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Report Date : |
24.07.2012 |
IDENTIFICATION DETAILS
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Name : |
KAJAN
JEWELLERY LTD. |
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Registered Office : |
Rear Portion, 14/F., |
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Country : |
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Date of Incorporation : |
25.10.2005 |
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Com. Reg. No.: |
36135742 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, emerald, precious stones, etc. |
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No. of Employees : |
01 |
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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
Hong Kong |
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 |
KAJAN JEWELLERY LTD.
Rear Portion, 14/F., Ocean View Court, 25 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 3580 8686; 3580 1878; 2723 8004
FAX: 3580 8932; 2723 4438
E-MAIL: kajan.jewel@gmail.com
Managing Director: Mr. Pankil Shan
Incorporated on: 25th October, 2005.
Organization: Private Limited Company.
Capital: Nominal: HK$4,000,000.00
Issued: HK$4,000,000.00
Business Category: Diamond Trader.
Employees: 1.
Main Dealing Banker: Bank of China (Hong Kong) Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Rear Portion, 14/F., Ocean View Court, 25 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong.
Associated
Companies:-
Kan-Chi International Ltd., Hong Kong. (Same address)
Kan-Chi International, Hong Kong. (Business ceased)
[Also owned by Mr. Pankil Shan and Mr. Priyal Pankil Shan]
36135742
1003312
Managing Director: Mr. Pankil Shan
Nominal Share Capital: HK$4,000,000.00 (Divided into 4,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$4,000,000.00
(As per registry
dated 25-10-2011)
|
Name |
|
No. of shares |
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Pankil SHAN |
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2,200,000 |
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Priyal Pankil SHAN |
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1,800,000 |
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–––––––– |
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Total: |
4,000,000 ======= |
(As per registry
dated 25-10-2011)
|
Name (Nationality) |
Address |
|
Pankil SHAN |
Flat A, 9/F., Ocean View Court, 27A Chatham Road South, Tsimshatsui, Kowloon, Hong Kong. |
|
Priyal Pankil SHAN |
Flat A, 9/F., Ocean View Court, 27A Chatham Road South, Tsimshatsui, Kowloon, Hong Kong. |
Pankil
SHAN (As per registry dated 25-10-2011)
The subject was incorporated on 25th October, 2005 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.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products, emerald, precious stones, etc.
Employees: 1.
Commodities Imported: India, Belgium, other European countries, etc.
Markets: Japan, Southeast Asia, Europe, Middle East, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
· Hong Kong Jewelry Manufacturers’ Association, Hong Kong.
The
Hong Kong General Chamber of Commerce, Hong Kong. [Membership No. HKK0397]
Nominal Share Capital: HK$4,000,000.00 (Divided into 4,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$4,000,000.00
Mortgage or Charge: (See attachment)
Profit or Loss: Making a small profit every year.
Condition: Keeping in a satisfactory manner.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: Bank of China (Hong Kong) Ltd., Hong Kong.
Standing: Small.
Having issued 4 million ordinary shares of HK$1.00 each, Kajan Jewellery Ltd. is jointly owned by Pankil Shan, holding 55% interests; and Priyal Pankil Shan, holding 45%. Being Indian merchants, they are also directors of the subject. They are also Hong Kong ID Card holders and have got the right to reside in Hong Kong permanently.
Formerly the subject was jointly owned by Mr. Cheung Chung Ming and Mr. Tang Kin Man. Both were Hong Kong merchants. On 24th December, 2008, Cheung and Tang transferred their shares to the present shareholders.
The subject’s registered and operating office is in a private building known as Ocean View Court. It has an employees in Hong Kong. The subject’s operating address is also the new residence of the two shareholders.
The subject is a jewellery and diamond trader. It provides customers with all kinds of jewellery include platinum, 14K and 18K gold jewellery set with diamonds, precious stones and semi-precious stones, etc. Other main jewellery products are diamond ring collection, diamond rings, micro-pave set diamond jewellery, etc.
According to the subject, it possesses unique and innovative designs at competitive prices with a variety of selection. It has expanded its markets to Asia, Europe, the Middle East and the United States, etc. Commodities are chiefly imported from India. After processing in Hong Kong or China, finished products are exported to the above-mentioned markets. It is trading in loose diamonds, south sea pearls, diamond jewellery, gemset jewellery, platinum jewellery, etc.
The business is chiefly handled by the Shan family.
The subject has had an associated company Kan-Chi International Ltd. [Kan-Chi] located at its operating address.
Having issued 4.2 million ordinary shares of HK$1.00 each, Kan-Chi is jointly owned by Pankil Shah, holding 80% interests; and Priyal Pankil Shah, holding 20%. This firm is also a diamond and jewellery trader.
The history of the subject in Hong Kong is over six years.
Since the registered office of the subject is in a residential building, on the whole, consider it good for normal business engagements on secured basis.
|
Date |
Particulars |
Amount |
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31-08-2007 |
Instrument: Hypothecation of Tangible Moveable Property Property: All tangible moveable assets of borrower including in particular stocks of all goods of diamonds, gem, precious stones, jewellery, gold, furniture and fixtures and plant and machinery, etc. wheresoever situate and/or in transit Mortgagee: Bank of India, Hong Kong Branch. |
HK$10,156,000 |
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31-08-2007 |
Instrument: Charge and Hypothecation of Book Debts Property: Hypothecation and charge to the Bank by way of charge on all the book debts outstanding, moneys receivable, claims and bills Mortgagee: Bank of India, Hong Kong Branch. |
HK$10,156,000 |
|
31-08-2007 |
Instrument: Letter of Lien Property: Nature
of Deposit: TDR Mortgagee: Bank of India, Hong Kong Branch. |
HK$10,156,000 |
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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.76 |
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UK Pound |
1 |
Rs.86.80 |
|
Euro |
1 |
Rs.67.43 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
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.