MIRA INFORM REPORT

Report Date :

18.06.2013

IDENTIFICATION DETAILS

Name :	MALIK POLYCHEM LIMITED
Registered Office :	M3, Mezzanine Floor, Kanchan House, Karampura, New Delhi - 110015
Country :	India
Financials (as on) :	31.03.2012
Year of Establishment :	11.03.1999
Com. Reg. No.:	55-098769
Capital Investment / Paid-up Capital :	Rs.15.990 Millions
CIN No.: [Company Identification No.]	U74899DL1999PLC098769
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Equipment for Edible Oil, Pharmaceutical and Chemical Plant.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 96000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appears dip in its sales and incurred loss during 2012. The external borrowing seems to be increasing over years. However, trade relations are reported to be fair. Business is active. Payments are reported to be 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 (GENERAL DETAILS)

Name :	Ms. Neha Dhawan
Designation :	Director
Contact No.:	91-9717333887
Date :	13.06.2013

LOCATIONS

Registered Office :	M3, Mezzanine Floor, Kanchan House, Karampura, New Delhi – 110015, India
Tel. No.:	91-11-42071251
Mobile No.:	91-9717333887 (Mrs. Neha Dhawan)
Fax No.:	91-11-45045954
E-Mail :	malikpolychem@gmail.com
Website :	http://malikgroup.tradeindia.com
Location :	Owned
Factory :	Sonepat Kharkhoda Road, Village Assoda, Bahadurgarh, Jhajjar Haryana, India
Area :	18000 Sq. Fts
Location :	Owned
Corporate Office :	D-3, Shopping Centre, 1st Floor, Mansarovar Garden, New Delhi – 110015, India

DIRECTORS

As on: 29.09.2012

Name :	Mr. Davinder Dhawan
Designation :	Director
Address :	D-37, Kirti Nagar, New Delhi - 110015
Date of Birth/Age :	10.10.1954
Date of Appointment :	11.03.1999
DIN No.:	01816455
Name :	Ms. Anuradha Dhawan
Designation :	Director
Address :	D-37, Kirti Nagar, New Delhi - 110015
Date of Appointment :	11.03.1999
DIN No.:	01816463
Name :	Mr. Manav Dhawan
Designation :	Director
Address :	D-37, Kirti Nagar, New Delhi - 110015
Qualification :	Graduate
Date of Appointment :	05.07.2004
DIN No.:	01821925
Name :	Ms. Neha Dhawan
Designation :	Director
Qualification :	Graduate

MAJOR SHAREHOLDERS

As on: 29.09.2012

Names of Shareholders	No. of Shares
Devinder Dhawan	67650
Anuradha Dhawan	22750
Nirmal Dhawan	5020
Puneet Dhawan	1020
Ramesh Chander Dhawan	4870
Sawran Dhawan	1220
Himanshu Dhawan	1220
Bhaskar Dhawan	2500
Jyoti Sohi	500
Sachin Sohi	500
Banmeet Singh	500
Suman Bhutani	500
R.K. Bhutani	500
Angad Singh	500
Gaurav Sachdeva	6000
Mohit Sachdeva	1500
Rishi Sachdeva	1000
Vineet Malhotra	1000
Shalini Malhotra	1250
P. Singh	350
Ved Malhotra	100
Aparna Vij	25000
Rakesh Ram Sachoena	3500
Manav Dhawan	10950
Total	159900

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Directors or relatives of Directors	73.30
Other top fifty shareholders	26.70
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Equipment for Edible Oil, Pharmaceutical and Chemical Plant.
Terms :
Selling :	Cash and Advance Payment
Purchasing :	Cash and Advance Payment

GENERAL INFORMATION

Suppliers :

A. B. Pal Electricals Private Limited

Customers :

OEM’s

· High Polymer Lab Limited

No. of Employees :

100 (Approximately)

Bankers :

· Syndicate Bank, 16 -B/6, Desh Bandhu Gupta Road, Dev Nagar, Delhi - 110005, Delhi, India

· HDFC Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
LONG TERM BORROWINGS
Syndicate Bank, New Delhi
Cash Credit Account	19.777	21.258
Barclays Bank Business loan	0.000	0.826
HDFC Bank Car Loan	0.508	0.645
NSIC	14.769	4.226
HDFC Bank Limited	0.000	0.424
Total	35.054	27.379

Banking Relations :
Auditors :
Name :	Ramesh Kathpalia and Company Chartered Accountants
Address :	KP-328, Pitampura, Delhi – 110034, India
Tel. No.:	91-11-25280738
PAN No.:	AAMPC4573G
Associates/Subsidiaries :	Malik Engineering and Manufacturing Company – Delhi Malik Energy Machines, Assoda

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
159900	Equity Shares	Rs.100/- each	Rs.15.990 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	15.990	12.410
(b) Reserves & Surplus	2.358	3.037
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	5.764	5.764
(3) Non-current liabilities
(a) long-term borrowings	45.132	27.380
(b) Deferred tax liabilities (Net)	0.804	0.653
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
(4) Current liabilities
(a) Short term borrowings	8.880	6.441
(b) Trade payables	28.350	37.033
(c) Other current liabilities	0.630	0.231
(d) Short-term provisions	0.000	0.000
TOTAL	107.908	92.949
II. ASSETS
(1) Non-current assets
(a) Fixed Assets	25.861	18.573
(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	0.264	0.164
(e) Other Non-current assets	0.017	0.022
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	51.075	36.841
(c) Trade receivables	11.402	21.739
(d) Cash and cash equivalents	0.285	0.487
(e) Short-term loans and advances	19.004	15.123
(f) Other current assets	0.000	0.000
TOTAL	107.908	92.949

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		11.000
2] Share Application Money		5.764
3] Reserves & Surplus		2.595
4] (Accumulated Losses)		0.000
NETWORTH		19.359
LOAN FUNDS
1] Secured Loans		20.992
2] Unsecured Loans		0.000
TOTAL BORROWING		20.992
DEFERRED TAX LIABILITIES		0.837
TOTAL		41.188
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		20.399
Capital work-in-progress		0.000
INVESTMENT		2.551
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	30.726
	Sundry Debtors	14.741
	Cash & Bank Balances	0.676
	Other Current Assets	2.794
	Loans & Advances	4.336
Total Current Assets		53.273
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities	34.998
	Provisions	0.059
Total Current Liabilities		35.057
Net Current Assets		18.216
MISCELLANEOUS EXPENSES		0.022
TOTAL		41.188

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	50.551	83.859	62.378
		Other Income	0.493	0.002	0.001
		TOTAL (A)	51.044	83.861	62.379
Less	EXPENSES
		Changes in inventories	(14.235)	(6.114)	58.717
		Purchase of stock in trade	45.571	70.616
		Employee benefit Expenses	2.121	3.138
		Other Expenses	7.286	9.161
		TOTAL (B)	40.743	76.801	58.717
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		10.301	7.060	(Including Financial Expenses)
Less	FINANCIAL EXPENSES (D)		6.401	3.536
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.900	3.524	3.662
Less/ Add	DEPRECIATION/ AMORTISATION (F)		3.529	3.304	3.031
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		0.371	0.220	0.631
Less	TAX (H)		1.050	(0.222)	0.018
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		(0.679)	0.442	0.613
	Earnings/ (Loss) Per Share (Rs.)		(4.25)	NA	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(1.33)	0.53	0.98
Net Profit Margin (PBT/Sales)	(%)	0.73	0.26	1.01
Return on Total Assets (PBT/Total Assets}	(%)	0.34	0.24	0.86
Return on Investment (ROI) (PBT/Networth)		0.02	0.01	0.03
Debt Equity Ratio (Total Debt /Networth)		2.24	1.59	1.08
Current Ratio (Current Asset/Current Liability)		2.16	1.70	1.52

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	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	No
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	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 of the company has been shifted from D-37, Kirti Nagar, New Delhi – 110015, India to present address.

FINANCIAL RESULTS:

During the year, the company earned Net Profit of Rs. 0.371 Million as compared to the previous year Net Profit Rs.0.220 Million.

UNSECURED LOAN:

(Rs. in Millions)

Particulars	As on 31.03.2012	As on 31.03.2011
LONG TERM BORROWINGS
From Others	10.078	0.000
SHORT TERM BORROWINGS
Advance from Customer	8.879	6.441
Total	18.957	6.441

FIXED ASSETS:

• Factory Building Shed
• Machinery A/c
• Lab Equipments
• Generator
• Mobile
• Office
• 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 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.57.74
UK Pound	1	Rs.90.64
Euro	1	Rs.77.02

INFORMATION DETAILS

Information Gathered by :	PLV
Report Prepared by :	RAJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--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		27

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.