|
Report Date : |
23.12.2013 |
IDENTIFICATION DETAILS
|
Name : |
KOTAK MAHINDRA ASSET MANAGEMENT COMPANY LIMITED |
|
|
|
|
Registered
Office : |
36-38A, 3rd Floor, Nariman Bhavan, 227 Nariman Point,
Mumbai – 400021, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
02.08.1994 |
|
|
|
|
Com. Reg. No.: |
080009 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.283.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U65991MH1994PLC080009 |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company. |
|
|
|
|
Line of Business
: |
The company’s operations mainly relate to providing asset management
services, advisory and portfolio management services. |
|
|
|
|
No. of Employees
: |
Information declined by management. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 2900000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is a wholly owned subsidiary of Kotak Mahindra Bank Limited.
It is a well established company having fine track. The company has seen a sharp dip in its net profitability during 2013.
However, there are no external borrowings recorded in the books. Financial as
well as liquidity position appears to be sound and healthy. Trade relations are fair. Business is active. Payment terms are
reported as regular and as per commitments. In view of strong holding, the subject can be considered good 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
Uptick in
agriculture and construction spread some cheer as the economy grew a
higher-than-expected 4.8 % in the three months through September. Manufacturing
rose an annual rate per cent during the quarter and mining fell by 0.4 %,
government data showed while farm output rose 46%.
India has emerged as
the most attractive investment destination, thanks to a relaxation in foreign direct
investment norms, says a report. India is followed by Brazil and China in the
ranking part of EY’s Capital Confidence Barometer report based on a survey
across 70 nations. The US, France and Japan have emerged as the top
three investors likely to invest in India.
India has been
ranked 83rd globally in terms of talent competitiveness of its human
capital. Switzerland, Singapore, Denmark, Sweden and Luxembourg are the
top five in the list of 103 nations compiled by INSEAD business school.
Tax rates for
companies in India are among the highest in the world and the number of
payments is also more than the global average putting the country at low, 158th
rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the
time taken for tax payments is relatively less in India which is rated ahead of
China and Japan.
1 billion smartphone
shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost
computing in emerging markets. By 2017, total smartphone shipments are expected
to approach 1.7 billion units, resulting in a compound annual growth rate of
18.4 % between 2013 and 2017, according to research from IDC.
20 % vacancy rate of
office space in Mumbai and Delhi in the third quarter, the highest in Asia
after Chengdu, in China. According to Cushman and Wakefield, six Indian cities
are among the 10 office markets with the worst vacancies.
Foreign banks will
not have to pay stamp duty and capital gains tax, if they convert their branch
operations into a wholly owned subsidiary, according to the Reserve Bank of
India.
The Reserve Bank of
India is planning to launch CPI – indexed bonds aimed to protecting the savings
of retail investors from the impact the price rise by December end.
Central Bureau of
Investigation has booked State Bank of India, Deputy Managing Director Shyamal
Acharya and others in a graft case related to distribution of a loan of over
Rs.4000 mn. Gold and jewellery worth Rs.6.7 mn have been recovered from
the residence of Acharya.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Kotak Bond Short Term Plan: “AAAMFS” |
|
Rating Explanation |
Highest degree of safety regarding timely
receipt of payments from the investments. |
|
Date |
November, 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.
INFORMATION DECLINED
MANAGEMENT NON CO-OPERATIVE
Contact No.: 91-22-66056825
LOCATIONS
|
Registered Office : |
36-38A, 3rd Floor, Nariman Bhavan, 227 Nariman Point,
Mumbai – 400021, Maharashtra, India |
|
Tel. No.: |
91-22-66384400 |
|
Fax No.: |
91-22-66384455 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Service Team Address : |
6th Floor, Kotak Towers, Building No.21, Infinity Park, Off
Western Express Highway, Goregaon – Mulund Link Road, Malad (East), Mumbai –
400097, Maharashtra, India |
|
Tel. No.: |
91-22-66384455 |
|
Fax No.: |
91-22-66384400 |
DIRECTORS
(AS ON 31.03.2013)
|
Name : |
|
|
Designation : |
Vice Chairman and Managing Director |
|
Qualification : |
Post Graduate |
|
|
|
|
Name : |
|
|
Designation : |
Director |
|
Qualification : |
Graduate |
|
|
|
|
Name : |
Mr. Sukant S. Kelkar |
|
Designation : |
Director |
|
Qualification : |
Post Graduate |
|
|
|
|
Name : |
|
|
Designation : |
Director |
|
Qualification : |
Post Graduate |
|
|
|
|
Name : |
Mr. Bipin R. Shah |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Gaurang Shah |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Pranab Kumar Datta |
|
Designation : |
Director |
|
Qualification : |
B.Com, ACA, FRICS |
KEY EXECUTIVES
|
Name : |
Mr. Sandesh Kirkire |
|
Designation : |
Chief Executive Officer |
|
|
|
|
Name : |
Mr. R. Krishnan |
|
Designation : |
Chief Operations Officer |
|
|
|
|
Name : |
Mr. Alroy Lobo |
|
Designation : |
Chief Strategist and Global Head of Equities Assets Management |
|
|
|
|
Name : |
Ms. Lakshmi Lyer |
|
Designation : |
Chief Investment Officer of Debt and Head of Products |
|
|
|
|
Name : |
Mr. Harsha Upadhyaya |
|
Designation : |
Chief Investment Officer and equity and Fund Manager |
|
|
|
|
Name : |
Mr. Hariharan R |
|
Designation : |
Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 31.03.2013)
|
Names of Shareholders |
|
No. of Shares (Equity) |
|
|
|
|
|
Kotak Mahindra Bank Limited, India |
|
19800000 |
|
|
|
|
|
Total |
|
19800000 |
|
|
||
|
Names of Shareholders |
|
No. of Shares (Preference) |
|
|
|
|
|
Kotak Securities Limited, India |
|
8500000 |
|
|
|
|
|
Total |
|
8500000 |
BUSINESS DETAILS
|
Line of Business : |
The company’s operations mainly relate to providing asset management
services, advisory and portfolio management services. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by management. |
|
|
|
|
Bankers : |
Not Available |
|
|
|
|
Facilities : |
-- |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S. V. Ghatalia and Associates LLP Chartered Accountants |
|
|
|
|
Holding Company : |
· Kotak Mahindra Bank Limited holds 100% of equity share capital Uday S. Kotak along with relatives and entities controlled by him
holds 44.96% of the equity share capital of Kotak Mahindra Bank Limited as on
March 31, 2013. |
|
|
|
|
Subsidiary
Company : |
· Kotak Mahindra Pension Fund Limited. |
|
|
|
|
Fellow Subsidiaries
: |
· Kotak Mahindra Trustee Company Limited · Kotak Mahindra Trusteeship Services Limited · Kotak Mahindra Investments Limited · Kotak Investment Advisors Limited · Kotak Mahindra (International) Limited · Kotak Mahindra (UK) Limited · Kotak Securities Limited · Kotak Mahindra Capital Company Limited · Kotak Mahindra Prime Limited · Kotak Mahindra Old Mutual Life Insurance Limited · Kotak Mahindra, Inc. · Global Investment Opportunities Fund Limited · Kotak Mahindra Financial Services Limited · Kotak Forex Brokerage Limited |
|
|
|
|
Enterprises over
which Key Management Personnel Mr. Uday S Kotak- / relatives have significant
influence |
· Aero Agencies Limited · Komaf Financials Services Limited · Kotak Commodity Services Limited |
CAPITAL STRUCTURE
(AS ON 31.03.2013)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 Millions |
|
10000000 |
Preference Shares |
Rs.10/- each |
Rs.100.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs.350.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
19800000 |
Equity Shares |
Rs.10/- each |
Rs.198.000
Millions |
|
8500000 |
8.5% Compulsory Convertible Preference Shares |
Rs.10/- each |
Rs.85.000
Millions |
|
|
|
|
|
|
|
Total |
|
Rs.283.000 Millions |
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 |
283.000 |
283.000 |
283.000 |
|
(b) Reserves & Surplus |
432.024 |
520.866 |
385.746 |
|
(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) |
715.024 |
803.866 |
668.746 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long
term liabilities |
1.050 |
1.657 |
0.000 |
|
(d) long-term
provisions |
49.112 |
37.668 |
29.936 |
|
Total Non-current
Liabilities (3) |
50.162 |
39.325 |
29.936 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b)
Trade payables |
50.132 |
40.936 |
189.269 |
|
(c) Other
current liabilities |
59.090 |
14.698 |
10.695 |
|
(d) Short-term
provisions |
62.937 |
62.184 |
96.464 |
|
Total Current
Liabilities (4) |
172.159 |
117.818 |
296.428 |
|
|
|
|
|
|
TOTAL |
937.345 |
961.009 |
995.110 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
43.759 |
41.721 |
47.410 |
|
(ii)
Intangible Assets |
4.888 |
5.128 |
8.014 |
|
(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 |
268.000 |
358.000 |
358.000 |
|
(c) Deferred tax assets (net) |
30.385 |
24.996 |
22.102 |
|
(d) Long-term Loan and Advances |
9.938 |
6.212 |
8.205 |
|
(e) Other
Non-current assets |
246.502 |
141.112 |
85.683 |
|
Total Non-Current
Assets |
603.472 |
577.169 |
529.414 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
0.000 |
0.000 |
0.000 |
|
(c)
Trade receivables |
97.984 |
68.828 |
87.934 |
|
(d) Cash
and cash equivalents |
203.315 |
282.800 |
347.287 |
|
(e)
Short-term loans and advances |
19.365 |
19.407 |
16.618 |
|
(f) Other
current assets |
13.209 |
12.805 |
13.857 |
|
Total
Current Assets |
333.873 |
383.840 |
465.696 |
|
|
|
|
|
|
TOTAL |
937.345 |
961.009 |
995.110 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
1126.818 |
1117.133 |
1046.290 |
|
|
|
Other Income |
44.026 |
25.848 |
36.450 |
|
|
|
TOTAL (A) |
1170.844 |
1142.981 |
1082.740 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee Costs |
414.249 |
384.033 |
383.914 |
|
|
|
Other Expenses |
699.365 |
534.251 |
526.790 |
|
|
|
TOTAL (B) |
1113.614 |
918.284 |
910.704 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
57.230 |
224.697 |
172.036 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.315 |
0.077 |
0.045 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
56.915 |
224.620 |
171.991 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
27.456 |
23.479 |
25.384 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
29.459 |
201.141 |
146.607 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(5.212) |
57.624 |
40.408 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
34.671 |
143.517 |
106.199 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
398.800 |
263.700 |
257.087 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
3.500 |
0.000 |
10.625 |
|
|
|
Dividend on Preference Shares |
7.200 |
7.200 |
7.225 |
|
|
|
Interim Divined on Equity Shares |
99.000 |
0.000 |
69.300 |
|
|
|
Corporate Dividend Tax thereon |
17.200 |
1.100 |
12.414 |
|
|
BALANCE CARRIED
TO THE B/S |
309.900 |
398.800 |
263.722 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
21.000 |
20.000 |
NA |
|
|
TOTAL EARNINGS |
21.000 |
20.000 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
0.143 |
0.000 |
NA |
|
|
TOTAL IMPORTS |
0.143 |
0.000 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
1.75 |
7.25 |
5.36 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
2.96
|
12.56 |
9.81 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.61
|
18.01 |
14.01 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.61
|
34.80 |
23.84 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.04
|
0.25 |
0.22 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.94
|
3.26 |
1.57 |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITY OF
LONG TERM BORROWINGS DETAIL: NOT AVAILABLE
|
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 |
No |
|
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 |
Yes |
|
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 |
Yes |
|
23] |
Banking Details |
No |
|
24] |
Banking facility details |
No |
|
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 |
------------------------------------------------------------------------------------------------------------------------------
CASE DETAILS
Branch: Bombay
|
Presentation Date:- |
06/07/2013 |
|
Lodging No.:- |
ITXAL/1007/2013 |
Filing Date:- |
06/07/2013 |
Reg. No.:- |
ITXA/1910/2013 |
Reg. Date:- |
09/10/2013 |
|
||
|
|
|
|
||||||||
|
Petitioner:- |
The commissioner of Income Tax-3, Mumbai |
Respondent:- |
Kotak Mahindra Assets Management Company
Limited |
|
Petn.Adv.:- |
Padma Divakar (0) |
Resp.Adv.:- |
Atul K. Jasani (0) |
|
District |
Mumbai |
|
|
|
|
|
|
|
|
Bench:- |
DIVISION |
|
|
|
Status:- |
Pre-Admission |
|
|
|
Next Date:- |
15/01/2014 |
Stage:- |
-- |
|
|
|
|
|
|
Coram:- |
ACCORDING TO SITTING LIST |
|
|
|
|
ACCORDING TO SITTING LIST |
|
|
|
|
|
|
|
|
Act :- |
Income Tax Act, 1961 |
Under Section:- |
260A |
------------------------------------------------------------------------------------------------------------------------------
FINANCIAL RESULTS
The Quarterly Average assets under management
(QAAUM) of the Mutual Fund grew 37% in FY 13 to Rs.359450.000 Millions while
that of the industry grew 22.8% in the same period. The Gross Income of the
company has increased marginally by 2% compared to the previous year. There has
been a improvement in the asset mix under management du5ring the year, in terms
of future earning potential. In this regard the QAAUM of the Mutual Fund,
excluding liquid funds and FMPs (Fixed Maturity Plans) grew 69% to
Rs.188400.000 Millions as on March 31, 2013. This resulted in increased payouts
during the year in the form of brokerage/ commissions by 30% and thereby the
overall profit before tax bar seen a reduction by 85%. The increased revenue
from these assets in the next year would compensate for this drop in Profit
before Tax.
MANAGEMENT DISCUSSION
AND ANALYSIS
Market related developments affecting the Schemes of the Mutual Fund.
The financial year 2012-13 saw record inflows from Foreign Institutional Investors (FIIs). In FY-13, net FII investments in equities were at $25.81 billion in comparison to $9 billion in FY-12. The performance of Sensex and Nifty during FY-13 was at 8.2% and 7.3%, respectively. The year gone by saw easing of interest rates, inflation, slowing growth and high Current Account Deficit. Although the first quarter saw a net FII outflow in equity of around $349 million, investments picked up pace from there with most inflows being in the last quarter i.e. a net investment of $10.15 billion.
The Union budget FY-2014, was an attempt to address fiscal deficit. The fiscal deficit in FY-13 stood at 5.2% of GDP. The budgeted estimate of fiscal deficit for next financial year is at 4.8%; the most notable steps from the government during the khancia1 year to curb the rising deficit was hike in both petrol and diesel prices which would help moderate petroleum subsidy. From the Mutual Fund Industry's standpoint, the Rajiv Gandhi Equity Savings Scheme (RGESS) which was announced in the last fiscal budget got operationalized during the financial year. As per the relevant guidelines Kotak Nifty ETF and Kotak Sensex ETF have been made eligible as RGESS compliant schemes. The increase in the slab rate in the DDT from 12.5% to 25% on the debt schemes has eliminated the tax differential between the debt and the liquid schemes.
From the debt market point of view, the financial year 2013 started on a dovish note as slowing growth and easing inflation compelled RBI to slash repo rate 3 times, aggregating 100 basis points. Short end of the yield curve eased gradually in FY-13 as interest rates came down. 3 month Bank CDs which were trading at around 10.2% on April 1, 2012, eased to around 8.8% on March 31, 2013. The debt market represented by the 10 year benchmark bond yield, though volatile, eased considerably during the year. Starting the year at 8.75%, the 10 year benchmark bond closed at 7.96% on March 31, 2013. RBI's massive bond buying programme through Open Market Operations (OMOs) supported liquidity and aided the bond market throughout the year.
There were some important changes in the regulation pertaining to the mutual fund industry during FY-13; the highlights of such changes are as given below:
·
Revision in Expenses charged to mutual fund
schemes: SEBI has allowed charging of certain expenses which would help asset
management companies in managing its business more efficiently and enhance reach. Effective from October 1, 2012,
expenses not exceeding 30 basis
points of daily net assets can be charged to the scheme, if the new Mows are
from beyond top 15 cities and
constitute 30% of the gross new inflow in the scheme or 15% of average assets under management
(year to date) of the scheme, whichever is higher.
· Separate option for direct investors: As per a SEBI directive, all Mutual WAMCs are now providing a separate plan for direct investments, i.e., investments not routed through a distributor, in existing as well as new schemes. Such plans have lower expense ratio excluding distribution expenses, commission, etc., and no commission shall be paid from such plans.
· Investor Education and Awareness: SEBI has made it mandatory for all mutual funds to annually set apart at least 2 basis points on daily net assets within the maximum limit of total expense ratio for investor education and awareness initiative. Mutual Funds shall have to make complete disclosure in the half yearly trustee report to SEBI regarding the investor education and awareness initiative undertaken.
CORPORATE
INFORMATION:
The company has
been appointed as the asset management company, to provide management and
administrative services to the Trust (Kotak Mahindra Mutual Fund) and to deploy
the funds raised by the Kotak Mahindra Mutual Fund under the Schemes. The
company also provides portfolio advisory services. During the current year the
company has also started providing portfolio Management Services in terms of
SEBI (Portfolio Managers) Regulations 1993.
CONTINGENT LIABILITIES
|
Particulars |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
(Rs. In
Millions) |
||
|
|
|
|
|
|
Contingent Liability for Income Tax Demand |
0.000 |
0.000 |
3.952 |
|
Contingent Liability for Service tax Matters
|
66.866 |
41.680 |
1.691 |
|
Contingent Liability toward property tax |
13.241 |
13.241 |
14.319 |
INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY
FIXED ASSETS:
· Leasehold Improvement
· Computer
· Office Equipment
· Furniture and Fixture
· Vehicles
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.62.24 |
|
|
1 |
Rs.101.81 |
|
Euro |
1 |
Rs.84.88 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Report Prepared
by : |
NIT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
YES |
|
--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 |
|
66 |
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.