MIRA INFORM REPORT

 

 

Report Date :

09.11.2012

 

IDENTIFICATION DETAILS

 

Name :

FINE STAR HK LTD.

 

 

Registered Office :

Room 1703, 17/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong.

 

 

Date of Incorporation :

04.10.2006

 

 

Com. Reg. No.:

37227469

 

 

Legal Form :

Private Limited Company

 

 

line of business :

Importer, Exporter and Wholesaler of All kinds of diamonds and jewellery.

 

 

No. of Employees :

3.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


HONG KONG - ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

Source : CIA

 


COMPANY NAME

 

FINE STAR HK LTD.

 

 

ADDRESS  

 

Room 1703, 17/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

 

PHONE:            2366 9577

 

FAX:                 2366 9007

 

E-MAIL:                        finestarhk@rediffmail.com

 

 

MANAGEMENT

 

Managing Director:  Mr. Adit Bakul Shah  (Mobile: 6933 4990)

 

 

SUMMARY

 

Incorporated on:             4th October, 2006.

 

Organization:                 Private Limited Company.

 

Capital: Nominal:           HK$5,700,000.00

 

Issued:                          HK$5,700,000.00

 

Business Category:        Diamond Trader.

 

Employees:                   3.

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


COMPANY NAME

 

FINE  STAR  HK  LTD.

 

 

ADDRESS

 

Registered Head Office:-

Room 1703, 17/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

 

 

BUSINESS REGISTRATION NUMBER

 

37227469

 

 

COMPANY FILE NUMBER

 

1078533

 

 

MANAGEMENT

 

Managing Director:  Mr. Adit Bakul Shah

 

 

CAPITAL

 

Nominal Share Capital: HK$5,700,000.00 (Divided into 5,700,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$5,700,000.00

 

 

SHAREHOLDER

 

(As per registry dated 04-10-2012)

Name

 

No. of shares

Adit Bakul SHAH

 

5,700,000

=======

 

 

 

DIRECTOR    

 

(As per registry dated 04-10-2012)

Name

(Nationality)

 

Address

Adit Bakul SHAH

Flat J, 15/F., Tower 2, Royal Peninsula, 8 Hung Lai Road, Hunghom, Kowloon, Hong Kong.

 

 

 

SECRETARY

 

(As per registry dated 04-10-2012)

Name

Address

Co. No.

Elegant Secretaries Ltd.

Room 804, 8/F., Lap Fai Building, 6-8 Pottinger Street, Central, Hong Kong.

0418716

 

 

HISTORY

 

The subject was incorporated on 4th October, 2006 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject was located at Flat Rear, 6/F., Ocean View Court, 25A Chatham Road South, Tsimshatsui, Kowloon, Hong Kong, moved to the present address in November 2008.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           All kinds of diamonds and jewellery.

 

Employees:                   3.

 

Commodities Imported:   India, Thailand, Belgium, other Asian and European countries.

 

Markets:                       Japan, Southeast Asia, Europe, Middle East, Scandinavia, Hong Kong, etc.

 

Terms/Sales:                 L/C, T/T, etc.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital: HK$5,700,000.00 (Divided into 5,700,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$5,700,000.00

 

Alternation of Capital:-

Initially

paid up

HK$      2,500,000.00

30-05-2011

paid up

HK$      3,200,000.00

 

 

–––––––––––––––

Total:

paid up

HK$      5,700,000.00

==============

 

Increase of Nominal Capital:-

From

HK$2,500,000.00

to

HK$5,700,000.00

on

30-05-2011

 

Mortgage or Charge:       (See attachment)

 

Profit or Loss:                Making a small profit in the past two years.

 

Condition:                      Business is normal.

 

Facilities:                      Adequate for current running.

 

Payment:                      Met trade commitments as contracted.

 

Commercial Morality:     Satisfactory.

 

Bankers:-

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Commonwealth Finance Corporation Ltd., Hong Kong.

Bank of India, Hong Kong Branch.

 

Standing:  Small.

 

 

GENERAL

 

Having issued 5.7 million ordinary shares of HK$1.00 each, Fine Star HK Ltd. is an Indian company wholly owned by Mr. Adit Bakul Shah.  Shah is an India passport holder whose native land is Mumbai, India.

The subject has increased its issued share capital from HK$2.5 million to HK$5.7 million which is the present one.

The directors of the subject were Mr. Adit Bakul Shah and Mr. Saloni Adit Shah.  Both of them belonged to the Shah family and were Hong Kong ID Card holders and had got the right to reside in Hong Kong permanently.  Now, Mr. Saloni Adit Shah has retired.  Mr. Adit Bakul Shah has become the only director of the subject.

The subject is a diamond trader.  It is trading in loose diamonds, single cut diamonds, tapper cut diamonds, full cut diamonds, etc.  Raw materials and polished white and colour diamonds are imported from Thailand, India, Belgium and the other Asian and European countries.  The subject also trades in black and brown stones.  Finished products and polished diamonds are exported or re-exported to Japan, Southeast Asia, Europe, the Middle East, Scandinavia, etc., as well as marketed in Hong Kong.

The subject commenced business in October 2006 and made small profits in the past four years.  Business is normal.

In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities.  For instance, it took part in “HKTDC Hong Kong International Jewellery Show 2012” which had been held in Hong Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the period of 16th to 20th February, 2012.  Besides, it is going to take part in “HKTDC Hong Kong International Jewellery Show 2013” which will be held in Hong Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the period of 5th to 9th March, 2013.

The Shahs have had close business ties with a number of diamond and jewellery manufacturers and suppliers in Mumbai, India.

The history of the subject in Hong Kong is over six years.

On the whole, consider it good for normal business engagements.

 


MORTGAGE OR CHARGE

 

Date

Particulars

Amount

07-12-2007

Instrument:        Letter of Hypothecation for Trade Finance

Property:

Hypothecation of goods and produce represented by any or such documents or to which any such documents relate and all policies of insurance relating thereto and all proceeds deriving therefrom as security for advances and other banking facilities against bills of lading, shipping documents, warrants, delivery orders, wharfingers’ or other warehouse keeper’s certificate or receipts and/or invoices or other documents representing or relating to goods or produce

Mortgagee:        Commonwealth Finance Corporation Ltd., Hong Kong.

All sum of monies

10-12-2007

Instrument:        Charge Over Deposit

Property:

Account No.:     20096
Deposit No.:      025636
Principal Amount:          US$100,000

Mortgagee:        Commonwealth Finance Corporation Ltd., Hong Kong.

All the indebtedness and the due and punctual performance and observance by the Depositor of all its obligations and liabilities

06-10-2009

Instrument:        Letter of Hypothecation for Trade Finance

Property:

Hypothecation of goods and produce represented by any or such documents or to which any such documents relate and all policies of insurance relating thereto and all proceeds deriving therefrom as security for advances and other banking facilities against bills of lading, shipping documents, warrants, delivery orders, wharfingers’ or other warehouse keeper’s certificate or receipts and/or invoices or other documents representing or relating to goods or produce

Mortgagee:        Commonwealth Finance Corporation Ltd., Hong Kong.

All sum of monies

25-06-2010

Instrument:        Assignment of Life Insurance

Property:

(i) All the Assignor’s claims, options, privileges, right, title, interest and benefit in and under the Insurance; and (ii) all the Assignor’s claims and rights against the issuer of the Policy in respect of the Policy upon the terms herein set out as a continuing security for the due and pucntual payment of the Secured Indebtedness and the due and punctual performance and observance by the Borrower of all other obligations of the Borrower contained in the Facility Letter

Mortgagee:        The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Secured Indebtedness

27-08-2010

Instrument:        Letter of Hypothecation for Trade Finance

Property:

Hypothecation of goods and produce represented by any or such documents or to which any such documents relate and all policies of insurance relating thereto and all proceeds deriving therefrom as security for advances and other banking facilities against bills of lading, shipping documents, warrants, delivery orders, wharfingers’ or other warehouse keeper’s certificate or receipts and/or invoices or other documents representing or relating to goods or produce

Mortgagee:        Commonwealth Finance Corporation Ltd., Hong Kong.

All sum of monies

07-07-2011

Instrument:        Letter of Lien

Property:

Nature of Deposit:          TDR      TDR
Date of Deposit: 07-07-2011        07-07-2011
Amount:            US$100,000.00  US$150,000.00
Due Date:          07-10-2011        09-07-2012
Rate of Interest: 0.25%   1.50%
Mode of Payment
  of Interest:       Maturity            Maturity

Mortgagee:        Bank of India, Hong Kong Branch.

US$1,000,000

13-06-2012

Instrument:        Charge and Hypothecation of Book Debts (CC.531)

Property:

Hypothecate and charge to the Bank by way of charge on all the book debts outstanding, moneys receivable, claims and bills which are now due and owing or which may at any time hereafter during the continuance of this security becomes due and owing to “the Borrower” in the course of its business by any person, company or by the Government or any local or public body or authority (all of which are hereinafter collectively referred to as “the said debts”) as security for the due payment to the Bank at any time on demand at Hong Kong.

Mortgagee:        Bank of India, Hong Kong Branch.

US$1,000,000

13-06-2012

Instrument:        Hypothecation of Tangible Moveable Property (L448)

Property:

All tangible movable assets of borrower including in particular stocks of all goods of diamonds, gem, precious stones, jewellery, gold, furniture and fixtures and plant & machinery etc., wheresover situate and/or in transit.  Including therein the stocks thereof for time being whether raw or manufactured or in process of manufacture.  And also all procedures gods and any and every tangible moveable property of the Borrower whether now lying or at any time hereafter during the continuance of this security lying or being in or about the Borrower’s premises and godowns at Flat 1703, 17/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong or wherever else the same may be or be held by any party anywhere to the order and disposition of the Borrower or in course of transit to the Borrower (all or which are hereinafter called  “the hypothecated goods”)

Mortgagee:        Bank of India, Hong Kong Branch.

US$1,000,000

13-06-2012

Instrument:        General Letter of Hypothecation

Property:

Bills or exchange, and/or invoices, or any other documents representing or relating to goods.  The company agree that the same and all goods thereby represented or to which the documents relate shall be hypothecated by way of first charge as a continuing security for all sums in which the company from time to time be actually or contingently indebted or liable to bank on any account.

Mortgagee:        Bank of India, Hong Kong Branch.

All the money

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.44

UK Pound

1

Rs.87.00

Euro

1

Rs.69.47

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

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

----

 

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%)

 

 

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.