MIRA INFORM REPORT

Report Date :

30.05.2012

IDENTIFICATION DETAILS

Name :	ETCO DENIM PRIVATE LIMITED (w.e.f. 19.11.2009)
Formerly Known As :	ETCO STEEL AND MINES PRIVATE LIMITED
Registered Office :	142, Andheri Industrial Estate, Near Janki Centre, Off Veera Desai Road, Andheri (West), Mumbai – 400 053, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.04.2005
Com. Reg. No.:	11-152771
Capital Investment / Paid-up Capital :	Rs.150.100 millions
CIN No.: [Company Identification No.]	U18109MH2005PTC152771
TAN No.: [Tax Deduction & Collection Account No.]	MUME08158D
PAN No.: [Permanent Account No.]	AABCE4897M
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is planning to set up a denim plant for manufacturing of Denim fibre.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca (18)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Yet to commence business activities
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Thought the company was incorporated in the year 2005, it is yet to commence its commercial business activities. Payments are unknown. The company can be considered for business dealings on a safe and secured trade terms and conditions. Profit and loss account of the company for the current year is not available.

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 :	142, Andheri Industrial Estate, Near Janki Centre, Off Veera Desai Road, Andheri (West), Mumbai – 400 053, Maharashtra, India
Tel. No.:	91-22-42382800/ 42382849
Fax No.:	91-22-26730130
E-Mail :	rameshshah@etcomumbai.com sanjiv@etcomumbai.com
Factory :	Survey No.225/ 226/ 229, Aliyabad Industrial Area - Stage II, KIADB, Bijapur – 586 112, Karnataka, India

DIRECTORS

As on 28.09.2011

Name :

Mr. Ramesh Dhayalal Shah

Designation :

Director

Address :

701, Jai Maharashtra, Vastuvikas CHS., Survey-287, Gulmohar XRD 5, JVPD Scheme Juhu, Mumbai – 400 049, Maharashtra, India

Date of Birth/Age :

06.03.1961

Date of Appointment :

21.04.2005

DIN No.:

00297557

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	U27108MH1991PLC064383	Etco Telecom Limited	Managing director	10-12-91	10-12-91	17-10-11	Active	NO
2	U45102MH1995PTC085653	Etco Spinners Private Limited	Director	16-02-95	16-02-95	-	Active	NO
3	U70102MH1995PTC085560	Etco Properties Private Limited	Director	24-02-95	24-02-95	02-05-12	Active	NO
4	U67190MH1996PLC096348	Masitia Capital Services Limited	Director	17-01-96	17-01-96	-	Active	NO
5	U17100MH1989PTC051978	Shilpkar Weaves Private Limited	Director	23-04-97	23-04-97	30-09-10	Active	NO
6	U55101MH2000PTC128047	West-Side Hotels Private Limited	Director	09-05-03	09-05-03	-	Strike off	NO
7	U67120MH1995PTC088358	Moolsons Holdings Private Limited	Director	01-03-04	01-03-04	-	Active	NO
8	U55101MH1991PTC061460	Maredia Resorts Private Limited	Director	16-09-04	16-09-04	-	Active	NO
9	U29299PN2005PTC020511	Encore Engineering Private Limited	Director	05-04-05	05-04-05	02-05-12	Active	NO
10	U18109MH2005PTC152771	Etco Denim Private Limited	Director	21-04-05	21-04-05	-	Active	NO
11	U65910MH1995PTC216500	Creative Marketing and Investment Private Limited	Director	11-07-05	11-07-05	15-07-09	Active	NO
12	U45200MH2005PTC152312	Abhar Properties Private Limited	Director	12-01-06	12-01-06	21-04-08	Active	NO
13	U45201MH2006PTC163809	Sai Etco Developers and Realty Private Limited	Director	17-08-06	17-08-06	-	Active	NO
14	U45200MH2005PTC153353	S.P. Erectors and Developers Private Limited	Director	02-04-07	02-04-07	-	Active	NO
15	U45400MH2008PTC184626	Sagacious Realtors Private Limited	Director	14-07-08	14-07-08	-	Strike off	NO
16	U28910PN1985PTC038409	Dyna-K-Automotive Stampings Private Limited	Director	30-09-09	16-05-09	-	Active	NO
17	U70102MH2008PTC184049	Enso Infrastructures Private Limited	Director	22-10-09	22-10-09	07-11-11	Active	NO
18	U63040HR2008PLC039089	IL&FS Rail Limited	Director	15-06-10	09-02-10	18-01-12	Active	NO
19	U17119GJ2002PTC040498	Supernova Polyfab Private Limited	Additional director	31-07-10	31-07-10	09-05-12	Active	NO
20	U45200MH2008PTC186191	Sambhavsole Enterprise Private Limited	Additional director	04-09-10	04-09-10	-	Active	NO
21	U45400MH2007PTC175429	Enso Realtors Private Limited	Additional director	10-09-10	10-09-10	01-03-11	Active	NO
22	U45400MH2011PTC215250	Etco Textiles Private Limited	Director	24-03-11	24-03-11	-	Active	NO
23	U28113PN2012PTC142238	Dyna-K Auto Parts Private Limited	Director	10-02-12	10-02-12	-	Active	NO

Name :

Mr. Satyanarayan Ramlalji Kuchha

Designation :

Director

Address :

3-C, 1203, Whispering Palms, Lokhandwala Towns, Akurli Road, Kandivali (West), Opposite Mahindra and Mahindra Gate No.3, Mumbai – 400 101, Maharashtra, India

Date of Appointment :

01.06.2010

DIN No.:

03093463

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	U18109MH2005PTC152771	Etco Denim Private Limited	Director	01-06-10	01-06-10	Active	NO
2	U45102MH1995PTC085653	Etco Spinners Private Limited	Director	01-06-10	01-06-10	Active	NO
3	U17299MH2006PTC164945	Kuchhal Textiles Private Limited	Director	12-07-10	12-07-10	Active	NO
4	U17119GJ2002PTC040498	Supernova Polyfab Private Limited	Additional director	31-07-10	31-07-10	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2011

Names of Shareholders	No. of Shares
Ramesh Dhayalal Shah	15005000
Ramesh Dhayalal Shah Family Trust	9995000
Total	25000000

As on 28.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

The Company is planning to set up a denim plant for manufacturing of Denim fibre.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Corporation Bank, Large Corporate Branch, 301-302, The Eagle Flight, Suren Road, Andheri Kurla Road, Andheri (East), Mumbai – 400 093, Maharashtra, India

Facilities :

Secured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Rupee term loans banks secured	160.081	0.000
Loans taken for vehicles secured	0.427	0.000
Total	160.508	0.000

Unsecured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Rupee term loans others unsecured	160.094	0.000
Total	160.094	0.000

Banking Relations :	--
Auditors :
Name :	R.G. Mehta and Company Chartered Accountants
Address :	B-203, Suchita Enclave, 2^nd Floor, Maharashtra Lane, Above ICICI Prudential, Borivli (West), Mumbai - 400 092, Maharashtra, India
Income-tax PAN of auditor or auditor's firm :	AAAPM9486A

CAPITAL STRUCTURE

As on 28.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
35000000	Equity Shares	Rs.10/- each	Rs.350.000 millions

Issued & Subscribed Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs.10/- each	Rs.250.000 millions

Paid-up Capital : Rs.205.000 millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.10/- each	Rs.300.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
15010000	Equity Shares	Rs.10/- each	Rs.150.100 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		150.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(0.382)	(0.187)	(0.051)
NETWORTH		149.718	(0.087)	0.049
LOAN FUNDS
1] Secured Loans		160.508	0.000	0.000
2] Unsecured Loans		160.094	0.000	0.000
TOTAL BORROWING		320.602	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		470.320	(0.087)	0.049
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		311.235	0.051	0.000
Capital work-in-progress		5.961	0.000	0.000
INVESTMENT		0.015	0.000	0.000
DEFERRED TAX ASSETS		0.001	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	0.000	0.000	0.000
	Cash & Bank Balances	146.138	0.097	0.031
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	36.141	0.000	0.000
Total Current Assets		182.279	0.097	0.031
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	61.557	0.269	0.024
	Other Current Liabilities	0.209	0.000	0.000
	Provisions	0.000	0.000	0.000
Total Current Liabilities		61.766	0.269	0.024
Net Current Assets		120.513	(0.172)	0.007
MISCELLANEOUS EXPENSES		32.595	0.034	0.042
TOTAL		470.320	(0.087)	0.049

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	0.000	0.000
		Other Income	0.000	0.000
		TOTAL	0.000	0.000
Less	EXPENSES
		Office Expenses	0.135	0.013
		Administrative Expenses
		Advertising Expenses
		TOTAL	0.135	0.013
	PROFIT/ (LOSS) BEFORE TAX		(0.135)	(0.013)
Less	TAX		0.000	0.000
	PROFIT/ (LOSS) AFTER TAX		(0.135)	(0.013)
	Earnings/ (Loss) Per Share (Rs.)		(1.35)	(0.13)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	0.00	0.00
Net Profit Margin (PBT/Sales)	(%)	NA	0.00	0.00
Return on Total Assets (PBT/Total Assets}	(%)	NA	(91.22)	(41.94)
Return on Investment (ROI) (PBT/Networth)		NA	1.55	(0.27)
Debt Equity Ratio (Total Liability/Networth)		2.55	(3.09)	0.49
Current Ratio (Current Asset/Current Liability)		2.95	0.36	1.29

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 two years	Yes
12) Profitability for last two 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 involved in	--
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

FINANCIAL RESULTS:

The working results of the company shows that there are no activities during the year. The Company is planning to set up a denim plant for manufacturing of Denim fibre and for the said purpose the management has changed the name of the Company from Etco Steel and Mines Private Limited to Etco Denim Private Limited. The name was sanctioned on 19.11.2009 form Registrar of Companies.

OUTLOOK FOR THE CURRENT YEAR:

The directors hope that the Company will further improve the performance during the current year.

FIXED ASSETS:

v Land and Land Improvements

v Factory Building

v Plant and Machinery

v Office Equipments

v Computer Equipments

v Other Equipments

v Motor 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 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.55.58
UK Pound	1	Rs.87.14
Euro	1	Rs.69.73

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--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		18

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.