MIRA INFORM
REPORT
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Report Date : |
29.03.2012 |
IDENTIFICATION DETAILS
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Name : |
VRAMS
IMPEX (HK) LTD. |
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Registered Office : |
Unit J2, 8/F., Kaiser Estate, Phase II, |
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Country : |
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Date of Incorporation : |
23.02.2006 |
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Com. Reg. No.: |
36489608 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and Exporter of Jewellery, fancy cut diamonds, etc. |
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No. of Employees : |
07 |
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, 2011
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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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 |
Bottom of Form
VRAMS IMPEX
(HK) LTD.
Unit J2, 8/F., Kaiser Estate, Phase II, 51 Man Yue Street, Hunghom, Kowloon, Hong Kong.
PHONE: 2311 4136, 2363 4123
FAX: 2366 1147, 2366 4123
E-MAIL: info@vramsimpex.com
Managing Director: Mr. Vithal Dhanjibhai Vaghasia
Incorporated on: 23rd February, 2006.
Organization: Private Limited Company.
Capital: Nominal: HK$20,000,000.00
Issued: HK$7,000,000.00
Business Category: Diamond Trader.
Annual Turnover: US$10~15 million.
Employees: 7.
Main Dealing Banker: Wing Lung Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Unit J2, 8/F., Kaiser Estate, Phase II, 51 Man Yue Street, Hunghom, Kowloon, Hong Kong.
Associated
Companies:-
· Baguette Diam Inc., USA.
· G. Diam BVBA, Belgium.
· Vallbhabhai Dhanjibhai & Co., India.
· Vrams Diamonds LLC, UAE.
36489608
1025968
· Managing Director: Mr. Vithal Dhanjibhai Vaghasia
· Contact Person: Mr. Vithal Patel
Nominal Share Capital: HK$20,000,000.00 (Divided into 20,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$7,000,000.00
(As per registry
dated 23-02-2011)
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Name |
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No. of shares |
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Vithal Dhanjibhai VAGHASIA |
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7,000,000 ======= |
(As per registry
dated 23-02-2011)
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Name (Nationality) |
Address |
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Vithal Dhanjibhai VAGHASIA |
Flat B, 13/F., Ocean View Court, 27-27A Chatham Road South, Tsimshatsui, Kowloon, Hong Kong. |
(As per registry
dated 23-02-2011)
|
Name |
Address |
Co.
No. |
|
City Light Accountancy Consultants Ltd. |
Room 1321, 13/F., Leighton Centre, 77 Leighton Road, Causeway Bay, Hong Kong. |
0330495 |
The subject was incorporated on 23rd February, 2006 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 and Exporter.
Lines: Jewellery, fancy cut diamonds, etc.
Employees: 7.
Commodities Imported: India, Belgium, Africa, Russia, etc.
Markets: Middle East, US, Europe, Southeast Asia, etc.
Annual Turnover: US$10~15 million.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/A, etc.
Nominal Share Capital: HK$20,000,000.00 (Divided into 20,000,000 shares of HK$1.00 each)
Issued Share Capital: HK$7,000,000.00
Alternation of Capital:-
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Initially |
paid up |
HK$ 200.00 |
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12-04-2010 |
paid up |
HK$ 6,999,800.00 |
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––––––––––––––– |
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Total: |
paid up |
HK$ 7,000,000.00 ============== |
Increase of Nominal Capital:-
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From |
HK$10,000.00 |
to |
HK$20,000,000.00 |
on |
12-04-2010 |
Mortgage or Charge: (See attachment)
Profit or Loss: Business is rather profitable.
Condition: Keeping in an active condition.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
· Wing Lung Bank Ltd., Hong Kong.
· Bank of China (Hong Kong) Ltd., Hong Kong.
· The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Normal.
Having issued 200 ordinary shares of HK$1.00 each, Vrams Impex (HK) Ltd. was equally owned by Mr. Vithal Dhanjibhai Vaghasia and Mr. Ghanshyam Dhanjibhai Vaghasia. Both of whom are Indian. The former is residing in Hong Kong while the latter, in India. On 26th September, 2008, the latter transferred all his shares to the former. In April 2010, the issued share capital was increased to HK$7,000,000.00 for further expansion. Now, the subject is wholly-owned by Mr. Vithal Dhanjibhai Vaghasia. Mr. Vithal Dhanjibhai Vaghasia is also the only director of the subject. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.
The subject is specialized in manufacturing fancy cut diamonds. Most of the products are loose diamonds and diamond jewellery such as diamond earrings. Raw materials are imported from India, Belgium, Africa, Russia, etc.
The followings are the subject’s main products:-
·
Finished
Jewellery
o
Diamond
Jewellery
§
White
Diamond Jewellery
o
Pearl
Jewellery
§
Pearl Simulant Jewellery
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Materials
o
Diamond
§
Polished
White Diamond
§ Polished Colour Diamond
After processing or cut in Hong Kong, finished products are exported to the Middle East, the United States, Europe, Southeast Asia, etc. Currently, it has got the following associated firms:-
Baguette Diam Inc., New York, USA
G. Diam BVBA, Belgium
Vallbhabhai Dhanjibhai & Co., India
Vrams Diamonds LLC, Dubai, UAE
The above firms are responsible for marketing the subject’s products.
In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong. For instance, the subject usually takes part in Hong Kong International Jewellery Show.
The subject’s business is chiefly handled by Vithal Dhanjibhai Vaghasia himself. Its annual sales turnover ranges from US$10 to 15 million, making a small profit every year.
The history of the subject in Hong Kong is over five years and three months.
On the whole, consider it good for normal business engagements.
REMARKS:
Court Cases: None per our.
Property information of the company:-
1. Property Location: Unit C on 13/F., Yun Fat Commercial Building, 70-74 Wuhu Street, Kowloon, Hong Kong.
Owner: Vrams Impex (HK) Ltd.
Date of Purchase: n.a.
Purchased Price: n.a.
Incumbrances:-
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Date of Mortgage |
Amount Consideration |
Mortgagee |
Nature |
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15-08-2008 |
- |
Wing Lung Bank Ltd., Hong Kong. |
Mortgage to secure general banking facilities |
2. Property Location: Workshop Unit No. 1 on 9/F., Guardforce Centre,
3 Hok Yuen Street East, Kowloon, Hong Kong.
Owner: Vrams Impex (HK) Ltd.
Date of Purchase: n.a.
Purchased Price: n.a.
Incumbrances:-
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Date of Mortgage |
Amount Consideration |
Mortgagee |
Nature |
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20-10-2010 |
- |
The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong. |
Mortgage to secure general banking facilities |
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Date |
Particulars |
Amount |
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15-08-2008 |
Instrument: Mortgage Property: 65/2,674th parts or shares of and in Hung Hom Inland Lot No. 404, 355 & 342 (Unit C on 13/F. of Yun Fat Commercial Building, 70-74 Wuhu Street, Kowloon, Hong Kong.) Mortgagee: Wing Lung Bank Ltd., Hong Kong. |
All moneys |
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07-10-2010 |
Instrument: Debenture constituting a fixed and/or floating charge over all the assets of the Company Property: 1) By way of first fixed charge: (i) all chattels as at the date of the Debenture; (ii) all book debts and other debts and monetary claims; (iii) any credit balance on any account of the Company; (iv) all goodwill and uncalled capital for the time being of the Company; (v) all stocks shares debentures bonds loan capital and other securities; (vi) all letters patent trademarks service marks designs utility models copyrights design rights and applications for registration; (vii) all present and future contracts or policies of insurance; and (viii) the proceeds of sale of any property b) By way of floating charge all the undertaking of the Company and all its property whatsoever and wheresoever both present and future Mortgagee: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong. |
All monies and liabilities |
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20-10-2010 |
Instrument: Mortgage Property: 5/718th parts or shares of and in Section E of Kowloon Marine Lot No. 113 (Workshop Unit No. 1 on 9/F. of Guardforce Centre, 3 Hok Yuen Street East, Kowloon, Hong Kong.) Mortgagee: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong. |
To secure all moneys in respect of general banking facilities |
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.50.92 |
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UK Pound |
1 |
Rs.81.21 |
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Euro |
1 |
Rs.67.85 |
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.