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Report Date : |
16.05.2012 |
IDENTIFICATION DETAILS
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Name : |
NIRU DIAMONDS
(H.K.) LTD. |
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Registered Office : |
Unit E & F, 16/F., |
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Country : |
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Date of Incorporation : |
07.02.2001 |
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Com. Reg. No.: |
31651260 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of polished diamonds |
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No. of Employees : |
10 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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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, 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 |
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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 |
NIRU DIAMONDS
(H.K.) LTD.
Unit E & F,
16/F., 8 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 2368 2475, 2368 9937
FAX: 2368 2459
E-MAIL: kalpesh@niru.co.il
Managing
Director: Mr. Kalpesh Mahendra Shah (Mobile: 9247 7916)
Incorporated on: 7th February, 2001.
Organization: Private Limited Company.
Capital: Nominal: HK$24,180,010.00
Issued: HK$24,180,010.00
Business Category: Jewellery Trader.
Employees: 10.
Main Dealing Banker: The Royal Bank of Scotland N.V., Hong Kong Branch.
Banking Relation: Satisfactory.
NIRU DIAMONDS
(H.K.) LTD.
Registered
Head Office:-
Unit E & F,
16/F., 8 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
Holding
Company:-
New Century
Marketing Ltd., Hong Kong.
Associated
Companies:-
Niru Group of Companies
Niru (New York) Ltd., USA.
Niru Diamonds (M.E.) LLC, UAE.
Niru Diamonds Israel (1987) Ltd., Israel.
Niru Diamonds Ltd., Israel.
Niru Diamonds Ltd., Thailand.
Niru (Swiss) S.A., Switzerland.
etc.
31651260
0746330
Managing
Director: Mr. Kalpesh Mahendra Shah
Nominal Share
Capital: HK$24,180,010.00 (Divided into 2,418,001 shares of HK$10.00 each)
Issued Share
Capital: HK$24,180,010.00
(As per registry dated 07-02-2012)
|
Name |
|
No.
of shares |
|
New
Century Marketing Ltd., Hong Kong. |
|
2,418,000 |
|
Kalpesh Mahendra SHAH |
|
1 |
|
|
|
–––––––– |
|
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Total: |
2,418,001 ======= |
(As per registry dated 07-02-2012)
|
Name (Nationality) |
Address |
|
Kalpesh Mahendra
SHAH |
Flat L, 4/F., Block 2, Royal Peninsula, 8
Hung Lai Road, Hunghom, Kowloon, Hong Kong. |
|
Bhavini Kalpesh
SHAH |
Flat L, 4/F., Block 2, Royal Peninsula, 8
Hung Lai Road, Hunghom, Kowloon, Hong Kong. |
(As per registry dated 07-02-2012)
|
Name |
Address |
Co.
No. |
|
Dhun’s
Management Services Ltd. |
7/F., Man On Commercial Building, |
0027006 |
The
subject was incorporated on 7th February, 2001 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, Exporter and Wholesaler.
Lines: All kinds of polished diamonds.
Employees: 10.
Commodities Imported: Israel, India, other Asian countries, etc.
Markets: Hong Kong, China, other Asian countries, Europe, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$24,180,010.00 (Divided into 2,418,001 shares of HK$10.00 each)
Issued Share Capital: HK$24,180,010.00
Mortgage or Charge:-
Date of Debenture: 23-09-2008
Amount: General banking facilities
Property: All the Company’s undertaking and property and assets whatsoever and wheresoever both present and future including all book and other debts revenues and claims
Mortgagee: ABN AMRO Bank N.V., Hong Kong
Branch.
[Now known as The Royal Bank of Scotland N.V.]
Profit or Loss: Making a small profit every year.
Condition: Business is active.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Banker: The Royal Bank of Scotland N.V., Hong Kong Branch.
Standing: Normal.
Niru
Diamonds (H.K.) Ltd. is a wholly owned subsidiary of New Century Marketing Ltd.
which is a Hong Kong-based firm.
The
subject in fact is a member of Niru Group of Companies [Niru] which were founded
in 1979 in Israel. The Israel firm is
known as Niru Diamonds Israel (1978) Ltd. [Niru Israel]. Niru
Israel is a global leader engaged in manufacturing and selling Baguette,
Princess and Square Cut diamonds.
The
subject is trading in polished diamonds which are manufactured by the Group.
Established
in 1979 by Ranjeet Barmecha, Niru is a global leader in manufacturing and
marketing long and square diamonds. It
also provides Swiss watch market with precision cutting and setting services. The production facilities of Niru are in
China, Sri Lanka and Israel. The
technologies of these factories came from Israel chiefly as well as from China.
The
annual exports of Niru in polished diamonds amounted to US$110 to 111
million. Business is good. Niru now has set up associated companies in
Switzerland, New York of the United States, Dubai of the United Arab Emirates,
Bangkok of Thailand besides the subject and the one in Tel Aviv of Israel.
In
Hong Kong, the subject re-exports the polished diamonds to Asian countries and
Europe. The subject’s business is
chiefly handled by Mr. Kalpesh Mahendra Shah who is an Indian. He is a Hong Kong ID Card holder and has
got the right to reside in Hong Kong permanently.
K.
M Shah is also a minor shareholder of the subject.
As
the history of the subject is over eleven years and two months in
Hong Kong, on the whole, consider it good for normal business engagements.
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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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.84 |
|
UK Pound |
1 |
Rs.86.72 |
|
Euro |
1 |
Rs.69.17 |
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 |
|
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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.