MIRA INFORM REPORT
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Report Date : |
09.03.2012 |
IDENTIFICATION DETAILS
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Name : |
BRILLIANT
DIAMONDS LTD. |
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Registered Office : |
Room 906-907, 9/F., Stag Building, 148-150 Queen’s Road Central |
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Country : |
Hong Kong |
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Date of Incorporation : |
18.12.2002 |
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Com. Reg. No.: |
33232361 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of diamond |
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No. of Employees : |
3 Persons |
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 – September 30th, 2011
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Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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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 |
BRILLIANT DIAMONDS LTD.
Room 906-907, 9/F., Stag Building, 148-150 Queen’s Road Central, Hong Kong.
PHONE: 2545 5886
FAX: 2815 4568
Managing Director: Ms. Lau Tsui Yan
Incorporated on: 18th December, 2002.
Organization: Private Limited Company.
Capital: Nominal: US$100,000.00
Issued: US$10,000.00
Business Category: Diamond Trader.
Employees: 3.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head Office:-
Room 906-907, 9/F., Stag Building, 148-150 Queen’s Road Central, Hong Kong.
Holding Company:-
Pacific Regent Trading Ltd., British Virgin Islands.
33232361
0826413
Chief Executive Officer: Mr. Ivan Wong
Managing Director: Ms. Lau Tsui Yan
Nominal Share Capital: US$100,000.00 (Divided into 100,000 shares of US$1.00 each)
Issued Share Capital: US$10,000.00
(As per registry
dated 18-12-2010)
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Name |
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No. of shares |
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Pacific Regent Trading Ltd. 263 Main Street, P.O. Box 2196, Road Town, Tortola, British Virgin Islands. |
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10,000 ===== |
(As per registry
dated 30-03-2011)
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Name (Nationality) |
Address |
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Bhavik Jayesh SHAH |
Room 906-907, 9/F., Stag Building, 148-150 Queen’s Road Central, Hong Kong. |
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LAU Tsui Yan |
Room 906-907, 9/F., Stag Building, 148-150 Queen’s Road Central, Hong Kong. |
(As per registry
dated 18-12-2010)
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Name |
Address |
Co.
No. |
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Louis Lai Co. Secretarial Services Ltd. |
9/F., Surson Commercial Building, 140-142 Austin Road, Tsimshatsui, Kowloon, Hong Kong. |
0686503 |
The subject was incorporated on 18th December, 2002 as a private limited liability company under the Hong Kong Companies Ordinance.
Formerly the registered office of the subject is in a secretarial service firm located at 9/F., Surson Commercial Building, 140-142 Austin Road, Tsimshatsui, Kowloon, Hong Kong known as Louis Lai Company Secretarial Services Ltd. [Louis Lai] which is handling its correspondences and documents. Louis Lai is an affiliated company of Fung & Pang CPA Ltd. which is an accountant firm. Louis Lai is also the corporate secretary of the subject. With effect from 1st June, 2010, the subject moved to the present address.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds.
Employees: 3.
Commodities Imported: India, etc.
Markets: Hong Kong, India, UAE, US, etc.
Terms/Sales: L/C, 60-120 days credit, etc.
Terms/Buying: L/C, 90 days credit, etc.
Nominal Share Capital: US$100,000.00 (Divided into 100,000 shares of US$1.00 each)
Issued Share Capital: US$10,000.00
Profit or Loss: Making a very small profit in the past years.
Condition: Business is normal.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
· The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
· Industrial & Commercial Bank of China Ltd., Hong Kong Branch.
Standing: Small.
Brilliant Diamonds Ltd. has issued 10,000 ordinary shares of US$1.00 each. Formerly 9,999 shares were held by Brilliant Diamonds Ltd. which was a Mauritius-registered firm. The other single share was held by Nomsec No. 1 Ltd. which was a nominee firm. Both firms transferred their shares to Pacific Regent Trading Ltd. which is a BVI-registered firm. Now, Pacific Regent Trading Ltd. owns 100% interests of the subject.
The corporate secretary of the subject is Louis Lai Co. Secretarial Services Ltd. [Louis Lai].
The directors of the subject are Ms. Lau Tsui Yan and Mr. Bhavik Jayesh Shah. The former is a Hong Kong businesswoman while the latter is an Indian. Shah is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.
Formerly the subject’s registered address was located at the operating address of Louis Lai, moved to the present address in June 2010.
The subject is a diamond trader and a commission agent. It is engaged in the import, export and sale of polished diamonds. Polished diamonds are mainly bought from India and partly from local dealers. Prime markets are Hong Kong, India, Dubai, the United States, etc. Business keeps on improving.
The CEO of the subject Mr. Ivan Wong is a Hongkongnese.
On the whole, consider it good for business engagements in small credit amounts.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.50.57 |
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UK Pound |
1 |
Rs.79.57 |
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Euro |
1 |
Rs.66.50 |
RATING EXPLANATIONS
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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.