MIRA INFORM REPORT

Report Date :

29.05.2012

IDENTIFICATION DETAILS

Name :	ITALIANO FABRICS PRIVATE LIMITED (w.e.f. 08.05.2007)
Formerly Known As :	SHIV LAL DEVI SAHAI FABRICS PRIVATE LIMITED
Registered Office :	188 Katra Nawabchandni Chowk, New Delhi – 110006, India
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	04.07.2005
Com. Reg. No.:	55-138243
Capital Investment / Paid-up Capital :	Rs.2.000 Millions
CIN No.: [Company Identification No.]	U18101DL2005PTC138243
TAN No.: [Tax Deduction & Collection Account No.]	DELS27892E
PAN No.: [Permanent Account No.]	AAJCS1095F
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Textile Fabrics
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 81000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct as per commitments. The company can be considered normal for 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 – 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 :	188 Katra Nawabchandni Chowk, New Delhi – 110006, India
Tel. No.:	91-11-23273026 / 23279850
Mobile No.:	91-9810074971 (Mr. Vikas Gupta)
Fax No.:	91-11-23274997
E-Mail :	stc_ca@yahoo.com vikas_gupta@vsnl.com

DIRECTORS

As on 30.09.2011

Name :	Mr. Rajender Prasad Gupta
Designation :	Director
Address :	11, Rajpur Road, Civil Lines, Delhi – 110054, India
Date of Birth/Age :	05.02.1950
Date of Appointment :	04.07.2005
DIN No.:	00402363

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U18101DL2005PTC138243	ITALIANO FABRICS PRIVATE LIMITED	Director	04-07-05	04-07-05	Active	NO
2	U51311DL2004PTC130020	GURU NANAK FAB-TEX PRIVATE LIMITED	Director	10-05-07	10-05-07	Active	NO
3	U70101DL2006PTC148567	TOP HOME CONCEPTS PRIVATE LIMITED	Director	28-05-08	28-05-08	Active	NO

Name :	Mr. Vikas Gupta
Designation :	Director
Address :	11, Rajpur Road, Civil Lines, Delhi – 110054, India
Date of Birth/Age :	24.04.1973
Date of Appointment :	04.07.2005
DIN No.:	00402353

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	U18101DL2005PTC138243	ITALIANO FABRICS PRIVATE LIMITED	Director	04-07-05	04-07-05	-	Active	NO
2	U74899DL1978PTC009043	L.SHIVA INTERNATIONAL PRIVATE LIMITED	Director	08-03-07	08-03-07	26-06-09	Active	NO
3	U51311DL2004PTC130020	GURU NANAK FAB-TEX PRIVATE LIMITED	Director	10-05-07	10-05-07	-	Active	NO
4	U70101DL2006PTC148567	TOP HOME CONCEPTS PRIVATE LIMITED	Director	28-05-08	28-05-08	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Rajendra Prasad	71970
Vikas Gupta	128000
Anju Gupta	1
Rajendra Prasad HUF	1
Sushila Gupta	1
Vikas Gupta HUF	1
Anil Kumar Gupta	1
Anjana Gupta	1
Utsav Gupta	1
Anil Kumar Gupta HUF	1
Jagan Nath Hari Ram HUF	1
Rachna Gupta	1
Jyoti Bansal (Minor)	1
Nidhi Bonsai	1
Veena Bansal	1
Veenai Gupta	1
Nirati Gupta	1
Santosh Aggarwal	1
Rishl Bansal	1
Krishna Devi	1
Bihari Lai Gupta	1
Saroj Gupta	1
Tapan Aggarwal	1
Vijay Gupta	1
Bharti Gupta	1
Shyam Narain Tibrewal	1
Shyam Sunder Lohia HUF	1
Ajay Kumar Saraf	1
Alok Kumar Goel	1
Gayatri Devi	1
Nirmal Kumar Goel	1
Kapil Gupta	1
Total	200000

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 :	Trader of Textile Fabrics
Products :	Fabrics

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Punjab and Sind Bank, Chandni Chowk Branch, Delhi - 110006, India

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel West, Mumbai – 400013, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Punjab and Sind Bank CC A/c (Secured against hypothecation of stock and Debtors)	25.722	28.881
Total	25.722	28.881
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Directors	4.700	5.400
From Members	46.105	36.555
Total	50.805	41.955

Banking Relations :	--
Auditors :
Name :	Shiv Tibrewal and Company Chartered Accountants
Address :	3834, Pataudi House Road, Darya Ganj, New Delhi – 110002, India
Tel. No.:	91-22-23283307
Fax No.:	91-22-23255218
PAN.:	AAAFS9034L

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.10/- each	Rs.2.000 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		2.000	2.000	2.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		18.232	12.018	8.541
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		20.232	14.018	10.541
LOAN FUNDS
1] Secured Loans		25.722	28.881	31.683
2] Unsecured Loans		50.805	41.955	36.025
TOTAL BORROWING		76.527	70.836	67.708
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		96.759	84.854	78.249
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.333	1.601	1.322
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.109	0.085	0.053
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	23.473	36.137	28.897
	Sundry Debtors	67.561	53.848	41.898
	Cash & Bank Balances	1.308	2.050	1.953
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	7.498	1.647	13.248
Total Current Assets		99.840	93.682	85.996
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3.754	9.527	3.665
	Other Current Liabilities	0.017	0.062	5.004
	Provisions	0.752	0.961	0.526
Total Current Liabilities		4.523	10.550	9.195
Net Current Assets		95.317	83.132	76.801
MISCELLANEOUS EXPENSES		0.000	0.036	0.073
TOTAL		96.759	84.854	78.249

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL (A)	197.537	170.077	149.111
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	179.290	155.672	137.737
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		18.247	14.405	11.374
Less	FINANCIAL EXPENSES (D)		8.725	8.892	8.006
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		9.522	5.513	3.368
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.435	0.441	0.410
	PROFIT BEFORE TAX (E-F) (G)		9.087	5.072	2.958
Less	TAX (H)		2.873	1.594	1.128
	PROFIT AFTER TAX (G-H) (I)		6.214	3.478	1.830
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		12.018	8.540	6.710
	BALANCE CARRIED TO THE B/S		18.232	12.018	8.540
	Earnings Per Share (Rs.)		31.07	17.39	9.15

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.15	2.04	1.23
Return on Total Assets (PBT/Total Assets}	(%)	8.98	5.32	3.39
Return on Investment (ROI) (PBT/Networth)		0.45	0.36	0.28
Debt Equity Ratio (Total Liability/Networth)		4.01	5.81	7.30
Current Ratio (Current Asset/Current Liability)		22.07	8.88	9.35

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	U18101DL2005PTC138243
Name of the company	ITALIANO FABRICS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	188 Katra Nawabchandni Chowk, New Delhi – 110006, India E-mail : stc_ca@yahoo.com
This form is for	Creation of charge
Type of charge	Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel West, Mumbai – 400013, Maharashtra, India E-mail : RBBform8@hdfcbank.com
Nature of instrument creating charge	Letter of Hypothecation.
Date of instrument Creating the charge	17.05.2012
Amount secured by the charge	Rs.45.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest at the rate as may be communicated by the Bank from time to time. Terms of Repayment On demand. Margin As may be stipulated by the Bank from time to time. Extent and Operation of the charge Hypothecation by way of First Charge on Stocks and Book Debts etc. to secure as a continuing security for the repayment of Rs.45.000 Millions together with interest, costs, charges, expenses and other moneys due and payable by the Company to the Bank.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Stock-in-trade, consisting of raw materials, goods in process of manufacturing finished goods, and other merchandise whatsoever being movable properties, now All the Debts, that is, all the book debts, outstanding, monies receivables, claims, bills, invoice documents, contracts, guarantees, and rights which are now

Fixed Assets:

· Printer

· Honda Genset

· Water Pump

· Air Conditioner

· EPBX System

· Electrical Equipment

· Fax Machine

· UPS

· Water Cooler - E.F.

· Weighing Machine

· Telephone Equipment

· Furniture and Fixtures

· Motor Car

· Computer

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.55.26
UK Pound	1	Rs.86.90
Euro	1	Rs.69.63

INFORMATION DETAILS

Report Prepared by :

BSN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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		44

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.