MIRA INFORM REPORT

 

 

Report Date :

09.10.2012

 

IDENTIFICATION DETAILS

 

Name :

CMS COMPUTERS LIMITED

 

 

Registered Office :

CMS Lake Road Centre, 70, Lake Road, Kaycee Industrial Compound, Bhandup (West), Mumbai – 400 078, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

19.02.1980

 

 

Com. Reg. No.:

11-022235

 

 

Capital Investment / Paid-up Capital :

Rs.82.096 millions

 

 

CIN No.:

[Company Identification No.]

U30007MH1980PLC022235

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMC01573F/ MUMC05245C

 

 

PAN No.:

[Permanent Account No.]

AAACC1758L

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Providing IT Enabled Services and also engaged in trading of desktop, Biometric Attendance System, Broadcasting and Media Equipments, Security Surveillance System.

 

 

No. of Employees :

3500 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 8381000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track.

 

In the year 2010-2011 there were slight dip in the turnover. However, the profit of the company increases, trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitments.

 

The company can be considered 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.

 

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

ICRA

Rating

BB (Fund Based)

Rating Explanation

Having moderate risk of default regarding timely servicing of financial obligation.

Date

March, 2012

 

 

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 PARTED BY

 

Name :

Mr. C.P. Jain

Designation :

Accounts Manager

Contact No.:

91-9323833043

Date :

08.10.2012

 

 

LOCATIONS

 

Registered/ Corporate/ Administration Office :

CMS Lake Road Centre, 70, Lake Road, Kaycee Industrial Compound, Bhandup (West), Mumbai – 400 078, Maharashtra, India

Tel. No.:

91-22-67489000/ 28216511/ 67489071

Mobile No.:

91-9323833043 (Mr. C.P. Jain)

Fax No.:

91-22-67489001/ 22042734/ 67489000

E-Mail :

sales@cms.co.in

chandraprakash_jain@gmail.com

cs_legal@cms.co.in

Website :

http://www.cms.co.in

Location :

Owned

 

 

Branch Office :

Located at:

 

v      Mumbai

v      Navi Mumbai

v      Ahmedabad

v      Chandigarh

v      Bangalore

v      Chennai

v      New Delhi

v      Secunderabad

v      Jaipur

v      Udaipur

v      Ajmer

v      Pune

v      Bhopal

v      Kolkata

v      Lucknow

v      Thiruvananthapuram

v      Trivandrum

 

 

DIRECTORS

 

As on 30.12.2011

 

Name :

Mr. Raju Rameshdutt Grover

Designation :

Director

Address :

1, Revills, 45 Cuffe Parade, Mumbai – 400 005, Maharashtra, India

Date of Birth/Age :

08.09.1951

Qualification :

BA

Date of Appointment :

01.08.2009

DIN No.:

01584366

 

 

Name :

Ms. Aarti Rameshdutt Grover

Designation :

Director

Address :

1, Revills, 45 Cuffe Parade, Mumbai – 400 005, Maharashtra, India

Date of Birth/Age :

06.08.1977

Qualification :

MBA

Date of Appointment :

30.08.2010

DIN No.:

02625342

PAN No.:

AEPPG9690B

 

 

Name :

Mr. Maurice Alexander D'souza

Designation :

Director

Address :

A-102, Mukti Co-Operative Housing Society, Vakola Pipeline, Santacruz (East), Mumbai – 400 055, Maharashtra, India

Date of Birth/Age :

11.11.1965

Date of Appointment :

15.09.2011

DIN No.:

03621700

 

 

KEY EXECUTIVES

 

Name :

Mr. C.P. Jain

Designation :

Accounts Manager

 

 

Name :

K.V. Jagannatha Rao

Designation :

National Business Manager

 

 

Name :

Mr. Gurpreet Singh Ahluwalia

Designation :

Manager-Operations

 

 

Name :

Mr. Ramesh K. Iyer

Designation :

National Business Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.12.2011

 

Names of Shareholders (Equity Shares with Voting Right)

 

No. of Shares

 

Rameshdutt Grover

 

57263517

Rameshdutt Gover (HUF)

 

4000000

Raju Rameshdutt Gover

 

105240

Aarti Rameshdutt Grover

 

4733530

CMS Traffic Systems Limited, India

 

10

CMS – IDent Private Limited, India

 

10

CMS Engineering Services Private Limited, India

 

10

Total

 

66102317

 

 

Names of Shareholders (Equity Shares with Non-Voting Right)

 

No. of Shares

 

Rameshdutt Gover

 

15993663

Total

 

15993663

 

As on 30.12.2011

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Bodies corporate

 

0.000037

Directors or relatives of directors

 

95.127617

Other top fifty shareholders

 

4.872383

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Providing IT Enabled Services and also engaged in trading of desktop, Biometric Attendance System, Broadcasting and Media Equipments, Security Surveillance System.

 

 

Products :

Item Code No. (ITC Code)

847120

Product Description

Computers and Controllers

 

 

Brand Names :

“CMS”.

 

 

Exports :

 

Products :

v      Traffic Signaling System

Countries :

v      USA

v      Middle East

v      Far East

 

 

Imports :

 

Products :

v      CV Channel

Countries :

v      Germany

v      USA

 

 

Terms :

 

Selling :

L/C, Cash and Credit (30/ 45 days)

 

 

Purchasing :

L/C, Cash and Credit (30/ 60 days) 

 

 

GENERAL INFORMATION

 

Suppliers :

v      Sony

v      Apple

 

 

Customers :

Wholesalers, End Users and OEM’s

 

AIRLINES:

           

·         Lufthansa

·         Emirates

·         Singapore Airlines

·         Air India

 

OIL:

·         Oil and Natural Gas Corporation Limited

·         Hindustan Petroleum Corporation Limited

·         British Petroleum India

 

AUTO:

·         Ashok Leyland Limited

·         Bajaj Tempo Limited

 

FINANCE:

·         Stock Holding Corporation of India Limited

·         Credit Rating Information Services of India Limited

·         Industrial Development Bank of India

·         National Stock Exchange

·         National Security Depository Limited

 

BANKING:

·         Bank of India

·         State Bank of India

·         CITIBANK

·         SBI Commercial and International Bank

·         ABN Amro Bank N.V.

·         Standard Chartered Grindlays Bank Limited

 

CONSULTANCY:

·         Larsen and Toubro Limited

·         ECC Construction Group

·         Davy Powergas India Limited

·         Birla Consultancy and Software Services

 

SERVICES:

·         BSES

·         TATA Share Registry Limited

 

PHARMACEUTICALS:

·         Bayer

·         GlaxoSmithKline

 

MANUFACTURING:

·         The Mukund Group

·         Philips

 

EDUCATION:

·         NIIT

·         Center for Development of Advanced Computing

 

 

No. of Employees :

3500 (Approximately)

 

 

Bankers :

v      IDBI Bank Limited, Marigold House; Plot No.A-34, Andheri (West), Mumbai – 400 093, Maharashtra, India

v      IDBI Bank Limited, 47, Opus Centre, Central Road, MIDC, Marol, Andheri (East), Mumbai – 400 093, Maharashtra, India

v      State Bank of India, Fort Branch

v      State Bank of Indore, Commercial Branch, Mittal Court, “’ B’ Wing, Ground Floor, Nariman Point, Mumbai – 400 021, Maharashtra, India

v      Syndicate Bank, Nariman Bhavan, Nariman Point, Mumbai – 400 021, Maharashtra, India

v      Citibank N.A., Sakhar Bhavan, Nariman Point, Mumbai – 400 021, Maharashtra, India

v      State Bank of India, Commercial Branch, Justice G.N. Vaidya Marg, Mumbai – 400 023, Maharashtra, India

v      ICICI Bank Limited, Nariman Point, Maharashtra, India

v      Axis Bank Limited, Royal Accord IV, Lokhadwala Complex, Andheri (West), Mumbai – 400 053, Maharashtra, India 

v      ICICI Bank, Singapore

v      The Dhanalakmi Bank Limited

 

 

Facilities :

Secured Loans

31.03.2011

Rs. In Millions

31.03.2010

Rs. In Millions

Rupee term loans banks secured

13.986

0.000

Foreign currency loans banks secured

0.000

107.149

Working capital loans banks secured

22.016

6.018

Loans taken for vehicles secured

0.507

1.009

Finance lease obligation long-term secured

7.905

11.775

Total

44.414

125.951

 

Notes:

 

(A) Term loan has been secured by hypothecation of the respective fixed assets funded by the Company from the loans and personal guarantee of shareholders and Directors.

(B) Out of US$ Nil (March 31, 2010 - US$ 2.20 million) ECB from ICICI of US$ Nil (March 31,2010 - US$ 2.20 million) , is secured by mortgage of office premises at CMS House, at Andheri, certain specified land, buildings and godowns and fixed assets acquired out of the said ECB and balance amount of US$ Nil (March 31,2010 - US$ Nil) is secured by mortgage of Vision House, Ahmedabad, Lonawala Property and other movable properties of the company acquired out of the proceeds from ECB.

(C) [Amount payable within one year Rs. Nil (March 31, 2010 - Rs.107.149 millions)]

(D) Note a: Cash credit facilities are secured by hypothecation of inventories and book debts. The Company has also given collateral security by mortgage of office premises.

(E) Vehicle loans are secured by hypothecation of respective vehicles.

(F) Obligation under finance lease is secured by hypothecation of respective assets.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Basant Jain and Associates

Chartered Accountants

Address :

601, Dalamal Chambers, New Marine Lines, Mumbai – 400 020, India

Income-tax PAN of auditor or auditor's firm :

ADOPJ8787C

 

 

Subsidiary Companies :

v      Dominant Developers Private Limited, India (CIN No.: U70102MH2008PTC182196)

v      SYSTIME Computers Limited

v      CMS – DITL Limited, India (CIN No.: U32100MH1981PLC024132)

v      Netprint Solution India Private Limited

v      Mailtek Services (India) Limited, India (CIN No.: U74999MH1985PLC035833)

v      New Video Private Limited, India (CIN No.: U92111DL1984PTC019197)

v      Suburbia Realtors Private Limited, India (CIN No.: U70102MH2007PTC174643)

 

 

Subsidiary of Subsidiary Companies :

CMS Netprint (Private) Limited, Sri Lanka

 

 

Joint Ventures :

CMS Datacard-GMBH, Switzerland

 

 

Enterprise over which Director and/or his relatives has significant influence :

v      CMS Traffic Systems Limited, India (CIN No.: U74999MH1994PLC082773)

v      Jess Prasad Engineering and Metallurgical Services Private Limited

v      CMS Energy Systems Private Limited

v      CMS Engineering Services Private Limited, India (CIN No.: U72900MH1991PTC061938)

v      G.G. Constructions Private Limited, India (CIN No.: U74899DL1987PTC028772)

v      Datacom Computer Services Private Limited

v      Computer Products and Services Private Limited

v      Computer Maintenance Services

v      Dynamic Hydro Machines Private Limited, India (CIN No.: U99999DL1987PTC029377)

v      Money Ease Capital Private Limited

v      RDJ Constructions Private Limited

v      R.D. Grover (Hindu Undivided Family)

v      Acusoft Technologies Private Limited

v      Cable Network Systems Private Limited

v      CMS IDent Private Limited, India (CIN No.: U72200MH2008PTC182049)

v      CMS Info Systems Private Limited, India (CIN No.: U45200MH2008PTC180479)

v      Resergent Infotech Private Limited, India (CIN No.: U72900PN2005PTC020799)

v      CMS Marshal Limited

v      CMS Securities Limited, India (CIN No.: U74899DL1995PLC063974)

v      Dominant Security Systems Private Limited

v      Leadline Security Systems Private Limited

v      Radiant Security Systems Private Limited

v      Unmatched Security Systems Private Limited

v      Kaycee Industries Limited, India (CIN No.: L70102MH1942PLC006482)

v      SYSTIME Global Solutions Private Limited (erstwhile SYSTIME Computer Systems Limited), India (CIN No.: U72300MH2000PTC124984)

v      SYSTIME Computer Corporation, USA

v      SYSTIME Global Solutions Pte Limited, Singapore

v      SYSTIME Global Solutions Pty Limited, Australia

v      SYSTIME Global Solutions Japan Limited, Japan

v      SYSTIME ME FZCO, UAE

v      SYSTIME Global Solutions Limited, UK

v      SYSTIME Global Solutions Limited,Brazil

v      SYSTIME Global Solutions Inc., Canada

 

 

CAPITAL STRUCTURE

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

184006337

Equity Shares with Voting Right

Re.1/- each

Rs.184.006 millions

15993663

Equity Shares with Non-Voting Right

Re.1/- each

Rs.15.994 millions

 

Total

 

Rs.200.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

66102317

Equity Shares with Voting Right

Re.1/- each

Rs.66.102 millions

15993663

Equity Shares with Non-Voting Right

Re.1/- each

Rs.15.994 millions

 

Total

 

Rs.82.096 millions

 

Notes:

 

a) Out of the above 62151610 equity shares of Re.1/- each has been allotted as fully paid up bonus shares by way of capitalisation of General Reserve Rs.57.610 millions (1996-97 Rs.12.965 millions; 1998-99 Rs.32.827 millions; 1999-00 Rs.11.818 millions), and Investment Allowance Utilisation Reserve Rs.4.542 millions (1996-97 Rs.4.542 millions).

 

b) During the year under buy-back scheme, Company has bought back 7180990 shares from Shareholder, accordingly Share Capital has been reduced to that extent


 

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

82.096

89.277

181.784

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

2013.271

2070.632

2523.861

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

2095.367

2159.909

2705.645

LOAN FUNDS

 

 

 

1] Secured Loans

44.414

125.951

1497.729

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

44.414

125.951

1497.729

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

2139.781

2285.860

4203.374

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

586.189

588.730

1012.351

Capital work-in-progress

126.980

188.761

277.946

 

 

 

 

INVESTMENT

467.617

291.319

1375.763

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

29.976

20.299

163.427

 

Sundry Debtors

643.507

548.121

1611.912

 

Cash & Bank Balances

47.311

164.980

482.573

 

Other Current Assets

1.940

7.461

43.708

 

Loans & Advances

773.335

914.553

676.279

Total Current Assets

1496.069

1655.414

2977.899

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

177.385

195.714

710.824

 

Other Current Liabilities

341.587

220.596

655.747

 

Provisions

18.102

22.676

85.482

Total Current Liabilities

537.074

438.986

1452.053

Net Current Assets

958.995

1216.428

1525.846

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.622

11.468

 

 

 

 

TOTAL

2139.781

2285.860

4203.374

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Operating revenue, net

741.753

832.864

4940.350

 

 

Other Income

138.583

182.216

(110.880)

 

 

TOTAL                                     (A)

880.336

1015.080

4829.470

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Consumption materials changes inventories

229.405

256.154

1444.549

 

 

Employee related expenses

254.221

260.608

1598.708

 

 

Administrative selling other expenses

258.943

348.891

1755.426

 

 

Exceptional income/ expense, net

(1.394)

0.000

0.000

 

 

Extraordinary items

0.000

147.297

0.000

 

 

TOTAL                                     (B)

741.175

1012.950

4798.683

 

 

 

 

 

Less

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

139.161

2.130

30.787

 

 

 

 

 

Less

INTEREST FINANCIAL EXPENSES                    (D)

18.109

25.750

169.695

 

 

 

 

 

 

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

121.052

(23.620)

(138.908)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

77.866

83.910

218.755

 

 

 

 

 

 

PROFIT/ (LOSS) BEFORE TAX (E-F)                  (G)

43.186

(107.530)

(357.663)

 

 

 

 

 

Less

TAX                                                                  (H)

0.013

0.005

(44.158)

 

 

 

 

 

 

PROFIT/ (LOSS) AFTER TAX (G-H)                   (I)

43.173

(107.536)

(317.943)

 

 

 

 

 

 

Adjustments related merger acquisitions

0.000

158.965

0.000

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

291.244

239.815

557.614

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Interim Dividend

0.000

0.000

4.292

 

 

Corporate Dividend Tax

0.000

0.000

0.003

 

BALANCE CARRIED TO THE B/S

334.417

291.244

239.815

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export at F.O.B. value

0.000

0.065

0.000

 

 

Service charges/ ORC Commission

3.960

12.406

11.358

 

 

Interest

0.000

0.000

0.496

 

 

Others

11.141

5.932

1.036

 

TOTAL EARNINGS

15.101

18.403

12.890

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

0.000

0.000

3.755

 

 

Traded Goods

1.053

67.879

112.851

 

 

Components and spare parts

0.000

0.102

120.551

 

 

Capital Goods

15.999

6.170

47.949

 

TOTAL IMPORTS

17.052

74.151

285.106

 

 

 

 

 

 

Earnings/ (Loss) Per Share (Rs.)

0.64

(1.26)

(3.65)

 

 

Particulars

 

 

 

31.03.2012

Sales Turnover (Approximately)

 

 

840.000

 

 

 

 

 

Expected Sales (2012-2013): Rs.1000.000 millions

 

The above information has been parted by Mr. C.P. Jain (Accounts Manager).

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

4.90

(10.59)

(6.58)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

5.82

(12.91)

(7.24)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

2.07

(4.79)

(8.96)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.02

(0.05)

(0.13)

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

0.28

0.26

1.09

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.79

3.77

2.05

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Details of Sundry Creditors:

 

Particulars

 

31.03.2011

(Rs. in millions)

31.03.2010

(Rs. in millions)

31.03.2009

(Rs. in millions)

Sundry Creditors

 

 

 

- Creditors due small micro enterprises

0.000

0.000

0.000

- Creditors due others

177.385

195.714

710.824

Total

177.385

195.714

710.824

 

 

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

Yes

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

Yes

15) Capital in the business

Yes

16) Details of sister concerns

Yes

17) Major suppliers

Yes

18) Major customers

Yes

19) Payments terms

Yes

20) Export / Import details (if applicable)

Yes

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

Yes

33) Voter ID No of Proprietor/Partner/Director, if available

No

34) External Agency Rating, if available

Yes

 

 


BACKGROUND:

 

The Company is a company registered under the Indian Companies Act, 1956 (“the Act”) in the year 1980 having its registered office at 203, Arcadia, Nariman Point, Mumbai – 400 021.

 

The Company is engaged in the business of providing IT support for government utility services, maintenance and facility management services for biometric attendance systems, manufacturing of Traffic Controllers, EMS, kiosk and technology support for broadcasting and media business and security surveillance.

 

REVIEW OF OPERATIONS:

 

The Sales for the year 2010-11 has decreased to Rs.741.750 millions from Rs.832.860 millions as of last year. The surplus carried to Balance Sheet has increased from Rs.291.240 millions to Rs.334.410 millions.

 

CONTINGENT LIABILITIES NOT PROVIDED FOR:

 

Nature of Liability

31.03.2011

(Rs. in millions)

31.03.2010

(Rs. in millions)

(a) Claims against the Company not acknowledged as debts:

 

 

Disputed sales tax matters (Note)

393.631

321.745

Disputed compensation under suit filed against the Company

0.900

0.900

Claim from party for refund of deposit

0.176

0.176

Claim for incomplete course material provided

0.000

0.000

Disputed penalty under Factories Act, 1948

0.100

0.100

Claims for non completion of course

0.000

0.000

Claim for full and final settlement of employee

0.000

0.000

(b) Guarantees given by the Company

353.572

492.842

(c) Capital commitments

50.125

50.125

(d) Show cause notices received in respect of service tax matters

302.154

104.357

 

Note:

The Company has received an Ex-parte order amounting to Rs.240.096 millions from the Sales Tax authority. The Company has already made an application for cancellation of ex-parte order before the assessing officer. Based on opinion received from experts, Company is confident of getting a favorable decision.

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U30007MH1980PLC022235

Name of the company

CMS COMPUTERS LIMITED

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

201, Arcadia, Nariman Point, Mumbai – 400 021, Maharashtra, India

E-Mail: cs_legal@cms.com

This form is for

Creation of charge

Type of charge

Movable Property (not being pledge)

Particular of charge holder

CIN No.: L65190MH2004GOI148838

IDBI Bank Limited, 47, Opus Centre, Central Road, MIDC, Marol, Andheri (East), Mumbai – 400 093, Maharashtra, India

E-Mail: rakesh.ranjan@idbi.co.in

Nature of description of the instrument creating or modifying the charge

Deed of Hypothecation dated 1st June, 2010

Date of instrument Creating the charge

01.06.2010

Amount secured by the charge

Rs.17.700 millions

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

Rate of Interest:

BPLR - 0.25% (Present Effective rate is 12.50%)

Payable on first day of each month falling after the date of first disbursement of the financial assistance.

 

Terms of Repayment:

59 equal monthly installments of Rs.0.300 million each commencing after one month from the date of disbursement.

 

Margin:

Not applicable

 

Extent and Operation of the charge:

Exclusive charge on the Equipment purchased out of the loan, both present and future.

 

Others:

Guarantee: An irrevocable and unconditional Personal guarantee from Mr. R. D. Grover in favour of the bank.

Short particulars of the property charged

Exclusive charge on the Equipment purchased out of the loan, both present and future.

 

FIXED ASSETS:

 

Tangible Assets:

v      Land – Leasehold

v      Land – Freehold

v      Buildings – Leasehold

v      Buildings – Freehold

v      Plant and Machinery

v      Electrical Installation

v      Furniture, Fixtures and Fittings

v      Vehicles

v      Office Equipments

v      Computer Systems and Peripherals

Intangible Assets:

v      Computer Software

 


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.52.70

UK Pound

1

Rs.85.71

Euro

1

Rs.68.15

 

 

INFORMATION DETAILS

 

Information Gathered by :

SLP

 

 

Report Prepared by :

SMN

 


 

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

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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

45

 

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.