MIRA INFORM REPORT

Report Date :

26.08.2013

IDENTIFICATION DETAILS

Name :	PALM GROVE BEACH HOTELS PRIVATE LIMITED
Registered Office :	Ramada Plaza, Palm Grove, Juhu Beach, Juhu, Mumbai – 400049, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	09.10.1979
Com. Reg. No.:	11-021760
Capital Investment / Paid-up Capital :	Rs. 17.550 Millions
CIN No.: [Company Identification No.]	U55100MH1979PTC021760
Legal Form :	Private Limited Liability Company
Line of Business :	Providing Accommodation and Hospitality Services.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (55)

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

Maximum Credit Limit :	USD 7025000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having a fine track record. The financials of 2012 are not available. As per the of 2011, the financial position of the company appears sound and healthy. Trade relations are decent. Payments terms are regular and as per commitment. 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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	A- = Long Term Bank Facilities
Rating Explanation	Adequate degree of safety and low credit risk
Date	March 2013

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 (GENERAL DETAILS)

Name :	Mr. Denzil
Designation :	Accounts Department
Contact No.:	91-22-26110710
Date :	24.08.2013

LOCATIONS

Registered Office :	Ramada Plaza, Palm Grove, Juhu Beach, Juhu, Mumbai – 400049, Maharashtra, India
Tel. No.:	91-22-26113682/26002207/26112323/66971956/26110710/26110898/2611504
Fax No.:	Not Available
E-Mail :	kconstruction@vsnl.net construction@vsnl.net palmgrove@krehejahospitality.com
Website :	www.krahejahospitality.com
Location :	Owned

DIRECTORS

As on 30.09.2011

Name :	Mr. Gopal Lachmandas Raheja
Designation :	Director
Address :	Raheja House, 5^th Floor, Auxillium Convent Road, Palli Hill, Bandra, Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	20.09.1933
Date of Appointment :	09.10.1979
DIN No.:	00152739
Name :	Mr. Sandeep Gopal Raheja
Designation :	Director
Address :	Raheja House, 5^th Floor, Auxillium Convent Road, Palli Hill, Bandra, Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	08.11.1968
Date of Appointment :	25.09.1992
DIN No.:	00138986
Name :	Mrs. Sonali Nimish Arora
Designation :	Director
Address :	D.C. House, N.S. Road, No. 10, JVPD Scheme, Juhu, Mumbai – 400049, Maharashtra, India
Date of Birth/Age :	01.10.1972
Date of Appointment :	15.05.1995
DIN No.:	00152708
Name :	Mrs. Durga Sandeep Raheja
Designation :	Director
Address :	Raheja House, 5^th Floor, Auxillium Convent Road, Palli Hill, Bandra, Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	20.02.1975
Date of Appointment :	15.05.1995
DIN No.:	00139023
Name :	Mrs. Sabita Rajesh Narang
Designation :	Director
Address :	Narang House, 40 Pali Hill, Zig Zag Road, Bandra (West), Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	24.10.1964
Date of Appointment :	16.03.2006
DIN No.:	00054034
Name :	Bindoo Shyam Wadhwani
Designation :	Non Executive Director
Address :	301, Skylark, New Kantwadi Road, Pali Hill, Bandra (West), Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	21.04.1953
Date of Appointment :	29.09.2012
DIN No.:	05172234
Name :	Mr. Shyam Nandlal Wadhwani
Designation :	Non Executive Director
Address :	301, Skylark, New Kantwadi Road, Pali Hill, Bandra (West), Mumbai – 400050, Maharashtra, India
Date of Birth/Age :	12.02.1948
Date of Appointment :	29.09.2012
DIN No.:	00053899

KEY EXECUTIVES

Name :	Mr. Denzil
Designation :	Accounts Department

MAJOR SHAREHOLDERS

As on 30.09.2011

Names of Shareholders	No. of Shares
Unique Estates Development Co. Limited	10490
Gopal Lachmandas Raheja	15833
Sandeep Gopal Raheja	16600
Ferani Hotels Private Limited	7000
Sealtite gaskets Private Limited	12292
Ideal Properties Private Limited	14926
Kanishka Properties Private Limited	14457
Sea Crust Properties Private Limited	16643
Gavotte Traders Private Limited	12288
Durga Sandeep Raheja	15215
Greenfield Hotels and Estates Private Limited	13418
Aditi Sandeep Raheja	10950
Gayatri Sandeep Raheja	6385
K. Raheja Reality Private Limited	9007
Total	175504

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2011

Category	Percentage
Bodies corporate	62.30
Directors or relatives of Directors	37.70
Total	100.00

BUSINESS DETAILS

Line of Business :	Providing Accommodation and Hospitality Services.
Terms :
Selling :	Credit
Purchasing :	Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

100 (Approximately)

Bankers :

Indian Overseas Bank, Bandra (West), Mumbai – 400050, Maharashtra, India

Facilities :

Secured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Term Loam From Bank	932.903	440.066
Car Finance From Bank	2.557	3.428
Total	935.460	443.494

Banking Relations :	--
Auditors :
Name :	K.N. Gandhi and Company Chartered Accountants
Address :	11-A, Gulmohar, S.V. Road, Khar (West), Mumbai – 400052, Maharashtra, India
Tel. No.:	91-22-26483980/26498099
Fax No.:	91-22-26493796
E-Mail :	Kanu_gandhi@yahoo.com
PAN No.:	AAAPG8340D
Subsidiaries :	Hotel Shreelekha Regency Private Limited

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs. 100/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
175504	Equity Shares	Rs. 100/- each	Rs. 17.550 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		17.550	17.550	17.550
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1738.824	1589.019	1541.979
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1756.374	1606.569	1559.529
LOAN FUNDS
1] Secured Loans		935.460	443.494	453.513
2] Unsecured Loans		600.000	600.000	769.296
TOTAL BORROWING		1535.460	1043.494	1222.809
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		3291.834	2650.063	2782.338
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2208.754	1725.979	1442.956
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		225.936	225.947	545.787
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1577.452	1532.570	1476.623
	Sundry Debtors	37.642	53.544	48.120
	Cash & Bank Balances	166.762	76.689	77.865
	Other Current Assets	1519.542	1533.960	1480.620
	Loans & Advances	17.461	17.464	17.466
Total Current Assets		3318.859	3214.227	3100.694
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	89.188	96.745	80.843
	Other Current Liabilities	2099.793	2056.473	1797.813
	Provisions	272.734	362.872	428.443
Total Current Liabilities		2461.715	2516.090	2307.099
Net Current Assets		857.144	698.137	793.595
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		3291.834	2650.063	2782.338

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	TURNOVER		2500.900	2360.000	NA
	EXPENSES		NA	NA	NA
	PROFIT BEFORE TAX		222.514	76.545	498.718
Less	TAX		72.700	28.170	171.864
	PROFIT AFTER TAX		149.814	48.375	326.854
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1460.317	1404.191	1076.482
Less/	APPROPRIATIONS
		Provision of Tax	0.341	0.112	(12.245)
		Previous Year Adjustment	(0.331)	1.222	(4.333)
		Furniture, fixture and equip reserve	15.556	13.013	15.724
		Transfer from General Reserve	(12.093)	(11.025)	0.000
		Transferred from EF and E Reserve utilized	0.000	(11.073)	0.000
	BALANCE CARRIED TO THE B/S		1606.658	1460.317	1404.190
	EARNINGS IN FOREIGN CURRENCY		312.187	278.105	333.016
	CIF VALUE OF IMPORTS		0.094	0.083	0.119
	Earnings Per Share (Rs.)
	Basic		853.57	268.03	1867.25
	Diluted		728.96	228.90	1594.66

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Net Profit Margin (PBT/Sales)	(%)	8.90	3.24	NA
Return on Total Assets (PBT/Total Assets}	(%)	4.05	1.55	10.98
Return on Investment (ROI) (PBT/Networth)		0.13	0.05	0.32
Debt Equity Ratio (Total Debt /Networth)		0.87	0.65	0.78
Current Ratio (Current Asset/Current Liability)		1.35	1.28	1.34

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last two 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	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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

UNSECURED LOANS:

Particulars	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
6000 Zero Percent Unsecured Optionally Convertible Debenture	600.000	600.000
Total	600.000	600.000

NOTE: CURRENT MATURITY OF LONG TERM BORROWINGS DETAIL NOT AVAILABLE

OPERATIONS:

During the year, the turnover of the Company is Rs. 2500.900 Millions. The progress of work of Real estate and hotel business is satisfactory during the year.

INDEX OF CHARGE:

Sr .No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10297770	30/06/2011	1,100,000,000.00	The Saraswat Co-operative Bank Limited	SME Vile Parle Branch, 1st Floor, Bholanth Co-op., Hsg. Soc., 715 Subhash Road, Vile Parle (East), Mumbai, Maharashtra - 400057, INDIA	B17059239
2	10276448	26/03/2011	1,250,000,000.00	The Jammu & Kashmir Bank Limited	Mount Road Branch,, Near Spencer Plaza, Chennai, Tamil Nadu - 600002, INDIA	B09361239
3	10206332	22/02/2010	750,000,000.00	IDBI TRUSTEESHIP SERVICES LIMITED	Asian Bldg., Ground Floor, 17, R. Kamani Marg, Ballard Estate, MUMBAI, Maharashtra - 400001, INDIA	A80344930
4	80013280	29/06/2005 *	182,500,000.00	INDIAN OVERSEAS BANK	TEYNAMPET BRANCH, ANNA SALAI, CHENNAI, Tamil Nadu - 600018, INDIA	-
5	90164236	28/03/2002	75,000,000.00	INDIAN OVERSEAS BANK	36 ROAD TPS (I), BANDRA (W), MUMBAI, Maharashtra - 400050, INDIA	-
6	90166692	29/12/2000	100,000,000.00	IL & FS TRUST COMPANY LIMITED	IL & ES FINANCIAL CENTRE BLOCK G PLOT, C22 BANDR A KURLA COMPLEX, MUMBAI, Maharashtra - 400051, INDIA	-
7	90160993	16/02/2001 *	75,000,000.00	IDBI BANK LTD	MITTAL COUR A WING, 2 FLOOR NARIMAN POINT, MUMBAI, Maharashtra - 400021, INDIA	-
8	90163923	19/08/2000 *	70,000,000.00	GLOBAL TRUST BANK LTD	MG SEVA TRUST BUILDING NEAR NATIONAL LIABRARU, SV ROAD BANDRA, MUMBAI, Maharashtra - 400050, INDIA	-
9	90163587	14/08/1997	50,000,000.00	CITI BANK NA	CITI TOWER 61 DR SS RAO ROAD PAREL, MUMBAI, Maharashtra - 400012, INDIA	-
10	90163441	07/10/1996	70,000,000.00	GLORAL TRUST BANK	MG SEVA TRUST BLBG NEAR NATIONAL LIBRARY, SV ROAD BANDRA, MUMBAI, Maharashtra - 400050, INDIA	-

* Date of charge modification

FIXED ASSETS:

· Land

· Flats

· Building

· Plant and Machinery

· Computers and Peripherals

· Furniture and Fixture

· Motor Vehicles

· Crockery/Cutlery/Linen/Carpets

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. 64.69
UK Pound	1	Rs. 100.79
Euro	1	Rs. 86.30

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		55

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.