MIRA INFORM REPORT

PRELIMINARY REPORT

Report Date :

19.05.2012

IDENTIFICATION DETAILS

Name :	LOHA ISPAAT LIMITED
Registered Office :	2, Ganesh Kunj, 1^st Floor, JVPD Scheme, V.M.Road, Next To Juhu Police Station, Juhu, Mumbai – 400049, Maharashtra.
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	20.12.1988
Com. Reg. No.:	11-50107
Capital Investment / Paid-up Capital :	Rs. 637.587 Millions
CIN No.: [Company Identification No.]	U27200MH1988PLC050107
TAN No.: [Tax Deduction & Collection Account No.]	MUML05501G
PAN No.: [Permanent Account No.]	AAACL1583C
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturers of H. R. Coils and C. R. Coils and Sheets
No. of Employees :	400 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 10060468
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track. Financial position of the company is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular as per commitment. The company can be considered good for normal business dealings at usual trade terms and conditions.

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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION DECLINED BY

Name :	Mr. Rishi Vyas
Designation :	Vice President in Finance
Contact No.:	91-22-26102771
Date :	01.10.2011

LOCATIONS

Registered Office :	2, Ganesh Kunj, 1^st Floor, JVPD Scheme, V.M.Road, Next To Juhu Police Station, Juhu, Mumbai – 400049, Maharashtra.
Tel. No.:	91-22-26102771 / 26127174
Mobile No.:	91-9320470079 (Mr. Rishi Vyas)
Fax No.:	91-22-26102771 / 26122396
Email :	lohaispat@vsnl.net info@lohaispaat.com shobhna_sinkar@rediffmail.com rishi.vyas@lohaispaat.com
Website :	www.lohaispaat.com
Area :	4000 sq.fts.
Location :	Rented
Corporate Office :	201 A, Kailash Apartment, Juhu Church Road, Juhu Market, near Juhu Bus Depo. Andheri (W), Mumbai – 400049, Maharashtra, India
Tel. No.:	9I-22-65224087 / 89
Factory 1 :	E-19, MIDC, Taloja, Raigad-410206, Maharashtra, India
Tel. No.:	91-22-27410838/ 27402647
Fax No.:	91-22-27412347 / 27410938
E-Mail :	lohaispaatimited@yahoo.com
Area :	10000 sq.fts.
Location :	Owned
Factory 2 :	Village – Ransai, Khopoli Pen Road, Taluka – Khalapur, District Raigad – 410203, Maharashtra, India
Branches:	Located At: · Gujarat · Rajasthan · Uttar Pradesh · Madhya Pradesh · Andhra Pradesh · Tamil Nadu
International Offices :	Dubai Hong Kong

DIRECTORS

AS ON 14.07.2010

Name :

Mr. Rajesh G. Poddar

Designation :

Managing Director

Address :

42, Gautam Apartment, 31, Juhu Road, Santacruz (W), Mumbai – 400054, Maharashtra, India

Date of Birth :

18.12.1965

Qualification :

Graduate

Date of Appointment :

20.12.1988

Din No.:

01384067

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Managing director	01-01-10	20-12-88	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Managing director	15-03-00	15-03-00	-	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	29-12-08	29-12-08	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

Name :

Mr. Manish Garg

Designation :

Whole Time Directors

Address :

301, Nalanda Building, Ajanta Nalanda Apartment, Sector – 15, Vashi, Navi Mumbai – 400703, Mahrashtra, India

Date of Birth :

27.02.1975

Qualification :

Graduate

E mail :

maneeshgarg@live.com

manishgarg75@gmail.com

Date of Appointment :

24.05.2002

Din No.:

00096154

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Director	24-05-02	24-05-02	-	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	22-09-10	01-07-10	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Director	01-07-10	01-07-10	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

Name :

Mrs. Anju Poddar

Designation :

Director

Address :

52, Gautam Apt, 31, Juhu Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth :

14.12.1968

Qualification :

Graduate

Date of Appointment :

03.05.1991

Din No.:

00065068

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Director	05-03-91	05-03-91	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Director	15-03-00	15-03-00	01-07-10	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	29-12-08	29-12-08	01-07-10	Active	NO

Name :

Mr. Sanjay Bansal

Designation :

Director

Address :

J-206, Haware Apartments, Sector – 9, Khanda Colony, New Panvel – 410206, Maharashtra, India

Date of Birth :

18.12.1965

Qualification :

Graduate

Date of Appointment :

15.03.2004

E Mail :

bansalsanjay@live.com

Din No.:

00064532

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Whole-time director	01-08-09	15-03-04	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Adhikrao Bhosale
E mail :	ab.lohaispaat@gmail.com
Name :	Mr. Pratik Singh
E mail :	pratiksingh@live.com
Name :	Mr. Diren Singh
Designation :	Accounts Manager
Name :	Mr. Hardik Shah
Designation :	Export
Name :	Mr. Rishi Vyas
Designation :	Vice President in Finance
Name :	Ms. Shobhana Vasant Sinkar
Designation :	Company Secretary
Address :	208, Tara Apatment, Bhoir Pada, Jivadani Road, Behind Om Smruti CHS., Virar (East), Thane – 401303, Maharashtra, India
Date of Birth :	14.05.1970
Date of Appointment :	03.08.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 14.07.2010

Name of Shareholders (Equity Shares )	Number of Shares
Rajesh Poddar	49583587
Ayush Poddar	24524
Anushka Poddar	1017551
Manish Garg	67007
Dhanidevi Processors Private Limited, Mumbai	7862504
Rajesh Poddar HUF	545033
Gaurishankar Poddar	134
Goyal Financials (India) Limited, Indore	499000
Volplast Limited, Surat	494500
Tribhuvan Housing Limited, Surat	500000
Aarki Steels and Metal Private Limited, Mumbai	41000
Suryadeep Salt refinery and chemicals works Limited, Mumbai	498500
Kailash Ficom Limited, Baroda	330000
RFL International Limited, Gujarat	39200
Lexus InfoTech Limited, Mumbai	100000
Terry Towel Industries Limited, Mumbai	103000
Pushpanjali Tradvin Private Limited, West Bengal	16000
Seatrans Dan Shipping Private limited, Mumbai	59000
CACI Mercantile Private Limited, Mumbai	16000
Loha Investments Private Limited, Mumbai	39940
Nexus Software Limited, Gujarat	100000
JMD Sounds Limited, West Bengal	23000
Nimbus Industries Limited, Mumbai	27400
Genus-Commutrade Limited, Gujarat	40000
Ken Securities Limited, Gujarat	39800
Highland Industries Limited, Gujarat	40000
Unisys Software and Holdings Industries Limited, West Bengal	18700
Twenty First Century (India) Limited, West Bengal	200000
Fairmount Venture Private Limited, Mumbai	128000
G R Industries and Finance Limited, West Bengal	40000
Gopikar Supply Private Limited, West Bengal	143000
Sonal Cosmetics (Exports) Limited, Gujarat	101700
Lovely Commercial Private Limited, West Bengal	60000
Prime Capital Market Limited, Orissa	62000
Kumaon Engineering Co. Private Limited, West Bengal	100000
Warner Multimedia Limited, West Bengal	95000
Oasis Cine Communication Limited, West Bengal	40000
Piyush Vyappar Private Limited, West Bengal	20000
Kalnid Barter Private Limited, West Bengal	20000
Bhagwati Commercial Private Limited West Bengal	20000
B. Jhanwar and Co. Private Limited, West Bengal	20000
Anurodh Commodities Private Limited, West Bengal	19000
Cosmat Vinimay Private Limited, West Bengal	30000
Rajwara Traders Private limited, West Bengal	27000
Bhawani Vanijya Private Limited, West Bengal	20000
MSK Vyapaar Private Limited, West Bengal	20000
Dreiser Traders Private limited, West Bengal	20000
Yamini Barter Private Limited, West Bengal	20000
Mangalgouri Vanijya Private Limited, West Bengal	18000
Blazer Venture Private Limited, Mumbai	45000
CRM Systems Private Limited, West Bengal	40000
Alishan Estates Private Limited, West Bengal	40000
Linkpoint Infrastructure Private Limited, West Bengal	45000
Relax Agencies Private Limited West Bengal	18000
Hamsafar Investment Consultants Private Limited, West Bengal	18000
Makesworth Projects & Developers Private Limited, West Bengal	42000
Seashell Venture Private Limited, West Bengal	16000
Matrix Systel Private Limited, West Bengal	18000
Total	63631080

AS ON 14.07.2010

Name of Shareholders (Preference Shares)	No. of Shares
Rajesh Poddar	1881000
Anushka Poddar	119000
Total	2000000

Equity Share Breakup AS ON 14.07.2010

Category	Percentage
Bodies Corporate	19.47
Directors or relatives of directors	79.67
Others Top Fifty Shareholders	0.86
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of H. R. Coils and C. R. Coils and Sheets

Products :

· H. R. Coils and C. R. Coils · Hot rolled black coil/ sheets. · Hot rolled pickled – oiled  coil/ sheets · Hot rolled skin pass coil and sheets. · Cold rolled closed annealed coils/sheets. · Galvanised plain coils and sheets / galvanised corrugated sheets · Tin plate coils/sheets. · Cold rolled grain oriented and non grain oriented coil / sheets. · Hot rolled structural, chequered, high tensile, boiler and pressure vessel quality plates. · Structural (angles, channels, beams/joists etc.) · bars, rods, rebars and wire rods

PRODUCTION STATUS AS ON 31.03.2009

Particulars	Unit	Installed Capacity
H. R. Coils and C. R. Coils	MT	900000

GENERAL INFORMATION

No. of Employees :

400 (Approximately)

Financial Institution:

• State Bank of India Factors and Commercial Services Private Limited, Sahakar Bazar Building, 2^nd Floor, Bandra (West), Mumbai-400050, Maharashtra, India

Bankers :

• State Bank of India, Commercial Branch, Dadar, Mumbai-400014, Maharashtra, India
• Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan, 227 – D, Nariman Point, Mumbai – 400021, Maharashtra, India
• HDFC Bank Limited
• Federal Bank, Fort Branch, Mumbai, Maharashtra, India
• Bank of India, Fort Branch, Mumbai, Maharashtra, India
• Punjab National Bank, Fort Branch, Mumbai, Maharashtra, India
• Karur Vysya Bank, Fort Branch, Mumbai, Maharashtra, India
• Andhra Bank, Fort Branch, Mumbai, Maharashtra, India
• Bank of Maharashtra

Facilities :

SECURED LOANS	31.03.2010 RS. IN MILLIONS	31.03.2009 RS. IN MILLIONS
Working Capital and Loans from Banks
State Bank of India	1777.225	1063.987
The Federal Bank	477.273	286.606
Bank of India	197.654	0.000
Bank of Maharashtra	26.654	0.000
Term Loan from State Bank of India	98.803	140.667
Notes: (Against Equitable Mortgage of Factory Premises, Hypothecation of all the movable assets/properties of the company present and future including plant and machinery and Book Debts)
Kotak Mahindra Bank Limited (Loans against hypothecation of Vehicles)	31.480	13.324
Total	2609.090	1504.584
UNSECURED LOANS	31.03.2010 RS. IN MILLIONS	31.03.2009 RS. IN MILLIONS
Global Trade Finance (Trade Finance Facility)	0.000	221.444
Total	0.000	221.444

Banking Relations :

--

Auditors :

Name :

Mr. John Morish

Chartered Accountants

Address :

9, Sahana Uttam Society, St. Antony Road, Chambur, Mumbai-400071, Maharashtra, India

Subsidiary :

· Loha Ispaat Middle East FZCO

· Loha Ispaat Hong Kong

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
64000000	Equity Shares	Rs. 10/- each	Rs. 640.000 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 660.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
61758660	Equity Shares	Rs. 10/- each	Rs. 617.587 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 637.587 Millions

AS ON 14.07.2010

No. of Shares	Type	Value	Amount
64000000	Equity Shares	Rs. 10/- each	Rs. 640.000 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 660.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
63631080	Equity Shares	Rs. 10/- each	Rs. 636.310 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 656.310 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		653.311	637.587	270.002
2] Share Application Money		150.000	174.810	191.090
3] Reserves & Surplus		1711.806	483.433	166.683
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2515.117	1295.830	627.775
LOAN FUNDS
1] Secured Loans		2609.090	1504.584	782.581
2] Unsecured Loans		0.000	221.444	186.301
TOTAL BORROWING		2609.090	1726.028	968.882
DEFERRED TAX LIABILITIES		131.938	39.873	29.116
TOTAL		5256.145	3061.731	1625.773
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1213.057	516.545	285.349
Capital work-in-progress		10.106	28.454	23.752
INVESTMENT		11.396	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	3161.589	1737.214	708.727
	Sundry Debtors	2095.072	1926.879	1068.388
	Cash & Bank Balances	163.629	270.605	40.664
	Other Current Assets	120.686	76.167	125.144
	Loans & Advances	348.687	191.322	28.303
Total Current Assets		5889.663	4202.187	1971.226
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1595.049	1531.986	604.045
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	273.092	153.469	50.509
Total Current Liabilities		1868.141	1685.455	654.554
Net Current Assets		4021.522	2516.732	1316.672
MISCELLANEOUS EXPENSES		0.064	0.000	0.000
TOTAL		5256.145	3061.731	1625.773

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income for Operations	15220.782	9439.101	4093.976
		Other Income	16.790	5.728	2.653
		TOTAL (A)	15237.572	9444.829	4096.629
Less	EXPENSES
		Material Consumed	14015.163	8767.086	3801.327
		Direct Cost	67.115	39.788	20.834
		Employees Costs	32.321	20.920	14.725
		Administrative and Others Expenses	59.002	34.817	22.937
		TOTAL (B)	14173.601	8862.611	3859.823
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1063.971	582.218	236.806
Less	FINANCIAL EXPENSES (D)		354.959	227.187	110.337
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		709.012	355.031	126.469
Less/ Add	DEPRECIATION/ AMORTISATION (F)		38.389	10.417	5.834
	PROFIT BEFORE TAX (E-F) (G)		670.623	344.614	120.635
Less	TAX (I)		210.864	115.257	23.325
	PROFIT AFTER TAX (G-I) (J)		459.759	229.357	97.310
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		231.170	155.685	62.247
Less	APPROPRIATIONS
		Transfer to General Reserve	2.000	2.000	2.000
		Proposed Dividend on Preference Shares	1.872	1.872	1.872
		Issue of Bonus Shares	0.000	150.000	0.000
	BALANCE CARRIED TO THE B/S		687.057	231.170	155.685
	Earnings Per Share (Rs.)		7.26	3.71	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.02	2.43	2.38
Net Profit Margin (PBT/Sales)	(%)	4.41	3.65	2.94
Return on Total Assets (PBT/Total Assets}	(%)	9.44	7.30	5.35
Return on Investment (ROI) (PBT/Networth)		0.27	0.28	0.19
Debt Equity Ratio (Total Liability/Networth)		1.78	2.74	2.59
Current Ratio (Current Asset/Current Liability)		3.15	2.49	3.01

LOCAL AGENCY FURTHER INFORMATION

NOTE:

The Registered Address of the company has been shifted from 001, Varun Amin Villa 17, Dattatraya Road, Santacurz (West), Mumbai-400054, Maharashtra, India to the present address w.e.f. 20.08.2008.

ADDITIONAL INFORMATION

What are your products? Approximately idea of Quality produced per year.	Currently Rs. 0.600 millions Ton P.A. (2011 After 2012 : Rs. 2.000 millions Ton P.A.
What production processes used in the factory. What kind of facilities you have : (For example, continuous casting, ingot, slab thickness, hot and cold mill, process line etc. process summary)	Following production process used in factory like “Cut to length, slitting Cold Rolled and Hot Rolled Pickling Galvanized Painted cold rolled Steel, Flattened Steel etc. “
Who are your main customers	Tata DLT Private Limited
What “make: are facilities on your production The facilities on your production line are procured which manufacture (Which Country)	From Indian Domestic Supplier
Do you have any plan to “invest: in new facilities in the future? Will you go for high technology production equipments or you will target low cost equipment.	Yes, They Will go For High – technology Production Equipments.
What kind of trouble / limitations / challenges you have with your existing facilities?	No, they are facing any trouble from current facilities
What is your “Future” plan….Will you go for : a) High Production volume b) More variety of products	They want to go for more variety of products in future
Do you plan to collaborate with other Steel Producers, and thus expand Business together	Depend on Company, if it is good then they count to collaborate with steel producer
How do you procure your “Input” materials?	From Ispat, Tata and many more companies
From where do you buy your infrastructure	Denied to Provide
How do you dispose-of factory “wastes”.	They do not have Any Scrap
Do you plan to introduce Japanese Production Equipment in future : Will you like to buy Japanese Equipment?	Yes
Will you also be interested in getting Japanese “Technology” for Production?	Yes
Are you exporting your products? Please name the countries being exported to.	Yes, Exports To – Italy, Sri Lanka, Middle East

form 8:-

Corporate identity number of the company	U27200MH1988PLC050107
Name of the company	LOHA ISPAAT LIMITED
Address of the registered office or of the principal place of business in India of the company	2, Ganesh Kunj, 1^st Floor, JVPD Scheme, V.M.Road, Next To Juhu Police Station, Juhu, Mumbai – 400049, Maharashtra, India
This form is for	Creation of charge
Type of charge	Book Debts Any Interest in Immovable Property Immovable Property Movable Property Floating Charge
Particular of charge holder	SBICAP TRUSTEE COMPANY LIMITED
Nature of instrument creating charge	Indenture of Mortgage executed by the Company on 6th April 2011 to create charge over its immovable properties, flats at Santacruz, Andheri, other movable assets, etc (more particularly described in the attached Indenture) to secure repayment of financial assistance granted by various lenders
Date of instrument Creating the charge	06/04/2011
Amount secured by the charge	Rs.5100.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As Per The Facility Agreement Terms of Repayment As Agreed Between The Lenders And Borrowers Margin As Per Respective Lenders Terms Extent and Operation of the charge The charge extends to the immovable properties, flats and other movable assets which are expressly permitted under the Finance Documents and Security Documents and as are disclosed to the Lenders and the Security Trustee. Others
Short particulars of the property charged	First Pari Passu charge on entire stocks, book debts/receivables and other current assets of the Borrower, both present and future First Pari Passu mortgage/charge on a) Land and building at E -19, MIDC Taloja, Dist Raigad, Maharashtra admeasuring about 2400 square meters b) Land and building at A - 69, MIDC Taloja, Dist Raigad Maharashtra admeasuring about 880 square meters. c) Land and building at A-79, MIDC Taloja, Dist .- Raigad Maharashtra admeasuring about 1000 square meters d) L and B at Plot E-6/1, MIDC Taloja, Dist. Raigad, Mah.adm. about 990sq mtrs. e) Land and building at Ransai, Taluka Khalapur, Dist Raigad, Maharashtra admeasuring about 76039.37 square meters f) Mortgage of residential flat situated at E-202, Sameer Co-operative Housing Society, Versova, Andheri (West), Mumbai - 400 058 belonging to Smt Anju Poddar g) Mortgage of residential flat in the name of Mr Manish Garg at 3, Ground Floor, Santacruz Premsagar Co operative Housing Society, Santacruz (West), Mumbai - 400 054

Fixed Assets

• Furniture and Fixture
• Plant and Machinery
• Building
• Land Leasehold
• Land Freehold
• Vehicles

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.54.87
UK Pound	1	Rs.86.46
Euro	1	Rs.69.48

INFORMATION DETAILS

Report Prepared by :

SDA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	7
--CREDIT LINES	1~10	5
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		51

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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.