MIRA INFORM REPORT

 

 

Report Date :

23.07.2013

 

IDENTIFICATION DETAILS

 

Name :

RELIANCE FINANCIAL LIMITED

 

 

Formerly Known As :

R TRADE FINANCIAL SERVICES LIMITED

 

 

Registered Office :

570, Rectifier House, Naigaum Cross Road, Next to Royal Industrial Estate, Wadala, Mumbai – 400031, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

26.08.2005

 

 

Com. Reg. No.:

11-155675

 

 

Capital Investment / Paid-up Capital :

Rs.110.000 Millions

 

 

CIN No.:

[Company Identification No.]

U65990MH2005PLC155675

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Providing Financial and related services.

 

 

No. of Employees :

Information declined by the management

 


 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (54)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 1700000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a part of “Reliance Group”.

 

It is a well established and reputed company having a good track record. There appears drastic dip in its sales and profitability during 2012.

 

However, general financial strength seems to be good. There appears no external borrowing.

 

The company gets strong support from its holdings.

 

Trade relations are reported to be fair. Business is a active. Payment are reported to be regular and as per commitment.

 

The company can be considered for normal business dealings at usual trade terms and condition.

 

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

ICRA

Rating

Short term debt: A1+

Rating Explanation

Having very strong degree of safety regarding timely payment of financial obligation it carry lowest credit risk.

Date

November 2010

 


 

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 DECLINED

 

Management Non – Cooperative (91-22-30479400)

 

LOCATIONS

 

Registered Office :

570, Rectifier House, Naigaum Cross Road, Next to Royal Industrial Estate, Wadala, Mumbai – 400031, Maharashtra, India

Tel. No.:

91-22-30479400

Fax No.:

91-22-30479450

E-Mail :

Shilpa.chhabra@rcap.co.in

 

 

DIRECTORS

 

As on 01.06.2012

 

Name :

Mr. Amit Bapna

Designation :

Director

Address :

503, Purna Apartments, Sir Pockhanwala Road, Worli, Mumbai – 400030, Maharashtra, India

Date of Birth/Age :

20.01.1975

Qualification:

B.Com, ACA

Date of Appointment :

26.08.2005

DIN No.:

00008443

 

 

Name :

Mr. Lav Ramji Chaturvedi

Designation :

Director

Address :

403-04, Golden Rays, X Wing, Shastri Nagar, Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

20.07.1976

Qualification:

B.Com, MBA, CFA

Date of Appointment :

26.10.2010

DIN No.:

02859336

 

 

Name :

Mr. Sanjay Tulsio Wadhwa

Designation :

Director

Address :

H-802, 8th Floor, Royal Fern Great, Eastern Garden, LBS Marg, Kanjur Marg, Mumbai – 400078, Maharashtra, India

Date of Birth/Age :

10.10.1973

Date of Appointment :

25.04.2012

DIN No.:

0339219

 

 

KEY EXECUTIVES

 

Name :

Mr. Dipak Kumar Shah

Designation :

Manager

Address :

302, A Wing, Plot No. 42, Shreeji Seva, Sector – 42, Newul (West), Navi Mumbai – 400706, Maharashtra, India

Date of Birth/Age :

03.09.1966

Date of Appointment :

04.03.2009

PAN No.:

AFXPS1752B

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 01.06.2012

 

Names of Shareholders

 

No. of Shares

Reliance Capital Limited, India

 

10999930

Reliance Capital Limited Jointly with Mr. V R Mohan

 

10

Reliance Capital Limited Jointly with Mr. Yogesh Deshpande

 

10

Reliance Capital Limited Jointly with Mr. Amit Bapna

 

10

Reliance Capital Limited Jointly with Mr. Neeraj Dwivedi

 

10

Reliance Capital Limited Jointly with Ms. Parul Jaim

 

10

Reliance Capital Limited Jointly with Mr. Dipak K Shah

 

10

Reliance Capital Limited Jointly with Mr. Chetan Raval

 

10

 

 

 

Total

 

11000000

 

Equity Share Break up (Percentage of Total Equity)

 

As on 01.06.2012

 

Category

Percentage

Bodies corporate

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Providing Financial and related services.

 

 

Products / Services :

Item Code No.

Product Description

99711390

Other credit-granting

services n.e.c

9971

Financial and related services

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management

 

 

Bankers :

Not Available

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Chaturvedi and Shah

Chartered Accountants

Address :

714-715, Tulsiani Chambers, 212, Nariman Point, Mumbai - 400 021, Maharashtra, India

PAN N Income-tax PAN of auditor or auditor's firm :

AAAFC0662N

 

 

Ultimate Holding company:

·         Reliance Innoventures Private Limited, India

CIN: U73100MH2005PTC158356

·         Reliance Capital Limited ((Up to December 28, 2010))

 

 

Holding company:

·         Reliance Capital Limited, India ((W.e.f. December 29 2010))

CIN: L65910MH1986PLC165645

·         Reliance Securities Limited, India

CIN: U65990MH2005PLC154052

 

 

Fellow subsidiaries:

·         Reliance Capital Asset Management Company Limited

·         Reliance Investment Banking Services Limited

·         Quant Broking Private Limited

·         Quant Securities Private Limited

·         Quant Commodities Private Limited

·         Quant Commodity Broking Private Limited

·         Quant Capital Finance and Investments Private Limited

·         Reliance Equity Advisors (India) Limited

 

 

Enterprises which are

owned, or have significant

influence of or are partners

with Key management

personnel and their relatives:

·         Reliance Money Infrastructure Limited, India

CIN: U67120MH2006PLC160589

 

 

CAPITAL STRUCTURE

 

As on 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

12000000

Equity Shares

Rs.10/- each

Rs. 120.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

11000000

Equity Shares

Rs.10/- each

Rs. 110.000 Millions

 

 

 

 

 

 

 


 

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

 

110.000

110.000

(b) Reserves & Surplus

 

311.469

294.183

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

Total Shareholders’ Funds (1) + (2)

 

421.469

404.183

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

0.000

0.00

(b) Deferred tax liabilities (Net)

 

0.000

0.000

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

0.000

0.000

Total Non-current Liabilities (3)

 

0.000

0.000

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

0.000

0.000

(b) Trade payables

 

5.077

4.978

(c) Other current liabilities

 

12.829

15.920

(d) Short-term provisions

 

0.931

0.178

Total Current Liabilities (4)

 

18.837

21.076

 

 

 

 

TOTAL

 

440.306

425.259

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

0.000

0.000

(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

 

0.055

0.040

Total Non-Current Assets

 

0.055

0.040

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

180.000

(b) Inventories

 

0.000

0.000

(c) Trade receivables

 

0.000

0.000

(d) Cash and cash equivalents

 

24.446

142.248

(e) Short-term loans and advances

 

415.789

102.365

(f) Other current assets

 

0.016

0.606

Total Current Assets

 

440.251

425.219

 

 

 

 

TOTAL

 

440.306

425.259

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

110.000

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

168.454

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

278.454

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

0.000

2] Unsecured Loans

 

 

108.500

TOTAL BORROWING

 

 

108.500

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

386.954

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

0.000

Capital work-in-progress

 

 

0.000

 

 

 

 

INVESTMENT

 

 

0.000

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 
 
0.000

 

Sundry Debtors

 
 
0.003

 

Cash & Bank Balances

 
 
2.978

 

Other Current Assets

 
 
0.000

 

Loans & Advances

 
 
401.371

Total Current Assets

 
 
404.352

Less : CURRENT LIABILITIES & PROVISIONS

 
 
 

 

Sundry Creditors

 
 
2.843

 

Other Current Liabilities

 
 
14.555

 

Provisions

 
 
0.000

Total Current Liabilities

 
 
17.398

Net Current Assets

 
 
386.954

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.000

 

 

 

 

TOTAL

 

 

386.954


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

40.624

244.278

331.073

 

 

Other Income

18.408

28.972

8.896

 

 

TOTAL                                     (A)

59.032

273.250

339.969

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Other expenses

28.780

116.988

 

 

 

TOTAL                                     (B)

28.780

116.988

164.278

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

30.252

156.262

175.691

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

30.252

156.262

175.691

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

30.252

156.262

175.691

 

 

 

 

 

Less

TAX                                                                  (H)

12.965

30.533

57.315

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

17.287

125.729

118.376

 

 

 

 

 

Less

Transfer to Special Reserve under section 45-IC of the Reserve Bank of India Act,1934

3.457

25.146

23.675

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

235.440

134.857

40.156

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

249.270

235.440

134.857

 

 

 

 

 

 

Earnings Per Share (Rs.)

1.57

11.43

10.76

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

29.28

46.01

34.82

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

74.47

63.97

53.07

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

6.87

36.75

43.45

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.07

0.39

0.63

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

0.00

0.00

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

23.37

20.18

23.24

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT DETAILS: NOT AVAILABLE

 

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

No

9]

Name of person contacted

No

10]

Designation of contact person

No

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

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

No

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

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

Yes

 

NOTE:

 

·         No Charges Exist for Company

·         Registered office of the company has been shifted from 4th Floor, Parijat House, Manjrekar Lane, Off Dr. E Moses Road, Worli Naka, Mumbai – 400018, Maharashtra, India to the present address w.e.f 12.07.2010

 

BACKGROUND

 

Reliance Financial Limited was incorporated on 26 August 2005. The Company is licensed by the Reserve Bank of India to Act as a Non-banking financial company

 

 

CONTINGENT LIABILITIES:

 

(Rs. in millions)

PARTICULARS

31.03.2012

Guarantees given by scheduled banks on behalf of the Company towards Security deposit in favour of VAT Authorities of 4 States

0.350

 

 


 

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.

 


 

9 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.59.69

UK Pound

1

Rs.91.66

Euro

1

Rs.78.69

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

KVT

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

54

 

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.