MIRA INFORM REPORT

Report Date :

16.11.2012

IDENTIFICATION DETAILS

Name :	SCIENTECH TECHNOLOGIES PRIVATE LIMITED
Registered Office :	94-101, Pardeshipura, Electronic Complex, Indore - 452010, Madhya Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	03.04.2001
Com. Reg. No.:	10-14613
Capital Investment / Paid-up Capital :	Rs. 2.500 Millions
CIN No.: [Company Identification No.]	U30007MP2001PTC014613
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer, Exporter and Importer of Testing and Measuring Instruments.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 900000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. There appears some dip in the turnover and profitability of the company. However, Networth appears to be satisfactory. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and 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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION DENIED BY

91-731-4032286 (Manager)

LOCATIONS

Registered Office :	94-101, Pardeshipura, Electronic Complex Indore - 452010, Madhya Pradesh, India
Tel. No.:	91-731-4032286 / 2556638 / 2570301 / 4211100 / 2570302
Mobile No.:	91-9827023723/ 9755591500 (Mr. Ambrish Kela)
Fax No.:	91-731-2555643
E-Mail :	mpatidar@scientech.bz info@scientech.bz ajtjain84@gmail.com
Website :	http://www.scientech.bz
Area :	24000 Sq.ft.
Location :	Leased
Branch Offices:	Located At Pune Mumbai Bangalore Hyderabad Vadodara Jaipur Cochin/ Kochi Delhi Kolkata Lucknow Patna Orissa

DIRECTORS

As on: 29.09.2012

Name :

Mr. Ambrish Kela

Designation :

Managing Director

Address :

5-6 Gulmohar Colony, Indore- 452001, Madhya Pradesh, India

Date of Birth/Age :

25.08.1966

Qualification :

Management Graduate

Date of Appointment :

01.11.2006

DIN No.:

00892476

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U30007MP2001PTC014613	SCIENTECH TECHNOLOGIES PRIVATE LIMITED	Managing director	01-11-06	03-04-01	-	Active	NO
2	U72200MP2010PTC023309	NVIS TECHNOLOGIES PRIVATE LIMITED	Managing director	29-09-11	30-03-10	-	Active	NO

Name :

Mrs. Preeti Kela

Designation :

Whole-time Director

Address :

5-6 Gulmohar Colony, Indore- 452001, Madhya Pradesh, India

Date of Birth/Age :

24.07.1966

Date of Appointment :

30.09.2011

DIN No.:

01064143

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U30007MP2001PTC014613	SCIENTECH TECHNOLOGIES PRIVATE LIMITED	Whole-time director	30-09-11	01-11-06	-	Active	NO
2	U72200MP2010PTC023309	NVIS TECHNOLOGIES PRIVATE LIMITED	Whole-time director	29-09-11	30-03-10	-	Active	NO

Name :

Mr. Jagdish Kumar Baldua

Designation :

Whole-time Director

Address :

Mangalm Villa, 80, Baikunth Dham, Indore – 452018, Madhya Pradesh, India

Date of Birth/Age :

25.07.1943

Date of Appointment :

30.09.2011

DIN No.:

03056681

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 29.09.2012

Names of Shareholders	No. of Shares
Ambrish Kela	247500
Preeti Kela	2500
Total	250000

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Testing and Measuring Instruments

PRODUCTION STATUS As on 31.03.2011

Particulars	Actual Production Capacity	Actual Production
Oscilloscope, Function Generator, Power Supply	5000	14977
Trainers and Modules	3000	18368

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

State Bank of India, SME Branch, A. M. I. O. Building, Polo Ground, Indore-452001, Madhya Pradesh, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Working Capital Loan
From SBI, SSI Branch, Indore	80.039	66.758
From SBI, SSI Branch, Indore (EPC)	5.868	8.775
Secured by way of first charge over fixed assets and current assets (present and future) of the company. The cash credit is repayable on demand and carries Interest @ 12.25% to 13.00 % p.a The Loan is further secured by personal guarantee of two directors.
Total	85.907	75.553
Unsecured Loan	As on 31.03.2012	As on 31.03.2011
Long Term Borrowings
From Directors, Shareholders and Relatives	8.120	17.194
Total	8.120	17.194

Banking Relations :	--
Auditors :
Name :	H. N. Jhawar and Company Chartered Accountant
Address :	203, Sapphire House, 9 Sneh Nagar, Main Road, Indore - 452001, Madhya Pradesh, India
PAN No.:	AAAFH9893C
Associates/Subsidiaries :	NVIS Technologies Private Limited

CAPITAL STRUCTURE

As on: 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs. 2.500 Millions

· Reconciliation of the shares outstanding at the beginning and at the end of the reporting period

Equity Shares

(Rs in Millions)

Particular	As at 31.03.2012
	Number of Share	Amount
Shares Outstanding at the beginning of the year	250000	2.500
Shares issued during the year	-	-
Shares bought back during the year	-	-
Shares Outstanding at the end of the year	250000	2.500

· Terms/right attached to equity shares

The company has only one class of equity shares having a par value Rs.10/- per share. Each holder of equity of shares is entitled to one vote per share. The company declares and pays dividends in Indian Rupees.

· Details of shareholders holding more than 5 % shares in the company

Particular	As at 31.03.2012
	Number of Share	% of holding
Ambrish Kela	247500	99.00
Smt Sheela Devi Kela	0	0

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		2.500	2.500	2.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		231.026	207.218	172.990
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		233.526	209.718	175.490
LOAN FUNDS
1] Secured Loans		85.907	75.533	71.622
2] Unsecured Loans		8.120	17.194	14.574
TOTAL BORROWING		94.027	92.727	86.196
DEFERRED TAX LIABILITIES		6.229	5.935	5.399
TOTAL		333.782	308.380	267.085
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		143.502	81.708	74.934
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.000	1.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
OTHER NON CURRENT ASSETS		6.194	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	124.859	115.529	95.856
	Sundry Debtors	73.530	111.352	101.071
	Cash & Bank Balances	6.465	31.367	12.991
	Other Current Assets	19.516	21.378	0.000
	Loans & Advances	12.604	21.634	26.154
Total Current Assets		236.974	301.260	236.072
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	22.734	37.006	22.645
	Other Current Liabilities	6.865	6.623	5.926
	Provisions	24.289	31.959	15.350
Total Current Liabilities		53.888	75.588	43.921
Net Current Assets		183.086	225.672	192.151
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		333.782	308.380	267.085

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	371.132	441.037	353.680
		Other Income	4.064	2.542	1.648
		TOTAL (A)	375.196	443.579	355.328
Less	EXPENSES
		Material Consumed	92.036	119.241
		Purchase of stock-in-trade	115.262	141.026
		(Increase) in Inventories of finished goods work-in-progress	(16.478)	(5.223)
		Employee’s Benefits Expenses	78.943	72.869
		Other Expenses	52.017	46.814
		TOTAL (B)	321.780	374.727	295.345
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		53.416	68.852	59.983
Less	FINANCIAL EXPENSES (D)		11.811	10.809	7.841
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		41.605	58.043	52.142
Less/ Add	DEPRECIATION/ AMORTISATION (F)		5.619	5.119	4.493
	PROFIT BEFORE TAX (E-F) (G)		35.986	52.924	47.649
Less	TAX (I)		12.095	18.335	16.245
	PROFIT AFTER TAX (G-I) (J)		23.891	34.589	31.404
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.000	26.991	15.586
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	30.000	20.000
	BALANCE CARRIED TO THE B/S		23.891	31.580	26.990
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	40.328	30.749	31.802
	TOTAL EARNINGS		40.328	30.749	31.802
	IMPORTS
		Components	0.000	0.000	34.919
		Raw Material and Traded Goods	17.477	44.657	0.000
	TOTAL IMPORTS		17.477	44.657	34.919
	Earnings Per Share (Rs.)		95.57	138.36	125.62

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	6.37	7.79	8.83
Net Profit Margin (PBT/Sales)	(%)	9.69	12.00	13.47
Return on Total Assets (PBT/Total Assets}	(%)	9.46	13.82	15.32
Return on Investment (ROI) (PBT/Networth)		0.15	0.25	0.27
Debt Equity Ratio (Total Liability/Networth)		0.64	0.80	0.74
Current Ratio (Current Asset/Current Liability)		4.39	3.98	5.37

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	Yes
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	Yes
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	Yes
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
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	90208768
Corporate identity number of the company	U30007MP2001PTC014613
Name of the company	SCIENTECH TECHNOLOGIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	91-101, Electronic Complex, Pardeshipura, Indore-452010, Madhya Pradesh, India
Type of charge	Book Debts Immovable Property Movable Property (not being pledge)
Particular of charge holder	State Bank of India, SME City Credit Centre, 2^nd Floor, Regional Business Office Premises, Indore-452001, Madhya Pradesh, India neelabh.k@sbi.co.in
Nature of description of the instrument creating or modifying the charge	Letter of confirmation for creation of mortgage by deposit of title deeds
Date of instrument Creating the charge	30.08.2008
Amount secured by the charge	Rs.96.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest CC (Hypothecation)-1.5% below SBAR with minimum 12.25% BD (within CC hypothecation)- 1.5% below SBAR with minimum 12.25% DDP (Cheque within CC hypothecation)- 1.5% below SBAR with minimum 12.25% EPC (within CC Hypothecation)- 1.5% below SBAR with minimum 12.25% SLC- 1.5% below SBAR with minimum 12.25% Letter of Credit- Commission charges as applicable from time to time Bank Guarantee- Commission charges as applicable from time to time Terms of Repayment On demand Term Loan- 10.000 millions- 35 installment of Rs.0.278 millions - 1 installment of Rs.0.270 million Extent and Operation of the charge Hypothecation of stock of raw material, stock in process, receivable for manufacture of components and other product and extension of charge over land, building and entire foxed assets situated at company’s 94 to 101 admeasuring 2400 Sq. Mtrs. At Electronic Complex, Pardeshipura, Indore and 93 to 102 located at Electronic Complex, Pardeshipura, Indore
Short particulars of the property charged	Hypothecation of stock of raw material, stock in process, receivable for manufacture of components and other product and extension of charge over land, building and entire foxed assets situated at company’s 94 to 101 admeasuring 2400 Sq. Mtrs. At Electronic Complex, Pardeshipura, Indore and 93 to 102 located at Electronic Complex, Pardeshipura, Indore
Date of latest modification prior to the present modification	29.08.2008
Particulars of the present modification	Extension of mortgage by way of first charge for loan of Rs. 96.000 Millions detailed as below:- Cash Credit (Hyp) – 70.000 Millions BD (with CC) - (35.000) Millions DDP (Chp) (Within CC) – (1.500) Millions EPC (within CC) - (5.000) Millions SLC - 6.000 Millions Open TL - 10.000 Millions BG - 5.000 Millions LC - 5.000 Millions

CONTINGENT LIABILITIES

· Bank guarantee of Rs. 3.315 Millions against FDR OF Rs. 0.624 Million

· Company has been issued show cause notice from Central Excise Department for clubbing of income with M/s NVIS Technologies Limited. The company being aggrieved has filed appeal with the Central Excise Gold Appellate Tribunal against the said show cause.

FIXED ASSETS

· Land

· Factory Building

· Plant and Machinery

· Furniture and Fixture

· Vechiles

· Computer

· Office Building

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. 54.96
UK Pound	1	Rs. 87.10
Euro	1	Rs. 70.03

INFORMATION DETAILS

Information Gathered by :	SLP
Report Prepared by :	UDS

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		50

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.