MIRA INFORM REPORT

Report Date :

25.03.2013

IDENTIFICATION DETAILS

Name :	BHARAT SANCHAR NIGAM LIMITED
Registered Office :	Bharat Sanchar Bhawan, Harish Chandra Mathur Lane, Janpath, New Delhi – 110001
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	15.09.2000
Com. Reg. No.:	55-107739
Capital Investment / Paid-up Capital :	Rs.125000.000 Millions
CIN No.: [Company Identification No.]	U74899DL2000GOI107739
TAN No.: [Tax Deduction & Collection Account No.]	DELB07684F / DELB07358B / DELB04661G / DELB04650C
PAN No.: [Permanent Account No.]	AABCB5576G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Providing comprehensive range of telegraph and telecom services.
No. of Employees :	363000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (63)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 2800000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is the largest telecom company in the public sector. Profitability of the company is under severe pressure. However, networth appears to be good. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as commitments. The company can be considered normal 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 has been found enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office / Corporate Office :	Bharat Sanchar Bhawan, Harish Chandra Mathur Lane, Janpath, New Delhi – 110001, India
Tel. No.:	91-11-23353395
Fax No.:	91-11-23353389
E-Mail :	csgml@bsnl.com hcpant@bsnl.co.in
Website :	http://www.bsnl.co.in

DIRECTORS

As on 28.09.2012

Name :

Mr. Rakesh Kuamr Upadhyay

Designation :

Managing Director

Address :

B-325, Chandgiramblock Asiad, Village, Complex, New Delhi – 110049, India

Date of Birth/Age :

09.06.1954

Date of Appointment :

30.04.2011

DIN No.:

00204311

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	U74999DL1978GOI008911	TELECOMMUNICATIONS CONSULTANTS INDIA LIMITED	Managing director	30-04-11	01-11-05	01-08-11	Active	NO
2	L32201TN1988PLC015705	TAMIL NADU TELECOMMUNICATION LIMITED	Director	30-09-06	30-09-06	02-09-11	Active	NO
3	U36999DL1989PLC036647	TBL INTERNATIONAL LIMITED	Director	23-12-06	23-12-06	29-09-11	Active	NO
4	U74899DL1995PLC067527	BHARTI HEXACOM LIMITED	Director	14-09-07	12-01-07	01-08-11	Active	NO
5	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Managing director	30-04-11	30-04-11	-	Active	NO

Name :

Mr. Rakesh Kumar Agarwal

Designation :

Whole Time Director

Address :

T-33, Atul Grove Road, New Delhi – 110001, India

Date of Birth/Age :

10.04.1953

Date of Appointment :

11.04.2008

DIN No.:

02178454

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	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Whole-time director	11-04-08	11-04-08	-	Active	NO
2	U64200MH2000GOI124302	MILLENNIUM TELECOM LIMITED	Director	23-09-08	05-09-08	19-06-12	Active	NO

Name :

Mr. Awadh Narayan Rai

Designation :

Whole-Time Director

Address :

H.N. 34B, Dr. Rajender Prasad Road, New Delhi – 110001, India

Date of Birth/Age :

01.08.1955

Date of Appointment :

19.09.2011

DIN No.:

05100500

Name :

Mr. Kannachinneth Chellappan Gopalakrishna Pillai

Designation :

Whole-Time Director

Address :

P-53 M. Silasish, Sector – 13, Rama Krishna Ruram, New Delhi – 110066, India

Date of Birth/Age :

01.11.1953

Date of Appointment :

25.04.2012

DIN No.:

05283174

Name :

Mr. Naresh Kumar Gupta

Designation :

Whole-Time Director

Address :

D-011/32, East Kideai Nagar, New Delhi – 110023, India

Date of Birth/Age :

21.06.1957

Date of Appointment :

01.06.2012

DIN No.:

01140881

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	U74899DL1987GOI027481	INTELLIGENT COMMUNICATION SYSTEMS INDIA LIMITED	Director	01-01-03	01-01-03	27-06-07	Active	NO
2	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Whole-time director	01-06-12	01-06-12	-	Active	NO

Name :

Rita Amitabh Teaotia

Designation :

Nominee Director

Address :

533/2 Sector 8, Gandhinagr – 382007, Gujarat, India

Date of Birth/Age :

24.07.1958

Date of Appointment :

04.09.2012

DIN No.:

02876666

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	U75140GJ1977SGC003025	GUJARAT STATE RURAL DEVELOPMENT CORPORATION LIMITED	Director	17-02-09	17-02-09	27-07-12	Active	NO
2	U74900GJ2010SGC060349	GUJARAT LIVELIHOOD PROMOTION COMPANY LIMITED	Director	21-04-10	21-04-10	20-03-12	Active	NO
3	U85320AP2002NPL039032	NATIONAL INSTITUTE FOR SMART GOVERNMENT	Director	25-04-12	25-04-12	05-09-12	Active	NO
4	U74999DL2009PLC192275	CSC e-GOVERNANCE SERVICES INDIA LIMITED	Director	30-04-12	30-04-12	28-08-12	Active	NO
5	U74899DL1995NPL072045	NATIONAL INFORMATICS CENTRE SERVICES INCORPORATED	Director	16-08-12	16-08-12	27-11-12	Active	NO
6	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Nominee director	04-09-12	04-09-12	-	Active	NO

Name :

Mr. Shahbaz Ali

Designation :

Nominee Director

Address :

RB 141, Phase -1, Sector -6, R K Puram, New Delhi – 110022, India

Date of Birth/Age :

02.01.1965

Date of Appointment :

14.02.2012

DIN No.:

03282551

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	L64200MH1986PLC039266	TATA COMMUNICATIONS LIMITED	Nominee director	15-09-10	15-09-10	09-08-11	Active	NO
2	U74999DL1978GOI008911	TELECOMMUNICATIONS CONSULTANTS INDIA LIMITED	Director	01-08-11	01-08-11	-	Active	NO
3	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Nominee director	14-02-12	14-02-12	-	Active	NO

Name :

Mr. Ashish Kumar Guha

Designation :

Director

Address :

23, Poorvi Marg, First Floor, Vasant Vihar, New Delhi – 110057, India

Date of Birth/Age :

18.11.1956

Date of Appointment :

21.05.2010

DIN No.:

00004364

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	L26942HR1958FLC042301	HEIDELBERG CEMENT INDIA LIMITED.	Managing director	23-08-11	23-08-06	-	Active	NO
2	U26940MH1996PLC102555	INDORAMA CEMENT LIMITED	Additional director	24-08-06	24-08-06	-	Amalgamated	NO
3	U26943HR2006FTC036445	HEIDELBERGCEMENT INDIA PRIVATE LIMITED	Director	09-11-06	09-11-06	-	Amalgamated	NO
4	U26941KL1992FLC006767	COCHIN CEMENTS LIMITED	Director	02-07-07	16-11-06	-	Active	NO
5	L21010MH1945PLC010337	BALLARPUR INDUSTRIES LIMITED	Director	02-12-08	29-07-08	-	Active	NO
6	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Director	21-05-10	21-05-10	-	Active	NO

Name :

Mr. Ajai Vikram Singh

Designation :

Director

Address :

Baghsuri House, Jaipur Road, Ajmer – 305001, Rajasthan, India

Date of Birth/Age :

04.07.1945

Date of Appointment :

17.07.2012

DIN No.:

02184840

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	L36911MH1983PLC178299	HORIZON INFRASTRUCTURE LIMITED	Director	02-09-08	09-05-08	25-06-12	Active	NO
2	L35110GJ1997PLC033193	PIPAVAV DEFENCE AND OFFSHORE ENGINEERING COMPANY LIMITED	Director	15-07-08	30-05-08	-	Active	NO
3	U65920MH1989PTC052900	OVERSEAS INFRASTRUCTURE ALLIANCE (INDIA) PRIVATE LIMITED	Director	28-09-12	22-06-12	-	Active	NO
4	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Director	17-07-12	17-07-12	-	Active	NO

Name :

Mr. Narayanaswamy Balakrishnan

Designation :

Director

Address :

DQ 19, IISC Quarters, Indian Institute Of Science, Bangalore – 560012, Karnataka, India

Date of Birth/Age :

01.06.1950

Date of Appointment :

17.07.2012

DIN No.:

00181842

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	U74899DL2005PTC142561	C-DOT Alcatel-Lucent Research Centre Private Limited	Director	24-11-05	24-11-05	-	Active	NO
2	L32309KA1954GOI000787	BHARAT ELECTRONICS LIMITED	Director	19-09-06	23-05-06	22-05-09	Active	NO
3	U74210KA2006PLC041192	Indian Scientific Innovation Company Limited.	Director	12-12-06	12-12-06	-	Active	YES
4	U72900DL2003NPL120999	NATIONAL INTERNET EXCHANGE OF INDIA	Additional director	22-01-07	22-01-07	28-09-07	Active	NO
5	U72900MH1992PTC065186	INDIAN FEDERATION AGAINST SOFTWARE THEFT	Additional director	27-12-07	27-12-07	26-06-08	Active	NO
6	U74120DL2008NPL182363	DATA SECURITY COUNCIL OF INDIA	Director	28-08-09	06-09-08	-	Active	NO
7	U74899DL2000GOI107739	BHARAT SANCHAR NIGAM LIMITED	Director	17-07-12	17-07-12	-	Active	NO

KEY EXECUTIVES

Name :	Hem Chandra Pant
Designation :	Secretary
Address :	D-11/12, Pandara Road, New Delhi – 110003, India
Date of Birth/Age :	05.01.1961
Date of Appointment :	28.11.2000
Pan No. :	AAEPP9658D

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

Names of Shareholders (Equity Shares)	No. of Shares
President of India	4999998400
R N Jha	100
S. S. singh	100
n k Joshi	100
Mishra C. S.	1000
Sanjeev Gupta	100
Mathur K. Shikha	100
Kaura Bhushan Bharat	100
Total	5000000000

Names of Shareholders (Preference Shares)	No. of Shares
President of India	7500000000
Total	7500000000

As on 28.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Government (Central and State)	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Providing comprehensive range of telegraph and telecom services.

Products/ Services :

v Telecom Services

v Telex, Telegraph, Circuits, Value Added Services

v Sale of Directories, Forms and Waste Paper

Description of product or service category	ITC Code
Telecommunication, Broadcasting and Information Supply Services	9984
Mobile Telecommunications services - access and use	99841310

GENERAL INFORMATION

No. of Employees :	363000 (Approximately)
Bankers :	State Bank of India Punjab National Bank Corporation Bank ICICI Bank Indian Bank

Banking Relations :	--
Auditors :
Name :	Sharma Goel and Company Chartered Accountants
Address :	Y-59, Hauz, Khas, New Delhi- 110016, India
PAN.:	AABFS1604B

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000000	Equity Shares	Rs.10/- each	Rs.100000.000 Millions
7500000000	Preference Shares	Rs.10/- each	Rs.75000.000 Millions
	Total		Rs.175000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5000000000	Equity Shares	Rs.10/- each	Rs.50000.000 Millions
7500000000	9% Non-Cumulative Preferences Shares	Rs.10/- each	Rs.75000.000 Millions
	Total		Rs.125000.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		125000.000	125000.000	125000.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		586710.200	675687.500	739756.600
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		711710.200	800687.500	864756.600
LOAN FUNDS
1] Secured Loans		30236.500	17031.800	0.000
2] Unsecured Loans				15337.000
TOTAL BORROWING		30236.500	17031.800	15337.000
DEFERRED TAX LIABILITIES		0.000	0.000	1238.400
TOTAL		741946.700	817719.300	881332.000
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		670317.400	722923.600	738803.200
Capital work-in-progress		43009.100	52467.900	59652.300
Decommissioned Assets + Intra/ Inter Circle Remittances		12361.500	15274.900	14683.000
INVESTMENT		60135.200	55014.100	2000.000
DEFERREX TAX ASSETS		623.800	921.500	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	35967.800	39482.400	50583.300
	Sundry Debtors	39621.800	44318.100	47445.700
	Cash & Bank Balances	18850.900	25000.800	303434.000
	Other Current Assets	120910.600	134274.500	8552.100
	Loans & Advances	18103.800	19902.800	139702.800
Total Current Assets		233454.900	262978.600	549717.900
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	98466.800	113930.500	98946.600
	Other Current Liabilities	103888.800	107497.900	328817.600
	Provisions	75599.600	70432.900	55760.200
Total Current Liabilities		277955.200	291861.300	483524.400
Net Current Assets		(44500.300)	(28882.700)	66193.500
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		741946.700	817719.300	881332.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	259985.000	270447.100	279134.400
		Other Income	19350.000	26429.100	41569.700
		TOTAL (A)	279335.000	296876.200	320704.100
Less	EXPENSES
		Employee benefit expense	134060.400	137909.500
		Other expenses	138248.600	120963.700	247166.300
		Prior period items	1683.200	2647.900
		TOTAL (B)	273992.200	261521.100	247166.300
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		5342.800	35355.100	73537.800
Less	FINANCIAL EXPENSES (D)		1808.900	3898.700	3544.700
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3533.900	31456.400	69993.100
Less/ Add	DEPRECIATION/ AMORTISATION (F)		91743.200	97254.300	91967.900
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(88209.300)	(65797.900)	(21974.800)
Less	TAX (H)		297.700	(2159.900)	(3748.300)
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(88507.000)	(63638.000)	(18226.500)
	EARNINGS IN FOREIGN CURRENCY		NA	282.700	2007.100
	VALUE OF IMPORTS		NA	3195.600	8177.600
	Earnings / (Loss) Per Share (Rs.)		(17.70)	(12.77)	(3.65)

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(31.68)	(21.44)	(5.69)
Net Profit Margin (PBT/Sales)	(%)	(33.93)	(24.33)	(8.87)
Return on Total Assets (PBT/Total Assets}	(%)	(9.77)	(6.67)	(1.71)
Return on Investment (ROI) (PBT/Networth)		(0.12)	(0.08)	(2.54)
Debt Equity Ratio (Total Debt /Networth)		0.42	0.02	0.02
Current Ratio (Current Asset/Current Liability)		0.84	0.90	1.14

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	Yes
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	Yes
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	Yes
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

DETAILS OF LITIGATIONS

IN THE HIGH COURT OF DELHI AT NEW DELHI]

 W.P.(C) 1629/2013

UNITECH WIRELESS (TAMILNADU) PRIVATE LIMITED..... Petitioner

 Through: Mr. Rajiv Nayar and Mr. Sandeep Sethi, Sr. Advocates with Mr. Ashish Dholakia, Mr. Ashish Bhan and Ms. P. Kaul, Advocates

versus

BHARAT SANCHAR NIGAM LIMITED AND ANR ..... Respondents

Through: Ms. Maneesha Dhir, Mr. Abhishek Kumar and Mr. K.P.S. Kohli, Advocates for R-1

CORAM:

HON'BLE MR. JUSTICE RAJIV SHAKDHER

 ORDER 

 12.03.2013

 CM No.3073/2013

 Allowed subject to just exceptions.

 W.P.(C) 1629/2013 and CM No.3072/2013 (stay)

Issue notice to the respondents.

Ms. Dhir accepts notice on behalf of respondent no.1.

On steps being taken, notice shall issue to respondent no.2 as well.

Mr. Nayar, the learned senior counsel submits that despite the fact that all dues (including port charges) have been paid till March, 2013,  at least one of the bank guarantees which pertains to respondent no.2 is  under immediate threat of encashment. For this purpose, my attention is drawn to  communication dated 27/28.02.2013, whereby respondent no.1 has called  upon the petitioner to pay the outstanding dues in the sum of  Rs.6.788 Millions by 11.03.2013 failing which necessary action would be  taken as deemed fit including encashment of bank guarantee   no.503LG1104/12 dated 06.12.2012.

Mr. Nayar submits that as a matter of fact the petitioner has furnished another bank guarantee which is drawn up on State Bank of  India, Tolstoy Marg branch, which is also alive and valid till 31.03.2013.

Ms. Dhir, who appears on advance notice, accepts service on behalf of respondent no.1. Ms. Dhir says that apart from port charges there are other dues which are payable by the petitioner. For this purpose, she has drawn my attention to the chart appended at page 17 to the impugned communication dated 27/28.02.2013.

 Mr. Nayar, on the other hand, submits that except port charges which is demanded for period commencing 01.04.2013, all dues have been paid and certificates furnished, contrary to what is referred to in the chart, appended at page 17 of the paper book.

 Mr. Nayar, on instructions, states that the petitioner is willing to undertake payment of all dues (apart from port charges, which are payable for the period commencing from 01.04.2013) and furnish certificates (i.e., TDS certificates, etc.) if not paid or furnished, within one week from today.

Having regard to the fact that there is a demand note on record, apparently issued by respondent no.1, which seems to indicate that all port charges have been paid by the petitioner till 31.03.2013 and, given the fact that the petitioner has undertaken to pay all other dues and / or furnish certificates, which are referred to in page 17 of the paper book; till the next date of hearing, the two bank guarantees in issue shall not be encashed subject to the same being kept alive by the petitioner till further orders.

As indicated above, the interim direction will operate in favour of the petitioner subject to the petitioner complying with the undertaking given to this court today and the condition imposed herein qua the bank guarantees in issue.

  Counter affidavits, if any, filed within four weeks. Rejoinder thereto, be filed before the next date of hearing.

 List on 26.07.2013.

 Dasti under the signatures of the Court Master.

  RAJIV SHAKDHER, J

  MARCH 12, 2013

NOTE

The situation of the registered office of the company was changed from 10^th Floor, Statesman Hose, B – 148, Barakhama Road, New Delhi – 110001, India to the present address w.e.f. 01.08.2007.

fixed assets

· land

· Buildings

· Cables

· Motor Vehicles

· Electrical Fittings

· Office machinery and Equipments

· Computer

· Furniture and Fixtures

· Software

AS PER WEBSITE DETAILS

PROFILE

Subject was incorporated on 15th September 2000. It took over the business of providing of telecom services and network management from the erstwhile Central Government Departments of Telecom Services (DTS) and Telecom Operations (DTO), with effect from 1st October‘2000 on going concern basis. It is one of the largest and leading public sector units providing comprehensive range of telecom services in India.

Subject has installed Quality Telecom Network in the country and now focusing on improving it, expanding the network, introducing new telecom services with ICT applications in villages and winning customer's confidence. Today, it has about 43.74 million line basic telephone capacity, 8.83 million WLL capacity, 72.60 million GSM capacity, 37,885 fixed exchanges, 68,162 GSM BTSs, 12,071 CDMA Towers, 197 Satellite Stations, 6,86,644 RKm. of OFC, 50,430 RKm. of microwave network connecting 623 districts, 7330 cities/towns and 5.8 lakhs villages.

Subject is the only service provider, making focused efforts and planned initiatives to bridge the rural-urban digital divide in ICT sector. In fact there is no telecom operator in the country to beat its reach with its wide network giving services in every nook and corner of the country and operates across India except New Delhi and Mumbai. Whether it is inaccessible areas of Siachen glacier or North-Eastern regions of the country, subject serves its customers with a wide bouquet of telecom services namely Wireline, CDMA mobile, GSM mobile, Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP, IN Services, FTTH, etc.

Subject is numero uno of India in all services in its license area. The company offers wide ranging and most transparent tariff schemes designed to suit every customer. Subject has 90.09 million cellular and 5.06 million WLL customers as on 31.07.2011. 3G Facility has been given to all 2G connections of subject. In basic services, Subject is miles ahead of its rivals, with 24.58 million wireline phone subscribers i.e. 71.93% share of the wireline subscriber base.

Subject has set up a world class multi-gigabit, multi-protocol convergent IP infrastructure that provides convergent services like voice, data and video through the same Backbone and Broadband Access Network. At present there are 8.09 million broadband customers.

The company has vast experience in planning, installation, network integration and maintenance of switching and transmission networks and also has a world class ISO 9000 certified Telecom Training Institute.

During the 2010-11, turnover of subject is around Rs.297000.000 Millions.

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.54.34
UK Pound	1	Rs.72.56
Euro	1	Rs.70.10

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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	YES
TOTAL		63

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.