MIRA INFORM REPORT

 

 

Report Date :

14.05.2012

 

IDENTIFICATION DETAILS

 

Name :

HVK  HONG  KONG  LTD.

 

 

Registered Office :

Room 1001, 10/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

20.12.2010

 

 

Com. Reg. No.:

53486297

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Diamond Trader of all kinds of diamonds and gem stones

 

 

No. of Employees :

04. (including associates)

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Small Company 

 

 

Payment Behaviour :

No Complaints

 

 

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, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Company name

 

HVK  HONG  KONG  LTD.

 

 

Company ADDRESS

 

Room 1001, 10/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

PHONE:            2721 9804

FAX:                 2721 4863

 

           

MANAGEMENT

 

Managing Director:  Mr. Rajeshkumar Chandanmal Shah

 

 

SUMMARY

 

Incorporated on:             20th December, 2010.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$10,000.00

Issued:              HK$10,000.00

 

Business Category:        Diamond Trader.

 

Employees:                   4. (including associates)

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.

company ADDRESS

 

Registered Head Office:-

Room 1001, 10/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.

 

Associated Companies:-

Gemorina (HK) Ltd., Hong Kong.  (Same address)

Argo Diam, Hong Kong.  (Same address)

 

 

BUSINESS REGISTRATION NUMBER

 

53486297

 

 

COMPANY FILE NUMBER

 

1542489

 

 

MANAGEMENT

 

Managing Director:  Mr. Rajeshkumar Chandanmal Shah

 

 

CAPITAL

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$10,000.00

 

 

SHAREHOLDER

(As per registry dated 20-12-2010)

 

Name

 

No. of shares

Ashok Bhai Mohanbhai SAKRIYA

 

10,000

=====

 

DIRECTORS  

(As per registry dated 12-10-2011)

 

Name

(Nationality)

 

Address

Dharmeshkumar Hasmukhbhai PATEL

At - Limbali Nr Ramji Temple, Ta - Sajitra Di - Anand, India.

 

Sunny Nagjibhai SAKARIYA

502, Kripanidhi Association, J.V.P.D., Gulmohar Cross Road-4, Vile Parle (W), Mumbai - 400056, India.

 

Rajeshkumar Chandanmal SHAH

Unit 1001, Guardforce Centre, 3 Hok Yuen Street, Hunghom, Kowloon, Hong Kong.

 

Ashok Bhai Mohanbhai SAKRIYA

9 - 10 Dayanand Society, Rander Road, Surat, Gujrat, India.

 

 

SECRETARY

(As per registry dated 19-12-2011)

 

Name

Address

Co. No.

Champion Corporate Ltd.

Room 2002, 20/F., Emperor Group Centre, 288 Hennessy Road, Wanchai, Hong Kong.

0657221

 

 

HISTORY

 

The subject was incorporated on 20th December, 2010 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject was located at Unit 913, 9/F., Hung Hom Square, 37-39 Ma Tau Wai Road, To Kwa Wan, Kowloon, Hong Kong, moved to the present address in late 2011.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

OPERATIONS

 

Activities:                      Diamond Trader.

 

Lines:                           All kinds of diamonds and gem stones.

           

Employees:                   4. (including associates)

 

Commodities Imported:   India, Thailand, etc.

 

Markets:                       Hong Kong, Japan, US, etc.

 

Annual Turnover:            not-reported.

 

Terms/Sales:                 L/C, T/T, etc.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$10,000.00

 

Profit or Loss:                Keeping a balance account.

 

Condition:                      Business is under development.

 

Facilities:                      Trying to make use of general banking facilities.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:  Fairly Satisfactory

 

Banker:                         The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Standing:                       Small.

 

 

GENERAL

 

Having issued 10,000 ordinary shares of HK$1.00 each, HVK Hong Kong Ltd. is wholly owned by Mr. Ashok Bhai Mohanbhai SAKRIYA who is an Indian.  The managing director of the subject Mr. Rajeshkumar Chandanmal Shah is also an Indian but he is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.

The subject is sharing the same office with Gemorina (HK) Ltd. [Gemorina] and Argo Diam which both are also a Hong Kong-registered firms.

Business commenced in December 2010, the subject is a diamond trader.  Its main products are the followings: peridot, amethyst, aquamarine, citrine, emerald, garnet, lapis-lazuli, tourmaline, turquoise, chrome diopside and single cut diamond, 14K, 18K, 10K gold and 925 silver jewellery, etc.

Raw materials are chiefly imported from India, Thailand, Europe, etc.  Prime markets are Japan, other Asian countries, the United States, etc.  Business is normal.

Incorporated in 1990, Gemorina is also a gemstone and diamond trader.  The Managing Director Mr. Ashutosh Bhargava is also an Indian.

Argo Diam is a sole proprietorship set up by Mr. Rajeshkumar Chandanmal Shah.  Established on 15th February, 2006, Argo Diam is also a diamond trader.  It is engaged in the same lines of business as the subject.

The subject’s business is chiefly handled by Shah himself.  He has developed business ties with a number of diamond suppliers in India.

The history of the subject is just over a year and four months.

On the whole, consider the subject good for normal business engagements in small credit amounts.

 

DIAMOND INDUSTRY – INDIA

 

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.53.64

UK Pound

1

Rs.86.42

Euro

1

Rs.69.29

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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

----

 

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%)

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.