MIRA INFORM REPORT

Report Date :

08.01.2013

IDENTIFICATION DETAILS

Name :	MEHTA MEDICARE PRIVATE LIMITED
Registered Office :	303-C, Elgin Chambers, 1/A, Ashutosh Mukherjee Road, Kolkata – 700020, West Bengal
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	24.06.1996
Com. Reg. No.:	21-080161
Capital Investment / Paid-up Capital :	Rs.1.417 Millions
CIN No.: [Company Identification No.]	U24231WB1996PTC080161
TAN No.: [Tax Deduction & Collection Account No.]	MUMM20388E
PAN No.: [Permanent Account No.]	AACCM0107F
Legal Form :	Private Limited Liability Company
Line of Business :	Dealers and Suppliers of Pharmaceuticals Raw Material, Bulk Drugs, Excipients and Chemicals.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (38)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 44200
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The latest financial of the company are not made available. As per previous year’s record, the performance capacity appears good but the financial strength seems to be moderate. However, trade relations are reported as fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings with some caution.

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

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 :	303-C, Elgin Chambers, 1/A, Ashutosh Mukherjee Road, Kolkata – 700020, West Bengal, India
Tel. No.:	91-33-24767882/ 30587883
Fax No.:	91-33-24767883/ 24767882
E-Mail :	ndrvm@cal2.vsnl.net.in ndrvm@ricmail.com
Website :	www.mehtamedicare.com
Branch Office:	501, Sai Chamber, Near Bus Depot, Santacruz (East), Mumbai – 400055, Maharashtra, India
Tel. No.:	91-22-26121512/ 26120903/ 26121106
Fax No.:	91-22-26121109
E-mail.:	info@mehtamedicare.com

DIRECTORS

(AS ON 29.09.2011)

Name :

Mr. Viren Narottam Mehta

Designation :

Director

Address :

129/1, Bakul Bagan Road, Kolkata – 700025, West Bengal, India

Date of Birth/Age :

05.05.1962

Date of Appointment :

24.06.1996

DIN No.:

01375941

Name :

Mr. Narottam Chunilal Mehta

Designation :

Director

Address :

129/1, Bakul Bagan Road, Kolkata 700025, West Bengal, India

Date of Birth/Age :

30.10.1930

Date of Appointment :

24.06.1996

DIN No.:

00291984

Name :

Mr. Dipak Narottam Mehta

Designation :

Whole-time director

Address :

302, Nisarg Apartment, Besant Road, Vileparle [West], Mumbai 400056, Maharashtra, India

Date of Birth/Age :

17.10.1956

Date of Appointment :

24.06.1996

DIN No.:

00451362

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U24231GJ1986PTC009168	RATNA NICO CHEM PVT LTD	Director	11/06/1994	11/06/1994	Active	NO
2	U24231WB1996PTC080161	MEHTA MEDICARE PVT.LTD.	Whole-time director	24/06/1996	24/06/1996	Active	NO

Name :

Mr. Gaurav Dipak Mehta

Designation :

Whole-time director

Address :

302, Nisarg Apartment, Besant Road, Vileparle [West], Mumbai 400056, Maharashtra, India

Date of Birth/Age :

19.07.1981

Date of Appointment :

01.04.2000

DIN No.:

00451568

Name :

Mr. Bhavish Deepak Mehta

Designation :

Director

Address :

302, Nisarg Apartment, Besant Road, Vileparle [West], Mumbai 400056, Maharashtra, India

Date of Birth/Age :

10.11.1983

Date of Appointment :

01.04.2000

DIN No.:

00451684

Name :

Mr. Rajen Narottam Mehta

Designation :

Director

Address :

129/1, Bakul Bagan Road, Kolkata 700025, West Bengal, India

Date of Birth/Age :

24.09.1960

Date of Appointment :

24.06.1996

DIN No.:

01375963

Name :

Mr. Namresh Rajen Mehta

Designation :

Director

Address :

129/1, Bakul Bagan Road, Kolkata 700025, West Bengal, India

Date of Birth/Age :

24.05.1986

Date of Appointment :

04.01.2007

PAN No.:

ALJPM6143J

DIN No.:

00292229

Name :

Ms. Arpit Viren Mehta

Designation :

Additional Director

Address :

129/1, Bakul Bagan Road, Kolkata 700025, West Bengal, India

Date of Birth/Age :

04.08.1988

Date of Appointment :

01.04.2011

DIN No.:

01375910

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U74900WB2009PTC133907	VAIKUNTH COMMOTRADE PRIVATE LIMITED	Director	13/04/2009	13/04/2009	Under Process of Striking off	NO
2	U24231WB1996PTC080161	MEHTA MEDICARE PVT.LTD.	Additional director	01/04/2011	01/04/2011	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2011)

Shareholding details file attached

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Dealers and Suppliers of Pharmaceuticals Raw Material, Bulk Drugs, Excipients and Chemicals.

Products :

Products Description	Item Code No.
Calcium	283526.01
Glutanic Acid	292242.09
Other Anti Biotics	300320.00

GENERAL INFORMATION

Customers :

· Merck Limited

· Dabur India Limited

· Albert David Limited

· Bengal Chemicals and Pharma Limited

· Concept Pharmaceuticals Limited

· Shree Baidyanath Ayurved Bhavan Limited

No. of Employees :

Not Available

Bankers :

· Punjab National Bank,

B.O. Kalighat, Kali Temple Road, Kolkata – 700026, West Bengal, India.

· State Bank of Saurashtra,

Bhovanipore Branch, Ashutosh Mukherjee Road, Kolkata – 700020, West Bengal, India.

Facilities :

Secured Loan	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
From LIC (Against L.I. Policy of director)	0.415	0.415
From Kotak Mahindra Bank (Secured against Hypothecation of Car)	0.385	0.000
From Standard Chartered Bank (Secured by a first mortgage on all stocks and book debts and equitable mortgage of commercial property owned by two of the directors of thee company and fixed deposits liened to the facilities and personally guaranteed by certain Directors of the Company)	22.304	0.000
Total	23.104	0.415
Unsecured Loan	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
From Directors	12.107	12.401
From Relatives of Directors	16.117	15.328
From Companies	6.648	6.648
From Shareholders	13.030	11.686
Total	47.902	46.063

Banking Relations :	--
Auditors :
Name :	Ghosh and Pande Chartered Accountant
Address :	Mercantile Building, Block – A, Room No. 59, 9, Lalbazar Street, 2^nd Floor, Kolkata – 700001, India
Tel. No.:	91-33-2230-4638/4852/2731
Fax No.:	91-33-2230-4852/ 2231-2731
E-Mail :	goshpande@yahoo.com gpca@vsnl.net
PAN.:	AACFG09080H

CAPITAL STRUCTURE

(AS ON 29.09.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
141700	Equity Shares	Rs.10/- each	Rs.1.417 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		1.417	1.417	1.412
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		9.626	8.245	6.904
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		11.043	9.662	8.316
LOAN FUNDS
1] Secured Loans		23.104	0.415	0.515
2] Unsecured Loans		47.902	46.063	40.035
TOTAL BORROWING		71.006	46.478	40.550
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		82.049	56.140	48.866
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.922	2.542	1.957
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.005	0.005	0.005
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	29.131	15.877	19.372
	Sundry Debtors	162.791	121.538	139.759
	Cash & Bank Balances	2.110	2.136	0.516
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	7.860	6.080	8.145
Total Current Assets		201.892	145.631	167.792
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000	0.000
	Other Current Liabilities	122.638	91.866	118.560
	Provisions	0.132	0.172	2.328
Total Current Liabilities		122.770	92.038	120.888
Net Current Assets		79.122	53.593	46.904
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		82.049	56.140	48.866

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL (A)	NA	NA	NA
	EXPENSES
		TOTAL (B)	NA	NA	NA
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		10.534	9.126	8.585
Less	FINANCIAL EXPENSES (D)		7.984	6.763	5.786
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.550	2.363	2.799
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.369	0.291	0.277
	PROFIT BEFORE TAX (E-F) (G)		2.181	2.072	2.522
Less	TAX (H)		0.800	0.731	1.203
	PROFIT AFTER TAX (G-H) (I)		1.381	1.341	1.319
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		8.245	6.904	5.585
	BALANCE CARRIED TO THE B/S		9.626	8.245	6.904
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. value of Exports	0.436	0.074	0.188
	TOTAL EARNINGS		0.436	0.074	0.188
	Earnings Per Share (Rs.)		10.00	9.46	9.34

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Return on Total Assets (PBT/Total Assets}	(%)	1.06	1.39	1.48
Return on Investment (ROI) (PBT/Networth)		0.19	0.21	0.30
Debt Equity Ratio (Total Liability/Networth)		17.54	14.33	19.41
Current Ratio (Current Asset/Current Liability)		1.64	1.58	1.38

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	Yes
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	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	No
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	Yes
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	No
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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

CONTINGENT LIABILITIES

Particulars	31.03.2011	31.03.2010
	(Rs. In Millions)
Sales Tax Demand Disputed in appeal	0.213	0.213

FORM 8

Corporate identity number of the company	U24231WB1996PTC080161
Name of the company	MEHTA MEDICARE PVT.LTD.
Address of the registered office or of the principal place of business in India of the company	1A, Ashutosh, Mukherjee Road, Kolkata – 700020, West Bengal, India Email Id : ndrvm@ricmail.com
This form is for	Modification of charge
	10221167
Type of charge	Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Standard Chartered Bank, SME Credit, Crescenzo, 3A/F, Plot No. C-38 and 39, G Block, Bandra-Kurla Complex, Bandra East, Mumbai – 400051, Maharashtra, India Email Id : sme.form8@sc.com
Nature of instrument creating charge	Hypothecation Agreement - Supplemental
Date of instrument Creating the charge	01/06/2012
Amount secured by the charge	Rs.57.000 Millions
Brief of the principal terms and conditions and extent and operation of the charge	Rate of Interest As agreed by and with the Bank from time to time. Terms of repayment As agreed by and with the Bank from time to time Margin As applicable, if any Extent and operation of the charge The Bank is having first and exclusive charge on the security given by the Company
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation by way of first and exclusive charge on: a) All the stock in trade both present and future consisting of raw materials, finished goods, goods in process of manufacturing and other merchandise. b) All the present and future book debts, outstanding moneys receivable, claims and bills.
Particulars of the present modification	The existing charge amt of Rs.40.000 Millions enhanced to Rs.57.000 Millions and secured against Hypothecation by way of first and exclusive charge on: a) All the stock in trade both present and future consisting of raw materials, finished goods, goods in process of manufacturing and other merchandise. b) All the present and future book debts, outstanding moneys receivable, claims and bills.

FIXED ASSETS

· Air Conditioner

· Electrical Equipments/ Fittings

· E.P.B.X.

· Office Equipment

· Aquaguard

· Fax Machines

· Fan

· Mobile Phone

· Furniture and Fixtures

· Car

· Tempo

· Television

· 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 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.54.98
UK Pound	1	Rs.88.11
Euro	1	Rs.71.67

INFORMATION DETAILS

Report Prepared by :

NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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
TOTAL		38

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.