MIRA INFORM REPORT

 

 

Report Date :

20.07.2012

 

IDENTIFICATION DETAILS

 

Name :

J G SPONGE AND POWER PRIVATE LIMITED

 

 

Registered Office :

Y-13/2-1st Floor, Loha Mandi, Naraina, New Delhi – 110028

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

06.08.2003

 

 

Com. Reg. No.:

55-121655

 

 

Capital Investment / Paid-up Capital :

Rs.8.500 Millions

 

 

CIN No.:

[Company Identification No.]

U27109DL2003PTC121655

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELJ06056B

 

 

PAN No.:

[Permanent Account No.]

AABCJ4171D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Supplier of Textile Fabrics.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca (13)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Moderate

 

 

Payment Behaviour :

Slow and Delayed

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track. Financial positions of the company is under severe pressure.

 

Accumulated losses appears to be increasing over years. The company has recorded an increase in its sales turnover during the current year.

 

Business is active. Payments are reported to be slow and delayed.

 

Initially, the company can be considered for business dealings on a safe and secured 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 :

Y-13/2-1st Floor, Loha Mandi, Naraina, New Delhi – 110028, India

Tel. No.:

Not Available

Fax No.:

Not Available

E-Mail :

garg_juneja@hotmail.com

 

 

Factory:

BN-37, BN-42, industrial Area, Noida – 201301, Uttar Pradesh, India

Tel. No.:

91-120-3207141

 

 

DIRECTORS

 

As on 30.09.2011

 

Name :

Mr. Karun Jueja

Designation :

Director

Address :

B- 2/134, Paschim Vihar, New Delhi – 110063, India

Date of Birth/Age :

22.12.1980

Date of Appointment :

15.06.2004

DIN No.:

00988771

 

 

Name :

Mr. Arvind Batra

Designation :

Director

Address :

G-101, Kalkaji, New Delhi – 110019, India

Date of Birth/Age :

13.12.1961

Date of Appointment :

02.05.2006

DIN No.:

00988866

 

 

Name :

Mr. Kunal Juneja

Designation :

Director

Address :

B- 2/134, Paschim Vihar, New Delhi – 110063, India

Date of Birth/Age :

07.08.1983

Date of Appointment :

15.05.2010

DIN No.:

03045765

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2011

 

Names of Shareholders

 

No. of Shares

Ravinder Kumar Juneja

 

5000

Ravish Goyal

 

5000

Ashwani Kumar Gugani

 

5000

Dalip Kumar Juneja

 

305000

Karan Juneja

 

116000

Arvind Batra

 

325000

Bela Juneja

 

29000

Raj Juneja

 

10000

Kunal Juneja

 

50000

 

 

 

Total

 

850000

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2011

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Supplier of Textile Fabrics.

 

 

Products :

  • Cold Rolling Mills
  • Hot Steel Rolling Mill
  • Pellet
  • Rolling Mills
  • Steel Rolling Mill Plants

 

PRODUCTION STATUS (As on 31.03.2010)

 

Particulars

Unit

Installed Capacity

Actual Production

M.S Ingot

MT

19710

8664.100

Runner and Risers

MT

NA

216.365

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

Indian Overseas Bank, Rajendra Place, New Delhi – 110008, India

 

 

Facilities :

 

(Rs. in Millions)

Secured Loan

As on

31.03.2011

As on

31.03.2010

Indian Overseas Bank (Term Loan)

2.735

6.445

Indian Overseas Bank (Cash Credit)

40.298

27.495

ICICI BANK

0.548

0.825

ICICI Bank LIMITED

0.547

0.824

Total

44.128

35.589

Unsecured Loan

As on

31.03.2011

As on

31.03.2010

From Directors

 

 

Karun Juneja

0.263

0.263

Arvind Batra

0.750

2.250

Kunal Juneja

0.300

0.000

From Shareholders

 

 

Ravinder Kumar Juneja

0.000

2.635

Mr. Raj Juneja

0.000

2.100

Dalip Kumar Juneja

1.475

0.000

From their Associates

 

 

M/s. Juneja Steel Sales Corporation

1.800

0.010

Delip Kumar Juneja  Company (HUF)

1.650

0.250

Mrs. Atima Juneja

0.000

0.600

Raj Juneja (H.U.F.)

0.780

1.200

Total

7.018

9.308

 

 

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Garg Juneja and Company

Chartered Accountants

Address :

C-254, Vikas Puri, New Delhi – 110018, India

Tel No.:

91-11-27183570

Mobile:

91-9811084579

E-Mail.:

garg_juneja@hotmail.com

PAN.:

AACFG5342F

 

 

CAPITAL STRUCTURE

 

After 30.09.2011

 

Authorised Capital : Rs.15.000 Millions

 

Issued, Subscribed & Paid-up Capital : Rs.15.000 Millions

 

 

As on 30.09.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1000000

Equity Shares

Rs.10/- each

Rs.10.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

850000

Equity Shares

Rs.10/- each

Rs.8.500 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

8.500

5.000

5.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

0.000

0.000

0.000

4] (Accumulated Losses)

(109.744)

(72.793)

(54.739)

NETWORTH

(101.244)

(67.793)

(49.739)

LOAN FUNDS

 

 

 

1] Secured Loans

44.128

35.589

36.190

2] Unsecured Loans

7.018

9.308

17.475

TOTAL BORROWING

51.146

44.897

53.665

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

(50.098)

(22.896)

3.926

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

28.714

27.291

26.039

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

41.774

24.100

37.211

 

Sundry Debtors

18.378

32.055

50.400

 

Cash & Bank Balances

0.384

1.712

0.008

 

Other Current Assets

0.000

0.000

0.000

 

Loans & Advances

17.128

12.528

9.989

Total Current Assets

77.664

70.395

97.608

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

137.615

115.283

104.261

 

Other Current Liabilities

16.169

3.263

14.123

 

Provisions

2.692

2.036

1.337

Total Current Liabilities

156.476

120.582

119.721

Net Current Assets

(78.812)

(50.187)

(22.113)

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

(50.098)

(22.896)

3.926

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Income

359.025

213.527

245.148

 

 

Other Income

0.193

9.614

0.826

 

 

TOTAL                                     (A)

359.218

223.141

245.974

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Raw Material Consumed

302.512

152.306

207.381

 

 

Manufacturing and Other Expenses

83.434

69.586

66.954

 

 

Office and Administrative Expenses

1.581

1.122

1.525

 

 

Increase/Decrease in stock

2.330

12.553

(3.326)

 

 

TOTAL                                     (B)

389.857

235.567

272.534

 

 

 

 

 

Less

PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

(30.639)

(12.426)

(26.560)

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

4.428

4.081

3.888

 

 

 

 

 

 

PROFIT/(LOSS)  BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                               (E)

(35.067)

(16.507)

(30.448)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

1.772

1.434

1.401

 

 

 

 

 

 

PROFIT/(LOSS)  BEFORE TAX (E-F)                  (G)

(36.839)

(17.941)

(31.849)

 

 

 

 

 

Less

TAX                                                                  (I)

0.112

0.139

0.160

 

 

 

 

 

 

PROFIT/(LOSS)  AFTER TAX (G-I)                     (J)

(36.951)

(18.079)

(32.009)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(72.793)

(54.714)

(22.705)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(109.744)

(72.793)

(54.714)

 

 

 

 

 

 

Earnings/(Loss) Per Share (Rs.)

(43.47)

NA

NA

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

(10.29)

(8.10)

(13.01)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

(10.26)

(8.40)

(12.99)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(47.43)

(25.49)

(36.63)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.36)

(0.26)

(0.64)

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

(2.05)

(2.44)

(3.49)

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.50

0.58

0.82

 

 

LOCAL AGENCY FURTHER INFORMATION

 

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

No

5) Type of Business

Yes

6) Line of Business•

Yes

7) Promoter’s background

Yes

8) No. of employees

No

9) Name of person contacted

No

10) Designation of contact person

No

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

No

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

--

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

 

BANKERS CHARGES REPORT AS PER REGISTRY

 

Corporate identity number of the company

U27109DL2003PTC121655

Name of the company

J G SPONGE AND POWER PRIVATE LIMITED

Address of the registered office or of the principal place of  business in India of the company

Y-13/2-1st Floor, Loha Mandi, Naraina, New Delhi – 110028, India

 

Email: garg_juneja@hotmail.com

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

80044031

Type of charge

Immovable property

Book debts

Movable property (not being pledge)

Particular of charge holder

Indian Overseas Bank, Rajendra Place, New Delhi – 110008, India

 

Email: pusaabr@delsco.iobnet.co.in

Nature of instrument creating charge

F 110E Letter of Hypothecation (for Securing Machineries/ Vehicles/ Goods/ Book Debts) and F 379a Confirmation Letter for Supplementary Mortgage ,F-379c Confirmation Letter.

Date of instrument Creating the charge

26.03.2012

Amount secured by the charge

Rs.60.000 Millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of Interest

F 110E letter of hypothecation (for securing machineries/ vehicles/ goods/ book debts) and f 379a confirmation letter for supplementary mortgage ,f-379c confirmation letter.

 

Terms of Repayment

Payable on demand as per sanction terms and bank norms

 

Margin

25% on stock and 50% on book debts.

 

Extent and Operation of the charge

The hypothecated assets and equitable mortgage of property to secure Cash Credit limit of Rs.60.000 Millions sanctioned by Indian Overseas Bank to M/s.J G Sponge And Power Private Limited.

 

Others

Personal Guarantee of :

 

a) Mr. Karun Juneja

b) Mr. Arvind Batra

c) Mr. Kunalj Juneja

d) Mr. Dalip Juneja

Short particulars of the property or asset(s) charged (including complete address and location of the property)

First charge on paid stocks, book debts, plant and machinery both present and future of Iron and Steel and Ingots etc. and Block assets of the company.

 

Equitable mortgage of property Situated at BN-37 to BN-42, and CN-91 to CN-100, Industrial Area Phase III, Masoori Gulawathi Road, Ghaziabad (Uttar Pradesh) in the name of company.

 

Equitable mortgage of property Situated at Plot No. 19, Khasara No.83/10, Mundka Delhi in the name of Shri. Dalip Juneja

Date of instrument modifying the charge

18.11.2011

Particulars of the present modification

By this modification of charge the aggregate credit limit stands modified to Rs.60.000 Millions ( Rs. 10.000 Millions Adhoc Cash Credit for the period of 75 days payable on or before 07.06.2012. and Excisting terms and condition of last sanction shall remain unaltered and to be complied with.

 

Fixed Assets:

 

·         Land

·         Building

·         Moulds/CI Casting

·         Plant & Machinery

·         Car A/c

·         Computer

·         Mobile Phone

·         Scooter

 

 


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.55.39

UK Pound

1

Rs.86.74

Euro

1

Rs.68.06

 

 

INFORMATION DETAILS

 

Report Prepared by :

KVT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

2

PAID-UP CAPITAL

1~10

2

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

1

--LEVERAGE

1~10

1

--RESERVES

1~10

--

--CREDIT LINES

1~10

1

--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

 

13

 

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.