MIRA INFORM REPORT

Report Date :

03.07.2013

IDENTIFICATION DETAILS

Name :	VENUS WIRE INDUSTRIES PRIVATE LIMITED
Registered Office :	19, Raghuvanshi Mills Compound, S. B. Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	15.03.1990
Com. Reg. No.:	11-055812
Capital Investment/ Paid-up Capital:	Rs.5.904 millions
CIN No.: [Company Identification No.]	U31300MH1990PTC055812
TAN No.: [Tax Deduction & Collection Account No.]	MUMV04136G
PAN No.: [Permanent Account No.]	AAACV1421F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Stainless Steel Wire, Bars and Bright wire and Bars.
No. of Employees:	700 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (35)

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

Maximum Credit Limit :	USD 1980000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The management has failed to file its financials i.e. 2010-11 and 2011-12 with the government department. Management remains non-cooperative denied to part any information about the company. However, as per previous year’s, the company seems to have high performance capability. Financially the company seems to be healthy. Trade relations are reported as fair. Business is active. Payments are unknown. The company can be considered for business dealings with slight caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	A3+ (Short term bank facilities)
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	07.12.2012

Rating Agency Name	CARE
Rating	BBB (Long term bank facilities)
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	07.12.2012

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 :	Ms. Anita
Designation :	Company Secretary
Contact No.:	91-22-24978840
Date :	02.07.2013

LOCATIONS

Registered Office :	19, Raghuvanshi Mills Compound, S. B. Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India
Tel. No.:	91-22-24978840 / 30451000 / 24978839 / 30451001
Fax No.:	91-22-24978846 / 66459735 / 30451045
E Fax No. (Mumbai):	91-22-66459735
E Fax No. (USA):	+ 001 208 4391355
E Fax No. (Germany):	+49 1805 48201 51388
E-Mail :	sales@venuswires.com amarbafna@hotmail.com accouts@venuswires.com venuswires@venuswires.com
Website :	www.venuswires.com
Area :	16000 Sq. fts
Location :	Owned
Factory / Sales Office :	Atkargaon, Takai -Adoshi, Khopoli – 410 203, Maharashtra, India
Tel. No.:	91-2192-304800 / 263404 / 262612
Fax No.:	91-2192-268873 / 304850
E-Mail :	grsanghvi@venuswires.com haresh@venuswires.com rkg@venuswires.com shipping@venuswires.com documents@venswires.com support@venuswires.com jscott@venusstainless.com
Area :	7.5 Acres
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Babulal Parasmal Bohra
Designation :	Director
Address :	401, Chetana Apartment, Bharat Nagar, Grant Road, Mumbai – 400 007, Maharashtra, India
Date of Birth/Age :	01.01.1951
Qualification :	B.Com
Date of Appointment :	15.03.1990
DIN No.:	01453687
Name :	Mr. Gheverchand Parasmal Bohra
Designation :	Director
Address :	401, Chetana Apartment, Bharat Nagar, Grant Road, Mumbai – 400 007, Maharashtra, India
Date of Birth/Age :	24.12.1954
Qualification :	B.Com
Date of Appointment :	15.03.1990
DIN No.:	01491771
Name :	Mr. Motilal Parasmal Bohra
Designation :	Director
Address :	401, Chetana Apartment, Bharat Nagar, Grant Road, Mumbai – 400 007, Maharashtra, India
Date of Birth/Age :	19.10.1961
Qualification :	B.Com
Date of Appointment :	15.03.1990
DIN No.:	01601492
Name :	Mr. Gheverchand Raghunath Sanghvi
Designation :	Director
Address :	D/1/16, Bharat Nagar, Grant Road, Mumbai – 400 007, Maharashtra, India
Date of Birth/Age :	10.08.1964
Qualification :	B.Com
Date of Appointment :	15.03.1990
DIN No.:	01597211
Name :	Mr. Hitesh Babulal Bohra
Designation :	Director
Address :	401, Chetana Apartment, Bharat Nagar, Grant Road, Mumbai – 400 007, Maharashtra, India
Qualification :	B. Com
Date of Appointment:	10.12.2005
DIN No.:	01596934

KEY EXECUTIVES

Name :	Mr. Nitesh
Designation :	Export Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Babulal P. Bohra	10010
Ghevarchand P. Bohra	8510
Motilal P. Bohra	11010
Gheverchand R. Sanghvi	9210
Manju Surana	500
Moolchand Sanghvi	1000
Bacharaj Sanghvi	1000
Bhavarlal S Bohra	1000
Ramesh B Bafna	1000
Hemant G Bohra	1000
Reena M Bohra	1500
Babulal P Bohra and Shantaben B Bohra	11800
Hitesh B Bohra	1500
Total	59040

As on 30.09.2010

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 Stainless Steel Wire, Bars and Bright wire and Bars.

Products :

Product Description	ITC Code
Stainless Steel Wires	7223 Sub Code 72
Stainless Steel Bright Bars	7222 Sub Code 72
S S Scrap	7204 Sub Code 72

· Stainless Steel Fine Wire

· Coarse Wire

· Spring Wire

· Welding Wire

Exports :

Products :

Stainless Steel

Countries :

· US

· Europe

· Brazil

· Pery

Imports :

Products :

Raw Material

Countries :

· China

· Korea

Terms :

Selling :

Cash / Credit

Purchasing :

Cash / Credit

PRODUCTION STATUS AS ON (31.03.2010)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Steel Alloy Steel and S.S. Steel Wire	M/Tons	12000	12000	--
Semi Finished Iron and Steel Products i.e. Steel Bright Bars	M/Tons	8000	8000	--
S S Wire	M/Tons	--	--	7507
S S Bright Bars	M/Tons	--	--	2440
S S Scrap	M/Tons	--	--	504
Dross	M/Tons	--	--	167

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

700 (Approximately)

Bankers :

· Dena Bank, Industrial Finance Branch, Maker Tower E, 9^th Floor, Cuffe Parade, Mumbai – 400 005, Maharashtra, India

· Bank of Baroda, Nariman Point, Mumbai, Maharashtra, India

Facilities :

Cash Credit – Rs.3.700 millions (From Dena Bank)

Cash Credit – Rs.125.000 millions (From Bank of Baroda)

Secured Loans	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
Loans and Advances from Banks
Cash Credit Facility From Dena Bank	19.464	22.275
Cash Credit Facility – Temporary overdrawn Balance- Dena Bank Khopoli Branch	2.337	0.000
Cash Credit Facility – Temporary Overdrawn Balance- Bank of Baroda	0.186	0.000
Packing Credit Facility- Bank of Baroda	21.425	0.000
Packing Credit Facility – Dena Bank	67.027	0.000
Local Letters of Credit Utilised	138.000	0.000
Foreign Bills Discounted	0.000	6.337
Facility against Export Bills	23.985	106.535
Other Loans and advances
From Life Insurance Corporation of India against Keymen Insurance Policy	5.657	5.656
Vehicle Loans	0.000	0.578
Total	278.081	141.381

Banking Relations :	--
Auditors :
Name :	M. C. Doshi and Company Chartered Accountants
Address :	307, Vaishali Apartments, 30/31, Parekh Street, Prarthana Samaj, Mumbai – 400 004, Maharashtra, India
Tel No.:	91-22-67437416 / 17
Fax No.:	91-22-23824232
E mail:	mcdoshi@vsnl.com
PAN No.:	AACPD4437A
Enterprises Where Transactions have taken place :	· Precision Metals · Venusl Metal Corporation · Sieves Manufacturer India Private Limited · Venus Edelstahl

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.100/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
59040	Equity Shares	Rs.100/- each	Rs.5.904 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		5.904	5.904	5.904
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		490.483	430.354	373.488
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		496.387	436.258	379.392
LOAN FUNDS
1] Secured Loans		278.081	141.381	527.413
2] Unsecured Loans		35.000	113.500	53.500
TOTAL BORROWING		313.081	254.881	580.913
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		809.468	691.139	960.305
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		124.675	115.538	102.422
Capital work-in-progress		0.000	0.000	4.529
Advance Against Capital Expenditure		2.563	0.875	5.063
INVESTMENT		1.492	1.491	1.491
DEFERREX TAX ASSETS		5.699	5.986	5.405
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	268.070	111.510	501.653
	Sundry Debtors	479.518	455.329	552.972
	Cash & Bank Balances	27.391	39.901	36.411
	Other Current Assets	0.838	1.129	0.752
	Loans & Advances	128.965	147.104	229.642
Total Current Assets		904.782	754.973	1321.430
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	200.150	166.753	451.562
	Other Current Liabilities	24.203	15.257	22.420
	Provisions	5.390	5.714	6.053
Total Current Liabilities		229.743	187.724	480.035
Net Current Assets		675.039	567.249	841.395
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		809.468	691.139	960.305

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	1652.566	2316.846	2640.055 (Gross Sales)
		Other Income			NA
		TOTAL (A)	1652.566	2316.846	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses	1520.489	2159.790	NA
		Advertising Expenses
		TOTAL (B)	1520.489	2159.790	NA
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		132.077	157.056	181.745
Less	FINANCIAL EXPENSES (D)		16.204	46.490	52.095
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		115.873	110.566	129.650
Less/ Add	DEPRECIATION/ AMORTISATION (F)		22.204	23.284	21.045
	PROFIT BEFORE TAX (E-F) (G)		93.669	87.282	108.605
Less	TAX (H)		33.540	30.417	40.015
	PROFIT AFTER TAX (G-H) (I)		60.129	56.865	68.590
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		426.854	369.988	301.398
	BALANCE CARRIED TO THE B/S		486.983	426.854	369.988
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1089.094	1759.921	2118.164
	TOTAL EARNINGS		1089.094	1759.921	2118.164
	IMPORTS
		Raw Materials	54.968	96.821	333.736
		Trading Goods	5.010	0.000	0.000
		Components and Spares	3.238	11.634	4.861
		Capital Goods	18.623	1.616	0.129
	TOTAL IMPORT VALUE		81.839	110.071	338.726
	Earnings Per Share (Rs.)		1018.45	--	--

Particulars	31.03.2012	31.03.2011
Sales Turnover (Approximately)	2300.000	2000.000

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.64	2.45	NA
Return on Total Assets (PBT/Total Assets}	(%)	9.10	10.03	7.63
Return on Investment (ROI) (PBT/Networth)		0.19	0.20	0.29
Debt Equity Ratio (Total Debt /Networth)		0.63	0.58	1.53
Current Ratio (Current Asset/Current Liability)		3.94	4.02	2.75

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

(Rs. in Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors
Dues to Micro, Small and Medium Enterprises	0.660	0.641	1.773
Due to Others	199.490	166.112	449.789
Total	200.150	166.753	451.562

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
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	Yes
17]	Major suppliers	No
18]	Major customers	No
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	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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

OPERATIONS

The company has performed not satisfactorily during the year due to recession globally in this year also. Total sale for the year was Rs.1720.000 Millions (Export Rs.1089.100 Millions) as against Rs.2343.700 Millions (Export Rs.1759.900 Millions) in the previous year. Though there is improvement in domestic sale; the export turnover was reduced considerably due to global recession. They hope the export for next year will improve since the situation is favorable during the 1^st half of this year. The net Profit after tax is increased to Rs.60.129 Millions as compared to previous year’s figure of Rs.56.865 Millions.

FINANCE

The company has not obtained any term loan for its expansion / backward integration but carried out the same with internal generation.

CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF

(Rs. in Millions)

Particulars	31.03.2010
a Guarantees given by Company's Bankers	13.980
b Self Gaurantee given to The Custom Department USA against deposit	2.577
b Letters of Credit opened	Nil
c Bonds executed in respect of machinery imported under E.P.C.G. Scheme - There is, however, no default to date.	20.650
e Income Tax Demand disputed in Appeals (Paid without prejudice to submissins in appeal - Rs.21.983 Millions Previous year Rs.23.572 Millions)	36.751
f Claims against the company not acknowledged as debts: (i) In respect of: Excise Duty- Demand stayed by the Honorable Custom, Excise and Service Tax Appellate Tribunal	6.407
(ii) In respect of interest and penalty related to disputed Cenvat Credit claim of Rs5.377 Millions on purchases from M/s Viraj Limited reversed and shown recoverable from Viraj Limited subject to protest. The company does not expect any liability in relation to interest and penalty for which proceedings are initated	As may be decided
(iii) In respect of Service Tax credit taken on payments to foreign based Commission Agents. The Company has paid Rs.2.523 Millions on protest against the above demand which has not been provided and shown under Balances with the Excise Authorities in Balance Sheet.	18.948
(ii) Others	0.751
g Estimated amount of contracts remaining to be executed on capital accounts and not provided for (Net of payments Rs.2.563 Millions- Previous year - Rs.0.875 Million)	0.986

UNSECURED LOANS

Particular	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
Short Term Loans and Advances
Corporate Deposits	0.000	65.000
Other Loans and Advances
Corporate Deposits	35.000	48.500
Total	35.000	113.500

FIXED ASSETS

· Freehold Land- Khopoli

· Land and Residential Building at Sanchore

· Office Premises

· Factory Building

· Residential Premises

· Plant and Machinery

· Electrical Installations

· Furniture and Fixture

· Vehicles

· Office Equipments

· Dies and Moulds

· Air conditioners

· 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] 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.59.41
UK Pound	1	Rs.90.38
Euro	1	Rs.77.61

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	RAJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	5
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		35

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.