MIRA INFORM REPORT

Report Date :

18.03.2013

IDENTIFICATION DETAILS

Name :	OMICRON STEEL TRADES PRIVATE LIMITED
Registered Office :	Office No.115, Loha Bhavan, Princess Dock Division, P.D' Mellow Road, Masjid Bandar (East), Mumbai – 400 009, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.10.2009
Com. Reg. No.:	11-196778
Capital Investment / Paid-up Capital :	Rs.0.300 Million
CIN No.: [Company Identification No.]	U27310MH2009PTC196778
TAN No.: [Tax Deduction & Collection Account No.]	MUMO05169D
PAN No.: [Permanent Account No.]	AABCO2286J
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Hot-Rolled (HR), Cold-Rolled (CR) Coils and Metal Scrap.
No. of Employees :	18 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (33)

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

Maximum Credit Limit :	USD 18000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Even though the company was incorporate in the year 2009, they started their activities from May 2010. The management has failed to file its financial for the year 2012 with the Government Department. As per available financial (2011), the company’s performance capability appears to be high but the profit margin is below average. However, trade relations are reported to be fair. Business is active. Payments are unknown. The company can be considered for business dealings with 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Short Term Rating: A4
Rating Explanation	Having minimal degree of safety regarding timely payment of financial obligation it carry very high credit risk.
Date	May, 2012

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 :	Office No.115, Loha Bhavan, Princess Dock Division, P.D' Mellow Road, Masjid Bandar (East), Mumbai – 400 009, Maharashtra, India
Tel. No.:	91-22-22804180/ 81
Fax No.:	91-22-22804182
E-Mail :	nitin@kanakgroup.in marutistrips@gmail.com
Website :	www.kanakgroup.com

DIRECTORS

As on 20.09.2011

Name :	Mr. Yogesh Shashikant Saraswate
Designation :	Director
Address :	1652/19, Bhimpura, Camp Education, Opposite School, Pune – 411 001, Maharashtra, India
Date of Birth/Age :	03.07.1974
Date of Appointment :	30.10.2009
DIN No.:	01969787
Name :	Mr. Shailesh Shashikant Saraswate
Designation :	Director
Address :	1652/19, West Street Camp, Pune – 411 001, Maharashtra, India
Date of Birth/Age :	27.10.1971
Date of Appointment :	30.10.2009
DIN No.:	02033279

MAJOR SHAREHOLDERS/ SHAREHOLDING PATTERN

As on 20.09.2011

Names of Shareholders	No. of Shares
Yogesh Shashikant Saraswate	15000
Shailesh Shashikant Saraswate	15000
Total	30000

As on 04.02.2012

Names of Allottees	No. of Shares
Yogesh Shashikant Saraswate	1770000
Shailesh Shashikant Saraswate	1180000
Total	2950000

As on 20.09.2011

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

BUSINESS DETAILS

Line of Business :	Trader of Hot-Rolled (HR), Cold-Rolled (CR) Coils and Metal Scrap.
Products :	· HR/CR Coil · Coal · Billets

GENERAL INFORMATION

No. of Employees :	18 (Approximately)
Bankers :	Allahabad Bank, Industrial Finance Branch, 37, Mumbai Samachar Marg, Fort, Mumbai – 400 023, Maharashtra, India

Banking Relations :	--
Auditors :
Name :	Dagdulal K. Jain and Company Chartered Accountants
Address :	ST-1/F-20, 1^st Floor, Flower Valley Complex, C.H.S.L., Eastern Express Highway, Thane (West), Thane – 400 601, Maharashtra, India
Income-tax PAN of auditor or auditor's firm :	AACPJ7738J

CAPITAL STRUCTURE

After 20.09.2011

Authorised Capital : Rs.30.000 millions

Issued, Subscribed & Paid-up Capital : Rs.30.000 millions

As on 20.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
50000	Equity Shares	Rs.10/- each	Rs.0.500 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
30000	Equity Shares	Rs.10/- each	Rs.0.300 million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.300	0.300
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		4.092	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		4.392	0.300
LOAN FUNDS
1] Secured Loans		0.000	0.000
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		4.392	0.300
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.000	0.000
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	377.059	0.000
	Sundry Debtors	269.870	0.000
	Cash & Bank Balances	0.956	0.300
	Other Current Assets	0.000	0.000
	Loans & Advances	135.551	0.000
Total Current Assets		783.436	0.300
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	777.051	0.000
	Other Current Liabilities	0.163	0.000
	Provisions	1.830	0.000
Total Current Liabilities		779.044	0.000
Net Current Assets		4.392	0.300
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		4.392	0.300

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Income	2324.134	0.000
		Other Income	0.015	0.000
		TOTAL (A)	2324.149	0.000
Less	EXPENSES
		Cost of Goods Sold	2299.745	0.000
		Direct Expenses	9.893	0.000
		Administrative Expenses	4.439	0.000
		TOTAL (B)	2314.077	0.000
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		10.072	0.000
Less	FINANCIAL EXPENSES (D)		4.150	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5.922	0.000
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.000	0.000
	PROFIT BEFORE TAX (E-F) (G)		5.922	0.000
Less	TAX (H)		1.830	0.000
	PROFIT AFTER TAX (G-H) (I)		4.092	0.000
	BALANCE CARRIED TO THE B/S		4.092	0.000
	Earnings Per Share (Rs.)		136.40	0.00

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	0.18	0.00
Net Profit Margin (PBT/Sales)	(%)	0.25	0.00
Return on Total Assets (PBT/Total Assets}	(%)	0.76	0.00
Return on Investment (ROI) (PBT/Networth)		1.35	0.00
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.01	0.00

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	No
10) Designation of contact person	No
11) Turnover of firm for last two years	Yes
12) Profitability for last two 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	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	Yes

Note:

The registered office of the company has been shifted from Office No.307, Maker Chambers V, Nariman Point, Mumbai – 400 021, Maharashtra to the present address w.e.f. 20.12.2012.

ACTIVITY

Sales Turnover has gone up from Rs.0.000 million to Rs.2324.100 millions, profit before tax has jumped from Rs.0.000 million to Rs.5.922 millions. The company has developed a very good market for H.R. / C.R. Coils, Sheets, Plates etc. not only in Mumbai, but all over Maharashtra, Gujarat and Karnataka. With the buoyancy in international steel prices the board is hopeful of better performance of the company in future years.

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.54.16
UK Pound	1	Rs.81.74
Euro	1	Rs.70.50

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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		33

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	-

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