MIRA INFORM REPORT

Report Date :

19.05.2012

IDENTIFICATION DETAILS

Name :	EMPITEX (FABRICS) PRIVATE LIMITED
Registered Office :	2nd Floor, Kailash Silk Mills Compound, A K Road, Sakinaka Andheri (East), Mumbai – 400072, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	17.11.1987
Com. Reg. No.:	11-045319
Capital Investment / Paid-up Capital :	Rs.48.400 Millions
CIN No.: [Company Identification No.]	U17100MH1987PTC045319
TAN No.: [Tax Deduction & Collection Account No.]	MUME01748F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Supplier of Embroidered Fabrics for Men and Ladies Wears.
No. of Employees :	Not Available

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

Maximum Credit Limit :	USD 600000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an establishing company having moderate track. There appears some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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

LOCATIONS

Registered Office :	2nd Floor, Kailash Silk Mills Compound, A K Road, Sakinaka Andheri (East), Mumbai – 400072, Maharashtra, India
Tel. No.:	91-22-28216287 / 28510611 / 28518901 / 28515394
Fax No.:	91-22-28516755
E-Mail :	atul.o.gupta@gmail.com
Mills :	Plot No.F-1/21, M.I.D.C., Tarapur District, Thane, Maharashtra, India
Tel. No.:	91-02525-70790

DIRECTORS

As on 30.09.2011

Name :	Mr. Vivek Premprakash Kamal
Designation :	Director
Address :	206, Menka, Nalanda Menka Society, Seven Bunglow, Andheri (West), Mumbai - 400058, Maharashtra, India
Date of Birth/Age :	28.07.1972
Date of Appointment :	15.09.1997
DIN No.:	00682302

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	U17110MH1988PTC048501	KAMAL FABRICS PRIVATE LIMITED	Director	09-09-91	09-09-91	08-04-10	Active	NO
2	U17120MH1991PTC063331	KAMAL FABRICS EXPORTS PRIVATE LIMITED	Director	19-09-91	19-09-91	-	Active	NO
3	U17100MH1987PTC045319	EMPITEX (FABRICS) PRIVATE LIMITED	Director	15-09-97	15-09-97	-	Active	NO
4	U17110MH2003PTC138759	EMPILON FABRICS PRIVATE LIMITED	Director	21-01-03	21-01-03	-	Active	NO

Name :	Ms. Subhash Kumari Mohinder Kumar Tikiya
Designation :	Director
Address :	401, Mel Bourne, Shastri Nagar, Lokhandwala Complex, Andheri (West), Mumbai - 400058, Maharashtra , India
Date of Birth/Age :	14.03.1951
Date of Appointment :	01.02.1993
DIN No.:	00953772
Name :	Ms. Urmila S Tikiya
Designation :	Director
Address :	304, Jewel House, Seven Bunglow, Andheri (West), Mumbai - 400058, Maharashtra, India
Date of Birth/Age :	12.10.1956
Date of Appointment :	01.02.1993

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Poonam S. Tikiya	21970
Poonam R. Tikiya	23180
Chanchal P. Kamal	21250
Mohinder Kumar Tikiya HUF	2500
Vivek P. Kamal	18000
Prem P. Kamal	20010
Rajinder Kumar Tikiya	22000
Shubhas Kumari Tikiya	27310
Urmil S. Tikiya	10000
Om Prakash Tikiya	100
Surnder Kumar Tikiya	15020
Prem P. Kamal HUF	10
Surender Kumar Tikiya HUF	10
Rajinder Kumar Tikiya HUF	10
Dr. Mohinder Kumar Tikiya	18510
Puneet M. Kamal	15020
Niharika S. Tikiya	10
Sakhshi R. Tikiya	10
Subhash D. Tikiya	20010
Suarabh S. Tikiya	20010
Sankalp R. Tikiya	10
Rahul S. Tikiya	10
Monika V. Kamal	10
Surbhi S. Tikiya	30
Empitex Exports India Private Limited, India	4000
Empilon Fabrics Private Limited, India	210000
Shweta S. Tikiya	15000
Total	484000

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Supplier of Embroidered Fabrics for Men and Ladies Wears.

GENERAL INFORMATION

Suppliers :

· Ashwin Textiles

· Reliance Industries Limited

· Nimbark Fashions Limited

· Gimatex Industries Private Limited

· Mahalaxmi Textiles Mills

· Qm Fabrics

· Valson Industries Limited

· Sandeep Fabrics

· Shreekar Polyester Private Limited

· Darshan Creation Private Limited

· Sri Sai International Fabrics Private Limited

· Valson Polyester Limited

· Girish Silk Mills Private Limited

· Samosaran Yarns Private Limited

· Samosaran Syntex Private Limited

Customers :

· Kalra Traders

· Rakesh Brothers

· Chawla Textiles

· Singla Textiles

· Anand Textiles

· The Fashion House

· Durbv Silk Wills

· Vama Fabrics Limited

· Opera Clothing Private Limited

· M S Corporation

· Shri Synthetics.

· Ronak 5yntex

· Ramdev Synthetics Private Limited

· Vimolene Textiles Industries

· S.N Textile

No. of Employees :

Not Available

Bankers :

Bank of Baroda, Versova Branch, Versova, Andheri West,, Mumbai - 400053, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Bank of Baroda, C.C. A/c (Hypothecation of stocks and books debts)	44.179	34.386
Bank of Baroda, Term Loan	18.723	50.000
Total	62.902	84.386
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Director	1.508	2.078
From Shareholders	9.206	56.318
Total	10.714	58.396

Banking Relations :	--
Auditors :
Name :	O. P. Gupta and Associates Chartered Accountants
Address :	B-05, Meena Apartment, 71- Kasturba Road, Malad (West), Mumbai – 400064, Maharashtra, India
Tel. No.:	91-22-28880777 / 28880555
Mobile No.:	91-9322226490
E-Mail :	atul.o.gupta@gmail.com ca.gupta@ymail.com
PAN.:	AAFPG5795H

CAPITAL STRUCTURE

As on 30.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
484000	Equity Shares	Rs.10/- each	Rs.48.400 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		48.400	43.400	30.400
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		109.165	102.857	76.576
4] (Accumulated Losses)		(8.535)	0.000	0.000
NETWORTH		149.030	146.257	106.976
LOAN FUNDS
1] Secured Loans		62.902	84.386	10.774
2] Unsecured Loans		10.715	58.396	63.707
TOTAL BORROWING		73.617	142.782	74.481
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		222.647	289.039	181.457
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		50.964	119.818	36.526
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.001	0.001	0.001
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	81.830	90.901	79.974
	Sundry Debtors	117.853	117.933	99.482
	Cash & Bank Balances	0.163	0.079	0.090
	Other Current Assets	1.532	0.455	0.391
	Loans & Advances	3.589	0.676	0.917
Total Current Assets		204.967	210.044	180.854
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	30.627	38.048	32.747
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	2.763	2.895	3.241
Total Current Liabilities		33.390	40.943	35.988
Net Current Assets		171.577	169.101	144.866
MISCELLANEOUS EXPENSES		0.105	0.119	0.064
TOTAL		222.647	289.039	181.457

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	594.997	524.559	434.461
		Other Income	17.542	1.459	2.496
		TOTAL	612.539	526.018	436.957
Less	EXPENSES
		Cost of Goods Sold	413.439	404.368	334.220
		Packing Charges	8.272	6.716	5.239
		Wages and Labour Charges	7.858	9.044	8.516
		Processing Charges	19.043	29.215	25.179
		Salaries to Director and Others	8.197	8.119	6.733
		Brokerage	4.391	4.532	5.192
		Interest	7.802	8.511	7.963
		Other Expenses	79.871	19.048	25.817
		TOTAL	548.873	489.553	418.859
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		63.666	36.465	18.098
Less/ Add	DEPRECIATION/ AMORTISATION		72.436	23.184	2.845
	NET PROFIT / (LOSS)		(8.770)	13.281	15.253
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.235	0.454	0.201
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	13.500	15.000
	BALANCE CARRIED TO THE B/S		(8.535)	0.235	0.454
	Earnings / (Loss) Per Share (Rs.)		(18.12)	--	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(1.43)	2.52	3.49
Net Profit Margin (PBT/Sales)	(%)	(1.47)	2.53	3.49
Return on Total Assets (PBT/Total Assets}	(%)	(3.43)	4.03	0.07
Return on Investment (ROI) (PBT/Networth)		(0.06)	0.09	0.14
Debt Equity Ratio (Total Liability/Networth)		0.72	1.26	1.03
Current Ratio (Current Asset/Current Liability)		6.14	5.13	5.03

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business•	Yes
7) Promoter’s background	Yes
8) No. of employees	No
9) Name of person contacted	No
10) Designation of contact person	No
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter	--
23) Banking Details	Yes
24) Banking facility details	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes

Bankers Charges Report as per Registry

Corporate identity number of the company	U17100MH1987PTC045319
Name of the company	EMPITEX (FABRICS) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	2nd Floor, Kailash Silk Mills Compound, A K Road, Sakinaka Andheri (East), Mumbai – 400072, Maharashtra, India E-mail : atul.o.gupta@gmail.com
This form is for	Creation of charge
Type of charge	Immovable property
Particular of charge holder	Bank of Baroda Versova Branch, Versova, Andheri West, Mumbai – 400053, Maharashtra, India E-mail : shirishshetye@gmail.com
Nature of instrument creating charge	Memorandum of Agreement Evidencing Deposit of Title Deeds. Memorandum of Deposit of Title Deeds. (Both instruments create a single charge).
Date of instrument Creating the charge	30.06.2010
Amount secured by the charge	Rs.95.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest to be charged as per sanction/review of the account from time to time. Terms of Repayment Margin Extent and Operation of the charge The first charge is created to secure the due repayment of Cash Credit limit of Rs.45.000 millions and Term Loan limit of Rs.50.000 Millions, aggregating to Rs.95.000 Millions together with interest, additional interest, compound interest, costs, charges, expenses and other moneys payable.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	1. Theni District, Periyakulam Regional District Kadamalaikundu Sub-District, Thekkampatti Village comprised in S.No.112/2 measuring 76 cents of land on northern side out of the total extent 80 cents (0.32.5 ares). 2. Theni District, Periyakulam Regional District Kadamalaikundu Sub-District, Thekkampatti Village comprised in S.No.112/3 measuring 51 cents of land on north-western side out of the total extent of 1.12 acres. 3. Theni District, Periyakulam Regional District Kadamalaikundu Sub-District ,Thekkampatti Village comprised in S.No.116/5A measuring 81 cents of land on south-western side out of the total extent of 1.03 acres. 4. Theni District, Periyakulam Regional District Kadamalaikundu Sub-District, Thekkampatti Village comprised in S.No.116/5B Msrg.46 cents of land on western side out of the total extent of 58 cents (0.23.5 ares). 5. Theni District, Periyakulam Regional District Kadamalaikundu Sub-District, Thekkampatti Village comprised in S.No.116/5C measuring 46 cents of land on western side out of the total extent of 59 cents (0.24.0 ares) The above mentioned land, premises and buildings where the proposed wind mill to be installed.

FIXED ASSETS:

· Building

· Plant and Machinery

· Furniture and Fixtures

· Air Conditioner

· Vehicle

· Office Equipments

· Computers

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 records 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.54.88
UK Pound	1	Rs.86.46
Euro	1	Rs.69.49

INFORMATION DETAILS

Report Prepared by :

BSN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
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	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--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.