MIRA INFORM REPORT

 

 

Report Date :

06.12.2013

 

IDENTIFICATION DETAILS

 

Name :

BHARTI JEWELLERS PRIVATE LIMITED

 

 

Registered Office :

Ambika Darshan, Rajawadi M. G. Road, Ghatkopar (East), Mumbai – 400 077 Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

31.03.2005

 

 

Com. Reg. No.:

11-152329

 

 

Capital Investment / Paid-up Capital :

Rs. 0.500 Million

 

 

CIN No.:

[Company Identification No.]

U51398MH2005PTC152329

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMB15020F

 

 

PAN No.:

[Permanent Account No.]

AAECM2273L

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Retail showroom of Jewellery.

 

 

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 650000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

Financial position of the company is decent. Company is performing well.

 

Trade relation reported to be fair. Business is active. Payment terms are reported to be regular and as per commitment.

 

The company can be considered for business dealing 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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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

 

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

 

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6 % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

 

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

 

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1st November.

 

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

 

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 :

Ambika Darshan, Rajawadi M. G. Road, Ghatkopar (East), Mumbai – 400 077 Maharashtra, India

Tel. No.:

Not Available

Fax No.:

Not Available

E-Mail :

bk_associates@hotmail.com

 

 

DIRECTORS

 

As on: 30.09.2013

 

Name :

Mr. Ankit Vasant Doshi

Designation :

Director

Address :

903/904,Sai Vaibhav, Julelal Chowk, Vikrant Circle, Ghatkoper (E), Mumbai – 400077, Maharashtra, India

Date of Birth/Age :

18/02/1953

Date of Appointment :

31/03/2005

DIN No.:

00051540

 

 

Name :

Mr. Vasant Himatlal Doshi

Designation :

Director

Address :

903/904,Sai Vaibhav, Julelal Chowk, Vikrant Circle, Ghatkoper (E), Mumbai – 400077, Maharashtra, India

Date of Birth/Age :

27/09/1953

Date of Appointment :

31/03/2005

DIN No.:

00051229

 

 

Name :

Mrs. Neeta Doshi

Designation :

Director

Address :

1, Parmeshwar Krupa, Tilak Road, Ghatkopar (E), Mumbai - 400077, Maharashtra, India

Date of Birth/Age :

14/03/1947

Date of Appointment :

31/03/2005

DIN No.:

00051281

 

 

Name :

Mr. Neeraj Doshi

Designation :

Director

Address :

1, Parmeshwar Krupa, Tilak Road, Ghatkopar (E), Mumbai - 400077, Maharashtra, India

Date of Birth/Age :

21/11/1976

Date of Appointment :

31/03/2005

DIN No.:

00051346

 

 

Name :

Mr. Hashmukh H. Doshi

Designation :

Director

Address :

301/303, Sahyadri Co-operative Society, Neelkanth Valley, 7th Road, Rajawadi, Ghatkopar (E), Mumbai - 400077, Maharashtra, India

Date of Birth/Age :

12/02/1949

Date of Appointment :

31/03/2005

DIN No.:

00050988

 

 

Name :

Mr. Maulik V. Doshi

Designation :

Director

Address :

1201/ 1202, Silver Court, M. G. Road, Ghatkopar (E),  Mumbai- 400077, Maharashtra, India

Date of Birth/Age :

13/05/1981

Date of Appointment :

31/03/2005

DIN No.:

00051482

 

 

Name :

Mr. Vijay H. Doshi

Designation :

Director

Address :

1201/ 1202, Silver Court, M. G. Road, Ghatkopar (E), Mumbai-400077, Maharashtra, India

Date of Birth/Age :

20/10/1950

Date of Appointment :

31/03/2005

DIN No.:

00051192

 

 

Name :

Mr. Parth Hasmukh Doshi

Designation :

Director

Address :

301, Sahyadri Neelkanth Valley, Rajawadi, Ghatkopar (E), Mumbai - 400077

Maharashtra, India 

Date of Birth/Age :

21/12/1989

Date of Appointment :

25/04/2008

DIN No.:

02122400

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 30.09.2013

 

Names of Shareholders

 

No. of Shares

Ankit Vasant Doshi

 

2500

Arpit Vasant Doshi

 

2500

Vasant Himatlal Doshi

 

7500

Neeta Doshi

 

7500

Neeraj Doshi

 

5000

Kalpana Doshi

 

5000

Hashmukh H. Doshi

 

7500

Maulik V. Doshi

 

5000

Vijay H. Doshi

 

7500

 

 

 

Total

 

50000

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 30.09.2013

 

Category

 

Percentage

 

 

 

Directors or relatives of directors

 

100.00

 

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Retail showroom of Jewellery.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

·         HDFC Bank Limited, HDFC Bank Housesenapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

·         Thane Bharat Sahakari Bank Limited, "Shatataraka" Baji Prabhu Deshpande Marg, Vishnu Nagar, Naupada, Thane (West), Thane - 400602, Maharashtra, India

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Bharat Kanakia And Associates

Chartered Accountants

Address :

602, Abhinandan Swami Co-operative Housing Society Limited, Plot No 21, Road No 25 Sion, Mumbai – 400022, Maharashtra, India

Tel. No.:

91-22-24042222

Fax No.:

91-22-24040808

PAN No.:

AGPPK5224R

 

 

CAPITAL STRUCTURE

 

As on: 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

50000

Equity Shares

Rs.10/- each

Rs. 0.500 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

50000

Equity Shares

Rs.10/- each

Rs. 0.500 Million

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2013

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

0.500

0.500

0.500

(b) Reserves & Surplus

162.011

133.279

91.966

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

162.511

133.779

92.466

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

290.089

284.833

247.478

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

290.089

284.833

247.478

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

0.000

0.319

0.000

(b) Trade payables

54.176

67.243

119.496

(c) Other current liabilities

46.009

13.573

0.000

(d) Short-term provisions

53.578

40.283

25.125

Total Current Liabilities (4)

153.763

121.418

144.621

 

 

 

 

TOTAL

606.363

540.030

484.565

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

6.863

7.841

7.889

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.500

0.500

0.500

(c) Deferred tax assets (net)

0.028

0.039

0.000

(d) Long-term Loan and Advances

10.210

9.738

9.688

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

17.601

18.118

18.077

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

526.018

477.006

427.380

(c) Trade receivables

1.371

0.934

15.611

(d) Cash and cash equivalents

3.176

4.318

4.545

(e) Short-term loans and advances

0.162

0.162

0.120

(f) Other current assets

58.035

39.492

18.832

Total Current Assets

588.762

521.912

466.488

 

 

 

 

TOTAL

606.363

540.030

484.565

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

 

 

 

 

 

SALES

NA

NA

NA

 

 

 

 

 

Less

EXPENSES

NA

NA

NA

 

 

 

 

 

 

PROFIT BEFORE TAX

42.759

59.852

41.482

 

 

 

 

 

Less

TAX                                                                 

14.028

18.539

12.535

 

 

 

 

 

 

PROFIT AFTER TAX

28.731

41.313

28.947

 

 

 

 

 

 

Earnings Per Share (Rs.)

574.62

826.26

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Return on Total Assets

(PBT/Total Assets}

(%)

7.06

11.10

8.57

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.26

0.45

0.45

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.79

2.13

2.68

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

3.82

4.30

3.22

 

 

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 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

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

--

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

No

 

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.

-            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 –

 

-            Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

 

-            The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

 

FINANCIAL RESULTS

 

The Company has earned a Profit of Rs. 28.731 millions after making provision for Tax Rs. 14.000 millions and deferred tax assets Rs. 0.028 millions (Previous years profit Rs.41.313 millions after making provision for tax of Rs.18.500 millions and provision for Deferred Tax Assets of Rs. 0.038 millions) during the year ended 31st March, 2013 which is carried forward.

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10279174

04/03/2011

62,000,000.00

THANE BHARAT SAHAKARI BANK LIMITED

"SHATATARAKA" BAJI PRABHU DESHPANDE MARG, VISHNU 
NAGAR, NAUPADA, THANE (W), THANE, MAHARASHTRA - 400602, INDIA

B10274520

2

10235154

28/06/2010

3,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA

A92016757

 

FIXED ASSETS

 

·         Furniture and Fixture

·         Weighing Machine

·         Air Conditioner

·         Computer Printer

·         Counting Machine

·         Attendance Machine

·         LCD TV

·         Tea 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 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 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. 61.69

UK Pound

1

Rs. 101.08

Euro

1

Rs. 84.07

 

 

INFORMATION DETAILS

 

Report Prepared by :

DPH

 


 

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

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

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.