MIRA INFORM REPORT

Report Date :

16.03.2012

IDENTIFICATION DETAILS

Name :	SWASTIKA STEEL AND ALLIED PRODUCTS PRIVATE LIMITED
Registered Office :	117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal
Country :	India
Date of Incorporation :	01.04.2011
Com. Reg. No.:	161429
Capital Investment / Paid-up Capital :	Rs.20.049 Millions
CIN No.: [Company Identification No.]	U27310WB2011PTC161429
PAN No.: [Permanent Account No.]	AAECS0771P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Various Rolled Products having Complete Testing Facilities
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is a successor of Swastika Steel and Allied Products a partnership concern started in year 1959. Trade relations are reported as fair. Business is active. Payments are unknown. 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

INFORMATION PARTED BY (General Details)

Name :	Mr. Amit
Designation :	General Manager Marketing
Contact No.:	91-9831230067
Date :	07.03.2012

LOCATIONS

Registered Office :	117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal, India
Tel. No.:	91-33-22353582/ 5149/ 9120/ 4000/ 9135/ 3673/ 2676
Mobile No.:	91-9831230067 (Mr. Amit)
Fax No.:	91-33-22215552
E-Mail :	sr_associates17@rediffmail.com swastika1@vsnl.com metcast@cal.vsnl.net.in
Website :	http://www.swastikasteel.com
Area :	4000 sq. ft.
Location :	Rented
Factory / Warehouses :	8/1, Nutanpara Road, Liluah, Howrah – 711204, West Bengal, India
Area :	86400 sq. ft.
Location :	Leased

DIRECTORS

Name :

Mr. Shivkumar Sharda

Designation :

Director

Address :

117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal, India

Date of Birth/Age :

15.03.1942

Date of Appointment :

01.04.2011

DIN No.:

00084341

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27101WB1996PLC079995	SWASTIKA CASTAL LIMITED	Director	10-06-96	10-06-96	Active	NO
2	U27109WB2004PTC100602	SWASTIK METCAST PRIVATE LIMITED	Director	06-12-04	06-12-04	Active	NO
3	U27310WB2011PTC161429	SWASTIKA STEEL AND ALLIED PRODUCTS PRIVATE LIMITED	Director	01-04-11	01-04-11	Active	NO

Name :

Mr. Sushil Kumar Sharda

Designation :

Director

Address :

117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal, India

Date of Birth/Age :

03.01.1949

Date of Appointment :

01.04.2011

DIN No.:

00084386

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	U27101WB1996PLC079995	SWASTIKA CASTAL LIMITED	Director	10-06-96	10-06-96	-	Active	NO
2	U70101WB1995PTC067306	KHAITAN MANSION SERVICES PRIVATE LIMITED	Director	07-07-04	07-07-04	23-08-11	Active	NO
3	U27310WB2011PTC161429	SWASTIKA STEEL AND ALLIED PRODUCTS PRIVATE LIMITED	Director	01-04-11	01-04-11	-	Active	NO

Name :

Mr. Shddhartha Sharda

Designation :

Director

Address :

117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal, India

Date of Birth/Age :

10.07.1974

Date of Appointment :

01.04.2011

DIN No.:

00084512

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27109WB2006PTC108639	SWASTIKA STRUCTURAL PRODUCTS PRIVATE LIMITED	Director	22-03-06	22-03-06	Active	NO
2	U27310WB2011PTC161429	SWASTIKA STEEL AND ALLIED PRODUCTS PRIVATE LIMITED	Director	01-04-11	01-04-11	Active	NO

KEY EXECUTIVES

Name :	Mr. Amit
Designation :	General Manager Marketing

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 31.03.2011)

Names of Shareholders	No. of Shares
Shiv Kumar Sharda	225000
Sushil Kumar Sharda	225000
Anup Sharda	10000
Vikram Sharda	10000
Siddartha Sharda	10000
Anuj Sharda	10000
Varsha Sharda	10000
Total	500000

(AS ON 10.11.2011)

Names of Allotees	No. of Shares Allotted
Shree Gopal Sharda	175000
Shree Gopal Sharda HUF	30000
Vidya devi Sharda	110000
Aloke Sharda	170000
Indra Sharda	120000
Prabhav Sharda	90000
Priyam Sharda	10000
Varun Sharda	50000
Anju Sharda	110000
Anuj Sharda	60000
Varsha Sharda	35000
Shiv Kumar Sharda HUF	16000
Manju Devi Sharda	47500
Vikram Sharda	165000
Rachna Sharda	22500
Malchand Shjarda HUF	21000
Sushil Kumar Sharda HUF	1000
Asha Sharda	80000
Siddhartha Sharda	140000
Kavita Sharda	50000
Priyanka Saboo	1000
Avani Birla	100
Bharat Kumar Birla	100
Bharat Sharma	100
Ram Chandra Periwal	100
Ram Chandra Periwal HUF	100
Sharda Daga HUF	100
Shrawan Kumar Birla HUF	100
Vasundhra Daga	100
Vinita Birla	100
Total	1504900

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Various Rolled Products having Complete Testing Facilities
Exports :
Products :	Rolled Products having Complete Testing Facilities
Countries :	Germany
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :	Wholesalers and End Users
No. of Employees :	40 (Approximately)
Bankers :	· Allahabad Bank Dharamtolla street Branch, 5 Chittranjan Avenue, Kolkata – 700072, West Bengal, India

Banking Relations :	--
Auditors :
Name :	B P Khaitan and Company Chartered Accountants
Address :	Kolkata – 700 072, West Bengal, India

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
2500000	Equity Share	Rs.10/- each	Rs.25.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2004900	Equity Share	Rs.10/- each	Rs.20.049 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

NOT DIVULGED

The above information has been declined by Mr. Amit

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	-----
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	No
Profitability for last three years	No
Reasons for variation <> 20%	-----
Estimation for coming financial year	No
Capital in the business	No
Details of sister concerns	-----
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	No
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	No
Incorporation details is applicable	-----
Last Accounts filed at ROC	-----
Major Shareholders, if available	-----

FORM 8:

Corporate identity number of the company	U27310WB2011PTC161429
Name of the company	SWASTIKA STEEL AND ALLIED PRODUCTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	117-A, Chittaranjan Avenue, Kolkata – 700073, West Bengal, India sr_associates17@rediffmail.com
This form is for	Modification of charge
Charge identification number of the modified	10316732
Type of charge	Immovable property Book Debts Movable Property Others: Stock, P&M and Other Current and Fixed Assets
Particular of charge holder	Allahabad Bank Dharamtolla Street Branch, 5, Chittaranjan Avenue, Kolkata – 700072, West Bengal, India br.dharamtollastreet@allahabadbank.com
Nature of description of the instrument creating or modifying the charge	General Letter of Hypothecation
Date of instrument Creating the charge	25.11.2011
Amount secured by the charge	Rs.233.500 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest Interest and other Charges will be paid as per the terms and conditions of Sanction Terms of the bank. Presently applicable ROI being on Emergency CC @ Base Rate + 6% p.a. W.M.R. Terms of Repayment Working Capital Limit (Rs.70.000 Millions by way of CC, Rs.100.000 Millions by way of IBD against LC, Rs. 3.000 Millions by way of LC and Rs.40.000 Millions by way of BG and Rs.13.000 Millions by way of Emergency Cash Credit for 30 days) shall be repayable on demand whereas the TL shall be repaid in 60 monthly installment of Rs.0.125 Millions plus interest. Margin The borrower shall maintain appropriate margin as stipulated in the sanction terms, however the same is subject to change from time to time. For Cash Credit:- 25% on Stock and Book Debts up to 100 days. For IBD :- NIL For TL :- 25% For LC :- 25% cash margin by way of FDR For BG :- 20% cash margin by way of FDR Extent and Operation of the charge The security herein referred to shall operate as a continuing security and by way of first charge. The company should insure all its assets against risks as may be specified by bank in joint name of bank and company. Others The company hereby declares that all the charged goods and the said book debts now existing are the absolute property of at the sole disposal of the Company and free from any prior charge or encumbrance and undertakes that all future property hereunder shall likewise be the unencumbered absolute and disposable property of the Company. Other terms and Condition as per the terms and conditions of the above referred Hypothecation Agreement and Sanction Terms of the Bank.
Short particulars of the property charged	The company hereby charges and hypothecates by way of first charge in favour of the Bank a) all the Stock such as Angles, CTD Bars, Flats, Rounds, H .R. Strips, Z Sections Tele Channels etc. and all movable property of any kind of the company including all movable Plants, engines and machinery apparatus, tools, motor lorries and cars, furniture and stocks of and other materials whether raw or manufactured or in process of manufacture and other stocks and stores which now or hereafter from time to time shall be brought in stored or be in about the Company's premises at 117A, Chittaranjan Avenue, Kolkata - 700073 or in the godowns at 8/1A, Nutan Para Road, Liluah, P.S Bally, Dist. - Howrah or anywhere else. b) All book debts, o/s monies receivable claims, bills, contracts, engagement, securities, investments, cash in hand and at banks. c) Other Current and Fixed Assets of the company d) Further the Company had created Equitable Mortgage by deposit of title deeds in respect of All that land with building admeasuring 3 Bighas 8 Cottahs and 2.48 Chittaks more or less situate at Mouza - Liluah being part of 8/1, Nutan Para Road, Liluah, P.S.- Bally Pargana Khalur, J.L. No. 12, C.S. Dag No. 3087 of Khatian No. 1324 . Deed of Lease dated 24/03/1998 registered in the office of the ADSR, Howrah and recorded in Book No. I, Volume No. I, Pages 135 to 147 being no. 1362
Whether any of the property or interest therein under reference is not registered in the name of the company If yes, in whose name it is registered	Yes Swastika Steel and Allied Products (Erstwhile a Partnership Firm)
Particulars of the present modification	By present modification the overall limit secured by charge has been enhanced from Rs.220.500 Millions to Rs.233.500 Millions. The revised credit facilities are as follows- CC- Rs.70.000 Millions, IBD against LC- Rs.100.000 Millions, LC - Rs. 3.000 Millions, BG - Rs.40.000 Millions, Emergency CC- Rs.13.000 Millions for 30 days and TL - Rs.7.500 Millions. Other terms and conditions save as modified above remained unchanged.

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 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.50.22
UK Pound	1	Rs.78.64
Euro	1	Rs.65.54

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		28

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.