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Report Date : |
17.01.2013 |
IDENTIFICATION DETAILS
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Name : |
SHREE SIL IMPEX
(HK) LTD. |
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Registered Office : |
Unit 8, 9/F., Fu
Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
21.07.2011 |
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Com. Reg. No.: |
58739500 |
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Legal Form : |
Private Limited
Company |
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Line of Business : |
Importer,
Exporter and Wholesaler of All kinds of diamonds and gems. |
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No. of Employees : |
4 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
No Complaints |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
Hong Kong |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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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'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.
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Source : CIA |
SHREE SIL IMPEX (HK) LTD.
Unit 8, 9/F., Fu
Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
PHONE: 2264
2301, 2366 9651
FAX: Not
available
E-MAIL: shreesilimpex@yahoo.com
Managing
Director: Mr. Rajeshbhai Lakshmanbhai
Vithani
Incorporated
on: 21st
July, 2011.
Organization: Private
Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$10,000.00
Business Category: Diamond and Gem Trader.
Employees: 4.
Main Dealing
Banker: The Hongkong & Shanghai
Banking Corp. Ltd., Hong Kong.
Banking
Relation: Satisfactory.
SHREE SIL IMPEX (HK) LTD.
Registered Head Office:-
Unit 8, 9/F., Fu Hang
Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
Associated Companies:-
Cosmopolitan Gems,
Hong Kong.
Shree Siddh Laxmi
Diamonds, Hong Kong.
Shree Siddh Laxmi
Diamonds, India.
58739500
1638941
MANAGEMENT
Managing
Director: Mr. Rajeshbhai Lakshmanbhai
Vithani
Contact
Person: Ms. Chow
Nominal Share
Capital: HK$10,000.00 (Divided into
10,000 shares of HK$1.00 each)
Issued Share
Capital: HK$10,000.00
(As per registry
dated 21-07-2012)
|
Name |
|
No. of shares |
|
Rajeshbhai
Lakshmanbhai VITHANI |
|
10,000 ===== |
(As per registry
dated 06-11-2012)
|
Name (Nationality) |
Address |
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Rajeshbhai
Lakshmanbhai VITHANI |
Flat 8D, 8/F.,
Star Mansion, 3-5 Minden Row, Tsimshatsui, Kowloon, Hong Kong. |
|
Hardik Natvarlal
DONDA |
Flat H, 6/F.,
Star Mansion, 3-5 Minden Row, Tsimshatsui, Kowloon, Hong Kong. |
(As per registry
dated 21-07-2012)
|
Name |
Address |
Co. No. |
|
Buttar.HK Ltd. |
1/F., Mau Lam
Commercial Building, 16-18 Mau Lam Street, Jordan, Kowloon, Hong Kong. |
0975326 |
The subject was
incorporated on 21st July, 2011 as a private limited liability company under the
Hong Kong Companies Ordinance.
Apart from these,
neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and
Wholesaler.
Lines: All kinds of diamonds
and gems.
Employees: 4.
Commodities Imported: India, other Asian countries, Europe, etc.
Markets: Hong Kong, Japan, other
Asian countries, etc.
Terms/Sales: L/C,
T/T, etc.
Terms/Buying: L/C,
advanced T/T, D/P, etc.
Nominal Share Capital:
HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share
Capital: HK$10,000.00
Mortgage or
Charge:-
Date of Mortgage: 13-08-2012
Amount: All moneys
Property: 7/3,442nd parts
or shares of and in Section A of Kowloon Marine Lot No. 113 (Unit 8 on 9/F. of
Fu Hang Industrial Building, 1 Hok Yuen Street, Kowloon, Hong Kong.)
Mortgagee: DBS Bank
(Hong Kong) Ltd., Hong Kong.
Profit or Loss: Made a very small profit in
2012.
Condition: Business is improving.
Facilities: Making fairly active use
of general banking facilities.
Payment: Met
trade commitments as required.
Commercial
Morality: Too early to comment.
Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Dah Sing Bank Ltd., Hong Kong.
Standing: Small.
Having issued
10,000 ordinary shares of HK$1.00 each, Shree Sil Impex (HK) Ltd. is wholly
owned by Mr. Rajeshbhai Lakshmanbhai Vithani who is an Indian. He is a Hong Kong ID Card holder and has got
the right to reside in Hong Kong permanently.
He is also the only director of the subject.
Business commenced
in July 2011, the subject is a diamond importer, exporter and wholesaler. It is trading in loose, polished and cut
diamonds. Most of the commodities are
imported from India. It is also trading
in gemstones and loose diamonds like marquise, pears, tappers, buggets and rose
cut, round brilliant, single cut and fancy cut, etc. Prime markets are Hong Kong, Japan and
other Asian countries. Business is
improving.
Besides operating
the subject, Vithani also operates another firm Cosmopolitan Gems in Hong
Kong. However, this firm is located at
Room 1601, 16/F., Star Mansion, Mody Road, 3-5 Minden Row, Tsimshatsui,
Kowloon, Hong Kong. Cosmopolitan Gems
chiefly trading in single-cut diamonds, polished white diamonds, full cut
diamonds, black diamonds, and other types of loose diamonds, etc.
The subject’s
business is chiefly handled by Vithani himself.
History in Hong Kong is just over eight months.
Besides
Cosmopolitan Gems, the subject has had another associated company Shree Siddh
Laxmi Diamonds [SSLD] in India. SSLD
also has an office in Hong Kong located at the same address as the subject.
Another CEO of the
subject Hardik Donda is also an Indian.
The history of the
subject in Hong Kong is over a year and six months. It operates from a self-owned office in Hong
Kong.
On the whole, since
the history of the subject is short in Hong Kong, consider it good for normal
business engagements on L/C basis for the time being.
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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The diamond jewellery industry in India today may be more than Rs 60000
mil and is rated amongst the fastest growing in the world. Indi ranks
third in the world in domestic diamond consumption.
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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 –
DIAMOND SAGA –
DIRTY DOZEN STUCK WITH 2K CR DEBT
This could be the biggest credibility crisis
the Indian diamond industry has ever faced. Fifteen banks run the risk of
losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two
months ago, they had not repaid these dues. Bankers believe many diamantaires
borrowed money during the economic downturn two years ago and diverted funds to
businesses like real estate and capital markets. Many of themselves made money
from these businesses but their diamond companies have gone sick and declared
insolvency.
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Most of the money borrowed from the banks in the name of their diamond
business has been diverted in real estate and the share market. The banks are
not in a position to seize their properties because in many cases, these were
purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.82 |
|
|
1 |
Rs.87.9 |
|
Euro |
1 |
Rs.72.83 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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 |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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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.