MIRA INFORM REPORT

Report Date :

23.01.2013

IDENTIFICATION DETAILS

Name :	SINGH CONSTRUCTION EQUIPMENTS AND MACHINERY PRIVATE LIMITED
Registered Office :	Part of Plot No. 80, Industrial Area, Richhai, Jabalpur – 482001, Madhya Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.01.2011
Com. Reg. No.:	10-025205
Capital Investment / Paid-up Capital :	Rs. 0.100 Million
CIN No.: [Company Identification No.]	U29248MP2011PTC025205
TAN No.: [Tax Deduction & Collection Account No.]	JBPS08134A
PAN No.: [Permanent Account No.]	AAPCS4504B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Construction Equipments such as Concrete Mixer Machines, Mini Mobile Batching Machines, Batching Plants, Hydraulic Mixer Machines, etc.
No. of Employees :	60 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 15000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a company having a moderate track record. It has recorded very minimal profit in its first year of business operation. Financial position of the company appears to be moderate. However, trade relations are reported as fair. Business is active. Payment terms are slow. The company can be considered for business dealings with great caution. Profit and Loss Account of the company is not available.

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.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Sushil Das
Designation :	Manager
Contact No.:	91-9424778644
Date :	17.01.2013

LOCATIONS

Registered Office :	Part of Plot No. 80, Industrial Area, Richhai, Jabalpur – 482001, Madhya Pradesh, India
Tel. No.:	91-761-2681202/ 4078600/ 4044807/ 4044808/ 4044809
Mobile No.:	91-9424778644 (Mr. Sushil Das)
Fax No.:	91-761-2681859
E-Mail :	bardiarahul@gmail.com sceindia@gmail.com
Website :	www.sceindia.in
Location :	Owned

DIRECTORS

AS ON 28.09.2012

Name :	Mr. Mohinder Singh
Designation :	Director
Address :	Singh Engineering Company, Naudra Bridge, Jabalpur – 482001, Madhya Pradesh, India
Date of Birth/Age :	28.01.1950
Date of Appointment :	18.01.2011
DIN No.:	03363023
Name :	Mr. Paramjeet Kaur Chaggar
Designation :	Director
Address :	PC Engineering Works, Adhartal, Jabalpur – 482001, Madhya Pradesh, India
Date of Birth/Age :	27.09.1953
Date of Appointment :	18.01.2011
DIN No.:	03380454

KEY EXECUTIVES

Name :	Mr. Sushil Das
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2012

Names of Shareholders	No. of Shares
Mohinder Singh	5000
Paramjeet Kaur Chaggar	5000
Total	10000

AS ON 29.11.2012

Names of Allottees	No. of Shares
Mohinder Singh	64000
Paramjeet Kaur Chaggar	36000
Total	100000

AS ON 07.12.2012

Names of Allottees	No. of Shares
Mohinder Singh	45000
Paramjeet Kaur Chaggar	95000
Total	140000

AS ON 28.09.2012

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Construction Equipments such as Concrete Mixer Machines, Mini Mobile Batching Machines, Batching Plants, Hydraulic Mixer Machines, etc.
Exports :
Products :	Finished Goods
Countries :	Ø African Countries
Terms :
Selling :	Credit
Purchasing :	Credit

GENERAL INFORMATION

Customers :	End Users and Dealers Ø B.R. Gopal Infrastructure Private Limited
No. of Employees :	60 (Approximately)
Bankers :	Ø Union Bank of India, 1935, Opposite Gulati Petrol Pump, Nagpur Road, Jabalpur – 482002, Madhya Pradesh, India Ø Allahabad Bank, Jabalpur, Madhya Pradesh, India [Tel No.: 91-761-2402654]
Facilities :	--

Banking Relations :	--
Auditors :
Name :	P.C. Bardia and Company Chartered Accountants
Address :	103, Mangalam, Shastri Bridge Road, Napier Town, Jabalpur – 482001, Madhya Pradesh, India
Income-tax PAN of auditor or auditor's firm :	AAFFP1492G
Sister Concern :	P.C. Engineering (Established in 1981)

CAPITAL STRUCTURE

AS ON 28.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
250,000	Equity Shares	Rs. 10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
250,000	Equity Shares	Rs. 10/- each	Rs. 2.500 Millions

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
250,000	Equity Shares	Rs. 10/- each	Rs. 2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,000	Equity Shares	Rs. 10/- each	Rs. 0.100 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		0.100	0.100
2] Share Application Money		2.400	2.400
3] Reserves & Surplus		1.269	(0.105)
4] (Accumulated Losses)		0.000	0.000
NETWORTH		3.769	2.395
LOAN FUNDS
1] Secured Loans
2] Unsecured Loans
TOTAL BORROWING		8.774	1.713
DEFERRED TAX LIABILITIES		0.067	0.051
TOTAL		12.610	4.159
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		7.044	3.231
Capital work-in-progress		0.000	0.000
INVESTMENT		0.125	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	9.962	0.045
	Sundry Debtors	4.304	1.675
	Cash & Bank Balances	1.052	1.004
	Other Current Assets	0.149	0.186
	Loans & Advances	1.108	0.221
Total Current Assets		16.575	3.131
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	9.358	2.163
	Other Current Liabilities	0.640	0.000
	Provisions	1.136	0.040
Total Current Liabilities		11.134	2.203
Net Current Assets		5.441	0.928
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		12.610	4.159

KEY RATIOS

PARTICULARS	31.03.2012	31.03.2011
Debt Equity Ratio (Total Liability/Networth)	5.28	1.64
Current Ratio (Current Asset/Current Liability)	1.49	1.42

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	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
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	No
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	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
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	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	No

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U29248MP2011PTC025205
Name of the company	SINGH CONSTRUCTION EQUIPMENTS AND MACHINERY PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Part of Plot No. 80, Industrial Area, Richhai, Jabalpur – 482001, Madhya Pradesh, India Email: pklamba2002@yahoo.com
This form is for	Creation of charge
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Union Bank of India, 1935, Opposite Gulati Petrol Pump, Nagpur Road, Jabalpur – 482002, Madhya Pradesh, India Email: cbsmadanmahalrojbl@unionbankofindia.com
Nature of description of the instrument creating or modifying the charge	Letter of Continuity (AD-09), DP Note, Memorandum of Deposit of Title deed, Hypothecation of stock / book debts / Movables.
Date of instrument Creating the charge	05.12.2012
Amount secured by the charge	Rs. 13.808 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest 13.25% Terms of Repayment Interest to be paid monthly for CC. Term Loan repayment 52 remaining of Rs 34,651. Margin 25 % Extent and Operation of the charge All goods , stock, plant , machinery , fixture, implements , fitting and other installations , furniture, Vehicles and all article and things both present and future whether installed or not , whether lying loose or in cases at site or in transit and all borrowers present and future, book debts, outstanding monies, receivable, claims, bills contracts, securities , investments, rights and assets of Company . Land measuring 67,500 sq feet at Plot No 85 at Industrial Area Richai, Jabalpur Others The bank shall be absolutely entitled and have full power and authority to sell, assign or transfer in any manner , in whole or in part , and in such manner and on such terms as the bank may decide, including reserving a right to the bank to retain its power to proceed against the company on behalf of the purchaser, assignee or transferee, any or all outstanding dues of the company , to any third party of the Bank's choice without reference to or without written intimation to the company.
Short particulars of the property charged	All Immovable Movable property, Book debts, Receivables by whatever name called belonging to the company. Land and Building on Plot No 85 in Industrial Area Richai measuring 67500 in the name of the company. Personal Guarantee of both the directors and Mrs. Sonia Singh and Mr. Prabhjot Singh.

TRADE REFERENCE:

Ø B.R. Gopal Infrastructure Private Limited

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. 53.51
UK Pound	1	Rs. 84.85
Euro	1	Rs. 71.43

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.