MIRA INFORM REPORT

Report Date :

07.11.2013

IDENTIFICATION DETAILS

Name :	TIRUPATI INDUSTRIES (INDIA) LIMITED
Registered Office :	42 to 45, Emerald Industrial Estate, Dheku, Taluka Khalapur, District Raigad - 410203, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	18.07.1973
Com. Reg. No.:	11-016686
Capital Investment / Paid-up Capital :	Rs.54.200 Millions
CIN No.: [Company Identification No.]	L99999MH1973PLC016686
TAN No.: [Tax Deduction & Collection Account No.]	MUMT09314E
PAN No.: [Permanent Account No.]	AAACT1645F
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Subject is engaged in Manufacturing and Processing Vegetable oil and Allied Products.
No. of Employees :	Information declined by the management.

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 340000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Profit and sales turnover of the company appears to be decent. Overall fundamentals of the company appears to be sound and healthy. Trade relations are fair. Business is active. Payment terms are usually correct. The company can be considered 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.

INDIAN ECONOMIC OVERVIEW

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6  % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1^st November.

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

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 DECLINED BY

Name :	Mr. Chandra Prakash
Designation :	Account Manager
Date :	06.11.2013

LOCATIONS

Registered Office/ Factory :	42 to 45, Emerald Industrial Estate, Dheku, Taluka Khalapur, District Raigad - 410203, Maharashtra, India
Tel. No.:	91-219-2266163
Fax No.:	Not Available
E-Mail :	ketantiru@rediffmail.com info@tirupatiind.com sales@tirupatiind.com tiru.tiru@rediffmail.com
Website :	http://www.tirupatiind.com
Corporate Office :	403, Trade World 'B' Wing, Kamala City, Kamala Mills Compound, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013, Maharashtra, India
Tel. No.:	91-22-67495050
Fax No.:	91-22-67499292
Branch Office :	Office No 107 A, Navneelam Building, Dr R G Thadani Marg, Near Podar Hospital Signal, Worli, Mumbai - 400018, Maharashtra, India
Tel. No.:	91-22-23428859

DIRECTORS

As on: 31.03.2013

Name :	Mr. Ramesh J. Sanghvi
Designation :	Chairman
Name :	Mr. Neil K. Karani
Designation :	Managing Director (w.e.f. 31st January, 2013)
Name :	Mr. Ketan F. Karani
Designation :	Director
Name :	Mr. Manchand A. Jhaveri
Designation :	Director
Name :	Mr. Jyotiram S. Nale
Designation :	Director
Name :	Mr. Hitesh M. Jhaveri
Designation :	Director

KEY EXECUTIVES

Name :	Ms. Milee J. Shah
Designation :	Company Secretary (w.e.f. 10th May, 2013)
Name :	Mr. Chandra Prakash
Designation :	Account Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2013

Category of Shareholder	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	3182270	58.60
Bodies Corporate	335350	6.18
Sub Total	3517620	64.78
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	3517620	64.78
(B) Public Shareholding
(1) Institutions
Financial Institutions / Banks	1300	0.02
Sub Total	1300	0.02
(2) Non-Institutions
Bodies Corporate	66080	1.22
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	903724	16.64
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	734371	13.52
Any Others (Specify)	206945	3.81
Hindu Undivided Families	320	0.01
Non Resident Indians	202400	3.73
Clearing Members	4225	0.08
Sub Total	1911120	35.20
Total Public shareholding (B)	1912420	35.22
Total (A)+(B)	5430040	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	5430040	0.00

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

Sl. No.	Name of the Shareholder	No. of Shares held	As a % of grand total (A)+(B)+(C)	Total shares (including underlying shares assuming full conversion of warrants and convertible securities) as a % of diluted share capital
1	Neil Ketan Karani	12,50,400	23.03	23.03
2	Ketan Fatehchand	11,87,830	21.88	21.88
3	Alka Ketan Karani	2,81,920	5.19	5.19
4	Priya Ketan Karani	2,50,000	4.60	4.60
5	Nova Oleochem Limited	2,40,000	4.42	4.42
6	Kumud Fatehchand Karani	1,62,420	2.99	2.99
7	Karani Traders Private Limited	95,350	1.76	1.76
8	Fatehchand Chimanlal Karani	25,540	0.47	0.47
9	Manchand Amichand Jhaveri	13,610	0.25	0.25
10	Jyotiram Shivran Nale	9,500	0.17	0.17
11	Hitesh M Jhaveri	550	0.01	0.01
12	Ramesh Jesinglal Sanghavi	500	0.01	0.01
	Total	35,17,620	64.78	64.78

(*) The term encumbrance has the same meaning as assigned to it in regulation 28(3) of the SAST Regulations, 2011.

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

Sl. No.	Name of the Shareholder	No. of Shares held	Shares as % of Total No. of Shares	Total shares (including underlying shares assuming full conversion of warrants and convertible securities) as a % of diluted share capital
1	Chetan Fakirchan Karani	200000	3.68	3.68
2	Gautam G Mehta	134792	2.48	2.48
3	Nagin P Sheth	88600	1.63	1.63
	Total	423392	7.80	7.80

BUSINESS DETAILS

Line of Business :

Subject is engaged in Manufacturing and Processing Vegetable oil and Allied Products.

GENERAL INFORMATION

No. of Employees :

Information declined by the management.

Bankers :

Citibank N.A.

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Vehicle loans From HDFC Bank (Secured By hypothecation of Tempo) Terms of Repayment : EMI over period of 34 Months	0.346	0.626
SHORT TERM BORROWINGS
Loans repayable on demand From Citi Bank (Secured By hypothecation of stock and debtors, lien on fixed deposit, charge on immovable properties and plant and machineries at Dheku and personal guarantee of 2 Directors)	3.201	0.000
Total	3.547	0.626

Banking Relations :	--
Auditors :
Name :	R. P. Trivedi and Associates Chartered Accountants
Address :	56, Balasinor Co-operative Housing Society Limited, S.V. Road, Kandivili (West), Mumbai – 400067, Maharashtra, India
Associate Concern:	Nova Oleochem Limited

CAPITAL STRUCTURE

As on: 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
75,00,000	Equity Shares	Rs.10/- each	Rs.75.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
54,30,040	Equity Shares	Rs.10/- each	Rs.54.300 Millions
	Less : Calls In arrears		Rs.0.100 Million
	Total		Rs.54.200 Millions

Information on shareholders holding more than 5% shares

Name of Shareholder	Relationship	As at March 31, 2013
		No of Equity shares held	Percentage
Nova Oleochem Limited	Associates
Ketan Karani	Director	1187830	21.87
Alka Ketan Karani	Relative of Promoter	281920	5.19
Neil Ketan Karani	Managing Director	1250400	23.03

Reconciliation of number of shares

Particulars	As at March 31, 2013
	Number	Rs. (In Millions)
Shares outstanding at the beginning of the year	5,430,040	54.300
Shares Issued during the year	-	-
Shares bought back during the year	-	-
Shares outstanding at the end of the year	5,430,040	54.300

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	54.200	54.198
(b) Reserves & Surplus	31.689	19.051
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	85.889	73.249
(3) Non-Current Liabilities
(a) long-term borrowings	0.799	1.597
(b) Deferred tax liabilities (Net)	0.713	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.980	0.776
Total Non-current Liabilities (3)	2.492	2.373
(4) Current Liabilities
(a) Short term borrowings	3.201	0.000
(b) Trade payables	62.125	84.874
(c) Other current liabilities	1.573	1.099
(d) Short-term provisions	2.445	0.846
Total Current Liabilities (4)	69.344	86.819
TOTAL	157.725	162.441
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	12.185	14.087
(ii) Intangible Assets	0.001	0.002
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	7.685	0.000
(b) Non-current Investments	20.929	20.929
(c) Deferred tax assets (net)	0.000	3.728
(d) Long-term Loan and Advances	6.013	0.191
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	46.813	38.937
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	71.197	40.533
(c) Trade receivables	26.048	74.341
(d) Cash and cash equivalents	6.228	1.395
(e) Short-term loans and advances	1.434	1.235
(f) Other current assets	6.005	6.000
Total Current Assets	110.912	123.504
TOTAL	157.725	162.441

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012
	SALES
		Income	283.219	198.927
		Other Income	0.428	0.540
		TOTAL (A)	283.647	199.467
Less	EXPENSES
		Cost of materials consumed	245.511	193.050
		Changes in inventories of finished goods, work-in-progress	(3.700)	(16.255)
		Other Manufacturing Expenses	9.749	3.460
		Employee Benefits Expense	2.777	1.078
		Other Expenses	10.358	7.039
		TOTAL (B)	264.695	188.372
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		18.952	11.095
Less	FINANCIAL EXPENSES (D)		2.025	0.088
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		16.927	11.007
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.673	1.434
	PROFIT BEFORE TAX (E-F) (G)		15.254	9.573
Less	TAX (H)		2.386	(1.904)
	PROFIT AFTER TAX (G-H) (I)		12.868	11.477
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		16.546	5.069
	BALANCE CARRIED TO THE B/S		29.414	16.546
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Exports	17.917	6.058
	TOTAL EARNINGS		17.917	6.058
	Earnings Per Share (Rs.)		2.37	2.11

QUARTERLY RESULTS

PARTICULARS	30.06.2013
Net Sales	103.600
Total Expenditure	95.700
PBIDT (Excl OI)	7.800
Other Income	0.100
Operating Profit	7.900
Interest	1.100
Exceptional Items	0.000
PBDT	6.800
Depreciation	0.500
Profit Before Tax	6.300
Tax	0.500
Provisions and contingencies	0.000
Profit After Tax	5.800
Extraordinary Items	0.000
Prior Period Expenses	0.000
Other Adjustments	0.000
Net Profit	5.800

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012
PAT / Total Income	(%)	4.54	5.75
Net Profit Margin (PBT/Sales)	(%)	5.39	4.81
Return on Total Assets (PBT/Total Assets}	(%)	11.81	6.95
Return on Investment (ROI) (PBT/Networth)		0.18	0.13
Debt Equity Ratio (Total Debt /Networth)		0.05	0.02
Current Ratio (Current Asset/Current Liability)		1.60	1.42

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF CURRENT MATURITIES OF LONG-TERM DEBT

(Rs. in Millions)

PARTICULARS	31.03.2013	31.03.2012
Current maturities of long-term debt	0.798	0.793

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	No
8]	No. of employees	No
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
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	Yes
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	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	No
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

UNSECURED LOAN:

(Rs. In Millions)

Particulars	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Deposits - Inter Corporate From Magma Fincorp Limited Terms of Repayment : EMI over period of 36 Months	0.453	0.971
Total	0.453	0.971

YEAR IN RETROSPECT

During the year, the Company has increased its production activities which resulted in higher sales at Rs. 283.647 Millions and has also increased the profit before tax at Rs. 15.254 Millions as against Rs. 9.573 Millions in the previous year. The Directors of the Company are confident that the same tempo of higher sales and increased profitability shall be maintained in the future.

MANAGEMENT DISCUSSION AND ANALYSIS

INDUSTRY STRUCTURE

India is one of the largest consumers of oil in the world and this sector occupies an important position in the agricultural economy. Vegetable oil production has increased over the years but it has not been able to fulfill India’s vast domestic demand. There has been a large gap between the domestic demand and production, thus making India the second largest importer of oils. India’s per capita consumption of vegetable oil will continue to rise this year in the wake of sustained positive growth in the disposable incomes. Favourable climatic conditions has increased oil production increasing the overall availability from the domestic sources. The policy and the business environment are conducive for the growth of the sector meeting the huge domestic demand and catering to the international markets as well.

BUSINESS OVERVIEW

Tirupati aims to ACHIEVE its goals by providing superior quality products and services at competitive prices to meet the essential requirements of its esteemed customers. Diversification and Innovation has been the basis of the evolution and growth of Tirupati. Starting with solvent extraction in the seventies, Tirupati pursued a strategy of diversification and innovation in Methyl Esters, Biodiesel, Industrial Oils, Fatty Acids, Edible Oils and Soaps production. Developing new products and creating markets has been the cornerstone of Tirupati’s success. Under their edible oil brands - MONOPOLY® and COCOBEL®, they cater to individuals, households and consumers of all classes. Their Eco-friendly fuel, Biodiesel under the brand BIOWIN™ caters to various institutions and organizations which helps them in reducing air pollution and hence contributes to decreasing their carbon footprint.

Tirupati endeavors to improve the quality of life of the communities it serves by striving to lead and excel in the businesses in which it operates.

DISCUSSION ON FINANCIAL AND OPERATIONAL PERFORMANCE

The Company’s turnover for the current financial year, 2012-13 stands at Rs. 283.219 Millions as against Rs. 198.927 Millions for last year. Further the Company has posted a profit before tax of Rs. 15.254 Millions this year as against Rs. 9.573 Millions in the previous year.

OUTLOOK

They are committed to deliver innovative quality products on a consistent basis and at competitive prices. Their strategy has been to make optimum utilization of the resources, raw materials, timely delivery schedules and finally develop strong customer relationships.

They intend to cater to their customer’s demands by providing them with high quality goods, customized to their specific requirements.

There exists a huge potential to grow exponentially in the areas the Company is currently involved in. The outlook for the Company is extremely positive.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30th JUNE 2013

(Rs. in Millions)

Sr. No.	Particulars	Quarter Ended 30th June 13
		Unaudited
1	Income from Operations
	(a) Net Sales/Income from Operations (Net of Excise Duty)	103.351
	(b) Other Operation Income	0.201
	Total Income from Operations (Net)	103.552
2	Expenditure
	(a) Cost of materials consumed	62.964
	(b) Purchase of Stock-in-trade
	(c) Change in inventories of finished Goods work- in- progress and stock- in-trade	27.081
	(d) Employees benefits expenses	1.839
	(e) Depreciation and amortisation expenses	0.500
	(f) Other Expenses (Any Item exceeding 10% of the total expenses relating to continuing operations be shown separately)	3.825
	Total Expenses	96.208
3	Profit from Operations before Other Income,	7.344
	finance costs and exceptional items (1 - 2)
4	Other Income	0.063
5	Profit from ordinary activities before finance	7.407
	costs and exceptional item (3 + 4)
6	Finance costs (Interest)	1.092
7	Profit from ordinary activities after finance	6.315
	costs but before exceptional Items (5 - 6 )
8	Exceptional Items
9	Profit from Ordinary Activities before Tax (7 + 8)	6.315
10	Tax Expenses	0.500
11	Net Profit from Ordinary Activities after Tax (9 - 10)	5.815
12	Paid -up equity Share Capital of Rs.10 each	54.300
13	Reserve and Surplus excluding revaluation reserve	-
14	Earning Per Share (of Rs. 10/- each) (not annualised) Basic /Diluted	1.071

	Particulars of Shareholding
1	Public Shareholding
	- Number of Shares	1912420
	- Percentage of Shareholding	35.22
2	Promoters and Promoter Group Shareholding **
	a) Pledged / Encumbered
	- Number of Shares	NIL
	- Percentage of shares (as a % of the total Shareholding of promoter and promoter group)
	- Percentage of shares (as a % of the total share capital of the company)
	b) Non - encumbered
	- Number of Shares	3517620
	- Percentage of shares (as a % of the total Shareholding of the Promoter and Promoter group)	64.78
	- Precentage of Shares (as a % of the total Share Capital of the Company)+B45

B	INVESTOR COMPLAINTS	Quarter ended 30th June - 2013
	Pending at the beginning of the quarter	0
	Received during the quarter	2
	Disposed of during the quarter	2
	Remaining unresolved at the end of the quarter	0

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10427458	30/04/2013	3,390,000.00	RELIANCE CAPITAL LTD	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 400710, INDIA	B75720219
2	10417325	23/04/2013 *	70,000,000.00	CITIBANK N. A.	TRENT HOUSE, 2ND FLOOR, G BLOCK, PLOT NO.C60, BAN DRA KURLA COMPLEX, BANDRA (E), MUMBAI, Maharashtra - 400051, INDIA	B77052447
3	10416303	25/03/2013	70,000,000.00	CITIBANK N. A.	TRENT HOUSE, 2ND FLOOR, PLOT NO.C-60,, BANDRA KURLA COMPLEX, BANDRA (E), MUMBAI, Maharashtra - 400051, INDIA	B72160666
4	90352062	20/04/1987	1,100,000.00	BHARAT PETROLIUM CORPORATION LTD.	BALLARD ESTATE, MUMBAI, Maharashtra, INDIA	-

* Date of charge modification

FIXED ASSETS:

· Building

· Plant and Machinery

· Furniture and Fixtures

· Vehicles

· Office Equipment

· Computers

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.61.92
UK Pound	1	Rs.99.60
Euro	1	Rs.83.64

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	RAJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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.