MIRA INFORM REPORT

Report Date :

30.12.2014

IDENTIFICATION DETAILS

Name :	HARSHADA CORPORATION
Registered Office :	Central Building No. 1, Ground Floor, 36 Bomanji Master Road, Opposite Kalbadevi, Princess Street, Mumbai – 400002, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment ::	1988
Capital Investment / Paid-up Capital :	Rs. 42.920 Millions
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Sole Proprietary Concern
Line of Business :	Trader and Importer of chemical and pharmaceutical raw materials paper and paper boards.
No. of Employees :	8 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 120000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established proprietary concern having satisfactory track record. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The concern 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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Not Available

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 PARTED BY

Name :	Mrs. Surve
Designation :	Accountant
Contact No.:	91-22-22074434
Date :	29.12.2014

LOCATIONS

Registered Office :	Central Building No. 1, Ground Floor, 36 Bomanji Master Road, Opposite Kalbadevi, Princess Street, Mumbai – 400002, Maharashtra, India
Tel. No.:	91-22-22074434/22074090
Fax No.:	91-22-22032160
E-Mail :	harshadacorp@gmail.com
Area :	1000 Sq. Ft.
Warehouse :	Bhiwandi, District Thane, Maharashtra, India.

SOLE PROPRIETOR

Name :	Mr. Kaushik P. Shah
Designation :	Proprietor
Address :	56 Years
Qualification :	B. Pharma

KEY EXECUTIVES

Name :	Mrs. Surve
Designation :	Accountant

BUSINESS DETAILS

Line of Business :	Trader and Importer of chemical and pharmaceutical raw materials paper and paper boards.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :
Products :	Chemical
Countries :	China Europe Indonesia
Terms :
Selling :	Cash, L/C and Credit
Purchasing :	Cash, Credit, L/C (100/90 days)

GENERAL INFORMATION

Suppliers :

Reference :	Health Creation Industrial, China
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 :

• Wholesalers, Retailers, End Users, OEMs, Manufacturer and Corporate

Reference :	Garang International
Name of the Person :	Mr. Garang (Partner)
Contact No.:	91-9820060523 91-2-26736814
Since How Long Known :	20 Years
Experience :	Product Quality = Excellent Delivery Behaviour = Excellent Overall = Excellent
Maximum Limit Dealt :	They gave us positive response about subject company they are satisfied with their product quality and delivery behavior.

No. of Employees :

8 (Approximately)

Bankers :

Banker Name 1	Citi Bank
Branch Address	Fort Branch, Mumbai
Person Name (With Designation)	Mr. Vinay Goyal (Rm)
Contact Number	91-9867895905
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Cash Credit = Rs. 25.000 Millions L/C = Rs. 75.000 Millions
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Banker Name 2	Union Bank of India
Branch Address	Branch Abdul Rehman Street, Mumbai
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Auditors :

Name :

Bimal Parikh and Company

Chartered Accountant

Name :

Vishnu Agarwal and Associates

Chartered Accountant

Memberships :

Not Available

Collaborators :

Not Available

Associates/Subsidiaries :

Name :	Shri Upendra Paper Corporation
Address:	Central Building No. 1, Ground Floor, 36 Bomanji Master Road, Opposite Kalbade, India.
Line of Business:	Importer of Paper and Paper Boards.

CAPITAL STRUCTURE

As on: 31.03.2014

Capital Investment :
Owned :	Rs. 42.920 Millions
Borrowed :	--
Total :	Rs. 42.920 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013
SHAREHOLDERS FUNDS
1] Share Capital		42.920	34.896
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		42.920	34.896
LOAN FUNDS
1] Secured Loans		0.000	15.111
2] Unsecured Loans		109.613	140.133
TOTAL BORROWING		109.613	155.244
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		152.533	190.140
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5.026	5.263
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	10.826
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Stock on Hand	0.000	97.792
	Sundry Debtors	0.000	183.147
	Cash & Bank Balances	18.126	3.320
	Other Current Assets	246.148	0.380
	Loans & Advances	5.928	(27.143)
Total Current Assets		270.202	257.496
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	122.695	0.000
	Other Current Liabilities	0.000	83.445
	Provisions	0.000	0.000
Total Current Liabilities		122.695	83.445
Net Current Assets		147.507	174.051
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		152.533	190.140

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013
	SALES
	Income	621.906	657.151
	Other Income	9.654	16.349
	TOTAL (A)	631.560	673.500
Less	EXPENSES
	Cost of Materials Consumed	507.813	634.418
	Cartage	0.000	0.845
	Warehousing Expenses	0.000	0.590
	Clearing and Forwarding charges	5.132	0.000
	Administrative Expenses	0.000	0.224
	Car Expenses	0.000	0.232
	Car Insurance	0.000	0.043
	Compensational	0.000	0.114
	Custom Duty	70.492	0.000
	transport Charges	1.114	0.000
	Coolie and Cartage	1.041	0.000
	Drug License Renewal	0.000	0.038
	Agency Charges	0.847	0.000
	Warehouse Charges	0.480	0.000
	TDS late payment charges	0.005	0.000
	Bank Interest	0.599	0.000
	Bank Charges	0.114	0.000
	Conveyance Expenses	0.005	0.011
	Drug License Renewal Charges	0.041	0.000
	Entertainment Expenses	0.133	0.239
	Printing and Stationery	0.197	0.169
	Salary Bonus	1.301	0.000
	Subscription and Fees	0.011	0.003
	Vehicle Expenses	0.246	0.000
	Postage and Courier Expenses	0.037	0.045
	Insurance	0.473	0.150
	Rent, Rates and Taxes	0.222	0.106
	Donation	0.002	0.008
	Staff Expenses	0.000	1.290
	Travelling Expenses	0.325	0.330
	Sales promotion Expenses	0.003	1.627
	Telephone Expenses	0.091	0.070
	Repair and Maintenance	0.020	0.015
	Audit Fees	0.030	0.026
	Commission on sale	2.932	0.000
	Advertisement Expenses	0.006	0.000
	Discount and Kasar	0.058	0.016
	Interest Paid	18.009	0.000
	Exchange rate Difference A/c	10.396	0.000
	Legal and Professional Charges	0.171	0.000
	Office Expenses	0.003	0.000
	Foreign Exchange	0.000	7.743
	Financial Expenses	0.000	18.520
	VAT Expenses	0.014	0.000
	TOTAL	622.363	666.872
Less/ Add	DEPRECIATION/ AMORTISATION	0.295	0.303
	NET PROFIT/ (LOSS)	8.902	6.325

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013
Net Profit Margin (PAT/Sales)	(%)	1.43	0.96
Return on Investment (ROI) (PBT/Networth)		0.21	0.18
Debt Equity Ratio (Total Debt /Networth)		2.55	4.45
Current Ratio (Current Asset/Current Liability)		2.20	3.08

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	34.896	42.920
Reserves & Surplus	0.000	0.000
Net worth	34.896	42.920
Secured Borrowing	15.111	0.000
Unsecured Borrowing	140.133	109.613
Total borrowings	155.244	109.613
Debt/Equity ratio	4.449	2.554

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Sales	657.151	621.906
		(5.363)

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Sales	657.151	621.906
Profit	6.325	8.902
	0.96%	1.43%

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	Yes
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 two 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	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
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	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
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

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.63.65
UK Pound	1	Rs.99.14
Euro	1	Rs.77.60

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	RAS
Report Prepared by :	ART

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
-- PROFITABILITY	1~10	6
--LIQUIDITY	1~10	5
--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	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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.