MIRA INFORM REPORT

Report Date :

25.09.2013

IDENTIFICATION DETAILS

Name :	SANATHAN TEXTILES PRIVATE LIMITED
Registered Office :	192, Jamunalal Bajaj Street, Kolkata – 700007, West Bengal
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	10.10.2005
Com. Reg. No.:	21-105863
Capital Investment / Paid-up Capital :	Rs.119.905 Millions
CIN No.: [Company Identification No.]	u17299wb2005ptc105863
TAN No.: [Tax Deduction & Collection Account No.]	cals17128g
PAN No.: [Permanent Account No.]	AAJCS6021P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Textile Yarn.
No. of Employees :	1000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having a satisfactory track record. There appears slight dip in the profitability during 2012. However, general financial strength of the company seems to strong. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitment. The company can be considered normal for business dealings at usual trade terms and condition.

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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities: BBB-
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	November, 2012

Rating Agency Name	CARE
Rating	Short Term Bank Facilities: A3
Rating Explanation	Moderate degree of safety and higher credit risk
Date	November, 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 :	Mr. Suhas Thakur
Designation :	Export Manager
Contact No.:	91-22-66343312
Date :	24.09.2013

LOCATIONS

Registered/ Head Office :	192, Jamunalal Bajaj Street, Kolkata – 700007, West Bengal, India
Tel. No.:	91-33-22686462
Fax No.:	Not Available
E-Mail :	pawancs.das@rediffmail.com jayant_bahety@sanathan.com info@sanathan.com suhas_thakur@sanathan.com
Website :	www.sanathan.com
Corporate/ Administrative Office :	D Wing, Trade World, 15^st Floor, Kamla Mills Compound, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-66343312/ 13/ 14/ 15/ 16/ 30420121/ 22
Fax No.:	91-22-66663453
E-Mail :	contactus@sanathan.com
Factory :	Survey Plot No.187/4/1/2, Village Surangi, Dapada, Silvassa – 396 230, Dadra and Nagar Haveli, Union Territory, India

DIRECTORS

(AS ON 14.09.2012)

Name :

Mr. Paresh Kumar V. Dattani

Designation :

Director

Address :

Ridge Apartments, Ridge Road, Malabar Hills, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

24.07.1960

Date of Appointment :

10.10.2005

DIN No.:

00163591

PAN No.:

AEAPD8148Q

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	U17299WB2005PTC105863	SANATHAN TEXTILES PRIVATE LIMITED	Director	10-10-05	10-10-05	-	Active	NO
2	U17299WB2006PTC108821	UNIVERSAL TEXTURISERS PRIVATE LIMITED	Director	31-03-06	31-03-06	-	Active	NO

Name :

Mr. Dineshkumar Vrajdas Dattani

Designation :

Director

Address :

Bhaveshwar Sagar, 20, Nepean Sea Road, Mumbai – 400 036, Maharashtra, India

Date of Birth/Age :

27.07.1948

Date of Appointment :

10.10.2005

DIN No.:

00163701

PAN No.:

ADWPD3056C

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	U17219WB1987PTC043147	TEXCO FIBRES PRIVATE LIMITED	Director	16-10-87	16-10-87	-	Converted to LLP and dissolved	NO
2	U17118WB1984PTC038203	VAJUBHAI INVESTMENTS PRIVATE LIMITED	Director	01-04-04	01-04-04	-	Active	NO
3	U17299WB2005PTC105863	SANATHAN TEXTILES PRIVATE LIMITED	Director	10-10-05	10-10-05	-	Active	NO
4	U17299WB2006PTC108821	UNIVERSAL TEXTURISERS PRIVATE LIMITED	Director	31-03-06	31-03-06	-	Active	NO
5	AAA-8629	TEXCO FIBRES LLP	Designated Partner	30-03-12	30-03-12	-	Active	NO

Name :

Mr. Ajay Kumar V. Dattani

Designation :

Director

Address :

F 70, Venus Apartment, R.G. Thadani Marg, Worli, Mumbai – 400 018, Maharashtra, India

Date of Birth/Age :

23.07.1967

Date of Appointment :

10.10.2005

DIN No.:

00163739

PAN No.:

AEAPD8147B

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	U17299WB2005PTC105863	SANATHAN TEXTILES PRIVATE LIMITED	Director	10-10-05	10-10-05	-	Active	NO
2	U17299WB2006PTC108821	UNIVERSAL TEXTURISERS PRIVATE LIMITED	Director	31-03-06	31-03-06	-	Active	NO

Name :

Mr. Vallabhdas Vrajdas Dattani

Designation :

Director

Address :

214, Walkeshwar Road, Sudama Buliding, 5^th Floor, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

22.08.1942

Date of Appointment :

17.04.2006

DIN No.:

00163794

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	U17118WB1984PTC038203	VAJUBHAI INVESTMENTS PRIVATE LIMITED	Director	28-11-84	28-11-84	-	Active	NO
2	U17219WB1987PTC043147	TEXCO FIBRES PRIVATE LIMITED	Director	14-10-87	14-10-87	-	Converted to LLP and dissolved	NO
3	U17299WB2006PTC108821	UNIVERSAL TEXTURISERS PRIVATE LIMITED	Director	17-04-06	17-04-06	-	Active	NO
4	U17299WB2005PTC105863	SANATHAN TEXTILES PRIVATE LIMITED	Director	17-04-06	17-04-06	-	Active	NO
5	AAA-8629	TEXCO FIBRES LLP	Designated Partner	30-03-12	30-03-12	-	Active	NO

Name :

Mr. Anilkumar Vrajdas Dattani

Designation :

Director

Address :

Sadhna Hillway, 5^th Floor, Gamadia Road, Mumbai – 400 026, Maharashtra, India

Date of Birth/Age :

20.04.1958

Date of Appointment :

10.10.2005

DIN No.:

00164175

PAN No.:

ADWPD3054A

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	U17219WB1987PTC043147	TEXCO FIBRES PRIVATE LIMITED	Director	28-02-94	28-02-94	-	Converted to LLP and dissolved	NO
2	U17118WB1984PTC038203	VAJUBHAI INVESTMENTS PRIVATE LIMITED	Director	31-12-99	31-12-99	-	Active	NO
3	U17299WB2005PTC105863	SANATHAN TEXTILES PRIVATE LIMITED	Director	10-10-05	10-10-05	-	Active	NO
4	U17100MH1954NPL009223	BOMBAY YARN MERCHANTS ASSOCIATION AND EXCHANGE LIMITED	Director	19-09-08	19-09-08	-	Active	NO
5	AAA-8629	TEXCO FIBRES LLP	Designated Partner	30-03-12	30-03-12	-	Active	NO

KEY EXECUTIVES

Name :	P. Das and Company
Designation :	Company Secretaries
Address :	4^th Floor, Bentinck Chambers, Room No.404, 37A, Bentinck Street, Kolkata - 700 069, West Bengal, India
Tel. No.:	91-33-22420021-2
Fax No.:	91-33-22420021
E-Mail :	pawancs.das@rediffmail.com daspawanku@yahoo.co.in
Name :	Mr. Suhas Thakur
Designation :	Export Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 14.09.2012)

Names of Shareholders	No. of Shares
Ajay Kumar V. Dattani	3274650
Anil Kumar V. Dattani	1367450
Dinesh Kumar V. Dattani	3376300
Paresh Kumar V. Dattani	3792100
Vajubhai Investment Private Limited, India	3000
Vallabhdas Dattani (HUF)	3000
Sonali Dattani	28000
Dinesh Kumar V. Dattani (HUF)	3000
Geeta Dattani	1500
Samir Dattani	1500
Sweta Dattani	1500
Jayshree Dattani	1500
Jyotsna Dattani	3000
Vallabhdas Dattani	3000
Anil Kumar Dattani (HUF)	23000
Paresh Kumar Dattani (HUF)	38000
Beena Dattani	45000
Mikesh Dattani	25000
Total	11990500

(AS ON 14.09.2012)

Equity Shares Break Up	Percentage of Holding
Bodies corporate	0.03
Directors or relatives of directors	99.97
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Textile Yarn.

Products :

Item Code No. (ITC Code)	54023300
Product Description	Draw Textured Yarn

Exports :

Products :

Textile Yarn

Countries :

• Korea
• Brazil
• Colombia
• Argentina
• South Africa

Imports :

Products :

Raw Material

Countries :

• Korea
• Thailand
• China
• Japan
• Germany

Terms :

Selling :

Cash / Credit

Purchasing :

Cash / Credit

PRODUCTION STATUS (AS ON 31.03.2011)

Licensed Capacity (Capacity under the Industrial Enterpreneurs memorandum filed with the Government of India and duly acknowledged under the scheme of de-licensing notified by the Government)

Particulars	Unit	Licensed Capacity	Installed Capacity
Tex Yarn	MT	200000	27000
Polyester Oriented Yarn	MT	190000	28000
F.D.Y	MT	90000	8000
Cotton Yarn	MT	9600	4800

Particulars	Unit	Actual Production
Tex Yarn	Kg.	24357357.245
Twist Yarn	Kg.	3006036.61
Polyester Oriented Yarn/ F.D.Y	Kg.	36731871.467
Cotton Yarn	Kg.	3736132.052

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

1000 (Approximately)

Bankers :

• Bank of Baroda, Crowford Market Branch, Dada Manzil 67/69, Mohammed Ali Road, Mumbai – 400 003, Maharashtra, India

• Landebank Baden-Wurttemberg, Am Hauptbahnhof 2, 70173 Stuttgart, Federal Republic of Germany, Stuttgart DE Germany 70049

• Union Bank of India

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long-Term Borrowings
Rupee term loans from banks	1278.389	1177.677
Loans repayable on demand from banks (Hypothecation of motor car)	13.183	15.621
Short-Term Borrowings
Working Capital Loans from Banks (Export bills, stock of raw materials, WIP and finished goods both present and future)	591.234	752.506
Total	1882.806	1945.804

Banking Relations :	--
Auditors :
Name :	K. Dattani and Company Chartered Accountants
Address :	37A, Bentinck Street, 4^th Floor, Room No.404, Bentinck Chambers, Kolkata – 700 069, West Bengal, India
PAN No.:	AAEFK2583L
Associates :	Universal Texturisers Private Limited, India CIN No.: U17299WB2006PTC108821

CAPITAL STRUCTURE

(AS ON 14.09.2012)

Authorised Capital :

No. of Shares	Type	Value	Amount
12000000	Equity Shares	Rs.10/- each	Rs.120.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
11990500	Equity Shares	Rs.10/- each	Rs.119.905 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	119.905	117.405
(b) Reserves & Surplus	1122.007	859.439
(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)	1241.912	976.844
(3) Non-current liabilities
(a) Long-term borrowings	1291.572	1193.298
(b) Deferred tax liabilities (Net)	29.013	42.044
(c) Other long term liabilities	0.000	0.000
(d) Long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	1320.585	1235.342
(4) Current liabilities
(a) Short term borrowings	591.234	752.506
(b) Trade payables	36.277	209.499
(c) Other current liabilities	243.608	107.228
(d) Short-term provisions	2.410	1.646
Total Current Liabilities (4)	873.529	1070.879
TOTAL	3436.026	3283.065
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1633.208	1509.639
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	289.961	189.556
(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	0.000	0.000
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	1923.169	1699.195
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	558.947	838.643
(c) Trade receivables	437.817	349.525
(d) Cash and cash equivalents	72.274	165.427
(e) Short-term loans and advances	281.077	109.176
(f) Other current assets	162.742	121.099
Total Current Assets	1512.857	1583.870
TOTAL	3436.026	3283.065

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		117.405
2] Share Application Money		0.000
3] Reserves & Surplus		536.623
4] (Accumulated Losses)		0.000
NETWORTH		654.028
LOAN FUNDS
1] Secured Loans		1414.598
2] Unsecured Loans		0.000
TOTAL BORROWING		1414.598
DEFERRED TAX LIABILITIES		30.514
TOTAL		2099.140
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1471.511
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	401.809
	Sundry Debtors	110.190
	Cash & Bank Balances	72.850
	Other Current Assets	85.311
	Loans & Advances	101.923
Total Current Assets		772.083
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	34.799
	Other Current Liabilities	52.778
	Provisions	57.019
Total Current Liabilities		144.596
Net Current Assets		627.487
MISCELLANEOUS EXPENSES		0.142
TOTAL		2099.140

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	5974.377	4624.259	3123.141
		Other Income			4.664
		TOTAL (A)	5974.377	4624.259	3127.805
Less	EXPENSES
		Raw Materials Consumed			2362.188
		Manufacturing and Operating Costs			245.463
		Employment Costs			41.690
		Administrative, Selling and Other Expenses			66.446
		Directors Remuneration			7.200
		Auditors Remuneration			0.225
		Loss on sale of Fixed Assets			0.028
		Preliminary Expenses W/off			0.143
		Increase/Decrease in stock			(3.682)
		TOTAL (B)	5511.444	4000.334	2719.701
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(including finance expenses)	(including finance expenses)	408.104
Less	FINANCIAL EXPENSES (D)				53.090
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		462.933	623.925	355.014
Less/ Add	DEPRECIATION/ AMORTISATION (F)		210.209	205.350	164.550
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		252.724	418.575	190.464
Less	TAX (H)		37.657	95.758	60.312
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		215.067	322.817	130.152
	EARNINGS IN FOREIGN CURRENCY
		Export of Goods calculated on F.O.B. basis	199.759	314.980	60.351
	TOTAL EARNINGS		199.759	314.980	60.351
	IMPORTS
		Capital Goods	4.027	45.202	107.771
		Manufacturing Goods (Including raw-materials and spares)	96.701	263.093	35.050
	TOTAL IMPORTS		100.728	308.295	142.821
	Earnings Per Share (Rs.)		17.94	27.50	11.09

Particulars	31.03.2013
Sales Turnover (Approximately)	10000.000

Expected Sales (2013-14) : Rs. 20000.000 Millions

The above information has been parted by Mr. Suhas Thalur

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	3.60	6.98	4.16
Net Profit Margin (PBT/Sales)	(%)	NA	NA	6.10
Return on Total Assets (PBT/Total Assets}	(%)	8.03	13.53	8.49
Return on Investment (ROI) (PBT/Networth)		0.20	0.43	0.29
Debt Equity Ratio (Total Debt /Networth)		1.52	1.99	2.16
Current Ratio (Current Asset/Current Liability)		1.73	1.48	5.34

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	Yes
9) Name of person contacted	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)	Yes
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

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10426873	06/05/2013	140,760,000.00	LANDEBANK BADEN-WURTTEMBERG	AM HAUPTBAHNOF 2, 70173 STUTTGART, FEDERAL REPUBLIC OF GERMANY, STUTTGART - 70049, GERMANY	B75534297
2	10336098	05/01/2012	1,090,287,000.00	LANDESBANK BADEN-WURTTEMBERG	AM HAUPTBAHNHOF 2, STUTTGART - 70173, GERMANY	B32327967
3	10089229	07/02/2008	291,915,000.00	LANDESBANK BADEN-WURTTEMBERG	AM HAUPTBAHNHOF 2, 70173 STUTTGART,, FEDERAL REPUBLIC OF GERMANY, STUTTGART - 70049, GERMANY	A32880270
4	10026551	10/01/2013 *	8,322,300,000.00	BANK OF BARODA	CROWFORD MARKET BRANCH, "DADA MANZIL" 67/69 MOHAMMED ALI ROAD, MUMBAI, MAHARASHTRA - 400003, INDIA	B67558676

* Date of charge modification

FIXED ASSETS:

· Land

· Building

· Electrical Installation

· Water Softening Plant

· Air Compressor

· Office Equipments

· Hoist lift

· Air Ventilators

· Auto Conner

· Blow Room

· Ring Frames

· Telecom Equipments

· Transformer

· Cone Testing Machine

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.62.66
UK Pound	1	Rs.100.46
Euro	1	Rs.84.60

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NTH

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	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		48

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.