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Report Date : |
28.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
JK DIAM LTD. |
|
|
|
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Registered Office : |
Flat F1 (B), 11/F., Phase 1, Hang Fung Industrial Building, 2G Hok
Yuen Street, Hunghom, Kowloon |
|
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|
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Country : |
Hong Kong |
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|
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Date of Incorporation : |
17.05.2010 |
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|
|
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Com. Reg. No.: |
52287468 |
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Legal Form : |
Private Limited Company |
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|
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LINE OF BUSINESS : |
IMPORTER,
EXPORTER AND WHOLESALER OF ALL KINDS OF DIAMONDS AND JEWELLERY PRODUCTS |
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|
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No of Employees : |
2 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
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 – december 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
Hong Kong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.
|
Source
: CIA |
JK DIAM
LTD.
ADDRESS: Flat F1 (B), 11/F., Phase 1, Hang Fung
Industrial Building, 2G Hok Yuen Street, Hunghom, Kowloon, Hong Kong.
PHONE: 852-3996 8741
MOBILE: 852-5634 9000, 9561 1795
FAX: 852-3996 8742
E-MAIL: jkdiamhk@gmail.com
Managing Director: Mr.
Shaileshkumar Popatlal Lukhi
Incorporated on: 17th May, 2010.
Organization: Private Limited Company.
Capital: Nominal: HK$3,500,000.00
Issued: HK$3,500,000.00
Business Category: Diamond
Trader.
Employee: 2.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
JK DIAM LTD.
Registered Head Office:-
Flat F1 (B), 11/F., Phase 1, Hang Fung Industrial Building, 2G Hok Yuen
Street, Hunghom, Kowloon, Hong Kong.
J.K. Star
G-9 Prasad Chambers Tata Road, 1 Opera House, Mumbai-400004, India.
[Tel: 9122-2366 9647; 2366
9648
Mobile: 91 9820 165478
E-mail: info@jkstar.in]
52287468
1456817
Managing Director: Mr.
Shaileshkumar Popatlal Lukhi
Contact Persons: Mr. Sameer A.
Vora
(Mobile Phone No.: 852-9561 1795)
Mr. Gary Shanghani
Nominal Share Capital: HK$3,500,000.00 (Divided into 3,500,000 shares of
HK$1.00 each)
Issued Share Capital: HK$3,500,000.00
(As per registry
dated 17-05-2013)
|
Name |
|
No. of shares |
|
Shaileshkumar Popatlal LUKHI |
|
3,500,000 ======= |
(As per registry
dated 17-05-2013)
|
Name (Nationality) |
Address |
|
Shaileshkumar Popatlal LUKHI |
7-A, Giriraj Co-op. Hsg. Soc. Ltd., 11-Altamount Road, Mumbai-26,
India. |
(As per registry
dated 17-05-2013)
|
Name |
Address |
Co. No. |
|
Lodestar Secretaries Ltd. |
13/F., Wah Kit Commercial Centre, 302 Des Voeux Road Central, Hong
Kong. |
0113023 |
The subject was incorporated on 17th May, 2010 as a private limited
liability company under the Hong Kong Companies Ordinance.
Formerly the subject was located at Flat C, 7/F., Han Chung Mansion, 8‑10 Hankow
Road, Tsimshatsui, Kowloon, Hong Kong. moved the present address in April,
2013.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of diamonds and jewellery products, etc.
Employee: 2.
Commodities Imported: India, other
Asian countries, Europe, etc.
Markets: Hong
Kong, other Asian countries, Europe, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$3,500,000.00 (Divided into 3,500,000 shares of
HK$1.00 each)
Issued Share Capital: HK$3,500,000.00
Increase of Nominal Capital:-
|
From |
HK$10,000.00 |
to |
HK$3,500,000.00 |
on |
11-04-2011 |
Alternation of Issued Capital:-
|
Initially |
paid up |
HK$ 10,000.00 |
|
11-04-2011 |
paid up |
HK$3,490,000.00 |
|
|
|
––––––––––––––– |
|
Total: |
paid up |
HK$3,500,000.00 ============== |
Profit or Loss: Made
a small profit in 2012 & 2013.
Condition: Business
keeps on improving.
Facilities: Making
fairly active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai Banking Corp.
Ltd., Hong Kong.
Standing: Small.
Having issued 3.5 million ordinary shares of HK$1.00 each, JK Diam Ltd.
is wholly owned by Mr. Shaileshkumar Popatlal Lukhi who is an Indian. He is also the only director of the subject. He is an India passport holder and does not
have the right to reside in Hong Kong permanently.
Formerly the subject had just issued 10,000 ordinary shares of HK$1.00
each, increased to the present number in April 2011.
Incorporated in May 2010, the subject moved to the present address in April,
2013.
The subject has two employee in Hong Kong. One of them is known as Mr. Sameer A.
Vora who is the marketing manager of the subject. Sameer A. Vora can be reached at his Hong
Kong mobile phone number 852-9561 1795.
The subject can also be reach at its Hong Kong phone number 852‑5634 9000. The contact person is Mr. Gary Shanghani who
is also an Indian. He is the other
employee of the subject.
According to Gary Shanghani, the subject is purchasing loose diamonds in
India.
The business of the subject is handled by Gary Shanghani and Sameer A.
Vora.
The subject is a diamond importer, exporter and wholesaler. Most of its commodities are loose diamonds
and white diamonds, which are imported from India. Another significant product of the subject is
diamond ring. Products are marketed in
Hong Kong or re-exported to the other Asian countries, North America and even
Central and South America. Business
keeps on improving in Hong Kong.
According to the subject, it is a leading supplier in NATTS diamonds in
the Mumbai market of India. Now it has
targeted on the east Asian market while Hong Kong is the foothold. This is the reason why the subject has been
set up. The subject can supply all kinds
of NATTS diamonds ranging from US$30.00 to 500.00. It also can supply white Natts and white
diamonds in all sizes.
The followings are the main sizes of its diamonds:-
+000 -2 (0.003 -0.008 cts.);
+11, +14 etc.;
+2 - 61⁄2 (0.009 - 0.021 cts.);
+61⁄2 - 8 (0.025 - 0.035 cts.);
+8 - 11 (0.039 - 0.079 cts.); &
1⁄5, 1⁄4, 1⁄3, 3⁄8, etc.
The subject has got an associated company in India known as “J.K. Star”
which is in Mumbai, India. J.K. Star is
trading in the same kinds of products as the subject. It is also the subject’s main supplier. Mr. Shaileshkumar Popatlal Lukhi is also the
representative of J.K. Star.
In order to penetrate the international market further, the subject has
taken part in fairs and exhibitions held in Hong Kong and other foreign large
cities. For instance, it took part in
“HKTDC Hong Kong International Jewellery Show 2014” which had been held in Hong
Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the period of
5th to 9th March, 2014. Its booth
No. was S425-01.
According to the subject, it also receives OEM orders.
The subject was able to make a very small profit in 2012 and 2013.
As the history of the subject in Hong Kong is just over three years and
ten months, on the whole, consider it good for normal business engagements on
L/C basis or in very small credit amounts for the time being.
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 8th
Century B.C. India, in fact, remained undisputed leader till 18th
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 30th
October 2010 is as under –
-
Gem & 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.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 61.11 |
|
|
1 |
Rs. 102.70 |
|
Euro |
1 |
Rs. 84.52 |
INFORMATION DETAILS
|
Report Prepared
by : |
DPT |
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 |
-- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.