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Report Date : |
13.03.2013 |
IDENTIFICATION DETAILS
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Name : |
VIJISAN (H.K.) |
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Registered Office : |
Flat E, 22/F., Hong King Building, 28 Hong Keung Street, San Po Kong, Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
13.04.2000 |
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Com. Reg. No.: |
30876950-000-04 |
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Legal Form : |
Sole Proprietorship |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, emerald, precious stones, etc. |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No complaints |
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Litigation : |
Clear |
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 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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Hong Kong |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Hong Kong - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.
|
Source : CIA |
VIJISAN
(H.K.)
c/o C. Mahendra
Exports (H.K.) Ltd.
Flat 808, 8/F.,
Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
PHONE: 2311 2011
FAX: Not available
Manager: Mr. Abdul Samad Ibrahim Solkar
Establishment: 13th April, 2000.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Diamond Trader.
Employees: Nil.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
VIJISAN
(H.K.)
Head
Office:-
c/o C. Mahendra
Exports (H.K.) Ltd.
Flat 808, 8/F.,
Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
Registered
Address:-
Flat E, 22/F.,
Hong King Building, 28 Hong Keung Street, San Po Kong, Kowloon, Hong Kong.
Mailing
Address:-
P.O.
Box 86487, Gillies Avenue Post Office, Kowloon, Hong Kong.
30876950-000-04
Manager: Mr. Abdul Samad Ibrahim Solkar
Name: Mr. Abdul Samad Ibrahim SOLKAR
Residential
Address:
14/F., Ocean View
Court, 25 Chatham Road, Tsimshatsui, Kowloon, Hong Kong.
The
subject was established on 13th April, 2000 as a sole proprietorship concern
owned by Mr. Rajendrakumar Jayantilal Soni under the Hong Kong Business
Registration Regulations.
The
following table shows the changes of the partners:-
|
Name |
Incoming Date |
Outgoing Date |
|
Rajendrakumar Jayantilal SONI |
13-04-2000 |
02-06-2000 |
|
Abdul Samad Ibrahim SOLKAR |
01-06-2000 |
- |
Initially
the subject was located at 14/F., Ocean View Court, 25 Chatham Road, Tsimshatsui,
Kowloon, Hong Kong, moved to Flat B, 7/F., Golden Mansion, 83-85 Chatham Road,
Tsimshatsui, Kowloon, Hong Kong in August 2005; to Room 804, 8/F., Cheong Shing
Court, 7 San Lau Street, Hunghom, Kowloon, Hong Kong in June 2006; to Flat 2,
2/F., King Wing Building, 57 Man Tai Street, Hunghom, Kowloon, Hong Kong in
November 2007; to Flat A, 11/F., Po Sun Mansion, 87 Bulkeley Street, Hunghom,
Kowloon, Hong Kong in March 2009; and further moved to the present address in
March 2011.
Apart
from these, neither material change nor amendment has been ever traced and
noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products, emerald, precious stones, etc.
Employees: Nil.
Commodities Imported: India, Belgium, other European countries, etc.
Markets: Hong Kong, other Asian countries, North America, Western Europe, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Capital: Not disclosed.
Profit or Loss: Operation is conducted on a profitable basis.
Condition: Business is fairly active.
Facilities: Is making use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
Vijisan
(H.K.) is a sole proprietorship set up in April 2000 and now owned by Mr. Abdul
Samad Ibrahim Solkar who is an Indian. He
is the subject’s manager holding an India passport. Solkar joined in the subject in June 2000.
The
subject does not have its own operating address. It is using the office of C. Mahendra Exports
(H.K.) Ltd. [CME] as its corresponding address.
Now, CME is located at Flat 808, 8/F., Guardforce Centre, 3 Hok
Yuen Street East, Hunghom, Kowloon, Hong Kong.
We
can reach CME at your 852-2311 2011. The
respondent said his office is also the office of the subject.
The
subject’s registered address is located at Flat E, 22/F., Hong King Building,
28 Hong Keung Street, San Po Kong, Kowloon, Hong Kong. This office is not in a commercial building
but a residential building. It is likely
that Solkar has moved to this new address but does not make any amendments on
the subject’s registration materials. It
seems that the subject’s real operating address is also Solkar’s latest
residential address. The residential
building is not trespassed by outsiders.
The subject moved to this new address in March 2011.
The
subject has no employees in Hong Kong.
The
subject is a gemstone trader. It is
dealing in fine coloured diamonds and rare gemstones. Products include fancy coloured diamonds,
unusual rose cut and briolette cut diamonds.
Diamonds and gemstones are imported from India, Belgium and other
European countries, etc. Some of the
commodities are polished diamonds.
Polished and cut diamonds are exported or re‑exported to Japan,
other Asian countries, Europe, the Middle East and North America. Business is just fairly active.
Originally,
the subject was set up by Rajendrakumar Jayantilal Soni who is also an
Indian. Prior to setting up the subject,
on 30th October, 1989, Soni set up a diamond trading firm “Ronak Gems”. Soni retired from the subject on 2nd June,
2000 and has paid more attention on Ronak Gems.
Now, Ronak Gems is still operated by Soni. Besides Ronak Gems, Soni is also the sole
proprietor of Hong Kong Capital Co.
Established on 14th April, 1994, Hong Kong Capital Co. is also a
diamond trader.
The
subject is just a one-man company.
Keeping a balance account or making a very small profit in most of the
past years.
On
the whole, since the history of the subject in Hong Kong is about thirteen
years, on the whole, consider it good for normal business engagements in small
credit amounts.
DIAMOND INDUSTRY –
INDIA
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From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
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The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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The diamond jewellery industry in India today may be
more than Rs 60000 mil and is rated amongst the fastest growing in the
world. Indi ranks third in the world in domestic diamond consumption.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
DIAMOND SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT
This could be the biggest credibility crisis
the Indian diamond industry has ever faced. Fifteen banks run the risk of
losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two
months ago, they had not repaid these dues. Bankers believe many
diamantaires borrowed money during the economic downturn two years ago and
diverted funds to businesses like real estate and capital markets. Many of
themselves made money from these businesses but their diamond companies have
gone sick and declared insolvency.
-
Most of the money borrowed from the banks in the name
of their diamond business has been diverted in real estate and the share
market. The banks are not in a position to seize their properties because in
many cases, these were purchased in the name of their relatives and friends.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.33 |
|
|
1 |
Rs.80.89 |
|
Euro |
1 |
Rs.70.73 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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 |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
-- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.