MIRA INFORM REPORT

Report Date :

24.07.2013

IDENTIFICATION DETAILS

Name :	SURGE SYSTEMS INDIA PRIVATE LIMITED
Registered Office :	A-222, Okhla Industrial Area, Phase-I, New Delhi – 110020
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	24.06.1993
Com. Reg. No.:	55-054186
Capital Investment / Paid-up Capital :	Rs. 5.699 Millions
CIN No.: [Company Identification No.]	U74899DL1993PTC054186
TAN No.: [Tax Deduction & Collection Account No.]	DELM10169F
PAN No.: [Permanent Account No.]	AAACS2034H
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Trader of Toro Equipment and Irrigation Systems.
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 66000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. There appears some dip in the income earned and net profit during 2012. However, trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

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. Jeevendra
Designation :	Accountant
Contact No.:	91-11-41435693
Date :	06.07.2013

LOCATIONS

Registered Office/ Factory :	A-222, Okhla Industrial Area, Phase-I, New Delhi – 110020, India
Tel. No.:	91-11-41435693/ 94/ 95/ 26819990/ 91/ 92
Fax No.:	91-11-26819992
E-Mail :	Jeevendra.aba@gmail.com admin@alokbajaj.com ssipl@surgesystems.com ssipl2003@yahoo.com
Website:	www.surgwsystems.com
Location :	Owned

DIRECTORS

As on: 29.09.2012

Name :

Mr. Vinit Kumar Mathur

Designation :

Managing Director

Address :

C-103 Kaveri Appt., Alaknanda, Delhi – 110019, India

Date of Birth/Age :

31.08.1954

Date of Appointment :

25.06.1993

DIN No.:

00400860

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	U74899DL1993PTC054186	Surge Systems India Private Limited	Director	25/06/1993	25/06/1993	-	Active	NO
2	U74899DL1995PTC070898	Vinpak Projects And Marketing Private Limited	Director	18/07/1995	18/07/1995	-	Active	NO
3	U57109DL2000PTC105937	Mathurs And Associates Surveyors And Loss Assessors Private Limited	Director	26/05/2000	26/05/2000	-	Active	NO

Name :

Ms. Alka Mathur

Designation :

Director

Address :

C-103 Kaveri Appt., Alaknanda, Delhi – 110019, India

Date of Birth/Age :

03.11.1950

Date of Appointment :

15.02.1998

Name :

Mr. Prem N. Mehrotra

Designation :

Director

Address :

C – 49 Panchsheel Enclave, New Delhi – 110017, India

Date of Birth/Age :

18.06.1932

Date of Appointment :

24.06.1998

DIN No.:

00407094

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	U74899DL1975PTC007659	Rajdhani Vanijya Private Limited	Director	25/12/1995	25/12/1995	-	Active	NO
2	U74899DL1993PTC054186	Surge Systems India Private Limited	Director	24/06/1998	24/06/1998	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 29.09.2012

Names of Shareholders	No. of Shares
Vinit Kumar Mathur	35240
Abhijit Sen	250
Alka Mathur	18000
Deepak Mathur	750
Urmila Mehrotra	750
Vinod B. Mathur	2000
Total	56990

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Trader of Toro Equipment and Irrigation Systems.
Products :	Ø Toro Equipment and Irrigation System Ø Hayter Toro Ø Flowtronex PSI Ø Tru-Turf Green Roller Ø Sod Cutter Ø Fertilizer Spreaders Ø Spray and Rotary Pop-up Sprinklers Ø Sports Fields Pop-up Sprinklers, etc.
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :

· Agrin Pacific

· Andreas Stihi Private Limited

· Avis Tradeworth private limited

· Delhi Mill Store

· Hahn

· DRK Engineers private limited

· Indian Rubber Industrial

· Maruti Lawn Mowers Udyog

· K-Line Industrial

· Positive control system

Customers :

Wholesalers and Retailers

· Anluwalta Contract (India) Limited

· AIPl Ambuja Housing Limited

· Air force Station (Palam)

· Air force Station (Race course)

· Akshardham Mandir (Delhi)

· Aqua Greens (Srinager)

· Armed Police Headquarter (Srinagar)

· Asiana Villas

· Asiad Tower Banquet

No. of Employees :

40 (Approximately)

Bankers :

· The Federal Bank Limited, S-571, Greater Kailash, Part – II, New Delhi – 110048, India

· Development Credit Bank Limited, 4^th Floor, Hansalaya Building, 15, Barakhamba Road, Connaught Place, New Delhi – 110001, India

· Barclays Bank

· Citi Bank

· Kotak Mahindra Bank

· Standard Chartered Bank

Facilities :

(Rs. In Millions)

Particulars	As on 31.03.2012	As on 31.03.2011
Long term borrowing
Development Credit Bank Limited (Against Hypothecation of Stock/ Debtors	9.980	11.830
Others	3.331	1.252
Short term borrowing
Vehicle Loans	0.000	0.252
Business Loans	5.329	5.671
Total	18.640	19.005

Banking Relations :	--
Financial Intuitional:	Indiabulls Housing Finance Limtied, F-60, Malhotra Builsing, 2^nd Floor, Connaught Place, New Delhi – 110001, India
Auditors :
Name :	Alok Bajaj and Associates Chartered Accountants
Address :	7A/75, Ground Floor, W.E.A., Karol Bagh, New Delhi – 110005, India
Tel. No.:	91-11-25733047/25729782
Fax No.:	91-11-42502742
E-Mail :	ab_a03@yahoo.co.in alokbajaj@gmail.com
PAN No.:	AEOPB5774N

CAPITAL STRUCTURE

As on: 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
60000	Equity Shares	Rs.100/- each	Rs. 6.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
56999	Equity Shares	Rs.100/- each	Rs. 5.699 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	5.699	5.500
(b) Reserves & Surplus	10.974	8.592
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.500
Total Shareholders’ Funds (1) + (2)	16.673	14.592
(3) Non-Current Liabilities
(a) long-term borrowings	13.311	13.083
(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)	13.311	13.083
(4) Current Liabilities
(a) Short term borrowings	5.329	5.922
(b) Trade payables	5.699	23.790
(c) Other current liabilities	3.769	10.810
(d) Short-term provisions	0.796	1.128
Total Current Liabilities (4)	15.593	41.650
TOTAL	45.577	69.325
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3.821	4.061
(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	0.657	0.639
Total Non-Current Assets	4.478	4.700
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	13.785	16.398
(c) Trade receivables	20.370	42.645
(d) Cash and cash equivalents	1.781	4.708
(e) Short-term loans and advances	0.222	0.428
(f) Other current assets	4.941	0.446
Total Current Assets	41.099	64.625
TOTAL	45.577	69.325

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		3.500
2] Share Application Money		0.000
3] Reserves & Surplus		4.932
4] (Accumulated Losses)		0.000
NETWORTH		8.432
LOAN FUNDS
1] Secured Loans		8.059
2] Unsecured Loans		5.124
TOTAL BORROWING		13.183
DEFERRED TAX LIABILITIES		0.000
TOTAL		21.615
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4.068
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	15.071
	Sundry Debtors	18.547
	Cash & Bank Balances	3.339
	Other Current Assets	0.000
	Loans & Advances	0.000
Total Current Assets		36.957
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	12.766
	Other Current Liabilities	6.431
	Provisions	0.213
Total Current Liabilities		19.410
Net Current Assets		17.547
MISCELLANEOUS EXPENSES		0.000
TOTAL		21.615

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from operation	60.015	113.303	66.707
		Other Income	13.426	1.553	0.360
		TOTAL (A)	73.441	114.856	67.067
Less	EXPENSES
		Purchase of stock in trade	35.506	75.801
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	2.613	(1.327)
		Employee benefit expenses	10.049	9.606
		Other expenses	17.027	21.765
		TOTAL (B)	65.195	105.845	59.675
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		8.246	9.011	7.392
Less	FINANCIAL EXPENSES (D)		4.101	2.958	3.345
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		4.145	6.053	4.047
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.583	0.608	0.650
	PROFIT BEFORE TAX (E-F) (G)		3.562	5.445	3.397
Less	TAX (H)		1.180	1.794	1.092
	PROFIT AFTER TAX (G-H) (I)		2.382	3.651	2.305
	Earnings Per Share (Rs.)		41.80	64.06	65.83

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	3.24	3.18	3.43
Net Profit Margin (PBT/Sales)	(%)	5.93	4.81	5.09
Return on Total Assets (PBT/Total Assets}	(%)	7.81	7.86	8.29
Return on Investment (ROI) (PBT/Networth)		0.21	0.37	0.40
Debt Equity Ratio (Total Debt/Networth)		1.11	1.30	1.56
Current Ratio (Current Asset/Current Liability)		2.63	1.55	1.91

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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
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

Note – The registered office address of the company has been shifted from M-177 LGF Greater Kailash Part-II, New Delhi – 110048, India, to present address w.e.f. 18.11.2010

INDEX OF CHARGES

Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
10382724	22/09/2012	10,465,957.00	Indiabulls Housing Finance Limited	F-60 Malhotra Building, 2nd Floor Connaught Place, New Delhi, Delhi -110001, India	B60537529
10151983	27/01/2011 *	47,900,000.00	Development Credit Bank Limited	4^th Floor, Hansalaya Building,15, Barakhamba Road, Connaught Place, New Delhi, Delhi - 110001, India	B04555538
10047492	30/03/2007	1,000,000.00	The Federal Bank Limited	S-571, Greater Kailash, Part-Ii, New Delhi, Delhi - 110048, India	A14095210
10047488	30/03/2007	5,000,000.00	The Federal Bank Limited	S-571, Greater Kailash, Part-Ii, New Delhi, Delhi - 110048, India	A14094973
10047490	30/03/2007	7,500,000.00	The Federal Bank Limited	S-571, Greater Kailash, Part-Ii, New Delhi, Delhi - 110048, India	A14095087
90330829	22/12/2005 *	6,500,000.00	The Federal Bank Limited	Greater Kailash -II, New Delhi, Delhi, India	-

Fixed Assets

Ø Furniture and Fixture

Ø Machinery and Plant

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. 59.69
UK Pound	1	Rs. 91.66
Euro	1	Rs. 78.69

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	DPH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	4
--CREDIT LINES	1~10	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		43

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.