MIRA INFORM REPORT

 

 

Report Date :

15.06.2013

 

IDENTIFICATION DETAILS

 

Name :

CREATIVE LIMITED

 

 

Formerly Known As :

CREATIVE PRIVATE LIMITED

 

 

Registered Office :

12, Dargah Road, Kolkata – 700017, West Bengal

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

10.12.1991

 

 

Com. Reg. No.:

21-053780

 

 

Capital Investment / Paid-up Capital :

Rs.9.040 Millions

 

 

CIN No.:

[Company Identification No.]

U19129WB1991PLC053780

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CALC02342E

 

 

PAN No.:

[Permanent Account No.]

AABCC0665R

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturing and Selling of Leather and Leather Finished Goods.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 720000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a moderate track record. There appears sharp dip its income from operations and profit during 2012. The external borrowing appears to be increasing.

 

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 31st, 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

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Short Term Rating: A4

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

28.02.2013

 

 

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.

 

 

LOCATIONS

 

Registered Office :

12, Dargah Road, Kolkata – 700017, West Bengal, India

Tel. No.:

91-33-22871690/ 3758/ 22903450/ 22900514/ 22807436/ 22807434

Mobile No.:

91-9831012120 (Mr. Pradeep)

91-9831093250 (Mr. Basu)

Fax No.:

91-33-22870098

E-Mail :

creative@giasc101.vsnl.net.in

hq@creativelimited.com

rakesh@creativelimited.com

rajkumar.sharma62@gmail.com

 

 

Factory  :

Miajan Ostagar Lane, Kolkata – 700017, West Bengal, India

 

 

DIRECTORS

 

(AS ON 31.03.2012)

 

Name :

Mr. Pradip Kumar Bothra

Designation :

Director

Address :

7/1A, Sunny Park, Flat No.303, Block-B, Kolkata – 700019, West Bengal, India

Date of Birth/Age :

24.06.1950

Date of Appointment :

10.12.1991

DIN No :

01116079

Voter ID No.:

WB/23/152/108668

 

 

Name :

Mr. Aloke Kumar De

Designation :

Director

Address :

295, Vivekananda Road, Near Children Park, Kolkata – 743276, West Bengal, India 

Date of Birth/Age :

13.04.1957

Date of Appointment :

01.04.2012

DIN No.:

01119771

 

 

Name :

Mr. Raj Kumar Dhan Raj Sharma

Designation :

Director

Address :

25, Jelia Para, 1st Bye Lane, Howrah – 711101, West Bengal, India 

Date of Birth/Age :

25.08.1962

Date of Appointment :

31.03.2012

DIN No.:

05277079

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 23.08.2010)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

Pradip Kumar Bothra

 

620

Tridip Kumar Dugar

 

620

P.K. Bothra (HUF)

 

2500

T.K. Dugar (HUF)

 

2500

Jupiter Credits Private Limited, India

 

600

Jupiter Projects Private Limited, India

 

600

Preetam Bothra

 

200

Triansu Credits Private Limited, India

 

600

Triansu Resources Private Limited, India

 

600

Anu Dugar

 

200

 

 

 

Total

 

 

9040

 

 

(AS ON 30.09.2010)

Equity Shares Break – up

 

Category

 

Percentage

 

 

 

Bodies corporate

 

26.55

Directors or relatives of directors

 

73.45

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Selling of Leather and Leather Finished Goods.

 

 

Products :

Products Description

Item Code No.

 

Leather Handbags

420221.01

Leather Wallets

420221.02

 

 

PRODUCTION STATUS (AS ON 31.03.2012)

 

Particulars

Unit

Installed Capacity

 

Actual Production

 

 

 

 

Ladies Bags and Wallets

Nos.

301,501

 

 

NOTES:

i.                     Licensed capacity is not applicable in terms of the Government of India Notification No. 477(E) dated 25th July, 1991.

ii.                   Installed capacity, being technical matter, is as certified by the management.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

v      Allahabad Bank

International Branch, 119, Park Street, Kolkata – 700 016, West Bengal, India

 

v      The Hongkong and Shanghai Banking Corporation Limited

Hongkong House, 31, B.B.D. Bag, Kolkata – 700 001, West Bengal, India

 

 

Facilities :

Secured Loans

31.03.2012

31.03.2011

 

 

(Rs. In Millions)

SHORT TERM BORROWINGS

 

 

Loans repayable on demand

 

 

From Others #

 

 

Allahabad Bank

 

 

Packing Credit

160.456

71.832

FBP Facilities

0.000

70.560

Letter of Credit

5.444

0.000

 

 

 

Total

 

165.900

142.392

 

# Export Packing Credit /Export Bill Purchase secured by hypothecation of Stock of Raw Materials, Work in Progress and Finished Goods and by equitable Mortgage on Land and Buildings owned by the Company and personal guarantee of Directors.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Sanjay Khandelwal and Company

Chartered Accountants

Address :

118, Sarat Chatterjee Road, 1st Floor, Kolkata – 700089, West Bengal, India

PAN No.:

AEZPK1686H

 

 

Associate/Joint Venture Concerns :

v      Creative (UK) Limited

 

 

Enterprise owned or significantly influenced by Key Management Personnel and their relatives :

v      Creative Nirman Private Limited

v      Jupiter Credits Private Limited

v      Jupiter Projects Private Limited

v      Jupiter Enclave Private Limited

 

 

CAPITAL STRUCTURE

 

(AS ON 31.03.2012)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

4000

A Class Equity Shares

Rs.1000/- each

Rs.4.000 millions

16000

B Class Equity Shares

Rs.1000/- each

Rs.16.000 millions

100000

C Class Equity Shares

Rs.1000/- each

Rs.100.000 millions

 

 

 

 



Total

 

Rs.120.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1040

A Class Equity Shares

Rs.1000/- each

Rs.1.040 millions

8000

B Class Equity Shares

Rs.1000/- each

Rs.8.000 millions

 

 

 

 

 

Total

 

Rs. 9.040 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

 

9.040

9.040

(b) Reserves & Surplus

 

170.319

167.089

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

 

 

 

 

(3) Non-current liabilities

 

 

 

(a) long-term borrowings

 

108.884

82.312

(b) Deferred tax liabilities (Net)

 

5.468

5.385

(c) Other long term liabilities

 

0.238

0.586

(d) long-term provisions

 

0.000

0.000

 

 

 

 

(4) Current liabilities

 

 

 

(a) Short term borrowings

 

181.900

179.392

(b) Trade payables

 

122.350

127.389

(c) Other current liabilities

 

26.728

26.477

(d) Short-term provisions

 

0.000

0.000

TOTAL

 

 

624.927

597.670

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

56.507

61.172

(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

 

33.606

13.606

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

2.807

2.782

(e) Other Non-current assets

 

80.672

86.588

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

103.902

155.599

(c) Trade receivables

 

309.938

247.556

(d) Cash and cash equivalents

 

1.564

1.407

(e) Short-term loans and advances

 

35.931

28.960

(f) Other current assets

 

0.000

0.000

TOTAL

 

 

624.927

597.670

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

9.040

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

161.133

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

170.173

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

117.207

2] Unsecured Loans

 

 

64.171

TOTAL BORROWING

 

 

181.378

DEFERRED TAX LIABILITIES

 

 

4.943

 

 

 

 

TOTAL

 

 

356.494

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

61.468

Capital work-in-progress

 

 

0.000

 

 

 

 

INVESTMENT

 

 

13.606

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

140.087

 

Sundry Debtors

 

 

154.223

 

Cash & Bank Balances

 

 

2.370

 

Other Current Assets

 

 

3.189

 

Loans & Advances

 

 

119.693

Total Current Assets

 

 

419.562

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditor

 

 

84.336

 

Other Current Liabilities

 

 

22.973

 

Provisions

 

 

31.103

Total Current Liabilities

 

 

138.412

Net Current Assets

 

 

281.150

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.270

 

 

 

 

TOTAL

 

 

356.494

 

 

 


 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

274.262

506.352

545.009

 

 

Other Income

36.967

5.059

13.875

 

 

TOTAL                                     (A)

311.229

511.411

558.884

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

126.266

235.029

286.377

 

 

Employee Benefit Expenses

22.039

29.030

30.294

 

 

Other Expenses

143.309

211.891

201.081

 

 

TOTAL                                     (B)

291.614

475.950

517.752

 

 

 

 

 

Less

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

19.615

35.461

41.132

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

12.536

18.386

13.771

 

 

 

 

 

 

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

7.079

17.074

27.361

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

3.722

3.896

3.771

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

3.357

13.178

23.590

 

 

 

 

 

Less

TAX                                                                  (H)

1.084

4.442

7.133

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

2.273

8.736

16.457

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

87.367

81.411

66.752

 

 

 

 

 

 

Sundry Balances Written off

0.000

(2.781)

(1.798)

 

Income Tax Adjustment and Other

0.958

0.000

0.000

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

90.598

87.367

81.411

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

FOB value of exports

229.206

457.657

475.701

 

 

Interest Received from Debtors

0.058

3.875

5.664

 

TOTAL EARNINGS

229.264

461.532

481.365

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Stores & Spares

0.102

0.783

19.153

 

 

Trading Goods-Raw Materials

12.580

36.095

17.658

 

 

Capital Goods

0.000

2.433

3.148

 

TOTAL IMPORTS

12.682

39.311

39.959

 

 

 

 

 

 

Earnings Per Share (Rs.)

251.45

966.45

1820.44

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

0.73

1.71

2.94

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

1.22

2.60

4.33

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.57

2.26

4.90

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.02

0.07

0.14

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.62

1.49

1.07

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.36

1.30

3.03

 


 

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

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

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

Yes

34]

External Agency Rating, if available

Yes

 

UNSECURED LOANS

 

Particulars

31.03.2012

31.03.2011

 

 

(Rs. In Millions)

LONG TERM BORROWINGS

 

 

Other Loans

 

 

- From Directors

92.933

65.873

- From Others

15.951

16.439

 

 

 

SHORT TERMS BORROWINGS

 

 

From Body Corporates

13.000

25.000

Other Advances

3.000

12.000

 

 

 

Total

 

124.884

119.312

 

 

OPERATIONS REVIEW

 

The turnover from operations for the year was Rs.274.262 Millions as against Rs.506.352 Millions in the previous year. Profit before tax for the year was Rs.3.357 Millions as against Rs.13.311 Millions in the previous year.

 

 

FUTURE OUTLOOK

 

As reported in their previous reports, they believe that investments made in human resources, machines, research and development and technology will enable the Company to achieve steady growth and maintain its leadership position.

 

Previous year's figures are comparable with current year; Figures are regrouped and rearranged where ever required.

 

 

FIXED ASSETS:

 

·         Land-Freehold

·         Buildings

·         Plant and Machinery

·         Furniture and Fixtures

·         Office and Other Equipments

·         Vehicles

 

 


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.58.41

UK Pound

1

Rs.91.62

Euro

1

Rs.78.12

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

3

--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

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

 

34

 

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.