|
Report Date : |
26.09.2012 |
IDENTIFICATION DETAILS
|
Name : |
D Navinchandra Exports Private Limited (w.e.f 19.04.2010) |
|
|
|
|
Formerly Known
as: |
PLATINUM DIAMONDS Private Limited |
|
|
|
|
Registered
Office : |
210, Prasad Chambers, Opera House, Mumbai – 400001, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
06.09.2005 |
|
|
|
|
Com. Reg. No.: |
155937 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.22.370 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U51398MH2005PTC155937 |
|
|
|
|
Legal Form : |
Private Limited Liability Company
|
|
|
|
|
Line of Business
: |
The company is engaged in the business of manufacturing and selling a
single product. i.e. diamonds |
|
|
|
|
No. of Employees
: |
Not Available |
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 : |
USD3767852 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to
be usually correct and as per commitment. The company can be considered for business dealings at usual trade
terms and conditions. NOTE: 31.03.2011
Profit and Loss account not available. |
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 |
CARE |
|
Rating |
BB (Long Term) |
|
Rating Explanation |
Having moderate risk of default regarding timely servicing of
financial obligation |
|
Date |
January, 2011 |
RBI DEFAILTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAILTERS’ 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 : |
210, Prasad Chambers, Opera House, Mumbai – 400001, Maharashtra, India
|
|
Tel. No.: |
91-22-66076000 |
|
Fax No.: |
91-22-66076099 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Branch 1 : |
2nd Floor
,Barmi Chambers, 62/2191,Gurudwara Road, Karol Bagh, New Delhi-100 005,
Delhi, India |
|
Tel. No.: |
91-11-28753081 |
|
E-Mail : |
|
|
|
|
|
Branch 2 : |
Mahalaxmi Gem and Jewellery Mall, 3rd Floor,5-9-224/1 and 2, Opp Little Flower School, Chirag Ali Lane, Abids, Hyderabad -500001 |
|
Fax No.: |
91-40-66660039 |
|
E-Mail : |
|
|
|
|
|
Marketing Affiliates: |
|
|
Tel. No.: |
00323 232 98 27 |
|
Fax No.: |
00323231 96 83 |
|
E-Mail : |
DIRECTORS
AS ON 08.09.2011
|
Name : |
Mr. Samir Shantilal Mehta |
|
Designation : |
Director |
|
Address : |
902/903- Rajul Apat, 9/Harkness Road, Malbar Hill, Mumbai- 400006,
Maharashtra, India |
|
Date of Appointment : |
06.09.2006 |
|
DIN No.: |
00244242 |
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 |
U51398MH2004PTC149027 |
D N GEMS PRIVATE LIMITED |
Director |
24/07/2005 |
24/07/2005 |
- |
Dormant |
NO |
|
2 |
U51398MH2005PTC155937 |
D. NAVINCHANDRA EXPORTS
PRIVATE LIMITED |
Director |
06/09/2006 |
06/09/2006 |
- |
Active |
NO |
|
3 |
U74900MH2007PTC170147 |
INTERJEWEL PRIVATE LIMITED
|
Whole-time director |
01/05/2007 |
20/04/2007 |
21/07/2010 |
Active |
NO |
|
4 |
U52393MH2007PTC174966 |
IRA DIAMOND JEWELLERY
PRIVATE LIMITED |
Director |
12/10/2007 |
12/10/2007 |
- |
Amalgamated |
NO |
|
5 |
U74140MH2007PTC175237 |
V CARE MANAGEMENT SERVICES
PRIVATE LIMITED |
Director |
23/09/2009 |
31/08/2009 |
- |
Amalgamated |
NO |
|
6 |
U22300MH2008PTC182002 |
TEAMTECH EIGHTEEN MEDIA
PRIVATE LIMITED |
Director |
23/09/2009 |
31/08/2009 |
- |
Amalgamated |
NO |
|
7 |
U13209MH2009PTC197129 |
AARSHAY GEMS PRIVATE
LIMITED |
Director |
18/11/2009 |
18/11/2009 |
- |
Active |
NO |
|
8 |
U74994MH2004PTC149087 |
DASHRATH CREATIONS PRIVATE
LIMITED |
Director |
27/06/2011 |
15/03/2011 |
- |
Active |
NO |
|
Name : |
Mr. Ajesh Navinchandra Mehta |
|
Designation : |
Director |
|
Address : |
51 Vijaydeep 5th Flr, 31, Ridge Road, Mumbai-400006, Maharashtra,
India |
|
Date of Appointment : |
01.11.2007 |
|
DIN No.: |
01546771 |
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 |
U74900MH2007PTC170147 |
INTERJEWEL PRIVATE LIMITED
|
Whole-time director |
01/05/2007 |
20/04/2007 |
21/07/2010 |
Active |
NO |
|
2 |
U51398MH2005PTC155937 |
D. NAVINCHANDRA EXPORTS
PRIVATE LIMITED |
Director |
30/09/2008 |
01/11/2007 |
- |
Active |
NO |
|
3 |
U13204MH2009PTC197130 |
AYUSH DIAMONDS PRIVATE LIMITED
|
Director |
18/11/2009 |
18/11/2009 |
- |
Active |
NO |
|
4 |
U74994MH2004PTC149087 |
DASHRATH CREATIONS PRIVATE
LIMITED |
Director |
27/06/2011 |
15/03/2011 |
- |
Active |
NO |
|
Name : |
Mr. Shantilal Mangalji Mehta |
|
Designation : |
Director |
|
Address : |
902/903- Rajul Apat, 9/Harkness Road, Malbar Hill, Mumbai- 400006,
Maharashtra, India |
|
Date of Appointment : |
18.03.2010 |
|
DIN No.: |
00292950 |
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 |
U51900MH1995PTC090506 |
DIAN STAR DIAMONDS PRIVATE
LIMITED |
Director |
12/07/1995 |
12/07/1995 |
21/07/2010 |
Active |
NO |
|
2 |
U91120MH2005PLC157427 |
PALANPUR COMMUNITY
FOUNDATION |
Director |
21/11/2005 |
21/11/2005 |
- |
Active |
NO |
|
3 |
U52393MH2007PTC174966 |
IRA DIAMOND JEWELLERY
PRIVATE LIMITED |
Director |
12/10/2007 |
12/10/2007 |
- |
Amalgamated |
NO |
|
4 |
U13209MH2009PTC197129 |
AARSHAY GEMS PRIVATE
LIMITED |
Director |
18/11/2009 |
18/11/2009 |
- |
Active |
NO |
|
5 |
U51398MH2005PTC155937 |
D. NAVINCHANDRA EXPORTS
PRIVATE LIMITED |
Director |
30/09/2010 |
01/04/2010 |
- |
Active |
NO |
|
Name : |
Mr. Navinchandra Dalapatlal Mehta |
|
Designation : |
Director |
|
Address : |
51 Vijaydeep 5th Flr, 31, Ridge Road, Mumbai-400006, Maharashtra,
India |
|
Date of Appointment : |
01.04.2010 |
|
DIN No.: |
00338276 |
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 |
U70100MH1988PTC048360 |
INTER JEWELS (INDIA)
PRIVATE LIMITED |
Director |
01/08/1989 |
01/08/1989 |
- |
Amalgamated |
NO |
|
2 |
U36910MH1993PTC072110 |
INTER JEWELS INTERNATIONAL
PRIVATE LIMITED |
Director |
24/05/1993 |
24/05/1993 |
- |
Amalgamated |
NO |
|
3 |
U51900MH1973NPL017093 |
DIAMOND EXPORTERS ASSOCIATION
LIMITED |
Director |
20/07/2002 |
20/07/2002 |
- |
Active |
NO |
|
4 |
U91110GJ2000NPL039065 |
GUJARAT HIRA BOURSE |
Director |
09/03/2004 |
09/03/2004 |
- |
Active |
NO |
|
5 |
U51398MH1984NPL033787 |
BHARAT DIAMOND BOURSE |
Director |
23/12/2010 |
28/09/2006 |
30/09/2011 |
Active |
NO |
|
6 |
U74999MH2007NPL168975 |
JAIN INTERNATIONAL TRADE
ORGANISATION |
Director |
20/03/2007 |
20/03/2007 |
- |
Active |
NO |
|
7 |
U74900MH2007PTC170147 |
INTERJEWEL PRIVATE LIMITED
|
Whole-time director |
01/05/2007 |
20/04/2007 |
21/07/2010 |
Active |
NO |
|
8 |
U67190MH2007PTC172391 |
India Development and
Construction Venture Capital Private Limited |
Director |
22/12/2008 |
26/12/2007 |
- |
Active |
NO |
|
9 |
U13204MH2009PTC197130 |
AYUSH DIAMONDS PRIVATE
LIMITED |
Director |
18/11/2009 |
18/11/2009 |
- |
Active |
NO |
|
10 |
U51398MH2005PTC155937 |
D. NAVINCHANDRA EXPORTS
PRIVATE LIMITED |
Director |
30/09/2010 |
18/03/2010 |
- |
Active |
NO |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 08.09.2011
|
Names of Shareholders |
|
No. of Shares |
|
Mr. Samir Shantilal Mehta |
|
5000 |
|
Mr. Ajesh Navinchandra Mehta |
|
5000 |
|
Total |
|
10000 |
LIST OF 1% NON-CUMULATIVE
REDEEMABLE SHAREHOLDERS AS ON 08.09.2011
|
Names of Shareholders |
|
No. of Shares |
|
Mr. Samir Shantilal Mehta |
|
1050000 |
|
Mr. Ajesh Navinchandra Mehta |
|
1050000 |
|
Total |
|
2100000 |
LIST OF 6% NON-CUMULATIVE
REDEEMABLE PREFERENCE SHAREHOLDERS AS ON 08.09.2011
|
Names of Shareholders |
|
No. of Shares |
|
Mr. Rupen Kantilal Kothari |
|
30965 |
|
Mr. Shrenik Chunilal Choksi |
|
16080 |
|
Mr. Hemal Shrenik Choksi |
|
16945 |
|
Mr. Ritesh Rupen Kothari |
|
8820 |
|
Mrs. Shandya Rupen Kothari |
|
1115 |
|
Mrs. Bhartiben Shrenik Choksi |
|
3125 |
|
Total |
|
77050 |
LIST OF 6%
NON-CUMULATIVE REDEEMABLE PREFERENCE SHAREHOLDERS AS ON 08.09.2011
|
Names of Shareholders |
|
No. of Shares |
|
Mr. Navinchandra Dalpatlal Mehta |
|
15000 |
|
Mr. Samir Shantilal Mehta |
|
10000 |
|
Mr. Ajesh Navinchandra Mehta |
|
25000 |
|
Total |
|
50000 |
AS ON 08.09.2011
|
Category |
Percentage |
|
Directors or relatives of Directors |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The company is engaged in the business of manufacturing and selling a
single product. i.e. diamonds |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
State Bank of India, Diamond Branch, 1st Floor, Majestic
Shopping Centre, 144 Jss Road, Girgaum,, Mumbai - 400004, Maharashtra, India |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Ramesh Rajni and Company Chartered Accountant |
|
Address : |
Purshottam Bldg., 1st Floor, 450 Lamington Road, Opera House, Mumbai –
400004, Maharashtra, India |
|
|
|
|
Associates/Subsidiaries : |
NA |
CAPITAL STRUCTURE
AS ON 08.09.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000 |
Equity Shares |
Rs.10/- each |
Rs.0.100 Million |
|
2100000 |
1% Non-Cumulative Redeemable Preference Shares |
Rs.10/- each |
Rs.21.000
Millions |
|
200000 |
6% Non-Cumulative Redeemable Preference Shares |
Rs.10/- each |
Rs.2.000
Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000 |
Equity Shares |
Rs.10/- each |
Rs.0.100
Million |
|
2100000 |
1% Non-Cumulative Redeemable Preference Shares |
Rs.10/- each |
Rs.21.000
Millions |
|
127050 |
6% Non-Cumulative Redeemable Preference Shares |
Rs.10/- each |
Rs.1.270
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 |
22.370 |
21.870 |
0.100 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
919.593 |
444.499 |
0.000 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
(0.072) |
|
|
NETWORTH |
941.963 |
466.369 |
0.028 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
832.793 |
296.968 |
0.000 |
|
|
2] Unsecured Loans |
615.176 |
807.327 |
90.665 |
|
|
TOTAL BORROWING |
1447.969 |
1104.295 |
90.665 |
|
|
DEFERRED TAX LIABILITIES |
0.208 |
0.720 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2390.140 |
1571.384 |
90.693 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
216.756 |
219.900 |
89.539 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
8.116 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
2144.957
|
1463.810 |
0.000 |
|
|
Sundry Debtors |
1522.774
|
741.451 |
0.000 |
|
|
Cash & Bank Balances |
8.607
|
22.729 |
0.088 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
42.011
|
262.429 |
0.729 |
|
Total
Current Assets |
3718.349
|
2490.419 |
0.817 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1532.934
|
1116.772 |
0.000 |
|
|
Other Current Liabilities |
15.976
|
20.507 |
0.006 |
|
|
Provisions |
4.376
|
1.929 |
0.000 |
|
Total
Current Liabilities |
1553.286
|
1139.208 |
0.006 |
|
|
Net Current Assets |
2165.063
|
1351.211 |
0.811 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.205 |
0.273 |
0.343 |
|
|
|
|
|
|
|
|
TOTAL |
2390.140 |
1571.384 |
90.693 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
2659.426 |
0.000 |
|
|
|
Other Income |
|
0.131 |
0.026 |
|
|
|
TOTAL |
|
2659.557 |
0.026 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
TOTAL |
|
2553.662 |
0.099 |
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
|
105.895 |
(0.073) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
|
37.420 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
|
68.475 |
(0.073) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
|
(0.072) |
0.000 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
|
68.403 |
(0.072) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
NA
|
2.57 |
(280.77) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
NA
|
3.98 |
NA |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
NA
|
3.91 |
(0.08) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
NA
|
0.11 |
(2.61) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.19
|
4.81 |
3238.25 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.93
|
0.97 |
136.17 |
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
three 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 |
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 |
No |
|
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 |
NOTE:
The registered office address of the company
has been shifted from 211, Prasad Chambers, Opera House,
Mumbai -400004, Maharashtra, India to present
address w.e.f. 27.07.2009
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.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.53.53 |
|
|
1 |
Rs.86.82 |
|
Euro |
1 |
Rs.69.03 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.