MIRA INFORM REPORT

Report Date :

16.11.2013

IDENTIFICATION DETAILS

Name :	NAC JEWELLERS PRIVATE LIMITED
Registered Office :	No. 58, North Mada Street, Mylapore, Chennai – 600004, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	03.11.2008
Com. Reg. No.:	18-069739
Capital Investment / Paid-up Capital :	Rs. 32.298 Millions
CIN No.: [Company Identification No.]	U51398TN2008PTC069739
TAN No.: [Tax Deduction & Collection Account No.]	CHEN06577E
Legal Form :	Private Limited Liability Company
Line of Business :	Trading of Gold, Diamond and Silver Jewellery and Articles.
No. of Employees :	Not Divulged

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 668000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Profit margin of the company is low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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

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.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Term loan facilties: “BB”
Rating Explanation	Moderate risk of default
Date	08.04.2013

Rating Agency Name	ICRA
Rating	Short term: “A4+”
Rating Explanation	Minimal degree of safety. It carry very high credit risk.
Date	08.04.2013

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. Suleumar
Designation :	AGM in Finance
Contact No.:	91-44-43996666
Date :	06.11.2013

LOCATIONS

Registered Office :	No. 58, North Mada Street, Mylapore, Chennai – 600004, Tamilnadu, India
Tel. No. :	91-44-43996660/ 43996640/ 43996666
Fax No. :	91-44-43996640
E-Mail :	nac@md3.vsnl.net.in materials@nacjewellers.com info@nacjewellers.com

DIRECTORS

As on 27.09.2012

Name :

Nathella Anjaneyulu Chetty

Designation :

Whole-time director

Address :

Ramvardh, New No.19/20 (Old No.13/14), Second Cross Street, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

12.09.1937

Date of Appointment :

15.04.2009

PAN No.:

AAAPP7795F

DIN No. :

02081018

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	Company/ LLP Status	Defaulting status
1	U51398TN2008PTC069739	NAC JEWELLERS PRIVATE LIMITED	Whole-time director	15/04/2009	03/11/2008	Active	NO
2	U51398TN2008PTC069761	NAC AND COMPANY JEWELLERS PRIVATE LIMITED	Whole-time director	15/04/2009	05/11/2008	Amalgamated	NO
3	U74900TN2009PTC072157	NAC AND NAP ENTERPRISES PRIVATE LIMITED	Director	03/07/2009	03/07/2009	Amalgamated	NO

Name :

Nathella Anantha Padmanaban

Designation :

Managing director

Address :

Ramvardh, New No.19/20 (Old No.13/14), Second Cross Street, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

17.12.1961

Date of Appointment :

03.11.2008

PAN No. :

AAGPC6449K

DIN No. :

02081024

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	Company/ LLP Status	Defaulting status
1	U70101TN2008PTC068886	NAP AND SONS ENTERPRISES AND BUSINESS PRIVATE LIMITED.	Director	18/08/2008	18/08/2008	Active	NO
2	U51398TN2008PTC069739	NAC JEWELLERS PRIVATE LIMITED	Managing director	15/04/2009	03/11/2008	Active	NO
3	U51398TN2008PTC069761	NAC AND COMPANY JEWELLERS PRIVATE LIMITED	Managing director	15/04/2009	05/11/2008	Amalgamated	NO
4	U91990MH2005NPL154999	ALL INDIA GEMS AND JEWELLERY TRADE FEDERATION	Director	08/04/2009	08/04/2009	Active	NO
5	U74900TN2009PTC072157	NAC AND NAP ENTERPRISES PRIVATE LIMITED	Director	03/07/2009	03/07/2009	Amalgamated	NO

Name :

Swarna Varadarajulu

Designation :

Director

Address :

Ramvardh, New No.19/20 (Old No.13/14), Second Cross Street, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

02.10.1942

Date of Appointment :

03.11.2008

PAN No. :

AASPS3141E

DIN No. :

02097936

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	Company/ LLP Status	Defaulting status
1	U51398TN2008PTC069739	NAC JEWELLERS PRIVATE LIMITED	Director	03/11/2008	03/11/2008	Active	NO
2	U51398TN2008PTC069761	NAC AND COMPANY JEWELLERS PRIVATE LIMITED	Director	05/11/2008	05/11/2008	Amalgamated	NO
3	U74900TN2009PTC072157	NAC AND NAP ENTERPRISES PRIVATE LIMITED	Director	03/07/2009	03/07/2009	Amalgamated	NO

Name :

Anuradha Anantha

Designation :

Director

Address :

Ramvardh, New No.19/20 (Old No.13/14), Second Cross Street, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

18.07.1967

Date of Appointment :

03.11.2008

PAN No. :

AAEPA3752D

DIN No. :

02097938

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	Company/ LLP Status	Defaulting status
1	U51398TN2008PTC069739	NAC JEWELLERS PRIVATE LIMITED	Director	03/11/2008	03/11/2008	Active	NO
2	U51398TN2008PTC069761	NAC AND COMPANY JEWELLERS PRIVATE LIMITED	Director	05/11/2008	05/11/2008	Amalgamated	NO
3	U74900TN2009PTC072157	NAC AND NAP ENTERPRISES PRIVATE LIMITED	Director	03/07/2009	03/07/2009	Amalgamated	NO

Name :

Ananda Ramanujam

Designation :

Director

Address :

Ramvardh, New No.19/20 (Old No.13/14), Second Cross Street, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

03.11.1989

Date of Appointment :

03.11.2008

PAN No. :

AAEPR7286F

DIN No. :

02097940

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	Company/ LLP Status	Defaulting status
1	U70101TN2008PTC068886	NAP AND SONS ENTERPRISES AND BUSINESS PRIVATE LIMITED	Director	18/08/2008	18/08/2008	Active	NO
2	U51398TN2008PTC069739	NAC JEWELLERS PRIVATE LIMITED	Director	03/11/2008	03/11/2008	Active	NO
3	U51398TN2008PTC069761	NAC AND COMPANY JEWELLERS PRIVATE LIMITED	Director	05/11/2008	05/11/2008	Amalgamated	NO
4	U74900TN2009PTC072157	NAC AND NAP ENTERPRISES PRIVATE LIMITED	Director	03/07/2009	03/07/2009	Amalgamated	NO

KEY EXECUTIVES

Name :	Mr. Suleumar
Designation :	AGM in Finance

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 27.09.2012

Names of Shareholders	No. of Shares
Nathella Anjaneyulu Chetty	810091
Nathella Anantha Padmanaban	1127093
Swarna Varadarajulu	394002
Anuradha Anantha	226710
Ananda Ramanujam	15100
N. Aishwarya Lakshmmi	40000
T. Sarojamma	65100
N. Anjaneyulu Chetty (HUF, represented by its kartha, N. Anjaneyulu Chetty)	333219
N. Anantha Padmanaban (HUF, represented by its kartha, N. Anantha Padmanaban)	218372
S. Ravikumar	100
Total	3229787

As on 27.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Trading of Gold, Diamond and Silver Jewellery and Articles.

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· Indian Bank, 21, North Mada Street, Mylapore, Chennai - 600004, Tamilnadu, India

· The Federal Bank Limited, 54-55, North Usman Road, T. Nagar, Chennai - 600017, Tamilnadu, India

Facilities :

SECURED LOANS	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
LONG TERM BORROWINGS
Rupee term loans from banks	37.389	45.429
Long-term maturities of finance lease obligations	4.872	0.489
SHORT TERM BORROWINGS
Term loans from banks	27.491	98.429
Other loans and advances	441.903	499.167
Total	511.655	643.514

Note:

Cash Credit and Loan Against Fixed Deposit and Short Term Maturities Of Finance lease Obligations

Banking Relations :	--
Auditors :
Name :	R.Subramanian and Company Chartered Accountants
Address :	No 28C, Krishna Swamy Avenue, Luz, Mylapore, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	AAAFR0602F

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10,000,000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,229,787	Equity Shares	Rs.10/- each	Rs. 32.298 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	32.298	32.298
(b) Reserves & Surplus	134.676	91.012
(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)	166.974	123.310
(3) Non-Current Liabilities
(a) long-term borrowings	168.313	165.247
(b) Deferred tax liabilities (Net)	4.284	3.259
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	172.597	168.506
(4) Current Liabilities
(a) Short term borrowings	469.394	597.596
(b) Trade payables	160.537	144.997
(c) Other current liabilities	72.096	59.410
(d) Short-term provisions	23.500	10.541
Total Current Liabilities (4)	725.527	812.544
TOTAL	1065.098	1104.360
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	225.004	217.215
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	23.067	1.869
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	0.717	0.589
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	248.788	219.673
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	693.896	630.712
(c) Trade receivables	16.246	17.269
(d) Cash and cash equivalents	30.318	120.767
(e) Short-term loans and advances	75.850	115.939
(f) Other current assets	0.000	0.000
Total Current Assets	816.310	884.687
TOTAL	1065.098	1104.360

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		32.298
2] Share Application Money		70.000
3] Reserves & Surplus		69.174
4] (Accumulated Losses)		0.000
NETWORTH		171.472
LOAN FUNDS
1] Secured Loans		461.142
2] Unsecured Loans		38.084
TOTAL BORROWING		499.226
DEFERRED TAX LIABILITIES		1.825
TOTAL		672.523
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		209.613
Capital work-in-progress		3.892
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	450.549
	Sundry Debtors	21.631
	Cash & Bank Balances	27.900
	Other Current Assets	0.000
	Loans & Advances	118.523
Total Current Assets		618.603
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	116.500
	Other Current Liabilities	35.835
	Provisions	7.250
Total Current Liabilities		159.585
Net Current Assets		459.018
MISCELLANEOUS EXPENSES		0.000
TOTAL		672.523

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income
		Other Income
		TOTAL	1725.511	1311.483	1175.815
Less	EXPENSES
		TOTAL	1657.322	1277.730	1151.834
	PROFIT/ (LOSS) BEFORE TAX		68.189	33.753	23.981
Less	TAX		24.555	11.916	8.914
	PROFIT/ (LOSS) AFTER TAX		43.634	21.837	15.067
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		41.731	19.894	4.827
	BALANCE CARRIED TO THE B/S		85.365	41.731	19.894
	IMPORTS
		Purchase of Diamonds	NA	NA	56.968
	Earnings / (Loss) Per Share (Rs.)		13.51	6.76	4.67

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.53	1.67	1.28
Return on Total Assets (PBT/Total Assets}	(%)	6.54	3.06	2.90
Return on Investment (ROI) (PBT/Networth)		0.41	0.27	0.14
Debt Equity Ratio (Total Debt/Networth)		3.82	6.19	2.91
Current Ratio (Current Asset/Current Liability)		1.13	1.09	3.88

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	No
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	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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem and Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10368931	31/07/2012	20,000,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	B45056249
2	10344378	10/02/2012	15,000,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	B35849942
3	10337412	09/01/2012	20,130,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA	B32887192
4	10235521	12/07/2010	20,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA	A92763432
5	10221315	11/05/2010	10,000,000.00	INDIAN BANK	MYLAPORE BRANCH,#21 NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMIL NADU, INDIA	A86825551
6	10221316	11/05/2010	20,000,000.00	INDIAN BANK	MYLAPORE BRANCH,#21 NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	A86826252
7	10197301	23/12/2009	7,500,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	A77705838
8	10199964	23/12/2009	19,000,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	A78544103
9	10166777	25/05/2009	45,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA	A65743726
10	10166945	12/10/2009 *	35,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA	A72660053
11	10154532	17/04/2009	303,200,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	A60842978
12	10157499	21/08/2013 *	980,000,000.00	INDIAN BANK	21, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMILNADU, INDIA	B86872959
13	10149007	26/02/2009	5,000,000.00	CORPORATION BANK	#22, TEMPLE SQUARE, NORTH MADA STREET, MYLAPORE, CHENNAI - 600004, TAMIL NADU, INDIA	A58632845

* Date of charge modification

UNSECURED LOANS

PARTICULAR	31.03.2012 (Rs. In Millions)	31.03.2011 (Rs. in Millions)
LONG TERM BORROWINGS
Loans and advances from directors	91.988	95.098
Loans and advances from others	34.064	24.231
Total	126.052	119.329

PERFORMANCE REVIEW:

The performance of the company for the year ended 31 st March 2012 was satisfactory. The Board of Directors except more business and profitability in the forthcoming years

FIXED ASSETS

· Land

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Motor Vehicles

· Office Equipment

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.63.06
UK Pound	1	Rs.101.15
Euro	1	Rs.84.95

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
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	3
--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	NO
--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.