age :

24.06.1952

Date of Appointment :

06.03.1989

DIN :

00043416

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74899DL1986PTC024880	EMTEX MACHINERY PRIVATE LIMITED	Director	6/3/1989	6/3/1989	Active	NO
2	U74140DL2007PTC158661	EROS MANAGEMENT CONSULTING PRIVATE LIMITED	Director	1/2/2007	1/2/2007	Strike off	NO

Name :

Ms. Swati Gupta

Designation :

Director

Address :

5/3, Sarv Priya Vihar, Iind Floor, New Delhi – 110017, India

Date of Birth/Age :

10.02.1977

Date of Appointment :

11.07.2011

DIN :

00231260

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U93091DL2006PTC148796	OPERA SOLUTIONS MANAGEMENT CONSULTING SERVICES PRIVATE LIMITED	Director	16/05/2006	16/05/2006	Active	NO
2	U74140DL2007PTC158661	EROS MANAGEMENT CONSULTING PRIVATE LIMITED	Director	1/2/2007	1/2/2007	Strike off	NO
3	U72200DL2008FTC175695	INVOICE CONTROL SOLUTIONS PRIVATE LIMITED	Director	20/03/2008	20/03/2008	Amalgamated	NO
4	U74899DL1986PTC024880	EMTEX MACHINERY PRIVATE LIMITED	Director	11/7/2011	11/7/2011	Active	NO
5	U29100DL2011PTC226038	EMTEX ENGINEERING PRIVATE LIMITED	Director	11/10/2011	11/10/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. Manoj
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Rajesh Kumar Gupta	742475
Rahul Gupta	346560
Swati Gupta	248360
Hemlata Gupta	322980
Total	1660375

As on 30.09.2011

Equity Share Break Up Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader of Machinery and Accessories
Terms :
Selling :	Cash / Credit
Purchasing :	Cash / Credit

GENERAL INFORMATION

Suppliers :

• EPCO Machine Tools

Customers :

End Users

• Swastic Machine Tools

No. of Employees :

25 [In Office] Approximately

Bankers :

• Bank of Baroda, B-3, Connaught Place, New Delhi - 110001, India
• ICICI Bank Limited

Facilities :

Cash Credit – Rs.20.000 millions

Secured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Bank of Baroda Cash Credit Account [secured against of hypothecation of stocks, debtors, etc. and personal guarantee of the directors]	17.892	6.743
ICICI Bank Limited [secured against of hypothecation of car and personal guarantee of the directors] [amounts due within a year Rs.0.019 million]	0.019	0.089
Total	17.911	6.832
Unsecured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
From Directors and Shareholders	5.558	0.054
Total	5.558	0.054

Banking Relations :	--
Auditors :
Name :	Mr. Sumeet Khanna Chartered Accountants
Address :	606, Chiranjiv Tower, 43, Nehru Place, New Delhi – 110019, India
PAN :	AIHPK2572J

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2,500,000	Equity Shares	Rs.10/- each	Rs.25.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,660,375	Equity Shares	Rs.10/- each	Rs.16.604 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

Particulars		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		16.604	16.604	16.604
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		6.170	3.952	2.479
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		22.774	20.556	19.083
LOAN FUNDS
1] Secured Loans		17.911	6.832	4.479
2] Unsecured Loans		5.558	0.054	0.055
TOTAL BORROWING		23.469	6.886	4.534
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		46.243	27.442	23.617
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.802	2.588	3.070
Capital work-in-progress		0.000	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	21.557	10.101	11.975
	Sundry Debtors	7.587	14.947	4.158
	Cash & Bank Balances	10.749	6.066	5.087
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	19.367	10.546	4.252
Total Current Assets		59.260	41.660	25.472
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2.657	9.343	1.427
	Other Current Liabilities	9.808	5.229	2.064
	Provisions	3.354	2.234	1.434
Total Current Liabilities		15.819	16.806	4.925
Net Current Assets		43.441	24.854	20.547
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		46.243	27.442	23.617

Expected Sales (2011-2012) : Rs.250.000 millions

The above information has been parted by Mr. Manoj [Accountant]

KEY RATIOS

PARTICULARS	31.03.2011	31.03.2010	31.03.2009
Debt Equity Ratio (Total Liability/Networth)	1.72	1.15	0.49
Current Ratio (Current Asset/Current Liability)	3.75	2.48	5.18

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Construction of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoters background	-
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of contact person	Yes
Turnover of firm for last two years	Yes
Profitability for last three years	No
Reasons for variation <> 20%	-
Estimation for coming financial year	Yes
Capital the business	Yes
Details of sister concerns	-
Major Suppliers	Yes
Major Customers	Yes
Payment Terms	Yes
Export / Import Details [If Applicable]	No
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	No
Incorporation details, if applicable	-
Last accounts filed at ROC	-
Major Shareholders, if applicable	-

Trade References :

• EPCO Machine Tools
• Swastic Machine Tools

Bankers Charges Report as per Registry

Corporate identity number of the company	U74899DL1986PTC024880
Name of the company	EMTEX MACHINERY PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	4-E, Vandana Building II, Tolstoy Marg, Cnnaught Place, New Delhi, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10056560
Type of charge	Book Debts Movable Property Floating Charge
Particular of charge holder	Bank of Baroda, B-3, Connaught Place, New Delhi - 110001, India Email : ca_rcg@yahoo.co.in
Nature of instrument creating charge	Supplemental Composite Agreement of hypothecation of goods, book-debts, moveable machinery and vehicles dated 06.11.2010.
Date of instrument Creating the charge	06.11.2010
Amount secured by the charge	Rs.60.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Terms of Repayment - Payable on demand Extent and Operation of the charge – 100% Others - To secure all amounts payable under enhanced credit facilities aggregating to Rs. 60.000 millions granted to/enjoyed by the Company and as detailed in Annexure 'A' together with all interests, costs, charges, expenses, commission etc.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of the following: - a) Stock of raw-materials, semi-finished, and finished goods, packing materials, stores etc. now lying or hereafter stored at Company's premises or at any other place(s) including those in transit. b) All book-debts, outstandings, monies receivables, claims, bills, contracts, engagements and security - both present & future. c) All tangible moveable machinery and plant, vehicles together with all spares, tools and accessories and other movables, furniture, fixtures and fittings and office equipments both present and future.
Date of instrument modifying the charge	25.09.2009
Particulars of the present modification	The charge on stock of all goods, book-debts and tangible moveable machinery and plant, vehicles and all other moveable fixed assets of the Company - both present and future stands enhanced from Rs. 20.000 millions to Rs. 60.000 millions to secure all amounts payable under enhanced credit facilities aggregating to Rs.60.000 millions.

FIXED ASSETS :

§ Building

§ Furniture and Fixtures

§ Computer

§ Car

§ Fan

§ Scooter

§ Fax Machine

§ Air Conditioner

§ Generator

§ EPABX

§ Printer

§ Type Writer

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.50.28
UK Pound	1	Rs.77.60
Euro	1	Rs.64.66

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--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	NO
--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.