MIRA INFORM REPORT

 

 

 

Report Date :

04.02.2013

 

IDENTIFICATION DETAILS

 

Name :

CITY LIFT INDIA LIMITED

 

 

Registered Office :

301/A, 3rd Floor, Patel Terrace, Pump House, Jija Mata Marg, Andheri (East), Mumbai- 400093, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.1999

 

 

Date of Incorporation :

18.05.1985

 

 

Com. Reg. No.:

11-36263

 

 

Capital Investment / Paid-up Capital :

Rs. 45.690 Millions

 

 

Legal Form :

A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

To manufacture, imports, buy, sell, distribute, export and carry on business in general, either directly or by means, and deal in elevators, escalators, hoists, cranes and part thereof and accessories thereto, and also to transports  Furnish, mount, install, repair, maintain and inspect all the automation machinery and equipments

 

 

No. of Employees :

40 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

C (7)

 

RATING

STATUS

PROPOSED CREDIT LINE

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

Status :

Poor

 

 

Payment Behaviour :

--

 

 

Litigation :

Unknown

 

 

Comments :

Though subject is publicly listed company, it is passing through difficult times. The company’s profitability is under severe pressure.

 

The company can be considered for any business dealing on fully safe and secured  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 – 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

 

 

LOCATIONS

 

Registered Office :

301/A, 3rd Floor, Patel Terrace, Pump House, Jija Mata Marg, Andheri (East), Mumbai- 400093, Maharashtra, India

Tel. No.:

91-22-28365989/ 9661

Fax No.:

91-22-28325065

E-Mail :

clil@bom3.vsnl.net.in

 

 

Corporate Office :

48-A , Kheravi Road, Sakinaka, Mumbai – 400072, Maharashtra, India

 

 

Factory 1 :

A-121, Ansa Industrial Estate, Saki Vihar Road, Mumbai – 400 072, Maharashtra, India

Tel. No.:

91-22-8365989/ 8521962/ 8369661/ 5821592/ 8520134/ 8383452/ 8225252/ 8520623/ 5821018

Fax No.:

91-22-8325065

 

 

Factory 2 :

Plot B 74, Road No. 33, Wagle Industrial Estate, Thane 400604, Maharashtra, India

Tel. No.:

91-22-28365989

Fax No.:

91-22-28325065

 

 

Factory 3 :

J- 207, Tarapur Industrial Area, Tarapur, District – Thane, Maharasthra

 

 

Branches :

·         Banglore  -  Chandrapur

·         Hyderabad – Noida

·         Jabalupur – Indore

·         Vishakhapatyan—Bhopal

 

 

DIRECTORS

 

Name :

Mr. V. Rajagopalan

Designation :

Managing Director

Address :

304/A, Panchsheel Apartment, Sir M. V. Road, Andheri (East), Mumbai -400093, Maharashtra, India

Date of Birth/Age :

06.08.1948

Date of Appointment :

18.05.1985

 

 

Name :

Mr. Navin Rajagopalan

Designation :

Director

Address :

304/A, Panchsheel Apartment, Sir M. V. Road, Andheri (East), Mumbai -400093, Maharashtra, India

Date of Birth/Age :

08.03.1980

Date of Appointment :

25.03.2000

 

 

Name :

Mr. Rajesh P. Joshi

Designation :

Director

Address :

Opposite Ramvilla, Sishy Mandir, Danda Baug, Bhuj, Kutch – 370001, Guajrat, India

Date of Birth/Age :

22.06.1964

Date of Appointment :

12.08.2000

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on:

 

Names of Shareholders

 

No. of Shares

Madhu K. Shah

 

6720

V. Rajagoplan

 

9100

Mukta Dedhia

 

10000

Kumud Dedhia

 

10000

Madhu K. Shah

 

10400

Nitin Dedhia

 

15000

Ketan Dedhia

 

15000

K. K. Shah

 

65000

Bhasker M. Pai

 

20000

Sushila Rajagopalan

 

20000

Total

 

181220

 

 

BUSINESS DETAILS

 

Line of Business :

To manufacture, imports, buy, sell, distribute, export and carry on business in general, either directly or by means, and deal in elevators, escalators, hoists, cranes and part thereof and accessories thereto, and also to transports  Furnish, mount, install, repair, maintain and inspect all the automation machinery and equipments

 

 

Products :

·         Elevator

·         Cables

 

 

GENERAL INFORMATION

 

Suppliers :

·         G. K. W. Limited

·         S. K. Enterprises

·         Industrial Corporate services

·         Industrial Construction India

·         Shree Vidhya Electrics

·         Shree Steels

 

 

Customers :

·         Cary Home Private Limited

·         Patil Groups

·         Southern Star construction

·         Ajit Construction

·         Hotel Gvard

·         Tehajdari Rubber Limited

·         Atul Reality Private Limited

 

 

No. of Employees :

40 (Approximately)

 

 

Bankers :

·         Bank of India

·         Veeraghaiva Co-Operative Bank

 

 

Banking Relations :

--

 

 

Auditors :

Badhniwall, Suvarna, Kawasia and Associate

Chartered Accountants

Address:

80E, Mulji Mistry Building, 61, Tejpal Road, Vile Pane  (East), Mumbai- 57, Maharastra, India

Tel. No.:

91-22-28373621

 

 

Sister Concern :

City Lifts and Engineering Company Private Limited

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

5000000

Equity Share

Rs. 10 each

Rs. 50.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4596357

Equity Share

Rs. 10 each

Rs. 45.963 millions

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.1999

31.03.1998

SHAREHOLDERS FUNDS

 

 

1] Share Capital

45.690

45.690

3] Reserves & Surplus

17.364

38.771

NETWORTH

63.054

84.461

LOAN FUNDS

 

 

1] Secured Loans

30.572

30.931

2] Unsecured Loans

1.770

1.983

TOTAL BORROWING

32.342

32.914

DEFERRED TAX LIABILITIES

 

 

 

 

 

TOTAL

95.396

117.375

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

FIXED ASSETS [Net Block]

48.809

51.378

Capital work-in-progress

 

 

 

 

 

INVESTMENT

0.050

0.050

DEFERREX TAX ASSETS

 

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

Inventories

17.203

20.380

 

Sundry Debtors

38.338

55.546

 

Cash & Bank Balances

0.908

1.059

 

Loans & Advances

8.562

9.543

Total Current Assets

65.010

86.528

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

Current Liabilities and Provisions

20.567

23.085

Total Current Liabilities

20.567

23.085

Net Current Assets

44.442

63.443

 

 

 

PRELIMINATYH  EXPENSES

1.988

2.399

PRE OPERTATING EXPENSES

0.105

0.105

 

 

 

TOTAL

95.396

117.375

 


PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

 

31.03.1999

31.03.1998

Sales Turnover [including other income]

 

8.072

31.625

 

 

 

 

Profit/(Loss) Before Tax

 

(9.714)

(2.905)

Provision for Taxation

 

--

--

Profit/(Loss) After Tax

 

(9.714)

(2.905)

 

 

 

 

Total Expenditure

 

17.787

34.531

 

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.1999

31.03.1998

PAT / Total Income

(%)

 

--

(9.185)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

 

--

(9.185)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

 

(8.530)

(2.105)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

 

(0.154)

(0.034)

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

 

(0.839)

(0.663)

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

 

(3.160)

(3.748)

 

 

LOCAL AGENCY FURTHER INFORMATION

 

During the year sales and other income has further gone down due to severe recession in the construction industry which affected the demand for new elevators sales are manly of replacement of spare parts.

 

In the current year some sign of improvement is seen in construction in industry and in market conditions. Directors are hopeful to achieve satisfactory results in the current year.

 

Fixed Assets:

Land Furniture and Fixtures, Building , Premises, Plant and Machinery , Office Equipments, Vehicles, Computers.

 

 


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]         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.53.32

UK Pound

1

Rs.84.60

Euro

1

Rs.72.63

 

 

INFORMATION DETAILS

 

Report Prepared by :

VRN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

2

OPERATING SCALE

1~10

--

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

2

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

--

--LEVERAGE

1~10

--

--RESERVES

1~10

--

--CREDIT LINES

1~10

--

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--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

YES

--OTHER MERIT FACTORS

YES/NO

NO

TOTAL

 

7

 

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.