MIRA INFORM REPORT

 

 

Report Date :

15.03.2013

 

IDENTIFICATION DETAILS

 

Name :

PRITI DIAMONDS CC

 

 

Registered Office :

Suite 412, S A Jewellery Centre, 225 Main Street, Johannesburg, 2001

 

 

Country :

South Africa

 

 

Date of Incorporation :

18.07.2002

 

 

Com. Reg. No.:

B2002/055811/23

 

 

Legal Form :

Closed Corporation

 

 

Line of Business :

Retail trade in jewellery, watches and clocks

 

 

No. of Employees :

Not available 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate  

 

 

Payment Behaviour :

Slow but Correct 

 

 

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)

South Africa

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

South Africa - ECONOMIC OVERVIEW

 

south Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors; a stock exchange that is the 18th largest in the world; and modern infrastructure supporting a relatively efficient distribution of goods to major urban centers throughout the region. Growth was robust from 2004 to 2007 as South Africa reaped the benefits of macroeconomic stability and a global commodities boom but began to slow in the second half of 2007 due to an electricity crisis and the subsequent global financial crisis' impact on commodity prices and demand. GDP fell nearly 2% in 2009 but recovered in 2010-11. Unemployment remains high and outdated infrastructure has constrained growth. State power supplier Eskom encountered problems with aging plants and meeting electricity demand necessitating "load-shedding" cuts in 2007 and 2008 to residents and businesses in the major cities. Daunting economic problems remain from the apartheid era - especially poverty, lack of economic empowerment among the disadvantaged groups, and a shortage of public transportation. South Africa''s economic policy is fiscally conservative focusing on controlling inflation and attaining a budget surplus. The current government largely follows these prudent policies but must contend with the impact of the global crisis and is facing growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

 

 

Source : CIA

 

 

 


 

Subject Name

PRITI DIAMONDS CC

Country

South Africa

Subject Contact Person

RUPAM GIRDHARLAL DANI- Managing Member

Assessment

On investigation contact was made with the Managing Member MR. RUPAM GIRDHARLAL DANI who declined to assist with any information on the subject. MR. DANI requested to know the name of the principal enquirer and stated he will not divulge any information until the principal enquirer is known.

 

Please see the available information on the subject below.

 

 

Company information

 

Registered Name

PRITI DIAMONDS CC

Trading as/ Division Name

PRITI DIAMONDS

Date of Name Change

Sep 26 2002 12:00AM

Registration Number

B2002/055811/23

Registration Date

2002/07/18

Date Commenced Trading

2002-07-18

Age of Business

10 Years 8 Months

History of Business

The subject was established as a new business in 2002 and commenced trading immediately.

History of Principals

There are currently 5 active directors within the company.

Shareholders/Members/Partners of subject and % holding

65 % - RUPAM GIRDHARLAL DANI, 10 % -CHANDRAKANT LALLOO NAGAR, 15 % - NITESH DINESH PETHANI, 10 % - SHAILESH DINESH PETHANI

Authorised Share Capital

R0.00

Issued Share Capital/Members Contribution

R0.00

Status

In Business

Operations Assessment

The subject operates as a retailer of diamonds.

Industry/ Customers

The public sector and corporate companies.

Major Industry Code / SICC

62392

Definition of Code

Retail trade in jewellery, watches and clocks

Head Office Physical Address

SUITE 412, S A JEWELLERY CENTRE, 225 MAIN STREET, JOHANNESBURG, 2001

Head Office Postal Address

SUITE 412, S A JEWELLERY CENTRE, 225 MAIN STREET, JOHANNESBURG, 2001

Current Tel Number

0113343207

 


Auditors information

 

Company Registered Name

PRIMESH & ASSOCIATES CC

Registration Number

B2004/090314/23

Physical Address

131 SUNBIRD AVENUE, LENASIA, 1821

Postal Address

P 0 BOX 1326, LENASIA, 1820

Contact Person

SEGERAN

Contact Number

0113342048

Principals

1

Subject Verified as Client

Yes

Practice Number

633

VAT Number

4110225952

Tax Number

9339672157

Financial Year End

February

No of years in Business

5

 

Previous Auditors

Company Name

Phone Number

Time with previous auditors

Comment

CG HARI

 

Unknown

 

 

 

Tax information

 

Vat Number

4640247088

Status

ACTIVE

Vat Liable Date

2008/05/01

Tax Number

9054566147

Financial Year End

February

 

Black Economic Empowerment Information - No Information on Record

 

ISO Information - No Information on Record

 

Work Mans Information - No Information on Record

 

 

Company Structure

 

Subsidiaries Information - No Information on Record

 

Employees Information - No Information on Record

 

Company Fleet Information - No Information on Record

 

Offices Information       - No Information on Record

 

Branch Information        - No Information on Record

 

Management Overview

 

Organisation Chart

Level

Position

Name

Comment

 

1

Managing Member

RUPAM GIRDHARLAL DANI

 

 

2

Member

CHANDRAKANT LALLOO NAGAR

 

 

2

Member

NITESH DINESH PETHANI

 

 

2

Member

SHAILESH DINESH PETHANI

 

 

Company Structure (Ownership)

Note: One level up and all levels down

 

Holding

Company

Sub

Comment

65 % - RUPAM GIRDHARLAL DANI

PRITI DIAMONDS CC

 

 

10% - CHANDRAKANT LALLOO NAGAR

PRITI DIAMONDS CC

 

 

15 % - NITESH DINESH PETHANI

PRITI DIAMONDS CC

 

 

10% - SHAILESH DINESH PETHANI

PRITI DIAMONDS CC

 

 

 

Key Deals - No Information on Record

 

Trade References Information - No Information on Record

 

 

Adverse Information on Subject

 

Judgements - No information on record

 

Business Rescue - No Information on Record

 

Default listing - No Information on Record

 

Notarial Bonds - No information on record

 

Bank Information - No Information on Record

 

Bank Code History - No Information on Record

 

Previous Bank Account Information - No Information on Record

 

Deeds Information - No information on record

 

 

 

Principals

 

Number of Principals

5

Average Age of Active Principals

53

 

Active Principals Principal - 1of 4 NITESH DINESH PETHANI

Surname

PETHANI

First Name

NITESH DINESH

Other Names

None

Marital Status

 

ID Number

Z1782411

Verified ID Number

No

Current Age

47

Designation

Member

Status

Active

Appointment Date

2008/07/31

Physical Address (at time of Appointment)

31 CHALTON QUAY, DESMOND ROAD, MORNINGSIDE, SANDTON, 2196

Postal Address

31 CHALTON QUAY, DESMOND ROAD, MORNINGSIDE, SANDTON, 2196

Current Tel Number

0113343207

Cell number

 

Shareholding/Membership

15 %

 

Principal's Adverse - No information on record

 

Business Information for NITESH DINESH PETHANI

 

Principal Current Business Interests

 

Company Name

Registration No

Status

Age of Business

Judgements

Liquidation

Comment

PRITI DIAMONDS CC

B2002/055811 /23

In Business

10 Years 8 Months

0

No

 

 


Principal Previous Business Interests

 

Average Age of Previous Business                                            2 Years

 

Company Name

Registration No

Status

Age of Business

Judgements

Liquidation

Comment

AZ DIAMONDS CC

B2010/066699/23

In Business

2 Years 10 Months

0

No

 

 

Principal's Deeds Information - No information on record

 

 

Principal - 2of 4 CHANDRAKANT LALLOO NAGAR

Surname

NAGAR

First Name

CHANDRAKANT LALLOO

Other Names

None

ID Number

461095131084

Verified ID Number

No

Current Age

67

Designation

BUSINESSMAN

Status

Active

Appointment Date

2008/05/08

Physical Address (at time of Appointment)

8 LARKSPUR AVENUE, EXTENSION 3, LENASIA, 1827

Postal Address

8 LARKSPUR AVENUE, EXTENSION 3, LENASIA, 1827

Current Tel Number

0113343207

Shareholding/Membership

10%

 

Principal's Adverse - No information on record

 

Business Information for CHANDRAKANT LALLOO NAGAR

 

Principal Current Business Interests

 

Company Name

Registration No

Status

Age of Business

Judgements

Liquidation

Comment

PRITI DIAMONDS CC

B2002/055811 /23

In Business

10 Years 8 Months

0

No

 

 

Principal - 3of 4 RUPAM GIRDHARLAL DANI

Surname

DANI

First Name

RUPAM GIRDHARLAL

Other Names

None

ID Number

7404080000000

Verified ID Number

No

Current Age

39

Designation

Director

Status

Active

Appointment Date

2002/09/26

Physical Address (at time of Appointment)

274 PEARL STREET, LAUDIUM, PRETORIA, 0037

Postal Address

274 PEARL STREET, LAUDIUM, PRETORIA, 0037

Current Tel Number

0113343207

Cell number

 

Shareholding/Membership

65 %

 

Principal's Adverse - No information on record

 

Business Information for RUPAM GIRDHARLAL DANI

 

Principal Current Business Interests

 

Company Name

Registration No

Status

Age of Business

Judgements

Liquidation

Comment

PRITI DIAMONDS CC

B2002/055811 /23

In Business

10 Years 8 Months

0

No

 

 

Principal - 4of 4 SHAILESH DINESH PETHANI

Surname

PETHANI

First Name

SHAILESH DINESH

Other Names

None

ID Number

EG045438

Verified ID Number

No

Current Age

48

Designation

Member

Status

Active

Appointment Date

2008/07/31

Physical Address (at time of Appointment)

31 CHARLTON QUAY, DESMOND ROAD, MORNINGSIDE, 2196

Postal Address

SA JEWELLERY CENTRE, SUITE 412A, 225 MAIN STREET, JHB, 2001

Current Tel Number

0113343207

Shareholding/Membership

10%

 

Principal's Adverse - No information on record

 

Business Information for SHAILESH DINESH PETHANI

 

Principal Current Business Interests

 

Company Name

Registration No

Status

Age of Business

Judgements

Liquidation

Comment

PRITI DIAMONDS CC

B2002/055811 /23

In Business

10 Years 8 Months

0

No

 

 

Principal's Deeds Information - No information on record

 


DIAMOND INDUSTRY – INDIA

 

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.

-          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.54.44

UK Pound

1

Rs.81.33

Euro

1

Rs.70.50

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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

----

 

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%)

 

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.