MIRA INFORM REPORT

Report Date :

02.01.2014

IDENTIFICATION DETAILS

Name :		HARBANSHRAM BHAGWANDAS AYURVEDIC SANSTHAN PRIVATE LIMITED
Registered Office :		Urdu Bazar, Gorakhpur – 273005, Uttar Pradesh
Country :		India
Financials (as on) :		31.03.2013
Date of Incorporation :		22.12.1988
Com. Reg. No.:		20-010318
Capital Investment / Paid-up Capital :		Rs.4.839 Millions
CIN No.: [Company Identification No.]		U85110UP1988PTC010318
Legal Form :		Private Limited Liability Company
Line of Business :		Subject engaged in Manufacturing and Trading of all kind of medicated oil
No. of Employees :	150 (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 289020
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. Profitability of the company appears to be decent. General financial position of the company seems to be sound and healthy. Trade relations are reported as fair. Business is active. Payments are usually correct. The company can be considered for business dealings at usual trade terms an 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, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
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

India’s current account deficit narrowed in the quarter ended September as government measures to curb imports, especially gold, kicked in.  The current account deficit, the excess of a country’s imports of goods and services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year ago period, according to provisional Reserve Bank of India data. Finance Minister P. Chidambaram said the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and the latest data suggests the government may achieve the target.

India was ranked 94^th among the world’s most corrupt nations list. Denmark and New Zealand topped as the cleanest while Somalia emerged as the most corrupt.

India’s services sector activity witnessed a moderate improvement in November over the previous month, even while indicating the fifth successive monthly contraction, according the HSBC survey.

$53 million estimated losses suffered by India due to phishing attacks during the third quarter, according to a study by RSA. India ranks fourth in the list of nations hit by phishing attacks. The US remained at the top of the charts. Phishing is the process of acquiring information such as user names, passwords and credit card details by sending e-mails disguised as official mails.

Rs.4080 million worth of mobile-phone-based transactions by July 2013 compared to Rs.260 million in September, 2012, according to Deloitte report. The number of transactions has shot up from 94000 to 701000.

India aims to earn Rs.400000 million from the bandwidth auction set for January. The merger and acquisition guidelines, cleared by a group of ministers, will be out before the auction begins so that players can make informed decisions on the auctions.

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 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Rohan Chaudhary
Designation :	Key Executive Officer
Contact No.:	91-9899487060
Name :	Mr. Manish
Designation :	Key Executive Officer
Date :	05.12.2013

LOCATIONS

Registered Office :	Urdu Bazar, Gorakhpur – 273005, Uttar Pradesh, India
Mobile No.:	91-9899487060 (Mr. Rohan Chaudhary)
E-Mail :	rohan.rc81@yahoo.com
Area:	4acars
Location :	Owned
Factory :	A-16, 80 Noida
Tel. No.:	91-120-4323699/ 4565592
Location :	Owned
Factory :	Khanpur East, Zafarpur, Rudhrapur, District Uddhampur Singh Nagar, Uttarakhand, India
Area:	4acars
Location :	Owned

DIRECTORS

(AS ON 28.09.2013)

Name :	Mr. Pradeep Kumar Chaudhary
Designation :	Chairman cum Managing Director
Address :	Harbansh Gali, Sheshpur, Urdu Bazar, Gorakhpur – 273001, Uttar Pradesh, India
Date of Birth/Age :	29.11.1957
Date of Appointment :	22.12.1988
DIN No.:	00744107
Name :	Mr. Pankaj Chaudhary
Designation :	Director
Address :	Harbansh Gali, Sheshpur, Urdu Bazar, Gorakhpur – 273001, Uttar Pradesh, India
Date of Birth/Age :	20.11.1964
Date of Appointment :	22.12.1988
DIN No.:	00744154
Name :	Mr. Bhagyashree Chaudhary
Designation :	Director
Address :	Harbansh Gali, Sheshpur, Urdu Bazar, Gorakhpur – 273001, Uttar Pradesh, India
Date of Birth/Age :	01.03.1969
Date of Appointment :	07.09.2007
DIN No.:	01563830
Name :	Mr. Ujjwal Chaudhary
Designation :	Director
Address :	Harbansh Gali, Sheshpur, Urdu Bazar, Gorakhpur – 273001, Uttar Pradesh, India
Date of Birth/Age :	27.12.1938
Date of Appointment :	22.12.1988
DIN No.:	00744212
Name :	Mr. Rahul Chaudhary
Designation :	Director
Address :	Harbansh Gali, Sheshour Urdu Bazar, Gorakhpur, Uttar Pradesh, India
Date of Birth/Age :	13.01.1983
Date of Appointment :	07.09.2007
DIN No.:	01563794
Name :	Mrs. Rajshree Chaudhary
Designation :	Director
Address :	Harbansh Gali, Sheshpur, Urdu Bazar, Gorakhpur – 273001, Uttar Pradesh, India
Date of Birth/Age :	15.08.1960
Date of Appointment :	15.07.1989
DIN No.:	01625304

KEY EXECUTIVES

Name :	Mr. Rohan Chaudhary
Designation :	Chief Executive Officer

MAJOR SHAREHOLDERS/ SHAREHOLDING PATTERN

(AS ON 28.09.2013)

Names of Shareholders (Partial details)	No. of Shares
Sadhana Chaudhary	300
Bhagwandas Harbansram	3675
Pradeep Kumar Chaudhary	9380
Pankaj Chaudhary	7800
Rup Kumar Srivastava	200
Vinod Kumar Chaudhary	200
Ujjawal Chaudhary	3300
Lallan Pandey	100
Nand Ram Singh	100
Deo Brahma Chaudhary	600
San Kumar Srivsatava	200
Raju Khan	200
Gopal Jee Arawal	200
Prakhash Anand Goel	200
Ved Prakhash Jaiswal	200
Raj Kumar	200
Jagdish Singh	200
Manish Chaudhary	900
Neetu Goel	500
Sandesha Patel	1000
Brajesh Chan Dubey	500
Malti Devi	500
Jitendra B Singh	500
Janardan Prasad	1000
Sarala Devi	500
Diwakar Prasad Patel	500
Girish C Srivastava	500
Ram Shanker Das	500
Kiran Devi	500
Sheela Devi	500
Amresh Kumar Patel	1500
Briji Bhushan Tiwari	1200
Tribuan Patel	500
Rajyashree Chaudhary	2580
Bhagyashree Chaudhary	655
Gopal Patel	500
Babloo Patel	500
Radhe Shyam Patel	500
Sandhya Patel	500
Shyam Prasad Chaudhry	5000
Total	48390

(AS ON 28.09.2013)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	59.08
Other top fifty shareholders	40.92
Total	100.00

BUSINESS DETAILS

Line of Business :	Subject engaged in Manufacturing and Trading of all kind of medicated oil
Terms :
Selling :	Cash and Credit (30-60 days)
Purchasing :	Cash and Credit (30-60 days)

GENERAL INFORMATION

Customers :

Wholesalers, Retailers and End Users

No. of Employees :

150 (Approximately)

Bankers :

· Punjab National Bank

Urdu Bazar, Gorakhpur – 273005, Uttar Pradesh, India

Tel No.:91-551-2231539 (Mr. B. K. Kansotia)

· ICICI Bank Limited

· HDFC Bank

Facilities :

Secured Loans	31.03.2013	31.03.2012
	(Rs. In Millions)
Term loans from banks:
From HDFC Bank, Noida(for Fortuner)	0.058	0.715
From HDFC Bank, Noida(for Dzir)	0.000	0.066
From PNB,GKP ( Vehicle Loan-50579)	0.321	0.434
From PNB,GKP ( Vehicle Loan-50612)	0.396	0.485
From PNB,GKP(CRE-00021)	4.940	6.881
From PNB,GKP(SME-63944)	2.609	3.341
From PNB,GKP(CRE-00012)	13.537	18.896
From PNB, GKP(SME-63935)	3.662	5.773
Loans repayable on demand from banks:
PNB Rudrapur (Temporary OD)	0.000	0.000
PNB GKP (OD)	2.301	1.502
PNB Gorakhpur(CC A/c)	19.934	23.192
Total	22.235	24.694

Banking Relations :	--
Auditors :
Name :	Ajai Shankar and Company Chartered Accountant
Address :	247, Kunti Kunj, Betia Hata, Gorakpur – 273001, Uttar Pradesh, India
PAN No.:	AAIFA8936B

CAPITAL STRUCTURE

(AS ON 29.09.2013)

Authorised Capital :

No. of Shares	Type	Value	Amount
50000	Equity Shares	Rs.100/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
48390	Equity Shares	Rs.100/- each	Rs.4.839 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	4.839	4.839	4.839
(b) Reserves & Surplus	67.416	62.170	61.020
(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)	72.255	67.009	65.859
(3) Non-Current Liabilities
(a) long-term borrowings	28.517	37.284	16.272
(b) Deferred tax liabilities (Net)	0.629	0.729	0.832
(c) Other long term liabilities	12.926	2.261	2.261
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	42.072	40.274	19.365
(4) Current Liabilities
(a) Short term borrowings	19.934	24.694	27.592
(b) Trade payables	28.000	38.159	19.660
(c) Other current liabilities	12.751	11.227	4.628
(d) Short-term provisions	1.499	0.638	1.706
Total Current Liabilities (4)	62.184	74.718	53.586
TOTAL	176.511	182.001	138.810
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	39.484	42.021	42.853
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	60.206	53.942	18.973
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	6.607	3.999	1.929
(e) Other Non-current assets	0.000	1.868	1.868
Total Non-Current Assets	106.297	101.830	65.623
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	25.132	29.773	12.943
(c) Trade receivables	42.622	42.062	51.005
(d) Cash and cash equivalents	1.057	3.851	5.377
(e) Short-term loans and advances	1.403	4.383	3.862
(f) Other current assets	0.000	0.102	0.000
Total Current Assets	70.214	80.171	73.187
TOTAL	176.511	182.001	138.810

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	103.905	75.327	92.831
		Other Income	2.784	1.537	2.814
		TOTAL (A)	106.689	76.864	95.645
Less	EXPENSES
		Cost of Goods Sold	72.697	55.431	55.477
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	2.545	(5.559)	5.063
		Employee benefit expenses	9.295	7.439	10.781
		Other expenses	8.257	10.769	11.990
		TOTAL (B)	92.794	68.080	83.311
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		13.895	8.784	12.334
Less	FINANCIAL EXPENSES (D)		4.126	4.070	2.294
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		9.769	4.714	10.040
Less/ Add	DEPRECIATION/ AMORTISATION (F)		3.224	3.540	3.758
	PROFIT BEFORE TAX (E-F) (G)		6.545	1.174	6.282
Less	TAX (H)		1.299	0.024	3.024
	PROFIT AFTER TAX (G-H) (I)		5.246	1.150	3.258
	Earnings Per Share (Rs.)		108.00	24.00	67.33

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	4.92	1.49	3.41
Net Profit Margin (PBT/Sales)	(%)	6.30	1.56	6.77
Return on Total Assets (PBT/Total Assets}	(%)	5.63	0.96	5.41
Return on Investment (ROI) (PBT/Networth)		0.09	0.02	0.10
Debt Equity Ratio (Total Liability/Networth)		0.67	0.92	0.67
Current Ratio (Current Asset/Current Liability)		1.13	1.07	1.37

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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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	No
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

NOTE:

The registered office address of the company has been shifted from B-76, Ground Floor, Sec-64, Noida 201301 Uttar Pradesh India to present address.

OPERATIONAL PERFORMANCE

The subject’s constructively plan for expansion of production capacity by establishing an independent production unit at Village Khanpur East in Udham Singh Nagar District of the state of Uttaranchal is continuing to be fruitful and the encouraging operating results are in fact wholly attributable to the effective execution and implementation of the plan. The directors assure of better operational performance

Unsecured Loans	31.03.2013	31.03.2012
	(Rs. In Millions)
Term loans from banks:
Deposits: Security Money Against Rent	0.693	0.693
Total	0.693	0.693

FIXED ASSETS:

· Land

· Building

· Office Equipment

· Telephone

· Refrigerator

· Water Cooler

· Fan

· Furniture and Fittings

· Plant and Machinery

· Sealing Machine

· Weighing Machine

· Generator

· Pump and Motors

· Air Conditioner

· Fax Machine

· Computer and Printer

· Lab Equipment

· 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 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.61.90
UK Pound	1	Rs.102.74
Euro	1	Rs.85.16

INFORMATION DETAILS

Information Gathered by :	HNA
Report Prepared by :	SDA

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
--PROFITABILIRY	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	NO
--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		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.