MIRA INFORM REPORT

Report Date :

13.09.2012

IDENTIFICATION DETAILS

Name :	MAHALAXMI DHATU UDHYOG PRIVATE LIMITED
Registered Office :	C – 52, MIDC, Hingna, Nagpur-440016, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	07.06.1996
Com. Reg. No.:	11-100065
Capital Investment / Paid-up Capital :	Rs.4.711 Millions
CIN No.: [Company Identification No.]	U28920MH1996PTC100065
TAN No.: [Tax Deduction & Collection Account No.]	NGPM03635C / NGPM01489F
PAN No.: [Permanent Account No.]	AABCM8361J
Legal Form :	Private Limited Liability Company
Line of Business :	Dealer of Alloy Steel
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 1100000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Bank Loan = B+
Rating Explanation	This rating are considered to have high risk of default regarding timely servicing of financial obligation
Date	September 2012

Rating Agency Name	CRISIL
Rating	Cash Credit Limited = B+
Rating Explanation	This rating are considered to have high risk of default regarding timely servicing of financial obligation
Date	September 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.

LOCATIONS

Registered Office / Factory 1 :	C – 52, MIDC, Hingna, Nagpur - 440016, Maharashtra, India
Tel. No.:	91-7104-234126, 234127, 235452
Fax No.:	Not Available
E-Mail :	mahalaxmi_dhatu@rediffmail.com rdvyas@mahalaxmidhatu.com aacharya@mahalaxmidhatu.com mlrathi@mahalaxmidhatu.com preetishreecs@gmail.com
Website :	http://www.mahalaxmidhatu.com
Factory 2 :	A-20, M.I.D.C., Industrial Area Butibori, Nagpur - 441108, Maharashtra, India
Nagpur Office :	Anaj Bazar, Itwari, Nagpur - 440002, Maharashtra, India
Tel. No.:	91- 712-2762550
Bangalore Office :	No.275/8, New Timber Yard Layout, Mysore Road, Bangalore - 560026, Karnataka, India.
Tel. No.:	80-26743909.
E-Mail :	manjunath@mahalaxmidhatu.com

DIRECTORS

As on 30.09.2011

Name :

Mr. Krishnakumar Nandlal Rathi

Designation :

Director

Address :

74 A Civil Lines, Nagpur-440001, Maharashtra, India

Date of Birth/Age :

20.10.1964

Date of Appointment :

07.06.1996

DIN No.:

01193401

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	U28920MH1996PTC100065	MAHALAXMI DHATU UDHYOG PRIVATE LIMITED	Director	7/6/1996	7/6/1996	-	Active	NO
2	U40105MH2009PTC193784	ANCHAL POWERCOM PRIVATE LIMITED	Director	2/7/2009	2/7/2009	-	Active	NO
3	U13209MH2009PTC193783	VARUNANCHAL METAL AND ALLOYS PRIVATE LIMITED	Director	2/7/2009	2/7/2009	-	Active	NO

Name :

Mr. Makhanlal Girdharilal Rathi

Designation :

Director

Address :

74 A Civil Lines, Nagpur-440001, Maharashtra, India

Date of Birth/Age :

30.05.1951

Date of Appointment :

01.01.2011

DIN No.:

03524494

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Narayandas Daga	1000
Naringdas Daga	500
Krishna Rathi	1880
Nandlal Rathi	1210
Shakuntaladevi Rathi	10
Anchal Powercom Private Limited, India	16400
Varunanchal Metal and Alloys Private Limited, India	26110
Total	47110

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	90.24
Directors or relatives of Directors	9.76
Total	100.00

BUSINESS DETAILS

Line of Business :	Dealer of Alloy Steel
Products :	· Steel Angles · Steel Rounds · Steel Flats · Steel Gate Channels · Z Commercial

GENERAL INFORMATION

Customers :

· K.E.C. International Limited, Nagpur

· Jyoti Structures Limited, Mumbai

· Amitasha Enterprises Private Limited, Nagpur

· Bajaj Eleectricals Limited, Mumbai

· Gulf Joyti International LLT, Dubai

· Karamtara Engineering Private Limited, Mumbai

· Emco Limited, Vadodara

No. of Employees :

Not Available

Bankers :

· Bank of Baroda, Dharampeth Branch, West High Court Road, Nagpur-440010, Maharashtra, India

· HDFC Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Bank of Baroda, Nagpur (Secured against hypothecation of plant and machinery and stock in trade)	103.726	51.414
Term Loan (Secured against fixed assets)	8.849	0.000
Car loan from HDFC Bank (Secured against hypothecation of car)	0.450	0.702
Car loan from Family Credit (Secured against hypothecation of car)	0.000	0.154
Total	113.025	52.270
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
From Shareholders	42.734	38.189
Total	42.734	38.189

Banking Relations :	--
Auditors :
Name :	Agrawal Chhallani and Company Chartered Accountants
Address :	51, New Colony, Byramji Town, Nagpur - 440001, Maharashtra, India
Tel. No.:	91-712-2595653 / 2595750
PAN No.:	AACFA2753L

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.100/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
47110	Equity Shares	Rs.100/- each	Rs.4.711 Millions

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		4.711	4.711	1.761
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		289.059	123.696	90.283
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		293.770	128.407	92.044
LOAN FUNDS
1] Secured Loans		113.025	52.270	54.569
2] Unsecured Loans		42.734	38.189	33.835
TOTAL BORROWING		155.759	90.459	88.404
DEFERRED TAX LIABILITIES		6.767	3.003	4.295
TOTAL		456.296	221.869	184.743
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		223.572	48.308	35.870
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	122.388	69.383	71.054
	Sundry Debtors	102.735	92.056	67.603
	Cash & Bank Balances	1.304	10.299	30.407
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	20.777	18.672	15.804
Total Current Assets		247.204	190.410	184.868
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2.218	1.347	21.517
	Other Current Liabilities	12.235	12.436	11.688
	Provisions	0.027	3.066	2.790
Total Current Liabilities		14.480	16.849	35.995
Net Current Assets		232.724	173.561	148.873
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		456.296	221.869	184.743

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
SALES
	Income	305.462	522.361
	Other Income
	TOTAL	305.462	522.361
EXPENSES
	Office Expenses
	Administrative Expenses	3.189	0.030
	Advertising Expenses
	TOTAL	3.189	0.030
PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		10.799	22.902
				NA
DEPRECIATION/ AMORTISATION		4.903	10.187
PROFIT BEFORE TAX		5.896	12.715
TAX		NA	NA
PROFIT AFTER TAX		NA	NA
PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		29.497	18.524
BALANCE CARRIED TO THE B/S		31.629	1.292
Earnings Per Share (Rs.)		NA	NA	NA

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	1.25	5.33	NA
Return on Investment (ROI) (PBT/Networth)		0.02	0.10	NA
Debt Equity Ratio (Total Liability/Networth)		0.58	0.84	1.36
Current Ratio (Current Asset/Current Liability)		17.07	11.30	5.14

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	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	No
10]	Designation of contact person	No
11]	Turnover of firm for last two years	Yes
12]	Profitability for last two 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	Yes
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	Yes

Fixed Assets:

• Land Leasehold
• Land Freehold
• Factory Building and Shed
• Electrical Installation
• Weigh Bridge
• Vehicles
• Office Equipment
• Computer
• Fuel Saving Device
• Plant and Machinery
• Fax Machine

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 records 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.55.26
UK Pound	1	Rs.88.85
Euro	1	Rs.71.13

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		49

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.