MIRA INFORM REPORT
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Report Date : |
13.03.2012 |
IDENTIFICATION DETAILS
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Name : |
FLAWLESS DIAMONDS CO., LTD. |
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Registered Office : |
9f.-2, No.267, Sec. 2, Dungun S. Rd., Da-An Dist., Taipei City 10675 |
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Country : |
Taiwan |
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Date of Incorporation : |
08.04.2010 |
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Com. Reg. No.: |
25118580 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Trade of diamond and jewelry |
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No. of Employees
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Not Available |
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 : |
Moderate |
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Payment
Behaviour : |
Unknown |
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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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Taiwan |
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 |
Notes:
The supplied address is incorrect, and the exact address is as above.
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Registered Name: |
Flawless Diamonds Co., Ltd. |
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Registered Address: |
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Date of Foundation: |
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Registration Number: |
25118580 |
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Registry: |
Taipei City Government |
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Registered Capital: |
(As of 2012.3, 1 NTD = 0.03394 USD) |
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Legal Representatives: |
Hewei Mai |
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Legal Form: |
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Principal Activities: |
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Staff: |
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Listed at Stock
Exchange: |
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Date of Last
Annual Return: |
Note:
Subject declined to disclose the staff number, and from other sources, we couldn’t obtain the information, either.
Subject was incorporated on
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Name |
Subscription
Amount |
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Hewei Mai |
400,000 |
The information above is that of subject’s major shareholders.
Core
Management
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Name |
Hewei Mai |
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Position |
Director |
Offices
& Factories
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Headquarters |
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Add |
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Production
Information
l
Subject is a processor and trader of diamonds with
the production activities
Purchase
Information
l
The registered activities of subject:
|
Business Code |
Details |
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F115010 |
Wholesale of jewelry and precious metal. |
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F115020 |
Wholesale of ore |
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F215010 |
Retail of jewelry and precious metal. |
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F215020 |
Retail of ore |
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F401010 |
International trade |
l
The raw materials and productions are mostly
purchased from local and abroad.
l
The subject is mainly engaged in processing and
trading of rough and polished diamonds.
l
Subject introduced that the products exports to
countries like USA, Japan, Canada, South Africa, Belgium, and Hong Kong etc.
l
But subject declined to disclose more details
about subject.
Import and export
right:
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Import right |
Yes |
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Export right |
Yes |
Subject declined the settlements information, and from other sources, we
couldn’t obtain the information, either.
Subject has no obligations to disclose its financial statements to the
third party according to the relevant policy in Taiwan and the only source
from which we can obtain the information is the subject itself.
Subject’s relevant staff declined to disclose its financials citing the
grounds of company’s confidentiality; from other source we can not obtain the
relevant information, either.
The bankers’
information is not available from the subject or other sources.
Mortgage
No chattel mortgage record of subject has been found within the recent
3 months.
Lawsuit
Up to date of
reporting, no existing or latent litigation of the subject has been found.
Note:
The staff declined to disclose the name.
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.49.94 |
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UK Pound |
1 |
Rs.78.25 |
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Euro |
1 |
Rs.65.39 |
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.