MIRA INFORM REPORT

Report Date :

01.03.2013

IDENTIFICATION DETAILS

Name :	FORTUNE CHEMICALS LIMITED (w.e.f. 18.10.1993)
Formerly Known As :	FORTUNE CHEMICALS AND PROCESSING PRIVATE LIMITED
Registered Office :	203, Sukanmall, 2^nd Floor, Near Visat Petrol Pump, Sabarmati, Gandhinagar, Sabarmati, Ahmedabad – 380 005, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	28.09.1989
Com. Reg. No.:	04-012806
Capital Investment / Paid-up Capital :	Rs.2.575 millions
CIN No.: [Company Identification No.]	U24231GJ1989PLC012806
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trader and Importer of Chemical.
No. of Employees :	10 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (37)

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

Maximum Credit Limit :	USD 11000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The management of the company has failed to file its financials with the Government Department after 2010. Mr. Anup Pandey, Company Secretary has provided all information but the financials are not verified. He confirmed that the company has achieved better growth in the operations during 2012. As per verified of 2010, the profitability of the company appeared low. However, trade relations are reported as fair. Business is active. Payment terms are slow. The company can be considered 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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

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. Anup Pandey
Designation :	Company Secretary
Contact No.:	91-9163337918
Date :	26.02.2013

LOCATIONS

Registered Office :	203, Sukanmall, 2^nd Floor, Near Visat Petrol Pump, Sabarmati, Gandhinagar, Sabarmati, Ahmedabad – 380 005, Gujarat, India
Tel. No.:	91-278-2568424
Mobile No.:	91-9831178721 (Mr. Agarwal) 91-9163337918 (Mr. Anup Pandey)
Fax No.:	91-278-2568424
E-Mail :	sanjiv.sah91@gmail.com aaryaind@gmail.com accounts@aaryaindustrial.com
Location :	Owned
Branch Office :	Located at: · Masjid Bunder, Mumbai

DIRECTORS

As on 30.09.2010

Name :

Mr. Rajesh Shankar Lal Khetan

Designation :

Director

Address :

148, Ashoke Garh, Kolkata – 700 108, West Bengal, India

Date of Birth/Age :

07.04.1973

Date of Appointment :

30.09.2011

DIN No.:

02659900

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	U24231GJ1989PLC012806	FORTUNE CHEMICALS LIMITED	Director	30/09/2011	31/08/2011	-	Active	NO
2	U70102MH2010PTC203161	BARITONE CONSTRUCTIONS PRIVATE LIMITED	Director	05/05/2012	05/05/2012	-	Active	NO

Name :

Mr. Ashish Debkinandon Sharma

Designation :

Director

Address :

7, Gobinda Auddy Road, Chetla, Kolkata – 700 027, West Bengal, India

Date of Birth/Age :

04.05.1982

Date of Appointment :

30.09.2011

DIN No.:

03517282

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	U24231GJ1989PLC012806	FORTUNE CHEMICALS LIMITED	Director	30/09/2011	31/08/2011	-	Active	NO
2	U70102MH2010PTC203161	BARITONE CONSTRUCTIONS PRIVATE LIMITED	Director	05/05/2012	05/05/2012	-	Active	NO

Name :

Mr. Bijay Kumar Kailash Singh

Designation :

Additional Director

Address :

Para South Para and North Budbud, Budbud, Burdwan – 713 403, West Bengal, India

Date of Birth/Age :

23.01.1981

Date of Appointment :

07.01.2013

DIN No.:

02291731

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	U70102WB1996PTC077554	ASTERISK PRINTS PRIVATE LIMITED	Director	01/08/2008	01/08/2008	-	Active	NO
2	U24298GJ1995PLC024153	SHREE SHYAM SALT PRODUCTS LIMITED	Additional director	24/02/2012	24/02/2012	-	Active	NO
3	U24231GJ1989PLC012806	FORTUNE CHEMICALS LIMITED	Additional director	07/01/2013	07/01/2013	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Anup Pandey
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Note:

Shareholding details file attached.

As on 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Chemical.
Imports :
Products :	· Chemical
Countries :	· USA · Japan · China
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :	10 (Approximately)
No. of Employees :	Others (Manufacturing Company)
Bankers :	· State Bank of India, Ahmedabad, Gujarat, India · Oriental Bank of Commerce
Facilities :	--

Banking Relations :	--
Auditors :
Name :	Prodip Sarkar and Associates Chartered Accountants
Address :	9-D/1A, Northen Avenue, Kolkata – 700 033, West Bengal, India
Income-tax PAN of auditor or auditor's firm :	BIQPS4097C

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
257500	Equity Shares	Rs.10/- each	Rs.2.575 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		2.575	2.575	2.575
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.099	0.048	0.000
4] (Accumulated Losses)		0.000	0.000	(0.058)
NETWORTH		2.674	2.623	2.517
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.125	0.125	0.125
TOTAL BORROWING		0.125	0.125	0.125
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		2.799	2.748	2.642
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.262	0.302	0.340
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.045	4.265	0.200
	Sundry Debtors	7.091	125.846	1.285
	Cash & Bank Balances	0.290	1.000	0.067
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	2.129	1.319	1.319
Total Current Assets		13.555	132.430	2.871
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	10.995	129.969	0.569
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.023	0.015	0.000
Total Current Liabilities		11.018	129.984	0.569
Net Current Assets		2.537	2.446	2.302
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2.799	2.748	2.642

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income from Operation	160.836	158.000	0.940
		Other Income	0.000	0.680	0.000
		TOTAL (A)	160.836	158.680	0.940
Less	EXPENSES
		Cost of Goods Sold	159.144	156.988	0.600
		Administrative & Other Expenses	1.549	0.324	0.180
		TOTAL (B)	160.693	157.312	0.780
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		0.143	1.368	0.160
Less	INTEREST (D)		0.029	1.164	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.114	0.204	0.160
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.040	0.083	0.046
	PROFIT BEFORE TAX (E-F) (G)		0.074	0.121	0.114
Less	TAX (H)		0.023	0.015	0.000
	PROFIT AFTER TAX (G-H) (I)		0.051	0.106	0.114
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.049	(0.057)	(0.171)
	BALANCE CARRIED TO THE B/S		0.100	0.049	(0.057)
	Earnings Per Share (Rs.)		0.39	0.19	NA

Particulars	31.03.2012	31.03.2011
Sales Turnover (Approximately)	250.000	30.000 (Due to recession)

Expected Sales (2012-2013): Rs.870.000 millions (Till date)

The above information has been parted by Mr. Anup Pandey (Company Secretary).

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.03	0.07	12.13
Net Profit Margin (PBT/Sales)	(%)	0.05	0.08	12.13
Return on Total Assets (PBT/Total Assets}	(%)	0.54	0.09	3.55
Return on Investment (ROI) (PBT/Networth)		0.03	0.05	0.05
Debt Equity Ratio (Total Debt/Networth)		0.05	0.05	0.05
Current Ratio (Current Asset/Current Liability)		1.23	1.02	5.05

LOCAL AGENCY FURTHER INFORMATION

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 five years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	Yes
14) Estimation for coming financial year	Yes
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)	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	No
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 1512, Golghat Circle, Padmanabhi Flats, A/2, Bhavnagar – 364 001, Gujarat to the present address w.e.f. 15.01.2013.

Unsecured Loans	31.03.2010 (Rs. in Millions)	31.03.2009 (Rs. in Millions)
Ushaben Agarwal	0.100	0.100
Pratimaben Agarwal	0.020	0.020
Ramgopal Agarwal	0.005	0.005
Total	0.125	0.125

FIXED ASSETS:

· Plant and Machinery

· Computer and Peripherals

· Fax Machine

· Electrical Installation

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.53.77
UK Pound	1	Rs.81.57
Euro	1	Rs.70.68

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		37

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.