MIRA INFORM REPORT

 

 

Report Date :

25.07.2012

 

IDENTIFICATION DETAILS

 

Name :

FINE  UNITED  LTD.

 

 

Registered Office :

Room 307, 3/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

29.04.1998

 

 

Com. Reg. No.:

21922388

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturer, Importer and Exporter of     Jewellery, semi-precious stones, pearls, diamonds, etc.

 

 

No. of Employees :

15.  (Including associate in Hong Kong)

 

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 


Company name

 

FINE  UNITED  LTD.

 

 

Company ADDRESS

 

Room 307, 3/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

PHONE:            2303 1900

FAX:                 2303 1832

E-MAIL:            info@fineunited.com.hk

 

 

MANAGEMENT

 

Managing Director:  Mr. Lai Chee Wing, Albert

 

 

SUMMARY

 

Incorporated on:             29th April, 1998.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$10,000.00

Issued:              HK$1,000.00

 

Business Category:        Manufacturer, Importer and Exporter.

 

Annual Turnover:            HK$80~85 million  (Including associate)

 

Employees:                   15.  (Including associate in Hong Kong)

 

Main Dealing Banker:     The Bank of East Asia Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


Company ADDRESS

 

Registered Head Office:-

Room 307, 3/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

 

Holding Company:-

Fine United Holding Ltd., British Virgin Islands.

 

Associated/Affiliated Companies:-

Albert Jewellery Co. Ltd., Hong Kong.  (Same address)

Albert Jewellery Co. Ltd., Japan.

 

 

BUSINESS REGISTRATION NUMBER 

 

21922388

 

 

COMPANY FILE NUMBER

 

0643293

 

 

MANAGEMENT

 

Managing Director:         Mr. Lai Chee Wing, Albert

Contact Person:             Ms. Lau Hoi Yan, Jenny

 

 

CAPITAL

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

Issued Share Capital:     HK$1,000.00

 

 

SHAREHOLDERS

(As per registry dated 29-04-2012)

 

Name

 

No. of shares

LAI Chee Wing, Albert

 

10

Fine United Holding Ltd.

P.O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British Virgin Islands.

 

990

 

 

–––––

 

Total:

1,000

====

 

 

DIRECTORS

(As per registry dated 29-04-2012)

 

Name

(Nationality)

 

Address

LAI Chee Wing, Albert

Flat B, 3/F., Tower 17, One Beacon Hill, 1 Beacon Hill Road, Kowloon, Hong Kong.

 

LEE Chun Ming

Flat 4, 14/F., Kam Shing House, Kam Tai Court, Ma On Shan, Shatin, New Territories, Hong Kong.

 

 

SECRETARY 

(As per registry dated 29-04-2012)

 

Name

Address

Co. No.

Treasure Current Ltd.

Room 1201, 12/F., Ka Wah Bank Centre, 232 Des Voeux Road Central, Hong Kong.

0307612

 

 

HISTORY

 

The subject was incorporated on 29th April, 1998 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Manufacturer, Importer and Exporter.

 

Lines                            Jewellery, semi-precious stones, pearls, diamonds, etc.

 

Employees:                   15.  (Including associate in Hong Kong)

450.  (China)

 

Commodities Imported:   India, Thailand, other Asian countries, Europe, etc.

 

Markets:                       Asian countries, Europe, North America, etc.

 

Annual Turnover:            HK$80~85 million  (Including associate)

 

Terms/Sales:                 L/C, T/T, etc.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

MEMBERSHIP

 

·         Hong Kong Productivity Council, Hong Kong.

The Hong Kong General Chamber of Commerce, Hong Kong. [Membership No. HKF0319]

Hong Kong Jewellery Manufacturers’ Association, Hong Kong.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$1,000.00

 

Mortgage or Charge:       (See attachment)

 

Profit or Loss:                Making a small profit very yeear.

 

Condition:                      Business is rather active and steady.

 

Facilities:                      Making active use of general banking facilities.

 

Payment:                      Met obligations on time.

 

Commercial Morality:     Satisfactory.

 

Banker:                         The Bank of East Asia Ltd., Hong Kong.

 

Standing:                      Normal.

 

 

GENERAL

 

Having issued 1,000 ordinary shares of HK$1.00 each, Fine United Ltd. is jointly owned by Fine United Holding Ltd., a BVI-registered firm holding 99%, and Mr. Lai Chee Wing, Albert, holding just 1%.  The directors are Mr. Albert Lai and Mr. Lee Chun Ming.  Both are Hong Kong businessmen.

The subject is a diamond and jewellery trader.  It has got an associated company Albert Jewellery Co. Ltd. [Albert Jewellery] located at its operating address.  Albert Jewellery is engaged in the same lines of business as the subject.  It is also a member of The Hong Kong General Chamber of Commerce, Hong Kong.  It seems that this firm is chiefly owned by Albert Lai as the firm was named after him.

From 2001 onwards, Albert Jewellery adds jewellery watches to its product lines, apart from long established gem setting jewellery in 14K & 18K gold and PT900.  This firm also focuses its products on the diverse use of gemstones such as turquoise, coral, onyx, agate, quartz and fluorite.  Using these gemstones together with quality diamonds in its products has strengthened the position as one of the leading jewellery specialists in Hong Kong.

The subject has got an affiliated factory in Guangdong Province, China.  It is likely that the factory is in Panyu, Guangzhou, Guangdong Province, China.

Main products of the factory include fine jewellery findings and setting, pearl, gemstones and jade, gold jewellery, 18K PT 900 include OEM, diamond jewellery, pearl jewellery, silver jewellery, synthetic gemstone jewellery, etc.  Main products are bracelets, Cubic Zirconia earrings, pendants, Cubic Zirconia rings, brooches, Cubic Zirconia necklaces, etc.  Raw materials such as rough diamonds, polished and cut diamonds are imported from India and Europe.  Finished products are exported to Japan, other Asian countries, the Middle East, Europe and the United States.  Overall business is rather active.

Albert Jewellery has set up a company in Japan in order to penetrate the Japan market further.  Annual sales turnover of the subject and Albert Jewellery ranges from HK$80 to 85 million.  Making a small profit every year.

In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities.  For instance, it always takes part in Hong Kong Jewellery & Gem Fair and Hong Kong International Jewellery Show which are held in Hong Kong annually.

The subject’s business is chiefly handled by Mr. Lai Chee Wing, Albert himself.

The history of the subject in Hong Kong is over fourteen years.

On the whole, consider its good for normal business engagements.

 

REMARKS:

 

Property information of the company:-

1.     Property Location:       Flat B on 3/F. of Tower 17 and Car Parking Space No. 38 on Car Park D2, One Beacon Hill, 1 Beacon Hill Road, Kowloon, Hong Kong.

Owner:     Fine United Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

01-04-2010

-

The Bank of East Asia Ltd., Hong Kong.

Legal charge to secure general banking facilities

 

2.     Property Location:       Flat B on 36/F., Ellery Terrace, 38 Good Shepherd Street, Kowloon, Hong Kong.

Owner:     Fine United Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

18-09-2003

-

The Bank of East Asia Ltd., Hong Kong.

Legal charge to secure general banking facilities

02-06-2006

-

- ditto -

Second legal charge

 

 

MORTGAGE OR CHARGE

 

Date

Particulars

Amount

18-09-2003

Instrument:      Legal Charge/Mortgage

Property:

326/81,719th parts or shares of and in Kowloon Inland Lot No. 11091 (Flat B on 36/F. of Ellery Terrace, 38 Good Shepherd Street, Kowloon, Hong Kong.)

Mortgagee:      The Bank of East Asia Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities

02-06-2006

Instrument:      Second Legal Charge/Mortgage

Property:

326/81,719th parts or shares of and in Kowloon Inland Lot No. 11091 (Flat B on 36/F. of Ellery Terrace, 38 Good Shepherd Street, Kowloon, Hong Kong.)

Mortgagee:      The Bank of East Asia Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities

01-04-2010

Instrument:      Legal Charge/Mortgage

Property:

142/80,444th parts or shares of and in New Kowloon Inland Lot No. 6277 (Flat B on 3/F. of Tower 17 and Car Parking Space No. 38 on Car Park D2 of One Beacon Hill, 1 Beacon Hill Road, Kowloon, Hong Kong.)

Mortgagee:      The Bank of East Asia Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities

 


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.56.02

UK Pound

1

Rs.86.89

Euro

1

Rs.67.84

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

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.