MIRA INFORM REPORT

 

 

Report Date :

26.11.2012

 

IDENTIFICATION DETAILS

 

Name :

INDUS PETROCHEM LIMITED

 

INDUS CHEMICALS (A  Unit of INDUS PETROCHEM LIMITED)

 

 

Formerly Known As :

OMSWARAN PETROCHEMICALS AND SHIPPING LIMITED

 

 

Registered Office :

1101, Krishna Govinda, Sector 24, Vashi,  Navi Mumbai – 400705, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

01.12.1995

 

 

Com. Reg. No.:

11-094942

 

 

Capital Investment / Paid-up Capital :

Rs. 0.500 million

 

 

CIN No.:

[Company Identification No.]

U23200MH1995PLC094942

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer a variety of products Like SLS, SLES, BKC, Amino Oxide, Cetrimide, Quaternarry Ammonium Compounds, Textile Lubricants, Food and Phamaceuticals, Industrial Chemicals, Oilfield, Adhesives, Coatings, Monomers, Inks, Paints and Resins, Paints and Textile Binders, Ethoxylates, etc.

 

 

No. of Employees :

Information denied by management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (28)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 52000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track. Latest financial i.e. 2011-2012 are missing from the government department. From the available financials profitability of the company seems to be low. Also the company has recorded huge external borrowings. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct.

 

The company can considered for business dealing with some cautions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

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

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

B (Long term Bank Loan)

Rating Explanation

High risk of default

Date

29.09.2011

 

 

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

 

Name :

Mr. Virendra Singh

Designation :

Chief Executive Officer

Contact No.:

91-9821152298

Date :

24.11.2011

 

 

LOCATIONS

 

Registered Office/ Factory :

1101, Krishna Govinda, Sector 24, Vashi,  Navi Mumbai – 400705, Maharashtra, India

Tel. No.:

91-22-65163911 / 12

Mobile No.:

91- 9821152298 (Mr. Virendra Singh)

Fax No.:

91-22-27836751

E-Mail :

induschem@mtnl.net.in

info@induschem.net

induschem11@gmail.com

kjmeghani@gmail.com

Website :

www.induschem.net

 

 

DIRECTORS

 

As on 30.09.2011  

 

Name :

Mr. Omprakash Ladharam Malhotra

Designation :

Director

Address :

102, Menaka Apartments, Diamond Garden, Ghatla Road, Chembur, Mumbai-400 071, Maharashtra, India

Date of Birth/Age :

29.10.1929

Date of Appointment :

01.12.1995

DIN No.:

00310237

 

 

Name :

Mrs. Maya Sudhir Malhotra

Designation :

Director

Address :

102, Menaka Apartments, Diamond Garden, Ghatla Road, Chembur, Mumbai-400 071, Maharashtra, India

Date of Birth/Age :

08.06.1967

Date of Appointment :

01.12.1995

DIN No.:

00302976

 

 

Name :

Mr. Sudhir Omprakash Malhotra

Designation :

Director

Address :

102, Menaka Apartments, Diamond Garden, Ghatla Road, Chembur, Mumbai-400 071, Maharashtra, India

Date of Birth/Age :

02.08.1966

Date of Appointment :

01.12.1995

DIN No.:

00309737

 

 

KEY EXECUTIVES

 

Name :

Mr. Virendra Singh

Designation :

Chief Executive Officer

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2011

 

Names of Shareholders

 

No. of Shares

Sudhir Omprakash Malhotra

 

2400

Omprakash Ladharam Malhotra

 

2600

Renu Naresh Wadhwa

 

100

Meena Shyam Kapoor

 

100

Naresh Ghanshyamdas Wadhwa

 

100

Shyam Premkishan Kapoor

 

100

Maya Sudhir Malhotra

 

100

Swarana Omprakash Malhotra

 

1300

Omprakash L. Malhotra (HUF)

 

2200

Sudhir O. Malhotra (HUF)

 

41000

Total

 

50000

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2011

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer a variety of products Like SLS, SLES, BKC, Amino Oxide, Cetrimide, Quaternarry Ammonium Compounds, Textile Lubricants, Food and Phamaceuticals, Industrial Chemicals, Oilfield, Adhesives, Coatings, Monomers, Inks, Paints and Resins, Paints and Textile Binders, Ethoxylates, etc.

 

 

Products :

Chemicals

·         Fatty Alcohols

·         Lauryl Alcohol

·         Ceto – Stearyl Alcohol – TA 1618

·         Cetyl Alcohol / Stearyl Alcohol

·         Fatty Acids

·         Tertiary Amine (End Use Application)

·         Methyl Esters – CE 1618

·         Methyl Esters – CE 810

·         Methyl Esters – CE 1618

·         Methyl Esters – CE 810

 

 

GENERAL INFORMATION

 

No. of Employees :

Information denied by management

 

 

Bankers :

·         Citi Bank N. A.

Trent House, 2nd Floor, G Block, Plot NO.C60, Bandra Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra, India

 

·         IDBI

 

·         Central Bank of India

 

·         Kotak Mahindra

 

 

Facilities :

Secured Loan

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Citi Bank N.A. (Cash Credit against Stock and Book Debts)

29.078

0.000

IDBI (Overdraft against Fixed Deposit)

8.944

2.918

Central Bank of India

0.000

5.321

Citibank N A Buyers' Credit

58.516

0.000

Citibank N A Demand Working Capital

8.377

0.000

Kotak Mahindra Loan against Vehicle

0.239

0.000

Total

105.154

8.239

Unsecured Loan

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

From Shareholders

54.669

39.180

Total

54.669

39.180

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

K. J. Meghani and Company

Chartered Accountants

Address :

Express Building, Ground Floor, 9, Forjett Hill, Tardeo, Mumbai- 400036, Maharashtra, India

PAN No.:

AAAPM6839M

 

 

CAPITAL STRUCTURE

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

500000

Equity Shares

Rs.10/- each

Rs. 5.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

50000

Equity Shares

Rs.10/- each

Rs. 0.500 Million

 

 

 

 

 


 

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

0.500

0.500

0.500

2] Share Application Money

0.000

0.00

0.000

3] Reserves & Surplus

12.538

9.763

6.486

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

13.038

10.263

6.986

LOAN FUNDS

 

 

 

1] Secured Loans

105.154

8.239

14.958

2] Unsecured Loans

54.669

39.180

29.936

TOTAL BORROWING

159.823

47.419

44.894

DEFERRED TAX LIABILITIES

0.078

0.072

0.066

 

 

 

 

TOTAL

172.939

57.754

51.946

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

1.672

1.325

1.308

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.045

0.045

0.045

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

42.351

19.925

17.091

 

Sundry Debtors

158.219

108.421

65.492

 

Cash & Bank Balances

23.330

11.803

8.888

 

Other Current Assets

0.000

0.000

7.821

 

Loans & Advances

3.896

4.469

0.000

Total Current Assets

227.796

144.618

99.292

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

53.690

83.916

41.855

 

Other Current Liabilities

0.770

0.422

2.810

 

Provisions

2.114

3.896

4.034

Total Current Liabilities

56.574

88.234

48.699

Net Current Assets

171.222

56.384

50.593

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

172.939

57.754

51.946

 

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Income

853.813

563.708

286.527

 

 

Other Income

1.731

5.311

0.558

 

 

TOTAL                                     (A)

855.544

569.019

287.085

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Operating Costs

826.781

549.125

271.410

 

 

Payment to and Provision for Employees

3.078

2.826

2.004

 

 

Selling and Distribution Expenses

9.373

7.561

4.969

 

 

TOTAL                                     (B)

839.232

559.512

278.383

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

16.312

9.507

8.702

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

11.116

3.764

3.491

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

5.197

5.743

5.211

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

0.221

0.146

0.175

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

4.976

5.597

5.036

 

 

 

 

 

Less

TAX                                                                  (H)

1.620

1.735

1.687

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

3.356

3.862

3.349

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

9.763

6.486

3.722

 

 

 

 

 

Less

Interim and Proposed Dividend including Dividend Tax

0.581

0.585

0.585

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

12.538

9.763

6.486

 

 

 

 

 

 

Earnings Per Share (Rs.)

67.12

NA

NA

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

0.39

0.68

1.17

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

0.58

0.99

1.76

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

2.17

3.84

5.01

 

 

 

 

 

Return on Investment (ROI)

(PBT/Net worth)

 

0.38

0.55

0.72

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Net worth)

 

16.60

13.22

13.40

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

4.03

1.64

2.04

 

 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2011

 

31.03.2010

31.03.2009

 

(Rs. In Millions)

Sundry Creditors for Goods

50.122

81.709

39.993

Sundry Creditors for Expenses and Services

3.568

2.207

1.862

Total

53.690

83.916

41.855

 

 

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

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

Yes

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

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

No

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

Yes

 

 

BANKERS CHARGES REPORT AS PER REGISTRY

 

Corporate identity number of the company

U23200MH1995PLC094942

Name of the company

INDUS PETROCHEM LIMITED

Address of the registered office or of the principal place of  business in India of the company

1101, Krishna Govinda, Sector 24, Vashi,  Navi Mumbai – 400705, Maharashtra, India

Email: kjmeghani@gmail.com

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

10213824

Type of charge

Immovable property

Particular of charge holder

Citi Bank N. A.

Trent House, 2nd Floor, G Block, Plot NO.C60, Bandra Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra, India

Email: vlaxman@vsnl.com

Nature of instrument creating charge

Modification to Memorandum of Entry.

Date of instrument Creating the charge

28.09.2010

Amount secured by the charge

Rs. 80.000 Millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of Interest

Interest to be charged at such rate/s as may be determined 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

The Company accorded and gave oral consent to Bank to continue to hold and retain the title deeds (by way of Constructive delivery) in respect of its immovable properties as mentioned under Item No 15 as security for repayment of credit facilities of Rs.80.000 millions, with interest, liquidated damages, costs, charges and expenses and all other money whatsoever due and payable thereon.

Short particulars of the property or asset(s) charged (including complete address and location of the property)

Unit No.1101, 11th Floor, Krishna Govinda, Sector No.24, Near Sanpada Railway Station and Mafco Market, CBD Belapur, Vashi, Navi Mumbai-400705.

 

Unit No.1106, 11th Floor, Krishna Govinda, Sector No.24, Near Sanpada Railway Station and Mafco Market, CBD Belapur, Vashi, Navi Mumbai- 400705.

Particulars of the present modification

The mortgage/charge shall now stand increased from Rs.5 Crores to Rs.8 Crores against the security of immovable properties of the Company being lying and situate at Unit No.1101, 1106, 11th Floor, Krishna Govinda, Sector No.24, Near Sanpada Railway Station and Mafco Market, CBD Belapur, Vashi, Navi Mumbai-400705.

 

 

FIXED ASSETS:

 

·         Office Premises

·         Computers

·         Furniture And Fixture

·         Motor Car

·         Office Equipments


 

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.55.34

UK Pound

1

Rs.88.30

Euro

1

Rs.71.37

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Report Prepared by :

MRI

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

4

--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

 

28

 

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.