MIRA INFORM REPORT

Report Date :

11.05.2013

IDENTIFICATION DETAILS

Name :	VARSHA CORPORATION LIMITED
Registered Office :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	26.12.2000
Com. Reg. No.:	11-130217
Capital Investment / Paid-up Capital :	Rs.150.000 Millions
CIN No.: [Company Identification No.]	U24134MH2000PLC130217
PAN No.: [Permanent Account No.]	AABCV2293E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trader of Plastic Raw Material and Chemical Fertilizer.
No. of Employees :	12 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Maximum Credit Limit :	USD 970000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appears better growth in the turnover during 2012, the profitability of the company has dipped. The reserves of the company are appears to be less. However, trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. 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.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA (Withdrawn)
Rating	Cash Credit: BB
Rating Explanation	Moderate risk of default.
Date	March, 2012

Rating Agency Name	ICRA (Withdrawn)
Rating	Short Term Non Fund Based Limit: A4
Rating Explanation	Minimal degree of safety it carry higher credit risk.
Date	March, 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.

INFORMATION PARTED BY

Name :	Anil Kumar Mehta
Designation :	Chartered Accountant
Contact No.:	91-22-67614300
Date :	10.05.2013

LOCATIONS

Registered Office :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra, India
Tel. No.:	91-22-28812336/ 7/ 8/ 9/ 67614300/ 67614335
Fax No.:	91-22-28812340
E-Mail :	varshacorporation@gmail.com varsha@bom3.vsnl.net.in shrish349@rediffmail.com cmd@varsha-group.com info@varsha-group.com
Website :	www.varsha-group.com
Location :	Owned

DIRECTORS

As on: 20.07.2012

Name :	Mr. Shantilal Javerchand Jain
Designation :	Director
Address :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra, India
Date of Birth/Age :	30.12.1947
Qualification :	C.A (Inter)
Date of Appointment :	20.07.2012
DIN No.:	00089873
Name :	Mr. Shirish Shantilal Jain
Designation :	Director
Address :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra, India
Date of Birth/Age :	07.08.1974
Qualification :	Diploma in Computer
Date of Appointment :	20.07.2012
DIN No.:	00089963
Name :	Mr. Indra Shantilal Jain
Designation :	Director
Address :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra, India
Date of Birth/Age :	05.11.1949
Qualification :	S.S.C.
Date of Appointment :	20.07.2012
DIN No.:	00090051
Name :	Ms. Lata Dinesh Singhi
Designation :	Director
Address :	‘Varsha’, 13, Adarsh Society, Ramchandra Lane Extension, Malad (West), Mumbai – 400 064, Maharashtra, India
Date of Birth/Age :	28.12.1971
Qualification :	B. Com
Date of Appointment :	20.07.2012
DIN No.:	00090122

KEY EXECUTIVES

Name :	Anil Kumar Mehta
Designation :	Chartered Accountant

MAJOR SHAREHOLDERS

As on: 20.07.2012

Names of Shareholders	No. of Shares
Shantilal Javerchand Jain	558090
Shirish Shantilal Jain	128044
Varsha Shantilal Jain	93232
Ranjan Amrit Jain	69810
Indra Shantilal Jain	52041
Lata Shantilal Singhi	83743
Shantilal J. Jain - HUF	7340
Jaravi Javerchand Jain	7700
United Exports and Indentors Pte. Limited, Singapore	500000
Total	1500000

Equity Share Break up (Percentage of Total Equity)

As on: 20.07.2012

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	33.33
Bodies corporate	66.67
Total	100.00

BUSINESS DETAILS

Line of Business :

Trader of Plastic Raw Material and Chemical Fertilizer.

Products :

Item Code No. (ITC Code)	99611715
Product Description	Plastics in primary form
Item Code No. (ITC Code)	99611712
Product Description	Basic in-organic chemicals
Item Code No. (ITC Code)	99611889
Product Description	Other special purpose machinery n.e.c.
Item Code No. (ITC Code)	99612820
Product Description	Other transport equipments, except bicycles
Item Code No. (ITC Code)	99612880
Product Description	Other industry-specific machinery and equipment and related operating supplies
Item Code No. (ITC Code)	99611926
Product Description	Basic precious metals (Gold)
Item Code No. (ITC Code)	99611926
Product Description	Basic precious metals (Silver)

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

GENERAL INFORMATION

Customers :

Wholesalers and Retailers

No. of Employees :

12 (Approximately)

Bankers :

• State Bank of India, Industrial Finance Branch, Snehal Chambers, Telli Galli, Andheri(East), Mumbai – 400 069, Maharashtra, India
• ICICI Bank Limited
• State Bank of India, Mindspace Branch, Link Road, Malad (West), Mumbai – 400 064, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
SHORT TERM BORROWING
Working capital loans banks secured	354.616	353.562
Loans taken for vehicles secured	1.164	1.498
Total	355.780	355.060

Banking Relations :	--
Auditors :
Name :	Anil Kumar Mehta Chartered Accountant
Address :	A-5, Twinkle Star Apartments, Evershine Complex, 100 Feet Road, Off Ambadi Road, Vasai (West), Thane – 401 202. Maharashtra, India
Tel. No.:	91-22-67614300
PAN No.:	AAGPM4732P
Group Companies :	India Gold Limited Sharad Construction Co. Varsha Constructions Limited Varsha Commodities Limited Varsha Ventures Limited LCD Lifestyle Clinic VHR Mentors Private Limited Patients Aid and Research Trust Shri Nopaji Lakhmaji Charitable Trust
Subsidiaries :	Amstrin Healthcare Limited CIN No.: U18101MH1995PLC092877 E U C L I D Pharmaceuticals Limited CIN No.: U17120MH1990PLC058963 Million Bullion Biz.Private Limited CIN No.: U63090MH1990PTC058225 Varsha Mines And Granites Limited CIN No.: U13200MH1993PLC073993

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.100/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.100/- each	Rs.150.000 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		150.000	150.000	150.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		94.640	69.256	39.940
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		244.640	219.256	189.940
LOAN FUNDS
1] Secured Loans		355.780	355.060	297.207
2] Unsecured Loans		56.700	91.506	155.910
TOTAL BORROWING		412.480	446.566	453.117
DEFERRED TAX LIABILITIES		0.000	0.000	0.062
TOTAL		657.120	665.822	643.119
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.459	1.871	1.457
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		32.496	0.000	0.000
DEFERRED TAX ASSETS		0.165	0.028	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	46.338	140.761	211.609
	Sundry Debtors	868.874	745.106	479.792
	Cash & Bank Balances	35.968	309.897	272.866
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	59.507	108.596	66.397
Total Current Assets		1010.687	1304.360	1030.664
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	335.996	631.437	381.951
	Other Current Liabilities	40.991	9.000	7.051
	Provisions	10.700	0.000	0.000
Total Current Liabilities		387.687	640.437	389.002
Net Current Assets		623.000	663.923	641.662
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		657.120	665.822	643.119

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from operations	5721.673	3794.699	2681.771
		Other Income	26.019	29.531	19.982
		TOTAL (A)	5747.692	3824.230	2701.753
Less	EXPENSES
		Purchases of stock-in-trade	5528.927	3625.947	--
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	94.423	70.848	--
		Employee benefit expense	2.520	2.194	0.932
		Other expenses	13.344	20.806	--
		Consumption materials changes inventories	--	--	2387.975
		Manufacturing service costs	--	--	174.291
		Administrative selling other expenses	--	--	32.855
		Extraordinary items	--	--	0.538
		TOTAL (B)	5639.214	3719.795	2596.591
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		108.478	104.435	105.162
Less	FINANCIAL EXPENSES (D)		71.945	63.219	55.734
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		36.533	41.216	49.428
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.485	0.621	0.133
	PROFIT BEFORE TAX (E-F) (G)		36.048	40.595	49.295
Less	TAX (H)		10.700	9.000	7.079
	PROFIT AFTER TAX (G-H) (I)		25.348	31.595	42.216
	EARNINGS IN FOREIGN CURRENCY		0.075	0.000	0.000
	VALUE OF IMPORTS ON CIF BASIS		472.360	716.797	989.331
	Earnings Per Share (Rs.)		16.90	21.06	28.50

Particulars	31.03.2013
Sales Turnover (Approximately)	5020.000

The above information has been parted by Mr. Anil K Mehta.

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.44	0.83	1.56
Net Profit Margin (PBT/Sales)	(%)	0.63	1.07	1.84
Return on Total Assets (PBT/Total Assets}	(%)	3.56	3.11	4.78
Return on Investment (ROI) (PBT/Networth)		0.15	0.19	0.26
Debt Equity Ratio (Total Debt/Networth)		1.69	2.04	2.39
Current Ratio (Current Asset/Current Liability)		2.61	2.04	2.65

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS:

PARTICULARS	31.03.2012	31.03.2011	31.03.2010
Creditors due to others	335.996	631.437	381.951
Total	335.996	631.437	381.951

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	Yes
10]	Designation of contact person	Yes
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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	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	Yes

UNSECURED LOAN:

(Rs. In Millions)

PARTICULARS	As on 31.03.2012	As on 31.03.2011
SHORT TERM BORROWING
Loans and Advances from directors	4.000	0.458
Loans and Advances from Others	52.700	91.047
Total	56.700	91.505

FIXED ASSETS:

· Office Equipments

· Computer Equipments

· Motor Vehicles

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 records 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.54.54
UK Pound	1	Rs.84.19
Euro	1	Rs.71.11

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	RAJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
--DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		28

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.