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Report Date : |
18.12.2013 |
IDENTIFICATION DETAILS
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Name : |
JEEL DIAM LTD. |
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Registered Office : |
c/o CBS Pacific Ltd. Unit A, 8/F., Kam Chung Commercial Building, 19-21 Hennessy Road,
Wanchai, |
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Country : |
Hong Kong |
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Date of Incorporation : |
13.01.2010 |
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Com. Reg. No.: |
51675185 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Subject is a diamond trader |
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No. of Employees : |
No employees in Hong Kong It is to be noted that
the company does not have its own operating office in Hong Kong. The company uses
the address of its secretariat as its correspondence address only. Subject
operates from some other country and does not have a base in Hong Kong. Such
companies are registered in Hong Kong just to tax benefit purpose and due to
the strict privacy laws prevailing in the country. In such cases, the
companies are not required to have any employees in Hong Kong nor do have an
office there. |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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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 |
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Status : |
No operating office in Hong Kong |
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Payment Behaviour : |
Unknown |
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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, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
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Low |
A2 |
|
Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
HONG KONG - ECONOMIC
OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong levies excise duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 9.1% of total system deposits in Hong Kong by the end of 2012, an increase of 59% from the previous year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly and inflation to rise 4.1% in 2012. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.
|
Source
: CIA |
JEEL DIAM LTD.
Address: c/o Hong Kong
Secretarial Co.
Room 1503, 15/F., Rise Commercial Building,
5-11 Grannville Circuit, Tsimshatsui, Kowloon, Hong Kong.
Note : Your “Flat A, 7/F., Houng Sun
Building, 45-47 Carnarvan Road, Tsimshatsui, Kowloon, Hong Kong. this is the
associated company “Smit Diam (HK) Ltd. of the subject
JEEL DIAM LTD.
Registered
Address:-
c/o CBS Pacific Ltd.
Unit A, 8/F., Kam Chung Commercial Building, 19-21 Hennessy Road,
Wanchai, Hong Kong.
Head Office:-
Room 1503, 15/F., Rise Commercial Building, 5-11 Grannville Circuit,
Tsimshatsui, Kowloon, Hong Kong.
Associated
Companies:-
Hind Gems B.V.B.A., Belgium.
Pankaj Diamond, India.
SRB Diam (H.K.), Hong Kong.
SRB Diam Inc., USA.
Sumit Diam (HK) Ltd., Hong Kong.
51675185
1410843
Managing Director: Mr. Umesh Vallabhbhai
Bhadiyadra
Nominal Share Capital: HK$1,000,000.00
(Divided into 1,000,000 shares of HK$1.00 each)
Issued Share Capital:
HK$1,000,000.00
(As per registry dated 13-01-2013)
|
Name |
|
No. of share |
|
Umesh Vallabhbhai BHADIYADRA |
|
1,000,000 ======= |
(As per registry dated 13-01-2013)
|
Name (Nationality) |
Address |
|
Umesh Vallabhbhai BHADIYADRA |
7 Maheshwar Soc, Nr. Baroda Pristage, Varachha Road, Surat, India. |
(As per registry dated 21-08-2013)
|
Name |
Address |
Co. No. |
|
CBS Pacific Ltd. |
Unit A, 8/F., Kam Chung Commercial Building, 19-21 Hennessy Road, Hong
Kong. |
0582043 |
The subject was incorporated on 13th January, 2010 as a private limited
liability company under the Hong Kong Companies Ordinance.
The subject was formerly located at Room 515, 5/F., Tower A,
New Mandarin Plaza, 14 Science Museum Road, Tsimshatsui East, Kowloon,
Hong Kong. Moved to Unit A, 8/F., Kam
Chung Commercial Building, 19‑21 Hennessy Road, Wanchai, Hong Kong in May
2012.
The subject moved to the present address in late 2012.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Date of Security Over Deposits with the Bank: 06-11-2012
Amount: To secure all monies in respect of
banking facilities owing at any time plus interest and all expenses.
Property: Initially US$500,000 or equivalent
and all monies whether now or hereafter standing to the credit of the Company’s
deposit with the Bank under deposit number: 053-082996
Mortgagee: The Hongkong
& Shanghai Banking Corp. Ltd., Hong Kong.
Jeel Diam Ltd. was wholly-owned by Mr. Pankaj Himatbhai Bhadiyadra who
is an Indian. On 8th March, 2010, P. H. Bhadiyadra
transferred his share to Mr. Umesh Vallabhbhai Bhadiyadra. Belonging to the same family,
Mr. U. V. Bhadiyadra is the only director of the subject. Being an India passport holder, Mr. U. V.
Bhadiyadra does not have the right to reside in Hong Kong permanently.
The subject moved to the present address which is located at Room 1503,
15/F., Rise Commercial Building, 5-11 Grannville Circuit, Tsimshatsui, Kowloon,
Hong Kong. This is the address of a
commercial service provider. The subject
has no employees in Hong Kong.
Umesh Vallabhbhai Bhadiyadra can be reached at your given phone number
852-3114 7994. However, this line has
been transferred to another line in India.
According to Umesh Vallabhbhai Bhadiyadra he is in India. The subject does not have any employees in
Hong Kong and the operations of the subject is chiefly in India.
The subject commenced business in January 2010. It is a diamond trader. The subject has had an affiliated company SRB
Diam (H.K.) which is also a diamond trader.
SRB Diam (H.K.) is a member of SRB Diam Group [SRB Diam]. The subject is engaged in the same lines of
business as SRB Diam, more or less.
SRB Diam has got its factory in India while its prime market is the
United States. Its products include
bracelets, brooches, earrings, necklaces, rings, pendants, etc. SRB Diam is one of the leading diamond
manufacturing and marketing companies with sales offices in the United Sates
and a plant in India. SRB Diam is the
marketing arm of Pankaj Diamond which was established by Mr. Naran
Bhadiyadra. Pankaj Diamond is one of the
top ten diamond exporters in the non-sightholder category in India.
The subject is also operated by the Bhadiyadra family.
Currently, SRB Diam has had associated companies in Surat, India and
Belgium, besides in the United States.
SRB Diam is specialized in round brilliant diamonds, WS to I2, from 0.01
to 0.5 cts with ideal cut and white in colour.
The subject’s products are provided by SRB Diam in India. Products are marketed in Asia, Europe and the
United States.
The subject is fully supported by SRB Diam and Pankaj Diamond in India.
The subject’s business in Hong Kong is not active. History in Hong Kong is over three years and
eleven months.
The subject has had an associated company known as Sumit Diam (HK) Ltd.
which is also a diamond trader. The
contact person of this firm is Mrs. Shital Bhadiyadra who is also a family
member of Bhadiyadra. The telephone
number of Sumit Diam (HK) Ltd. is also 852-3114 7994.
Since the subject does not have its own operating office and has no
employees in Hong Kong, consider it good for business engagements on L/C basis.
NOTE:
It is to be noted that the
company does not have its own operating office in Hong Kong. The company uses the
address of its secretariat as its correspondence address only. Subject operates
from some other country and does not have a base in Hong Kong. Such companies
are registered in Hong Kong just to tax benefit purpose and due to the strict
privacy laws prevailing in the country. In such cases, the companies are not
required to have any employees in Hong Kong nor do have an office there.
DIAMOND INDUSTRY – INDIA
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.96 |
|
|
1 |
Rs.101.14 |
|
Euro |
1 |
Rs.85.33 |
INFORMATION DETAILS
|
Report Prepared
by : |
NNA |
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 |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.