MIRA INFORM REPORT

Report Date :

13.07.2013

IDENTIFICATION DETAILS

Name :	MEENAXI DIAMONDS PRIVATE LIMITED
Registered Office :	228/229, 2^nd Floor, Majestic Shopping Center, 144, J S S Road, Girgaon, Mumbai – 400004, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	23.03.2007
Com. Reg. No.:	11-169112
Capital Investment / Paid-up Capital :	Rs. 0.100 Million
CIN No.: [Company Identification No.]	U52393MH2007PTC169112
TAN No.: [Tax Deduction & Collection Account No.]	MUMM31764F
PAN No.: [Permanent Account No.]	AAFCM0371A
Legal Form :	Private Limited Liability Company
Line of Business :	Trader, Exporter and Importer of Diamonds and Jewellery.
No. of Employees :	8 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 80000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The profit margin of the company is very low. 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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

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

Name :	Mr. Darshanbhai Jain
Designation :	Director
Contact No.:	91-9320672068
Date :	12.07.2013

LOCATIONS

Registered Office :	228/229, 2^nd Floor, Majestic Shopping Center, 144, J S S Road, Girgaon, Mumbai – 400004, Maharashtra, India
Tel. No.:	91-22-23610407
Mobile No.:	91-9320672068 (Mr. Darshanbhai Jain)
Fax No.:	Not Available
E-Mail :	infomeena316@gmail.com anchaliyaca@gmail.com
Location :	Owned
Branch Office :	702, Satyam Apartment, Opposite Navyug College, Rander Road, Surat, Gujarat, India

DIRECTORS

As on 04.09.2012

Name :

Mr. Basant Dharmichand Jain

Designation :

Director

Address :

F/316, Bussa Apartment, Near Khira Industries, SV Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

16.02.1975

Date of Appointment :

31.12.2011

DIN No.:

00901793

PAN No.:

AAVPJ2045F

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U65990MH1999PTC122574	KAWADIYA FINTRADE PRIVATE LIMITED	Director	05-11-99	05-11-99	-	Active	NO
2	U52393MH2007PTC169112	MEENAXI DIAMONDS PRIVATE LIMITED	Director	31-12-11	31-12-11	-	Active	NO
3	U51398MH1994PTC078088	MAHALAXMI GEMS PVT LTD	Director	31-12-11	31-12-11	-	Active	NO
4	U15311MH2007PTC174557	MANISH FLOUR MILLS PRIVATE LIMITED	Director	15-03-13	15-03-13	-	Active	NO

Name :

Mr. Ramprakash Vijayprakash Vijayvergiya

Designation :

Director

Address :

228/229, Majestic Shopping Center, JJS Road, Girguam, Mumbai – 400001, Maharashtra, India

Date of Birth/Age :

05.07.1979

Date of Appointment :

23.03.2007

DIN No.:

01237440

PAN No.:

AEVPV0917N

Name :

Mr. Darshanbhai Jain

Designation :

Director

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 04.09.2012

Names of Shareholders	No. of Shares
Ramprakash Vijayprakash Vijayvergiya	5000
Basant Dharmichand Jain	5000
Total	10000

As on 04.09.2012

Equity Share Break up (Percentage of Total Equity)

Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader, Exporter and Importer of Diamonds and Jewellery.
Exports :
Products :	Diamonds
Countries :	· Hong Kong · Dubai
Imports :
Products :	Diamonds
Countries :	· Israel · Belgium
Terms :
Selling :	Cash / Credit / Depend
Purchasing :	Cash / Credit / Depend

GENERAL INFORMATION

Customers :	End Users
No. of Employees :	8 (Approximately)
Bankers :	Indusind Bank, Opera House, Mumbai, Maharashtra, India

Banking Relations :	---
Auditors :
Name :	Paras Jain and Company Chartered Accountants
Address :	Shop No.3, Kamal Apartments,
PAN No.:	AABPJ6961A
Entities where control or significant Influence exists.	· Mahalaxmi Gems Private Limited · Meenaxi Exports · Rakshita Gems

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.10/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	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
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	0.100	0.100
(b) Reserves & Surplus	0.638	0.454
(c) Money received against share warrants	0.000	0.00
(2) Share Application money pending allotment	19.300	0.000
Total Shareholders’ Funds (1) + (2)	20.038	0.554
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000
(b) Deferred tax liabilities (Net)	0.003	0.002
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	0.003	0.002
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	461.917	644.791
(c) Other current liabilities	0.349	0.017
(d) Short-term provisions	0.081	0.076
Total Current Liabilities (4)	462.347	644.884
TOTAL	482.388	645.440
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	0.032	0.048
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	0.020	0.024
Total Non-Current Assets	0.052	0.072
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	150.567	0.000
(c) Trade receivables	218.727	586.727
(d) Cash and cash equivalents	6.782	2.756
(e) Short-term loans and advances	106.260	55.885
(f) Other current assets	0.000	0.000
Total Current Assets	482.336	645.368
TOTAL	482.388	645.440

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.100
2] Share Application Money		0.000
3] Reserves & Surplus		0.289
4] (Accumulated Losses)		0.000
NETWORTH		0.389
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.000
TOTAL BORROWING		0.000
DEFERRED TAX LIABILITIES		0.000
TOTAL		0.389
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.014
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000
	Sundry Debtors	521.596
	Cash & Bank Balances	4.852
	Other Current Assets	0.000
	Loans & Advances	44.908
Total Current Assets		571.356
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	570.955
	Other Current Liabilities	0.000
	Provisions	0.054
Total Current Liabilities		571.009
Net Current Assets		0.347
MISCELLANEOUS EXPENSES		0.028
TOTAL		0.389

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	1817.109	1881.404	819.265
		Other Income	4.926	2.376	2.090
		TOTAL	1822.035	1883.780	821.355
Less	EXPENSES
		Office Expenses
		Administrative Expenses	1821.752	1883.522	821.177
		Advertising Expenses
		TOTAL	1821.752	1883.522	821.177
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		0.283	0.258	0.178
Less/ Add	DEPRECIATION/ AMORTISATION		0.016	0.013	0.002
	PROFIT BEFORE TAX		0.267	0.245	0.176
Less	TAX		0.081	0.076	0.054
	PROFIT AFTER TAX (		0.186	0.169	0.122
	EARNINGS IN FOREIGN CURRENCY
		Export on FOB Value	11.777	7.806	5.474
	TOTAL EARNINGS		11.777	7.806	5.474
	Earnings Per Share (Rs.)		18.47	16.42	12.20

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.01	0.01	0.01
Net Profit Margin (PBT/Sales)	(%)	0.01	0.01	0.02
Return on Total Assets (PBT/Total Assets}	(%)	0.06	0.04	0.03
Return on Investment (ROI) (PBT/Networth)		0.01	0.44	0.45
Debt Equity Ratio (Total Debt /Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.04	1.00	1.00

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	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	No
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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

DIAMOND INDUSTRY – INDIA

- 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 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- 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.

- 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.

- 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.

- 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.

- 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.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem and Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

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.59.90
UK Pound	1	Rs.90.88
Euro	1	Rs.78.32

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	5
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		32

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

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.