MIRA INFORM REPORT

 

 

Report Date :

17.02.2014

 

IDENTIFICATION DETAILS

 

Name :

NAVSHANTI (HK) LTD.

 

 

Registered Office :

Room A, 4/F., Hart House, 12-14 Hart Avenue, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

20.12.1999

 

 

Com. Reg. No.:

30596421

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer, Exporter and Wholesaler of Canned foodstuffs, fruit products, all kinds of slippers and toiletries, electric appliances, electronic products, jewellery

 

 

No. of Employees :

6

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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 levies excise duties on only four commodities, namely: 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, it again faces a possible slowdown as exports to the Euro zone and US slump. 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 9.1% of total system deposits in Hong Kong by the end of 2012, an increase of 59% from the previous year. 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 exports 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. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly and inflation to rise 4.1% in 2012. 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.

 

Source : CIA

 


company name

 

NAVSHANTI (HK) LTD.

 

 

ADDRESS

 

Room A, 4/F., Hart House, 12-14 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

 

PHONE:            852-2366 5986, 2366 5383

 

FAX:                 852-2367 7957

 

E-MAIL:                        navshanti@biznetvigator.com

                        nav1@hkstar.com

 

 

MANAGEMENT

 

Managing Director:         Mr. Chandresh Naval Rai Mirpuri

 

 

SUMMARY

 

Incorporated on:             20th December, 1999.

 

Organization:                 Private Limited Company.

 

Capital:             Nominal:           HK$1,000,000.00

Issued:                          HK$1,000,000.00

 

Business Category:        Importer, Exporter and Wholesaler.

 

Annual Turnover:            HK$60~80 million.

 

Employees:                   6.

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


Company name

 

NAVSHANTI (HK) LTD.

 

 

ADDRESS

 

Registered Head Office:-

Room A, 4/F., Hart House, 12-14 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.

 

Mailing Address:-

P.O. Box 98473, Tsim Sha Tsui Post Office, Kowloon, Hong Kong.

 

Business Name:  Sino Chan Enterprises, Hong Kong.  (Same address)

 

Associated Companies:-

Navshanti (Far East) Ltd., Hong Kong.  [Dissolved]

Navshanti (Ghana) Ltd., West Africa.

Navshanti Trading Co., UAE.

 

 

BUSINESS REGISTRATION NUMBER

 

30596421

 

 

COMPANY FILE NUMBER 

 

0698524

 

 

MANAGEMENT

 

Managing Director:         Mr. Chandresh Naval Rai Mirpuri

Contact Person:             Mr. Kumar Sukhwani

 

 

CAPITAL

 

Nominal Share Capital:   HK$1,000,000.00 (Divided into 1,000,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$1,000,000.00

 

 

SHAREHOLDERS

 

(As per registry dated 20-12-2012)

Name

 

No. of shares

Chandresh Naval Rai MIRPURI

 

400,000

Sanjay Chandresh MIRPURI

 

300,000

Romesh Chandresh MIRPURI

 

300,000

 

 

––––––––

 

Total:

1,000,000

=======

 

 

DIRECTORS  

 

(As per registry dated 01-05-2013)

Name

(Nationality)

 

Address

Chandresh Naval Rai MIRPURI

Room 126A, 11/F., Mandarin Court #5,
126-128 Argyle Street, Kowloon, Hong Kong.

 

Romesh Chandresh MIRPURI

11/F., Celestial Heights, Phase 2, 80 Sheung Shing Street, KIL 11124, Ho Man Tin, Kowloon, Hong Kong.

 

Sanjay Chandresh MIRPURI

Room 126A, 11/F., Mandarin Court #5,
126-128 Argyle Street, Kowloon, Hong Kong.

 

 

SECRETARY 

 

Chandresh Naval Rai MIRPURI  (As per registry dated 20-12-2012)

 

 

HISTORY

 

The subject was incorporated on 20th December, 1999 as a private limited liability company under the Hong Kong Companies Ordinance.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Importer, Exporter and Wholesaler.

 

Lines:                           Canned foodstuffs, fruit products, all kinds of slippers and toiletries, electric appliances, electronic products, jewellery.

 

Employees:                   6.

 

Commodities Imported:China, other Asian countries, etc.

 

Markets:                       Africa, India, other Asian countries, Middle East, South America, etc.

 

Annual Turnover:            HK$60~80 million.

 

Terms/Sales:                 L/C, T/T, etc.

 

Terms/Buying:  L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$1,000,000.00 (Divided into 1,000,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$1,000,000.00

 

Mortgage or Charge:-

Date of Assignment of Life Insurance:  03-10-2011

Amount:            Secured Monies

Property:           Property Charged: (i) all the Assignor’s claims, options, privileges, right, title, interest and benefit in and under the Insurance; and (ii) all the Assignor’s claims and rights against the issuer of the Policy (No. 28004336-50) upon the terms

Mortgagee:        The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Profit or Loss:                Making a small profit every year.

 

Condition:                      Keeping in a rather active condition.

 

Facilities:                      Making 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:                      Normal.

 

 

 

GENERAL

 

Having issued 1 million ordinary shares of HK$1.00 each, Navshanti (HK) Ltd. is jointly owned by Mr. Chandresh Naval Rai Mirpuri, holding 40% interests; Mr. Sanjay Chandresh Mirpuri, holding 30%; and Mr. Romesh Chandresh Mirpuri, also 30%.  The Mirpuris are also directors of the subject.  They are Hong Kong ID holders and have got the right to reside in Hong Kong permanently.

The subject’s business name is Sino Chan Enterprises.  The business name can be regarded as a subsidiary of the subject which is located at the same address.  Currently they are residing in Kowloon, Hong Kong at the same address while the staff quarters were provided by the subject.

The subject is trading in the following commodities:-

Radios, cassette players, electric fans, electronic products such as laptops, digital cameras, etc., heaters, irons, kettles, cookers, blenders, cookware, tools, batteries, footwear, canned foodstuffs, fruit products, slippers, toiletries, hardware, beverages, luggage, enamelware, hardware, bulbs, lighting products, stationery, meat mincer, sundry products, detergent, jewellery, jewellery parts, cosmetics, etc.

In recent years, the subject has been trying to expand its product lines and seeking for more suppliers.  Commodities are sourced from China, other Asian countries or acquired from local suppliers.  Prime markets are Africa, Asian countries, the Middle East, South America, etc.  Its prime markets are Ghana, Togo, Nigeria, Benin, Cote D’ivoire, Guinea, Congo, Sudan, Zaire, Angola, Malawi, Kenya, Mozambique, Tanzania, Morocco, etc.

The subject has had associated companies in Ghana and the United Arab Emirates.

The contact person of the subject Mr. Kumar Sukhwani is also an Indian.

The annual sales turnover of the subject ranges from HK$60 to 80 million.  Business is rather active.  Making a small profit every year.

The subject usually takes part in Canton Commodities Exchange Fair which is held in Guangzhou City, Guangdong Province, China biannually.

The subject had an affiliated company Navshanti (Far East) Ltd. located at its operating address.  Incorporated on 14th March, 1989, Navshanti (Far East) Ltd. was dissolved by winding up voluntarily in 2001.

The subject is a family business of the Mirpuris.

As the history of the subject in Hong Kong is about fourteen years, on the whole, consider it good for normal business engagements.


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.62.27

UK Pound

1

Rs.103.66

Euro

1

Rs.85.17

 

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%)

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.