MIRA INFORM REPORT

Report Date :

01.03.2012

IDENTIFICATION DETAILS

Name :	MA FOI CONSULTING SOLUTIONS LIMITED (w.e.f. 21.12.2004)
Formerly Known As :	MA FOI OUTSOURCING SOLUTIONS LIMITED
Registered Office :	6^th Floor, Thamarai Tech Park, S.P. Plot No.16 to 20 and 20A, Thiru Vi Ka Industrial Estate, Inner Ring Road, Guindy, Chennai – 600 032, Tamilnadu
Country :	India
Financials (as on) :	31.12.2010
Date of Incorporation :	01.11.2002
Com. Reg. No.:	18-049822
Capital Investment / Paid-up Capital :	Rs. 15.000 Millions
CIN No.: [Company Identification No.]	U74140TN2002PLC049822
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Providing HR related services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (27)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 31000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appear some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution.

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 :	Thamarai Tech Park, S.P. Plot No.16 to 20 and 20A, Thiru Vi Ka Industrial Estate, Inner Ring Road, Guindy, Chennai – 600 032, Tamilnadu
Tel. No.:	91-66448000
Fax No.:	91-66648400
E-Mail :	secretarial.mafoi@mafoirandstad.com
Website :	www.mafoirandstad.com

DIRECTORS

As on 30.06.2011

Name :

Ms. Hemalata Rajan

Designation :

Director

Address :

AJ-25, IVth Street, 9^th Main Road, Shanti Colony, Anna Nagar, Chennai – 600 040, Tamilnadu, India

Date of Birth/Age :

07.12.1965

Date of Appointment :

01.11.2002

DIN No.:

00115674

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74210TN1992PLC023097	MA FOI MANAGEMENT CONSULTANTS LIMITED	Whole-time director	1/8/2009	17/07/1992	31/12/2011	Active	NO
2	U74140TN2002PLC049822	MA FOI CONSULTING SOLUTIONS LIMITED	Director	1/11/2002	1/11/2002	12/1/2012	Active	NO
3	U74910TN2005PLC055634	MA FOI GLOBAL SEARCH SERVICES LIMITED	Director	11/3/2005	11/3/2005	31/12/2011	Active	NO
4	U72100TN2006PLC058601	MINVESTA INFOTECH LIMITED.	Director	17/01/2006	17/01/2006	31/12/2011	Active	NO
5	U74910DL2005FLC133482	TEAM HR SERVICES LIMITED	Director	30/06/2009	2/2/2009	31/12/2011	Active	NO
6	U74999TN2001PTC083341	EMMAYHR SERVICES Private LIMITED	Director	30/06/2009	17/03/2009	31/12/2011	Active	NO
7	U72900TN2009PTC071090	VIRUDHUNAGAR KAMARAJ MEMORIAL SOFTWARE PRIVATE LIMITED	Director	6/1/2010	6/1/2010	-	Active	NO
8	U74999TN2010PTC076854	VARAM MICROFINANCE PRIVATE LIMITED	Managing director	3/8/2010	3/8/2010	-	Active	NO
9	U14200TN2010PTC075453	TIARA GRANITES PRIVATE LIMITED	Director	21/09/2011	12/8/2010	-	Active	NO
10	U74140TN2010PTC077095	Suhanila Management Consultants Private Limited	Director	23/08/2010	23/08/2010	-	Active	NO
11	U74140TN2011PTC078708	MA FOI STRATEGIC CONSULTANTS PRIVATE LIMITED	Director	6/1/2011	6/1/2011	-	Active	NO
12	U65993TZ1991PTC003432	KARPAGA GANAPATHI INVESTMENTS PRIVATE LIMITED	Director	30/09/2011	24/03/2011	-	Active	NO
13	U92120TN2011PTC083252	SUHANILA CREATIONS PRIVATE LIMITED	Director	23/11/2011	23/11/2011	-	Active	NO
14	U22200TN2011PTC083379	Namma Chennai Publications Private Limited	Director	1/12/2011	1/12/2011	-	Active	NO
15	U80302TN2011PTC083824	Varam Enterprises Private Limited	Director	30/12/2011	30/12/2011	-	Active	NO
16	U80301TN2011PTC083816	Ma Foi Educational Services Private Limited	Director	30/12/2011	30/12/2011	-	Active	NO
17	U72900TN2002PTC049167	AXIS-V CREATIVES PRIVATE LIMITED	Additional director	16/01/2012	16/01/2012	-	Active	NO

Name :

Mr. Hastha Shivaramakrishnan

Designation :

Director

Address :

Old No.189, New No.94A, 3B, Athreya Apartments, St. Mary’s Road, Chennai – 600 018, Tamilnadu, India

Date of Birth/Age :

09.11.1958

Date of Appointment :

24.07.2006

DIN No.:

00391864

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74910TN2005PLC055634	MA FOI GLOBAL SEARCH SERVICES LIMITED	Whole-time director	1/4/2009	25/03/2005	-	Active	NO
2	U74140TN2002PLC049822	MA FOI CONSULTING SOLUTIONS LIMITED	Director	26/03/2007	24/07/2006	12/1/2012	Active	NO
3	U74210TN1992PLC023097	MA FOI MANAGEMENT CONSULTANTS LIMITED	Director	30/06/2011	1/1/2011	-	Active	NO
4	U72100TN2006PLC058601	MINVESTA INFOTECH LIMITED.	Additional director	1/1/2012	1/1/2012	-	Active	NO
5	U74999TN2001PTC083341	EMMAYHR SERVICES Private LIMITED	Additional director	17/01/2012	17/01/2012	-	Active	NO
6	U74910DL2005FLC133482	TEAM HR SERVICES LIMITED	Additional director	17/01/2012	17/01/2012	-	Active	NO

Name :

Mr. Brijesh Biyani

Designation :

Director

Address :

No.2, Sooterkin Street, Kolkata – 700 072, West Bengal, India

Date of Birth/Age :

21.01.1952

Date of Appointment :

24.07.2006

DIN No.:

00279328

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	L15492WB1916PLC002697	DHUNSERI PETROCHEM & TEA LIMITED	Whole-time director	1/7/2010	31/05/2006	-	Active	NO
2	L51496WB1996PLC079932	SOUTH ASIAN PETROCHEM LIMITED	Whole-time director	1/6/2008	1/6/2006	-	Amalgamated	NO
3	U72300DL1999PTC100368	TECTURA INFOTECH PRIVATE LIMITED.	Director	21/06/2006	21/06/2006	22/03/2007	Active	NO
4	U74140TN2002PLC049822	MA FOI CONSULTING SOLUTIONS LIMITED	Director	26/03/2007	24/07/2006	31/05/2011	Active	NO
5	U29196TN2005PLC057662	RICE LAKE WEIGHING SYSTEMS INDIA LIMITED	Director	27/07/2007	31/10/2006	-	Active	NO
6	U91990WB2007NPL116333	Mani Karn Owners Association	Director	11/12/2007	11/12/2007	26/09/2010	Active	NO
7	U25209WB2008PLC125012	Dhunseri Polycarbonate Limited	Director	24/07/2009	5/1/2009	-	Amalgamated	NO
8	U01132AS1938PTC000500	MADHUTING TEA PRIVATE LIMITED	Director	20/09/2010	5/11/2009	-	Active	NO
9	L15491WB1997PLC082808	DHUNSERI INVESTMENTS LIMITED	Director	20/09/2010	27/11/2009	-	Active	NO
10	U01132AS2005PTC007677	DOWAMARA TEA COMPANY PRIVATE LIMITED	Director	30/09/2011	11/5/2011	-	Active	NO

Name :

Mr. Balaji Ethirajan

Designation :

Director

Address :

3A, New No.7, Kathbada, Washermanpet, Chennai – 600 021, Tamilnadu, India

Date of Birth/Age :

03.09.1971

Date of Appointment :

21.02.2008

DIN No.:

00231151

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U72100TN2006PLC058601	MINVESTA INFOTECH LIMITED.	Director	19/03/2007	6/3/2006	-	Active	NO
2	U74210TN1992PLC023097	MA FOI MANAGEMENT CONSULTANTS LIMITED	Managing director	1/1/2011	1/4/2007	-	Active	NO
3	U74140TN2002PLC049822	MA FOI CONSULTING SOLUTIONS LIMITED	Director	9/4/2008	21/02/2008	12/1/2012	Active	NO
4	U74910TN2005PLC055634	MA FOI GLOBAL SEARCH SERVICES LIMITED	Director	7/4/2008	28/02/2008	-	Active	NO
5	U74910DL2005FLC133482	TEAM HR SERVICES LIMITED	Director	30/06/2009	2/2/2009	-	Active	NO
6	U74999TN2001PTC083341	EMMAYHR SERVICES Private LIMITED	Director	30/06/2009	17/03/2009	-	Active	NO

Name :

Mr. Rahul Goyal

Designation :

Additional Director

Address :

C2 Old No. 54, New No.10, Subramaniam Street, Abhiramapuram, Cheenai- 600021, Tamil Nadu, India.

Date of Birth/Age :

19.01.1974

Date of Appointment :

17.06.2011

DIN No.:

01724529

Name :

Mr. Krishnamurti Prasanna Sai Venkateswaran

Designation :

Additional Director

Address :

No. 5A, Anna Main Road, Kodambakkam, Chennai-600024, Tamil Nadu, India

Date of Birth/Age :

09.11.1965

Date of Appointment :

17.06.2011

DIN No.:

03553802

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.06.2011

Names of Shareholders	No. of Shares
Ma Foi Management Consultants Limited	1499994
Ma Foi Management Consultants Limited and Dr. Prasanna Sai. k*	1
Ma Foi Management Consultants Limited and Hemalatha Rajan*	1
Ma Foi Management Consultants Limited and Rahul Goyal *	1
Ma Foi Management Consultants Limited and Aditya Narayan Mishra *	1
Ma Foi Management Consultants Limited and Ethirajan Balaji *	1
Ma Foi Management Consultants Limited and Hastha Shivaramakrishnan *	1
Total	1500000

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Providing HR related services.

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	Not Available

Banking Relations :	--
Auditors :
Name :	Karpagam and Company Chartered Accountant
Address :	4, Balaji Avenue, 1^st Street, T-Nagar, Chennai – 600 017, Tamilnadu, India
Tel. No.:	91-44-28340969/ 42121719
Fax No.:	91-44-28344816
E-Mail :	karpagamco@airtelmail.in
PAN.:	AAFFK6739H
Holding Company :	Ma Foi Management Consultants Limited CIN No.: U74210TN1992PLC023097
Associates/Subsidiaries :	Ma Foi Management Consultants Europe Limited Ma Foi Malaysia Ma Foi Consultants USA Inc. Ma Foi Management Lanka (Private) Limited Ma Foi Management Consultants Asia Pacific Private. Limited Ma Foi Management Consultants FZLLC EmmayHR Services Private Limited Ma Foi Management Consultants Hong Kong Ma Foi Management Consultants – Thailand Ma Foi and Partners Oman Ma Foi Kuwait Administration Consultants LLC Ma Foi Management Consultants LLC Ma Foi Management Consultants, Dubai Ma Foi RiyadaHR Consulting WLL Minvesta Infotech Limited

CAPITAL STRUCTURE

After 30.06.2011

Authorized Capital: Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital: Rs. 17.860 Millions

As on 31.12.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 Millions

Note :

Out of the above 360887 shares were allotted for consideration other than cash

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.12.2010	31.12.2009	31.12.2008
SHAREHOLDERS FUNDS
1] Share Capital		15.000	15.000	15.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		10.506	10.506	10.506
4] (Accumulated Losses)		(17.528)	(23.698)	(4.294)
NETWORTH		7.978	1.808	21.212
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	1.249
TOTAL		7.978	1.808	22.461
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		50.668	69.557	69.915
Capital work-in-progress		3.162	1.580	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		6.004	0.717	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	50.445	29.425	57.424
	Cash & Bank Balances	21.063	26.808	12.798
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	82.695	75.647	64.175
Total Current Assets		154.203	131.880	134.397
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities	193.745	194.456	169.632
	Provisions	12.314	7.470	12.219
Total Current Liabilities		206.059	201.926	181.851
Net Current Assets		(51.856)	(70.046)	(47.454)
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		7.978	1.808	22.461

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2010	31.12.2009	31.12.2008
	SALES
		Payroll Processing	168.128	169.895	157.897
		HR Consulting	42.976	43.511	59.930
		Onsite Resourcing	109.180	37.424	61.401
		Other Income – IT Consulting	39.491	32.080	8.342
		TOTAL (A)	359.775	282.910	287.570
Less	EXPENSES
		Employee Costs	192.559	148.012	154.239
		Other Costs	146.641	123.312	110.837
		Exchange Loss	(0.054)	(0.511)	(0.107)
		Miscellaneous Expenditure written off	0.000	0.000	0.000
		Loss on Sale of Assets	0.000	1.081	4.386
		TOTAL (B)	339.146	271.894	269.355
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		20.629	11.016	18.215
Less	FINANCIAL EXPENSES (D)		12.581	14.565	4.551
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		8.048	(3.549)	13.664
Less/ Add	DEPRECIATION/ AMORTISATION (F)		19.981	18.663	10.645
	PROFIT BEFORE TAX (E-F) (G)		(11.933)	(22.212)	3.019
Less	TAX (I)		(5.287)	(2.807)	3.796
	PROFIT AFTER TAX (G-I) (J)		(6.646)	(19.405)	(0.777)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(23.699)	(4.294)	(3.517)
	BALANCE CARRIED TO THE B/S		(17.529)	(23.699)	(4.294)
	EARNINGS IN FOREIGN CURRENCY
		Service Income	28.020	72.556	75.294
	TOTAL EARNINGS		28.020	72.556	75.294
	Earnings Per Share (Rs.)		--	(12.94)	--

KEY RATIOS

PARTICULARS		31.12.2010	31.12.2009	31.12.2008
PAT / Total Income	(%)	1.84	(6.86)	(0.27)
Net Profit Margin (PBT/Sales)	(%)	3.73	(8.86)	1.08
Return on Total Assets (PBT/Total Assets}	(%)	5.82	(11.03)	1.48
Return on Investment (ROI) (PBT/Networth)		1.50	(12.29)	0.14
Debt Equity Ratio (Total Liability/Networth)		25.83	111.68	8.57
Current Ratio (Current Asset/Current Liability)		0.75	0.65	0.74

LOCAL AGENCY FURTHER INFORMATION

Operational Highlights:

The Business continued to grow during the year 2010. The payroll business added clients and increased their footprint in the market. The quality systems were recertified. The HR consulting business contributed through various consultancy assignments. The public system practice undertook full fledged HR management of a project by leading international agency. The IT Infrastructure Management sustained during the year.

Contingent Liability

Guarantees Issued by Bank Rs.0.804 Millions

FIXED ASSETS:

· Computers

· Computer Software

· Furniture and Fixtures

· Plant and Machinery

· Fans

· Camera

· Lease Hold Improvements

· Office Interiors

· Intangible Assets – Goodwill

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.49.05
UK Pound	1	Rs.77.78
Euro	1	Rs.65.89

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--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	NO
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.