MIRA INFORM REPORT

Report Date :

02.08.2014

IDENTIFICATION DETAILS

Name :	ABHUDAYA CO-OPERATIVE BANK LIMITED
Registered Office :	K.K. Tower, Abhyudaya Bank Lane. Off G. D. Ambekar Marg, Parel Village, Mumbai – 400 012, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment :	1964
Capital Investment / Paid-up Capital :	Rs. 1014.453 Millions
Legal Form :	Co-operative Bank
Line of Business :	Providing Banking Services.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

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 :	Exist
Comments :	Subject is a multi state scheduled urban co-operative bank in India. It is an established institution having satisfactory track record. The bank possesses a favourable financial profile marked by adequate capitalization, acceptable asset quality and average earnings and resource profile. Management has reported a sufficient net profit during FY2014. Trade relations are fair. Business is active. Payment terms are reported as usually correct. In view of infusion of funds from promoters showing their commitment to extend capital support to the bank, the institution 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.

ECGC Country Risk Classification List – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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

N E W S

As per the latest IMF study, the total weigh of emerging markets in the GDP of the world on a purchasing power parity basis has seen a sizeable shift. It highlights how as against 51 % in 2005, the emerging economies now account for close to 56 % of the global purchasing power GDP as per the latest survey. And with the emerging economies growing at a faster rate than their developed counterparts, there are every possibility that the their share goes up further in the coming years.  China may surpass the US over the next few years.

Politics and economics are very intricately connected. They tend to influence each other in ways that could be very complex and far-reaching. The prospects of the India’s economy have been seriously compromised due to political corruption. High inflation, poor standard of living are to a great extent a result of rampant corruption in the country. China on the other hand, seems to be facing diametrically opposite challenge. American hedge fund manager Jim Chanos has been keenly following the political and economic development in the dragon economy and has figured out something that is quite worrying. He is of the view that the Chinese economy could be heading toward trouble on account of new Chinese President Xi Jingping’s very aggressive anti-corruption drive. Chanos believes tat many things such as apartment sales, luxury products, etc. were largely bought with dirty money. And it is now beginning to impact consumption. This may indeed be bad news for an economy that is struggling to transition from an investment-driven export-oriented economy to a domestic consumption-driven economy.

A study published by Firstpost has revealed that asset classes like real estate and equities were the biggest beneficiaries of the liberalization policies.  A firm called Ciane Analytics studied returns from assets including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate outperformed every other asset classes during the 23-year period with an annualized return of 20 % ! Equities came in second with annualized return of 15.5 % ! However, while these returns may seem mouthwatering, the fact is that the return from equities adjusted for inflation came down to just 7.1 %.

Some brief news are as under

. R-Power to buy Jaypee’s hydro assets

. Investors await justice in NSEL case

. India seeks MFN status from Pakistan ahead of meeting

. Ukrain’s clashes with rebels hinder MH17 crash investigation

. India exploring merger of state-owned hydro PSUs

..Higher costs weigh down profit growth to slowest in 9 quarters

..Wal-Mart to expand wholesale business in India

. GMR group moves to strengthen balance sheet

. Central Bank to sell 4 % stake to Life Insurance Corporation

. Tata Chemicals plans to raise up to Rs 10000 mn.

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 31-03-2014.

INFORMATION DECLINED

Management non Cooperative (91-22-24180961)

LOCATIONS

Registered Office / Head Office :	K.K. Tower, Abhyudaya Bank Lane. Off G. D. Ambekar Marg, Parel Village, Mumbai – 400 012, Maharashtra, India
Tel. No.:	91-22-24180961 – 65 / 65053690
Fax No.:	91-22-24109782
E-Mail :	secretarial@abhyudayabank.net
Website :	https://www.abhyudayabank.co.in
Branch Office :	Located at · Ghatkopar · Vashi · Pune

DIRECTORS

Name :	Mr. Sitaram C. Ghandat
Designation :	Chairman
Name :	Mr. Nityanand M. Prabhu
Designation :	Vice-Chairman
Name :	Mr. Vijay S. Morye
Designation :	Managing Director
Name :	Mr. Maruti S. Mehetre
Designation :	Director
Name :	Mr. Achyut L. Kandpile
Designation :	Director
Name :	Mr. Ashok R. Chalke
Designation :	Director
Name :	Mr. Mhatarba S. Kane
Designation :	Director
Name :	Mr. Harihar S. Jaiswar
Designation :	Director
Name :	Mrs. Jessie C. D'Silva
Designation :	Director
Name :	Mrs. Ratnamala M. Gorde
Designation :	Director
Name :	Mr. Sandeep S. Ghandat
Designation :	Director
Name :	Mr. Jayantilal C. Jain
Designation :	Director
Name :	Mr. Waman V. Nalbhimwar
Designation :	Director
Name :	Mr. Jagajeevandas Raai
Designation :	Director
Name :	Mr. Mohan S. Ghandat
Designation :	Director
Name :	Mr. Amba P. Patel
Designation :	Director
Name :	Mr. Bharat M. Ghandat
Designation :	Director
Name :	Mr. Kanifnath N. Aher
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Rajeev D. Gangal
Designation :	Chief General Manager
Name :	Mr. Dhanji G. Kurlawala
Designation :	General Manager (I.T. Dept.)
Name :	Mr. Puneetkumar R. Shetty
Designation :	General Manager (Legal and Recovery)
Name :	Mr. Prasanta K. Mohapatra
Designation :	General Manager (Treasury and Clearing )
Name :	Mr. Sonudas A. Naik
Designation :	General Manager (Development and KYC/AML)
Name :	Mr. Camillo F. Fernandes
Designation :	General Manager (HRM and Accounts)
Name :	Mr. Premnath S. Salian
Designation :	General Manager (Credit and Forex )
Name :	Mr. Anil K. Nikam
Designation :	Deputy General Manager (Legal and Recovery)
Name :	Mr. Krishnakumar B. Sawant
Designation :	Deputy General Manager (Central Zone)
Name :	Mr. Bhaskar M. Shetty
Designation :	Deputy General Manager (Pune Zone and Regional Office Udupi)
Name :	Mr. Anthony P. Naronha
Designation :	Deputy General Manager (Central Law)
Name :	Mr. Pradeep V. Kamat
Designation :	Deputy General Manager  (Legal and Recovery)
Name :	Mr. Girish V. Rane
Designation :	Deputy General Manager (Western Zone and Regional Office Ahmedabad )

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Not Available

BUSINESS DETAILS

Line of Business :

Providing Banking Services.

GENERAL INFORMATION

No. of Employees :	Information declined by the management
Bankers :	Not Available

Banking Relations :	---
Auditors :	Not Available

CAPITAL STRUCTURE

As on 31.03.2014

Capital Investment :
Owned :	Rs.1014.453 Millions (Estimated)
Borrowed :	--
Total :	Rs.1014.453 Millions (Estimated)

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
Paid up Share Capital	1014.453	886.129	796.463
Reserves	13689.069	8814.703	7923.965
Deposits	93308.968	80363.989	65188.491
Loans & Advances	57004.712	51088.855	43775.277
Gross Profits	1726.738	1825.234	1268.289
Net Profits	980.548	912.177	801.687
Working Capital	111823.916	93678.543	77642.906
Investments	36968.287	31500.967	25039.282
Membership (Nos.)	161378	151818	146056

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013
	INCOME
		INTEREST & DISCOUNT
		a) On Advances	6505.045	5908.855
		b) On Investments	3141.428	2733.228
		c) On Rev.Repo/Call/CBLO Lending	31.140	26.892
		Commission & Exchange	84.771	81.782
		Locker Rent	25.196	22.687
		Service Charges	254.750	266.448
		Sundry Income	80.727	51.728
		Profit on Sale of Investments	320.607	354.021
		Profit on Sale of Assets	1.158	4.326
		Bad Debts Written off Recovered	49.141	60.268
		BDDR written back	22.600	16.473
		Excess Provision for I-Tax written back	8.750	0.000
		Prov. for Deprn.on Investment Written Back	0.000	252.078
		TOTAL	10525.313	9778.786
Less	EXPENSES
		INTEREST ON DEPOSITS & BORROWINGS
		a) On Deposits	6652.249	5766.428
		b) On Borrowings (Repo/ Call/ CBLO)	131.694	120.668
		Salaries, Allowances, PF, Gratuity etc.	1032.357	990.792
		Directors Sitting Fees & Allowances	7.036	6.466
		Rent, Rate, Taxes, Insurance & Lighting	324.240	277.108
		Legal and Professional Charges	20.101	14.868
		Audit Fees	14.332	13.586
		Postage, Telegram & Telephone	46.702	40.755
		Amortisation of Computer Software	18.684	16.306
		Printing & Stationer	25.192	24.851
		Advertisement	50.870	42.003
		Repairs & Maintenance	62.963	55.730
		Travelling & Conveyance	12.269	10.643
		Subscription	1.118	1.004
		Sundry Expenses	207.034	163.174
		Loss on Sale of Assets	0.554	0.913
		Bad Debts written off	22.600	16.474
		Depreciation on Shifting of Investment	44.109	0.000
		Further deduction in terms of Section 62(2) of Multi-state Co-op. societies Act, 2002
		a) Provision for Depreciation on Investment	682.515	22.261
		b) Amortisation of Premium on Investments	39.700	21.512
		c) Provision towards Standard Assets	7.500	563.900
		d) Provision towards BDDR	108.500	0.451
		e) Provision towards Erosion in Other Assets	0.000	0.000
		f) Provision towards Restructured Assets	94.000	0.000
		TOTAL	9606.319	8169.893
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		918.994	1608.893
Less/ Add	DEPRECIATION/ AMORTISATION		160.383	139.705
	PROFIT BEFORE TAX		758.611	1469.188
Less	TAX		91.615	557.011
	PROFIT AFTER TAX		666.996	912.177
Add	Transfer form Investment Fluctuation Reserve		288.000	0.000
Add	Transfer form Dividend Equillisation Fund		25.552	0.000
	BALANCE CARRIED TO THE B/S		980.548	912.177

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	No
8]	No. of employees	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three 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	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	Yes
23]	Banking Details	No
24]	Banking facility details	No
25]	Conduct of the banking account	----------------------
26]	Buyer visit details	----------------------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
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

LITIGATION DETAILS
Bench:- Bombay
Lodging No. :	WPL/2973/2013	Failing Date:-	19/11/2013	Reg. No.:-	WP/98/2014	Reg. Date:-	10/04/2014
Petitioner:-	MINE STEEL AND SPONGE		Respondent:-	ABHUDAYA CO-OPERATIVE BANK LIMITED
Petn.Adv:-	MR. JAMSHED ANSARI (576)		Resp. Adv.:	MERLYN MONTEIRO (157)
District:-	THANE
Bench:-	DIVISION		Category:-	WRIT PETITION (OTHERS)
Status:-	Pre-Admission		Stage:-	FRO ADMISSION – FRESH (ORIGNAL SIDE MATTERS)
Next Date:-	11/08/2014
Coram:-	HON’BLE SHRI JUSTICE S.J. VAZIFDAR HON’BLE SHRI JUSTICE A.K. MENON
Last Date:-	10/07/2014
Last Coram:-	HON’BLE SHRI JUSTICE S.J. VAZIFDAR HON’BLE SHRI JUSTICE A.K. MENON
Act. :	Constitution of India

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.60.85
UK Pound	1	Rs.102.69
Euro	1	Rs.81.46

INFORMATION DETAILS

Information Gathered by :	HET
Analysis Done by :	SUB
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--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	YES
--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		51

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.