MIRA INFORM REPORT

Report Date :

06.12.2014

IDENTIFICATION DETAILS

Name :	SHEEL DIAMOND EXPORTS LIMITED
Registered Office :	1315, Parsad Chambers, Opera House, Mumbai – 400004, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	13.10.1995
Com. Reg. No.:	11-93652
Capital Investment / Paid-up Capital :	Rs. 109.002 Millions
CIN No.: [Company Identification No.]	U36911MH1995PLC093652
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	MUMS19454B
PAN No.: [Permanent Account No.]	AAACS9161M
Legal Form :	A closely held public limited liability company
Line of Business :	Manufacturers of Polished and Rough Diamonds
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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 an established company having satisfactory track record. The rating takes into consideration company’s established track record of business operations supported by healthy operational risk profile and fair liquidity positon of the company. Trade relations are fair. Business is active. Payment terms are reported to be 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.

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

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

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 DENIED BY

Name :	Mr. Jagesh Shah
Designation :	Finance Head
Contact No.:	91-22-40868888
Date :	04.12.2014

LOCATIONS

Registered Office :	1315, Parsad Chambers, Opera House, Mumbai – 400004, Maharashtra, India
Tel. No.:	91-22-23637103 / 23677386 / 40868888
Fax No.:	91-22-23610926
E-Mail :	contact@sheeldiamond.com contact@sheelgems.com sheelgem@hotmail.com

DIRECTORS

As on: 30.09.2013

Name :

Mr. Bhupendra H. Mehta

Designation :

Whole Time Director

Address :

1-B, Rizvi Park, 5-A, Altamount Road, Mumbai – 400026,Maharashtra, India

Date of Birth/Age :

05.05.1952

Date of Appointment :

13.10.1995

DIN No.:

00040786

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Whole-time director	13/10/1995	13/10/1995	-	Active	NO
2	U36911MH1999PTC121021	KAPRISA INTERNATIONAL PVT LTD	Director	15/05/2007	15/05/2007	01/04/2013	Active	NO
3	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO
4	AAA-6056	SHEEL SPARKLING STAR LLP	Body corporate as Designated Partner	29/08/2011	29/08/2011	-	Active	NO
5	AAA-6120	CALISSA JEWELS LLP	Body corporate as Designated Partner	02/09/2011	02/09/2011	-	Under Process of Striking off	NO

Name :

Mr. Chetan Amichand Shah

Designation :

Director

Address :

19-A, Sterling Apartments, Pedder Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

30.08.1950

Date of Appointment :

13.10.1995

DIN No.:

00040864

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Whole-time director	13/10/1995	13/10/1995	-	Active	NO
2	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO

Name :

Mr. Jatin Amichand Shah

Designation :

Director

Address :

92, Sommerset House, 61/G, Off B D Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

05.12.1959

Date of Appointment :

28.04.2005

DIN No.:

00041165

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Whole-time director	13/10/1995	13/10/1995	-	Active	NO
2	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO

Name :

Mr. Avnish Jagdishchandra Mody

Designation :

Director

Address :

Sonarika Annexe, 33 A, Dr. Gopalrao Deshmukh Marg. Pedder Road, Mumbai – 400050, Maharashtra, India

Date of Birth/Age :

30.07.1957

Date of Appointment :

28.04.2005

DIN No.:

00041051

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Director	25/04/2005	25/04/2005	-	Active	NO
2	U51398MH1984NPL033787	BHARAT DIAMOND BOURSE	Director	28/09/2006	28/09/2006	28/09/2007	Active	NO
3	U36911MH1999PTC121021	KAPRISA INTERNATIONAL PVT LTD	Additional director	15/05/2007	15/05/2007	01/04/2013	Active	NO
4	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO
5	U72900MH2010PTC202147	AARISH TECHNOLOGIES PRIVATE LIMITED	Director	17/04/2010	17/04/2010	-	Active	NO
6	U36911GJ2010PTC060881	CHIRAG GEMS PRIVATE LIMITED	Additional director	01/04/2014	31/07/2010	-	Active	NO
7	U36910MH2005PTC152316	GSI GEMS SERVICES INTERNATIONAL PRIVATE LIMITED	Director	17/02/2012	17/02/2012	-	Active	NO

Name :

Mr. Rishabh Avnish Mody

Designation :

Director

Address :

Sonarika Annexe, 33 A, Dr. Gopalrao Deshmukh Marg. Pedder Road, Mumbai – 400050, Maharashtra, India

Date of Birth/Age :

07.03.1983

Date of Appointment :

29.09.2010

DIN No.:

02232999

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	U36910MH2005PTC152316	GSI GEMS SERVICES INTERNATIONAL PRIVATE LIMITED	Director	23/02/2009	23/02/2009	-	Active	NO
2	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Director	29/09/2010	01/04/2010	-	Active	NO
3	U72900MH2010PTC202147	AARISH TECHNOLOGIES PRIVATE LIMITED	Director	17/04/2010	17/04/2010	-	Active	NO
4	U36911GJ2010PTC060881	CHIRAG GEMS PRIVATE LIMITED	Director	31/07/2010	31/07/2010	21/05/2012	Active	NO

Name :

Mr. Bijen Chetan Shah

Designation :

Director

Address :

19/A, Sterling Apartments, Pedder Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

17.12.1975

Date of Appointment :

28.04.2005

DIN No.:

00040929

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Director	28/04/2005	28/04/2005	-	Active	NO
2	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO

Name :

Mr. Ronak Bhupendra Mehta

Designation :

Director

Address :

1-B, Rizvi Park, 5A, Altamount Road, Mumbai – 400026, Maharashtra, India

Date of Birth/Age :

29.12.1981

Date of Appointment :

30.09.2006

DIN No.:

00040902

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	U36911MH1995PLC093652	SHEEL DIAMOND EXPORTS LIMITED	Director	30/09/2006	26/11/2005	-	Active	NO
2	U45300MH2008PTC177977	SHEEL REALTIES & DEVELOPERS PRIVATE LIMITED	Director	19/01/2008	19/01/2008	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Jagesh Shah
Designation :	Finance Head

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2013

Names of Shareholders	No. of Shares
Bhupendra H. Mehta	856800
Chetan Amichand Shah	1109300
Jatin Amichand Shah	1456800
Bejal Bhupendra Mehta	368200
Sheela Chetan Shah	140700
Sonal Jatin Shah	105700
Bijen Chetan Shah	1250000
Ronak Mehta	962500
Avnish Mody	2250000
Sangeeta Mody	1000000
Bhavesh Deepak Javeri	900251
Rishabh Mody	500000
Total	10900251

As on: 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	8.26
Directors or relatives of directors	91.74
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Polished and Rough Diamonds

Products :

Description of Product	ITC code
Jewellery of Gold Set With Diamond	71131930

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

Customers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

Not Divulged

Bankers :

· Indusind Bank Limited, Indusind House, 425, Dadasaheb Bhadkamkar Marg, Mumbai -400004, Maharashtra, India

· The Antwerp Diamond Bank, 2^nd Floor, Engineering Centre, 9, Mathew Road, Opera House, Mumbai – 400004, Maharashtra, India

· ABN Amro Bank N V, 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2014	As on 31.03.2013
	(Rs. In Millions)
SHORT TERM BORROWINGS:
Rupee term loan from banks	0.037	137.000
Working capital loans from banks	569.696	564.356
Total	569.733	701.356

Banking Relations :	--
Auditors :
Name :	Salim Kantawala Chartered Accountant
Address :	Tardeo Air Conditioned Market , 7^th Floor, Office No - 18 , Tardeo, Mumbai – 400 034, Maharashtra, India
PAN No.:	AAFFK3130L
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :	· Competent Exports, India · Jagdish C. Mody Exports, India · Aarish Exports, India

CAPITAL STRUCTURE

As on: 31.03.2014

Authorized Capital:

No. of Shares	Type	Value	Amount
11000000	Equity Shares	Rs.10/- each	Rs.110.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
10900251	Equity Shares	Rs.10/- each	Rs.109.002 Millions

FINANCIAL DATA

[All figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	109.002	109.002	109.002
(b) Reserves & Surplus	280.386	270.180	250.428
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	389.388	379.182	359.430
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.378	0.504	0.492
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	0.378	0.504	0.492
(4) Current Liabilities
(a) Short term borrowings	569.733	701.356	662.619
(b) Trade payables	556.780	213.014	343.065
(c) Other current liabilities	1.938	1.831	0.613
(d) Short-term provisions	6.377	6.334	6.334
Total Current Liabilities (4)	1134.828	922.535	1012.631
TOTAL	1524.594	1302.221	1372.553
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	7.575	5.349	18.705
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	55.890	55.891	55.891
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.965	5.923	5.912
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	64.430	67.163	80.508
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	1021.062	834.326	792.149
(c) Trade receivables	416.845	374.622	471.879
(d) Cash and cash equivalents	19.718	22.561	24.378
(e) Short-term loans and advances	0.170	0.163	0.152
(f) Other current assets	2.369	3.386	3.487
Total Current Assets	1460.164	1235.058	1292.045
TOTAL	1524.594	1302.221	1372.553

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	2179.105	1461.239	1454.889
		Other Income	3.484	17.182	58.796
		TOTAL	2182.589	1478.421	1513.685
Less	EXPENSES
		Cost of Materials Consumed	1871.478	1341.097	1258.458
		Purchases of Stock-in-Trade	361.267	47.812	93.988
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(302.683)	(110.343)	(81.587)
		Employees benefits expense	8.319	6.533	4.621
		Other expenses	123.967	116.108	82.255
		TOTAL	2062.348	1401.207	1357.735
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		120.241	77.214	155.950
Less	FINANCIAL EXPENSES		96.824	44.057	129.295
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		23.417	33.157	26.655
Less/ Add	DEPRECIATION/ AMORTISATION		0.483	0.501	0.574
	PROFIT BEFORE TAX		22.934	32.656	26.081
Less	TAX		7.401	6.678	4.502
	PROFIT AFTER TAX		15.533	25.978	21.579
Less	APPROPRIATIONS
		Transfer to General Reserve	5.450	5.450	5.450
		Dividend	0.926	0.905	0.884
	BALANCE CARRIED TO THE B/S		9.157	19.623	15.245
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1067.049	854.168	1194.287
	TOTAL EARNINGS		1067.049	854.168	1194.287
	CIF VALUE OF IMPORTS		1623.497	1269.620	1290.086
	Earnings Per Share (Rs.)		1.43	2.38	1.98

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.71	1.78	1.48
Operating Profit Margin (PBDIT / Sales)	(%)	19.07	42.29	16.72
Return on Total Assets (PBT/Total Assets}	(%)	1.56	2.62	1.98
Return on Investment (ROI) (PBT/Networth)		0.06	0.09	0.07
Debt Equity Ratio (Total Debt/Networth)		1.46	1.85	1.84
Current Ratio (Current Asset/Current Liability)		1.29	1.34	1.28

FINANCIAL ANALYSIS

[All figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	109.002	109.002	109.002
Reserves & Surplus	250.428	270.180	280.386
Net worth	359.430	379.182	389.388
long-term borrowings	0.000	0.000	0.000
Short term borrowings	662.619	701.356	569.733
Total borrowings	662.619	701.356	569.733
Debt/Equity ratio	1.844	1.850	1.463

YEAR-ON-YEAR GROWTH

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1454.889	1461.239	2179.105
Profit	21.579	25.978	15.533
	1.48%	1.78%	0.71%

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1454.889	1461.239	2179.105
Profit	21.579	25.978	15.533
	1.48%	1.78%	0.71%

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	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	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	Yes
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

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 & 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.

NOTE:

The Registered Office of the company has been shifted from 908, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra, India to the present address w.e.f. 23.09.2011.

INDEX OF CHARGES:

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10312004	21/09/2011	400,000,000.00	INDUSIND BANK LTD.	INDUSIND HOUSE, 425,, DADASAHEB BHADKAMKAR MARG, MUMBAI, MAHARASHTRA - 400004, INDIA	B23215593
2	90150597	14/08/2008 *	1,000,000,000.00	ABN AMRO BANK N V	74, SAKHAR BHAVAN,, 7TH FLOOR, NARIMAN POINT,, MU  MBAI, MAHARASHTRA - 400021, INDIA	A44717775

FIXED ASSETS:

• Air Condition
• Computers
• Electrical Appliance
• Furniture
• Office Equipment
• Office Premises
• Television
• Vehicles

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 judgment 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.61.85
UK Pound	1	Rs.96.73
Euro	1	Rs.76.53

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAR
Report Prepared by :	ANK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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		45

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.