MIRA INFORM REPORT

 

 

Report Date :

05.09.2012

 

IDENTIFICATION DETAILS

 

Name :

RAJVI INC

 

 

Registered Office :

55 Queen Street East, Suite 506, Toronto, ON, M5C1R6

 

 

Country :

Canada

 

 

Date of Incorporation :

15.12.1999

 

 

Legal Form :

Corporation for Profit

 

 

Line of Business :

Wholesales diamonds and precious stones

 

 

No. of Employees :

73 employees

 

 

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)

Canada

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

canada - ECONOMIC OVERVIEW

 

As an affluent, high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and affluent living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its great natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economiccrisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada''s major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector''s tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010 and 2011 and plans to balance the budget by 2015. In addition, the country''s petroleum sector is rapidly becoming an even larger economic driver with Alberta''s oil sands significantly boosting Canada''s proven oil reserves, ranking the country third in the world behind Saudi Arabia and Venezuela.

 

Source : CIA

 


GEOPOLITICS

 

POLITICAL DATA

ECONOMIC DATA

Form of Government: Federal


Economic Risk: Nil

Currency: CAD

Branch Situation: Stable

 

 

IDENTIFICATION

 

Ordered as:

RAJVI INC

Address in the order:

55 Queen Street East Suite 506 Toronto Ontario M5C 1R6

 

 

Legal Name:

RAJVI INC

 

 

Legal Address

55 Queen Street East, Suite 506, Toronto

ON, M5C1R6, CANADA

Operative Address

55 Queen Street East, Suite 506, Toronto

ON, M5C1R6, CANADA

Telephone:

+1 (416) 366-4666

Document Number :

ON-0001391405

Fax:

+1 (416) 366-4660

Legal Form:

Corporation for Profit

Email:

rajvi@rajvi.com

Registered in:

Ontario

Website:

http://www.rajvi.com

(UNDERCONSTRUCTION

Date Created:

1999

Manager:

Nilesh Parikh, Director

Date Incorporated:

December15th 1999

Staff:

73

Stock:

NA

 

 

Value:

NA

Activity:

Wholesales diamonds and precious stones

 

 

BANKS

 

Name of the Bank

HSBC

 

 

BUSINESS

 

HISTORY

 

RAJVI INC was created in 1999

PRINCIPAL ACTIVITY

 

Rajvi Inc's line of business is wholesaler of diamonds and precious stones.

Products/Services description:

 

Rajvi Inc. has strong Indian ties.

Sales are:

 

Retail

Clients:

 

Due the nature of its business this company has as main clients the general public.

Operations area:

 

Local

The company does not export

Trade References:

 

The person contacted refused to provide information about the trade references.

The subject employs 73 employees

Comments on staff:

 

The number of employees was not verified by the company.

PAYMENTS

 

regular

LOCATION

Headquarters

 

The company has the headquarters located at:

 

55 Queen Street East, Suite 506, Toronto

ON, M5C1R6, CANADA

Comments on location:

 

At their only location, the company has the headquarters and the showroom.

Branches:

 

The company does not have any other location or branch.

 

 

Shareholders

- Manager - Related Companies

 

Listed at the stock exchange:

 

NO

Shareholders Parent Company(ies):

 

RAJVI INC is a private company where Mr. Nilesh Parikh would be one of the main shareholders.

 

 

Management:

 

Nilesh Parikh, Director

Aniruddh Raol, Director

Hitesh Shah, Director

 

 

Financials

- COMMERCIAL TRENDS AND FORECAST

As a private company the subject does not publish any financial statements.

We have contacted Ms. Gemma who refused to provide us any financial data on grounds of confidentiality.

 

 

 


 

Currency

DATE

USD

2008

Turnover

103,600,000

Operating Income

6,500,000

Net Income

5,200,000

Net worth

15,000,000

Liabilities

3,300,000

The cash flow is

NIL



Currency

DATE

USD

2007

Turnover

101,000,000

Operating Income

7,000,000

Net Income

6,400,000

Net worth

11,000,000

Liabilities

4,000,000

The cash flow is

Normal

 

Comments on the financial data: Despite our research we could not get specific financial information about the company.


Legal Filings

 The sources consulted record no detrimental legal or labor court information.

 

 

Rating

 

Local credit bureau gave a Correct credit rate.

 

The company is in Good Standing. This means that all local and federal taxes were paid on due date.

 

 

 Final Opinion

 

RAJVI INC is a private company that operates as  wholesaler of diamonds and precious stones, this company operates with about 73 employees and 13 years of experience in the market. This company operates with only one location where they have the headquarters and the show room.

 

After our research we did not find negative information or legal against the company and based on the information collected



SUMMARY

 


FINANCIAL SUMMARY


DEBT COLLECTIONS AND PAYMENTS

Profitability

N.A.

Public Records

NO

Indebtedness

CONTROLLED

Payments

REGULAR

Cash

NORMAL

 

 



APPENDIX

 

Person Interviewed

 

Ms. Gemma

Position

 

Administrative

Comments

 

Ms. Gemma refused to confirm or provide information for this report, however we left a message indicating the call purpose.

 

 


DIAMOND INDUSTRY – INDIA

-          From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-          The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-          The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-          Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-          Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-          The diamond jewellery industry in India today may be more than Rs 60000 mil and is rated amongst the fastest growing  in the world. Indi ranks third in the world in domestic diamond consumption.

-          Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-          Excerpts from Times of India dated 30th October 2010 is as under –

 

DIAMOND SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT

      This could be the biggest credibility crisis the Indian diamond industry has ever faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two months ago, they had not repaid  these dues. Bankers believe many diamantaires borrowed money during the economic downturn two years ago and diverted funds to businesses like real estate and capital markets. Many of themselves made money from these businesses but their diamond companies have gone sick and declared insolvency.

-          Most of the money borrowed from the banks in the name of their diamond business has been diverted in real estate and the share market. The banks are not in a position to seize their properties because in many cases, these were purchased in the name of their relatives and friends.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.54

UK Pound

1

Rs.88.23

Euro

1

Rs.70.02

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.