MIRA INFORM REPORT

Report Date :

31.12.2014

IDENTIFICATION DETAILS

Name :	KARMA PROCESSORS PRIVATE LIMITED
Registered Office :	WZL/ 53, Saraswati Garden, New Delhi - 110015
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	08.07.1997
Com. Reg. No.:	55-028562
Capital Investment / Paid-up Capital :	Rs.10.000 Millions
CIN No.: [Company Identification No.]	U74899DL1987PTC028562
TIN No.:	06411206846
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	DELK06457D / DELK05651C
PAN No.: [Permanent Account No.]	AAACK0841J
Legal Form :	Private Limited Liability Company
Line of Business :	Processor of High Quality Export Fabrics.
No. of Employees :	Information denied by management

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Profit margin of the company is low. However, general financial position of the company is normal and acceptable for business dealing. Trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered normal 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 DENIED BY

Name :	Mr. Rakesh Dhawan
Designation :	Director
Contact No.:	91-129-4043330
Date :	30.12.2014

LOCATIONS

Registered Office :	WZL/ 53, Saraswati Garden, New Delhi - 110015
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	karmaprocessors@rediffmail.com karma@karmatex.in
Website :	http://www.karmatex.in
Factory :	14/6 Main Mathura Road, Faridabad, Haryana, India
Tel. No.:	91-129-4043329 / 4043330 (4 Lines)
Fax No.:	91-129-4043331

DIRECTORS

As on 30.09.2014

Name :

Mr. Rakesh Dhawan

Designation :

Director

Address :

1373, Sector 14, Faridabad - 121003, Haryana, India

Date of Birth/Age :

26.08.1961

Date of Appointment :

08.07.1987

DIN No.:

00731701

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	U74899DL1987PTC028562	KARMA PROCESSORS PRIVATE LTD	Director	08/07/1987	08/07/1987	-	Active	NO
2	U74899DL1994PTC063370	KARMA TEX-PRINTS PRIVATE LIMITED	Director	09/12/1994	09/12/1994	-	Active	NO
3	U74899DL1996PLC080079	ANANYA FINCAP LIMITED	Director	07/05/2003	07/05/2003	-	Active	NO
4	U74899DL1987PTC028976	CITI PRINTERS PRIVATE LIMITED	Director	03/06/2007	03/06/2007	-	Active	NO
5	U74999DL2007PTC159669	GAJANAN HOME DECOR  PRIVATE LIMITED	Director	02/08/2007	02/08/2007	-	Active	NO

Name :

Mr. Rajesh Dhawan

Designation :

Director

Address :

1373, Sector 14, Faridabad-121003, Haryana, India

Date of Birth/Age :

17.08-1964

Date of Appointment :

22.08.1994

DIN No.:

01000993

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	U74899DL1987PTC028562	KARMA PROCESSORS PRIVATE LTD	Director	22/08/1994	22/08/1994	-	Active	NO
2	U74899DL1994PTC063370	KARMA TEX-PRINTS PRIVATE LIMITED	Director	09/12/1994	09/12/1994	-	Active	NO
3	U74899DL1996PLC080079	ANANYA FINCAP LIMITED	Director	07/05/2003	07/05/2003	-	Active	NO
4	U74999DL2007PTC159669	GAJANAN HOME DECOR  PRIVATE LIMITED	Director	02/08/2007	02/08/2007	-	Active	NO

MAJOR SHAREHOLDERS

As on 30.09.2014

Names of Shareholders	No. of Shares
Rakesh Dhawan	2265
Rajesh Dhawan	1158
Rashmi Dhawan	43
Nalini Dhawan	1118
Kasturi Dhawan	9
Karma Tex Prints Private Limited, India	5407
Total	10000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2014

Category	Percentage
Bodies corporate	54.00
Directors or relatives of Directors	46.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Processor of High Quality Export Fabrics.
Products :	High Quality Export Fabrics
Brand Names :	--
Agencies Held :	--
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Not Divulged
Purchasing :	Not Divulged

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :	A J Dye Chem Aggrawal Building Material Ambika Good Carriers A S Enterprises Ashoka Sales Asia Technologies Garg Tape House J R Associates M R Enterprises Mangle Chemicals Krishna Divine Vijay Industrial Traders
Customers :	Supreme Impex Exs Fashion House Krishna Enterprises Monica Garments Preet Appeals Neha Tex Fab Sol Collection N S Enterprises Shiva International Omega Design
No. of Employees :	Information denied by management
Bankers :	Indian Overseas Bank, Nit Faridabad, Faridabad, Haryana, India
Facilities :	--

Banking Relations :	--
Auditors :
Name :	Goyal Malhotra and Associates Chartered Accountants
Address :	307, Ocean Plaza, P-5, Sector-18, Noida – 201301, Uttar Pradesh, India
Tel. No.:	91-120-2510511 / 2514317 / 4261900
Fax No.:	91-120-2514317
E-Mail :	clients@goyalmalhotra.com
PAN No.:	AAKFA1724D
Memberships :	--
Collaborators :	--
Holding Company :	Karma Tex Prints Private Limited, India

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.1000/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.1000/- each	Rs.10.000 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	10.000	10.000	10.000
(b) Reserves & Surplus	46.775	41.790	37.532
(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)	56.775	51.790	47.532
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	1.393	6.695
(b) Deferred tax liabilities (Net)	2.130	2.311	2.690
(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)	2.130	3.704	9.385
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	34.508	42.141	30.704
(c) Other current liabilities	0.000	0.359	0.000
(d) Short-term provisions	2.275	2.527	1.608
Total Current Liabilities (4)	36.783	45.027	32.312
TOTAL	95.688	100.521	89.229
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	37.640	33.150	32.494
(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	9.100	9.100	9.100
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.793	0.973	0.853
Total Non-Current Assets	47.533	43.223	42.447
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	5.302	3.554	1.823
(c) Trade receivables	33.995	44.058	27.111
(d) Cash and cash equivalents	2.977	2.250	7.895
(e) Short-term loans and advances	5.881	7.436	9.953
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	48.155	57.298	46.782
TOTAL	95.688	100.521	89.229

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Sales	670.854	857.449	NA
		Job Work	1221.372	876.442	129.978
Less	EXPENSES		NA	NA	NA
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		12.877	12.497	10.823
Less	DEPRECIATION/ AMORTISATION		5.770	6.092	5.034
	PROFIT/(LOSS) BEFORE TAX		7.107	6.405	5.789
Less	TAX		2.122	2.147	1.920
	PROFIT/(LOSS) AFTER TAX		4.985	4.258	3.869
	Earnings / (Loss) Per Share (Rs.)		498.50	425.80	386.90

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	0.74	0.50	NA
Return on Total Assets (PBT/Total Assets}	(%)	8.21	7.01	7.22
Return on Investment (ROI) (PBT/Networth)		0.13	0.12	0.12
Debt Equity Ratio (Total Debt /Networth)		0.00	0.03	0.14
Current Ratio (Current Asset/Current Liability)		1.31	1.27	1.45

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	10.000	10.000	10.000
Reserves & Surplus	37.532	41.790	46.775
Share Application money pending allotment	0.000	0.000	0.000
Net worth	47.532	51.790	56.775
Long Term borrowings	6.695	1.393	0.000
Short Term borrowings	0.000	0.000	0.000
Total borrowings	6.695	1.393	0.000
Debt/Equity ratio	0.141	0.027	0.000

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions
Sales	857.449	670.854
		(21.762)

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions
Sales	857.449	670.854
Profit	4.258	4.985
	0.50%	0.74%

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	No
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 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	Yes
18]	Major customers	Yes
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	No
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

UNSECURED LOANS:

Particulars	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
LONG TERM BORROWINGS
Loans from related Parties	0.000	1.393
Total	0.000	1.393

OPERATIONS:

The company has done job work amounting to Rs.1221.372 Millions and sales amounting to Rs.670.854 Millions during the year as compared to job work of Rs.876.442 Millions and sales Rs.857.449 Millions last year.

FUTURE PROSPECTS

The company enjoys a good reputation in the market. Its customers are mainly garment exports. The management of the company is hopeful to have more increase in sales in coming year.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90060764	28/09/1995	1,000,000.00	Indian Overseas Bank	Nit Faridabad, Faridabad, Haryana, India	-

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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.63.75
UK Pound	1	Rs.98.88
Euro	1	Rs.77.32

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	DIV
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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.