MIRA INFORM REPORT

Report Date :

05.03.2013

IDENTIFICATION DETAILS

Name :	K P SOLVEX PRIVATE LIMITED [w.e.f. 30.03.2007]
Formerly Known As :	K P SOLVEX LIMITED
Registered Office :	Village Harshmau, Tehsil – Niwari, Tikamgarh – 472442, Madhya Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	25.01.1983
Com. Reg. No.:	10-002131
Capital Investment / Paid-up Capital :	Rs. 13.440 millions
CIN No.: [Company Identification No.]	U15143MP1983PTC002131
PAN No.: [Permanent Account No.]	AAACK4840R
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporters of edible oil
No. of Employees :	125 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (31)

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

Maximum Credit Limit :	USD 605000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The latest financials of the company are not made available. As per previous year’s record, the company is found to have recorded minimal profits. However, trade relations are reported as fair. Business is active. Payment terms are unknown. In absence of latest financials, 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 – 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.

LOCATIONS

Registered Office :	Village Harshmau, Tehsil – Niwari, Tikamgarh – 472442, Madhya Pradesh, India
Tel. No.:	91-7680-232312/13/14
Fax No.:	91-7680-232207
E-Mail :	kpsolvex@hotmail.com

DIRECTORS

As on 29.09.2012

Name :	Mr Indra Kumar Kochar
Designation :	Managing Director
Address :	386/4 – D, Civil Liines, Gwalior Road, Jhansi – 284003, Uttar Pradesh, India
Date of Birth/Age :	14.11.1941
Date of Appointment :	25.01.1983
DIN No.:	00029254
Name :	Mr Bal Kishan Trivedi
Designation :	Director
Address :	7, Sushil Enclave, Gwalior Road, Jhansi – 284 003, Uttar Pradesh, India
Date of Birth/Age :	26.11.1940
Date of Appointment :	25.01.2006
DIN No.:	00029294
Name :	Mr Khushal Chand Jain
Designation :	Director
Address :	40, Sushil Enclave, Gwalior Road, Jhansi – 284 003, Uttar Pradesh, India
Date of Birth/Age :	11.06.1950
Date of Appointment :	25.01.1983
DIN No.:	00032039

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Khushal Chandra Jain	16016
Indra Kumar Kochar	24024
Bal Kishan Trivedi	17808
Raj Kumari Kochar	20720
Kochar Namita	9240
Kochar Kumar Harsh	6692
Kochar Kumar Saurabh	1820
Jain Lal Manohar	29120
Jain Jaishri	560
Kochar Kumar Indra [HUF]	3920
Jain Das Jin and I K Kochar [HUF]	4480
TOTAL	134400

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporters of edible oil

PRODUCTION STATUS [As on 31.03.2011]

Particulars	Unit	Licensed Capacity	Installed Capacity	Utilized Capacity
Solvent Extraction Plant	MT	100000	100000	67464
Refinery Unit	MT	15000	15000	1738

GENERAL INFORMATION

No. of Employees :

125 (Approximately)

Bankers :

Punjab National Bank, Jhansi City, Jhansi - 284001, Uttar Pradesh, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Rupee Term Loans Secured	8.700	4.327
Working Capital Loans Secured	178.507	194.172
Total	187.207	198.499

Banking Relations :	--
Auditors :
Name :	J P Associates Chartered Accountants
Address :	Triveni Kunj, Prem Ganj, SIPRI, Jhansi – 284003, Uttar Pradesh, India
PAN No.:	AAAFJ8660R

CAPITAL STRUCTURE

As on 29.09.2012

Authorized 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
134400	Equity Shares	Rs. 100/- each	Rs. 13.440 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

Particulars		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		13.440	13.440	13.440
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		138.054	139.380	167.734
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		151.494	152.820	181.174
LOAN FUNDS
1] Secured Loans		187.207	198.499	96.792
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		187.207	198.499	96.792
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		338.701	351.319	277.966
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		71.335	75.548	76.321
Capital work-in-progress		2.484	0.000	0.000
INVESTMENT		4.111	5.145	5.605
DEFERREX TAX ASSETS		0.000	0.000	0.034
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	215.057	206.705	141.188
	Sundry Debtors	6.237	27.598	0.467
	Cash & Bank Balances	12.086	10.262	30.761
	Other Current Assets	12.185	11.730	0.000
	Loans & Advances	26.085	22.210	40.405
Total Current Assets		271.650	278.505	212.821
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.384	0.585	0.088
	Other Current Liabilities	5.179	3.024	8.679
	Provisions	5.316	4.270	8.048
Total Current Liabilities		10.879	7.879	16.815
Net Current Assets		260.771	270.626	196.006
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		338.701	351.319	277.966

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income		1094.849	1291.157
		Other Income		5.307	0.292
		TOTAL (A)	NA	1100.156	1291.449
Less	EXPENSES
		Office Expenses
		Administrative Expenses		1134.622	1258.641
		Advertising Expenses
		TOTAL (B)	NA	1134.622	1258.641
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		24.547	(25.313)	32.808
Less	FINANCIAL EXPENSES (D)		19.620	9.153	0.000
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		4.927	(34.466)	32.808
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.694	2.773	2.954
Add	Prior period income / [expenses]		0.059	0.992	[0.565]
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		2.292	(36.247)	29.289
Less	TAX (H)		0.222	11.697	9.593
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		2.070	(24.550)	19.696
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2.500	2.500	2.500
Less	APPROPRIATIONS
		Transfer to General Reserve	2.070	24.550	13.196
		Special Reserve	0.000	0.000	2.500
		Contingency Reserve	0.000	0.000	4.000
	BALANCE CARRIED TO THE B/S		2.500	2.500	2.500
	EARNINGS IN FOREIGN CURRENCY		436.634	122.439	199.977
	Earnings/(Loss) Per Share (Rs.)		15.40	--	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	(2.23)	1.52
Net Profit Margin (PBT/Sales)	(%)	NA	(3.31)	2.27
Return on Total Assets (PBT/Total Assets}	(%)	0.66	(10.59)	10.13
Return on Investment (ROI) (PBT/Networth)		0.02	(0.24)	0.16
Debt Equity Ratio (Total Debt/Networth)		1.23	1.30	0.53
Current Ratio (Current Asset/Current Liability)		24.97	33.86	12.66

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	No
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	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

YEAR IN RETROSPECT:

Rains during 2010-11 season were satisfactory as perceived earlier and crop outcome was in tune with estimates. Consequently, processing gained momentum for availability of raw material at competitive rates during the season. An increase in capacity utilization in the Solvent Extraction Plant from 39,966 MT to 67,434 MT during the year. However, processing in refinery unit of your Company registered a decline to 1,738 MT during the year from 2,465 MT during previous year.

FINANCE:

The Company paid off Rs. 1.627 millions during the year in term loans from Punjab National Bank. A new term loan was raised for Rs. 6.000 millions during the year.

CONTINGENT LIABILITY

Claim against Company not acknowledged as debts

(Rs. in millions)

PARTICULARS	31.03.2011
Claim – Law suit pending	2.000
Central Sales Tax - under appeal	0.031
Income Tax (AY 2009-10) - under appeal	0.417
Income Tax (AY 2008-09) - under appeal	0.881
Commercial Tax - under appeal	0.246

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U15143MP1983PTC002131
Name of the company	K P SOLVEX PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Village Harshmau, Tehsil - Niwari, Tikamgarh – 472442, Madhya Pradesh, India e-mail: kpsolvex@hotmail.com
This form is for	Creation of charge
Type of charge	Movable Property
Particular of charge holder	Punjab National Bank, Jhansi City, Jhansi - 284001, Uttar Pradesh, India e-mail: bo0229@pnb.co.in
Nature of description of the instrument creating or modifying the charge	Letter of Hypothecation (For Car loan) dt 26.09.2012
Date of instrument Creating the charge	26.09.2012
Amount secured by the charge	Rs. 1.027 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Terms of Repayment The amount of the Loan with interest is repayable in 84 monthly installments of Rs.18,130.00 each commencing from October, 2012
Short particulars of the property charged	Hypothecation of Hyundai Elanta chasis no. 011584

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.55.05
UK Pound	1	Rs.82.75
Euro	1	Rs.71.61

INFORMATION DETAILS

Report Prepared by :

NID

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--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	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		31

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.