MIRA INFORM REPORT

 

 

Report Date :

18.02.2013

 

IDENTIFICATION DETAILS

 

Name :

EMKAY  INDUSTRIES  (H.K.)  LTD.

 

 

Registered Office :

18/F., Crocodile Centre, 79 Hoi Yuen Road, Kwun Tong, Kowloon

 

 

Country :

Hong Kong.

 

 

Date of Incorporation :

17.10.1975

 

 

Com. Reg. No.:

04551526

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer, Exporter and wholesaler of all kinds of garments

 

 

No. of Employees :

35.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaint

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

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'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 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the 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 28 million in 2011, 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 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% 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. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. 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

 

 


 

COMPANY NAME & ADDRESS

 

EMKAY  INDUSTRIES  (H.K.)  LTD.

 

ADDRESS:             18/F., Crocodile Centre, 79 Hoi Yuen Road, Kwun Tong, Kowloon, Hong Kong.

 

PHONE:                  3760 7100

 

FAX:                       2357 4010

 

E-MAIL:                  rosa@emkay-hk.com

nilesh@emkay-hk.com

 

MANAGEMENT

 

Managing Director:  Mr. Murli Khushiram Sajnani

 

SUMMARY

 

Incorporated on:              17th October, 1975.

 

Organization:                  Private Limited Company.

 

Capital:                          Nominal:             HK$1,428,500.00

                                Issued:                HK$1,428,500.00

 

Business Category:         Importer, Exporter and wholesaler.

 

Annual Turnover:           HK$80~85 million.

 

Employees:                   35.

 

Main Dealing Banker:    CITIC Bank International Ltd., Hong Kong.

 

Banking Relation:          Satisfactory.


 

COMPANY ADDRESS

 

Registered Head Office:-

18/F., Crocodile Centre, 79 Hoi Yuen Road, Kwun Tong, Kowloon, Hong Kong.

 

Mailing Address:  G.P.O. Box 4830, Hong Kong.

 

Associated Companies:-  (Same address)

Kenvelo (HK) Ltd., Hong Kong.

Million International Ltd., Hong Kong.

Ontrend (H.K.) Ltd., Hong Kong.

 

BUSINESS REGISTRATION NUMBER

 

04551526

 

COMPANY FILE NUMBER

 

 0044527

 

MANAGEMENT

 

Managing Director:  Mr. Murli Khushiram Sajnani

Contact Person:  Mr. Tommy Hung

 

CAPITAL

 

Nominal Share Capital: HK$1,428,500.00 (Divided into 14,285 shares of HK$100.00 each)

 

Issued Share Capital: HK$1,428,500.00

 

SHAREHOLDERS

(As per registry dated 30-11-2012)

Name

 

No. of shares

Murli Khushiram SAJNANI

 

5,000

Asha Murli SAJNANI

 

5,000

Kellerton Group Ltd.

Quastisky Building, P.O. Box 4389, Road Town, Tortola, British Virgin Islands.

 

4,285

 

 

––––––

 

Total:

14,285

=====

 

DIRECTORS  

(As per registry dated 17-10-2012)

Name

(Nationality)

 

Address

Murli Khushiram SAJNANI

Flat D, 5/F., Hong Kong Garden, 8 Seymour Road, Hong Kong.

 

Nilesh Murli SAJNANI

Flat D, 5/F., Hong Kong Garden, 8 Seymour Road, Hong Kong.

 

SECRETARY 

(As per registry dated 17-10-2012)

Name

Address

Co. No.

Edtoma Secretarial Services Ltd.

Suite 1201, 12/F., Tower 2, The Gateway, 25 Canton Road, Tsimshatsui, Kowloon, Hong Kong.

534483

 

HISTORY

 

The subject was incorporated on 17th October, 1975 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject was located at 11/F., Rays Industrial Building, 71 Hung To Road, Kwun Tong, Kowloon, Hong Kong, moved to the present address with effect from 5th August, 2010.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

OPERATIONS

 

Activities:                Importer, Exporter and wholesaler.

 

Lines:                     All kinds of garments.

 

Brand Names:         John Stevens, JS Jeans, etc.

 

Employees:             35.

 

Materials/Commodities: Imports raw materials from European countries, some Asian countries and finished products from China.

 

Markets:                 Europe, Scandinavia, US, Asian countries, etc.

 

Annual Turnover:      HK$80~85 million.

 

Terms/Sales:          L/C or as per contracted.

 

Terms/Buying:        L/C, T/T, D/A, etc.

 

FINANCIAL INFORMATION

 

Nominal Share Capital: HK$1,428,500.00 (Divided into 14,285 shares of HK$100.00 each)

 

Issued Share Capital: HK$1,428,500.00

 

Alternation of Capital:-

Initially

paid up

HK$1,000,000.00

December 2012

paid up

HK$   428,500.00

 

 

–––––––––––––––

Total:

paid up

HK$1,428,500.00

=============

 

Increases of Nominal Capital:-

From

HK$1,000,000.00

to

HK$1,428,500.00

in

December 2012

 

Mortgage or Charge:        (See attachment)

 

Profit & Loss:                 Maintaining a small profit every year.

 

Condition:                       Keeping in an active condition.

 

Facilities:                       Making active use of general banking facilities.

 

Payment:                       Met trade commitments on time.

 

Commercial Morality:    Satisfactory.

 

Bankers:-

CITIC Ka Wah Bank Ltd., Hong Kong.
[Now known as CITIC Bank International Ltd.]

DBS Bank (Hong Kong) Ltd., Hong Kong.

HBZ Finance Ltd., Hong Kong.

Indian Overseas Bank, Hong Kong Branch.

Shanghai Commercial Bank Ltd., Hong Kong.

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

UCO Bank, Hong Kong Branch.

 

Standing:  Good.

 

GENERAL

 

Had issued 10,000 ordinary shares of HK$100.00 each, Emkay Industries (H.K.) Ltd. was equally owned by Mr. Murli Khushiram Sajnani and Mrs. Asha Murli Sajnani.  The subject issued 4,285 more shares which have been allotted to a BVI-registered firm Kellerton Group Ltd. [Kellerton].  Now, the subject is jointly held by Mr. Murli Khushiram Sajnani, holding 35%, Mrs. Asha Murli Sajnani, also 35%; Kellerton, 30%.

Being Indian, the first and second shareholders have been in Hong Kong for a very long time as they have got the right to reside in Hong Kong permanently.  The directors of the subject are Murli Khushiram Sajnani and Nilesh Murli Sajnani.  They belong to the same family.

The subject is a garment trader.  It has had three associated companies located at its operating address, namely, Ontrend (H.K.) Ltd., Million International Ltd. and Kenvelo (HK) Ltd., all are Hong Kong-registered firms.  These three firms are engaged in the same lines of business as the subject.

The subject moved to the present new address in August 2010.

The subject has got an affiliated garment manufacturing factory in Ningbo City, Zhejiang Province, China.  However, details of the factory are unknown.

Currently, the subject is trading in the following commodities:-

·         Belt – Imitation Leather;

·         Belt – Textile;

·         Belts;

·         Blouses;

·         Clothing Accessories;

·         Coats;

·         Dress Gloves;

·         Dresses and Skirts;

·         Imitation / Costume Jewellery;

·         Imitation / Costume Jewellery and Hair Ornament;

·         Knitted Garments;

·         Knitwear;

·         Other Children’s Wear;

·         Scarves;

·         Sport Shirts;

·         Suits and Jackets – Men’s;

·         Suits and Jackets – Women’s;

·         Sweat Shirts;

·         Tee-Shirts (Men’s, Women’s and Children’s);

·         Trousers and Slacks;

·         Underwear – Children’s;

·         Underwear – Men’s;

·         Underwear – Women’s; &

·         Underwear and Nightwear.

Products, manufactured by its affiliated factory in China or sourced from the other China suppliers, are exported to India, the United States, Europe, Scandinavia, Africa, etc.  Business is rather active.  One of the subject’s US customers is 4You America LLC.  This firm is in New York, the United States.

The contact person of the subject Mr. Tommy Hung is an employee of the subject.  Being a Hongkongnese, he is the senior merchandiser of the subject.

Annual sales turnover of the subject ranges from HK$80 to 85 million.  Regular suppliers and overseas clients have been maintained.  Making a small profit every year.

On the whole, since the history of the subject in Hong Kong is over thirty‑seven years, consider it good for normal business engagements.

 

REMARKS

 

Property information of the company:-

1.     Property Location:       Flat D on 5/F. and Car Park Space Nos. 14 & 14A on 3rd Car Port Floor, Hong Kong Garden, 8 Seymour Road, Hong Kong.

Owner:     Emkay Industries (H.K.) Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

10-12-2004

-

HBZ Finance Ltd., Hong Kong.

Mortgage to secure general credit facilities

 

2.     Property Location:       Flat C on 7/F. and Car Park Space Nos. 25 & 25A on 3rd Car Port Floor, Hong Kong Garden, 8 Seymour Road, Hong Kong.

Owner:     Emkay Industries (H.K.) Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

14-12-2007

-

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Mortgage to secure general banking facilities granted to Emkay Industries (H.K.) Ltd., Ontrend (H.K.) Ltd. and Million International Ltd.

 

3.  Property Location:              Apartment C on G/F. and Car Parking Space No. 41, Alpine Court, 12 Kotewall Road, Hong Kong.

Owner:     Emkay Industries (H.K.) Ltd.

Date of Purchase:  n.a.

Purchased Price:  n.a.

Incumbrances:-

Date of Mortgage

Amount Consideration

Mortgagee

Nature

29-12-2008

-

The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Mortgage to secure general banking facilities granted to Emkay Industries (H.K.) Ltd., Ontrend (H.K.) Ltd. and Million International Ltd.

 


MORTGAGE OR CHARGE

 

Date

Particulars

Amount

10-12-2004

Instrument:      Mortgage

Property:

31/3,416th parts or shares of and in Inland Lot No. 1409 (Flat D on 5/F. and Car Park Space Nos. 14 & 14A on 3rd Car Port Floor of Hong Kong Garden, 8 Seymour Road, Hong Kong.)

Mortgagee:      HBZ Finance Ltd., Hong Kong.

To secure all moneys in respect of general credit facilities

06-07-2007

Instrument:      Assignment of DC Proceeds re export bills restricted to other banks for negotiation/payment

Property:

By way of assignment or agreement to assign in each case as beneficial owner.  All monies in any currency representing proceeds payable or to be paid to the Customer under the Documentary Credits, all the Customer’s right, title and interest in the said Documentary Credits and the benefit of all powers and remedies for enforcing the Documentary Credits

Mortgagee:      The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

All loans or other advances made or to be made by the Bank to the Customer against documents submitted under a Documentary Credit, all monies and liabilities in any currency owing by the Customer to the Bank at any time, whether separately or jointly, actually or contingently, present or future, interest on all loans and advances and such monies and all expenses of the Bank in perfecting or enforcing the Assignment

14-12-2007

Instrument:      Mortgage

Property:

31/3,416th parts or shares of and in Inland Lot No. 1409 (Flat C on 7/F. and Car Park Space Nos. 25 & 25A on 3rd Car Port Floor of Hong Kong Garden, 8 Seymour Road, Hong Kong.)

Mortgagee:      The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

To secure all sums from time to time advanced by The Hongkong & Shanghai Banking Corp. Ltd. to Emkay Industries (H.K.) Ltd., Ontrend (H.K.) Ltd. and Million International Ltd. [the Borrowers]

30-07-2008

Instrument:      Lien and Set-Off Agreement

Property:

Fixed Depsoit Receipt No.:         DFN0071338
Value Date:                               30-07-2008
Principal Amount:                      HK$3,000,000
Maturity Date:                            30-10-2008

Mortgagee:      HBZ Finance Ltd., Hong Kong.

Loans, credit financial accommodation and facilities

29-12-2008

Instrument:      Mortgage

Property:

1/49th part or share of and in The Remaining Portion of Inland Lot No. 932 (Apartment C on G/F. and Car Parking Space No. 41 of Alpine Court, 12 Kotewall Road, Hong Kong.)

Mortgagee:      The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

To secure all moneys in respect of general banking facilities granted to Emkay Industries (H.K.) Ltd., Ontrend (H.K.) Ltd. and Million International Ltd.

17-08-2010

Instrument:      Assignment of Life Insurance

Property:

1)  All the Assignor’s claims under the Insurance:

Insurance Policy No: 28002548

Name of Insurance Co.: HSBC Life (International) Ltd.

Name of the Insured: Mr.Nilesh Murli Sajnani

Assignor / Policy Owner: Emkay Industries (H.K.) Ltd.

2)   All the Assignor’s claims against the issuer of the Policy

Mortgagee:      The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

(i) All and any monies in any currency owing by the Assignor to the Bank (ii) interest on such monies (iii) all monies paid by the Bank in respect of the Policy

19-12-2012

Instrument:      Undertaking Relating to Deposits

Property:

1)   Distinctive No. of Receipt:  2012 FD 305 1

Date of Receipt:  04-12-2012

Amount of Deposit:  US$48,000

Rate of Interest:  0.780%

Maturity Date of Deposit:  03-06-2013

2)   Distinctive No. of Receipt:  2012 FD 306 1

Date of Receipt:  05-12-2012

Amount of Deposit:  US$463,979.40

Rate of Interest:  0.780%

Maturity Date of Deposit:  03-06-2013

Mortgagee:      Indian Overseas Bank, Hong Kong Branch.

All and any liabilities, sole or joint, actual or contingent, quantified or not, now or hereafter owing or incurred to the Bank by the Company or any third party designated by the company

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.98

UK Pound

1

Rs.83.72

Euro

1

Rs.72.08

 

INFORMATION DETAILS

 

Report Prepared by :

NLM

 

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 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%)

 

 

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.