MIRA INFORM REPORT

 

 

Report Date :

04.01.2014

 

IDENTIFICATION DETAILS

 

Name :

RELIANCE HOME FINANCE LIMITED

 

 

Formerly Known As :

RELIANCE HOME FINANCE PRIVATE LIMITED (w.e.f. 26.03.2009)

RELIANCE HOMES FINANCE PRIVATE LIMITED

 

 

Registered Office :

570, Rectifier House, 3rd Floor, Naigaum Cross Road, Wadala, Mumbai – 400031, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

05.06.2008

 

 

Com. Reg. No.:

11-183216

 

 

Capital Investment / Paid-up Capital :

Rs. 658.200 Millions

 

 

CIN No.:

[Company Identification No.]

U67190MH2008PLC183216

 

 

PAN No.:

[Permanent Account No.]

AAECR0305E

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

The Company is Principally Engaged in Housing Finance Business. 

 

 

No. of Employees :

Information Denied by Management.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (65)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 16000000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a part of “Reliance Group”. It is a well-established company having fine track record.

 

Financial position of the company appears to be sound. The company gets good financial and managerial support from its holding companies.

 

Directors are reported to be experienced and respectable businessmen.

 

Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments.

 

In view of strong holding, the company can be considered good for normal 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.

 

INDIAN ECONOMIC OVERVIEW

 

Uptick in agriculture and construction spread some cheer as the economy grew a higher-than-expected 4.8 % in the three months through September. Manufacturing rose an annual rate per cent during the quarter and mining fell by 0.4 %, government data showed while farm output rose 46%.

 

India has emerged as the most attractive investment destination, thanks to a relaxation in foreign direct investment norms, says a report. India is followed by Brazil and China in the ranking part of EY’s Capital Confidence Barometer report based on a survey across 70 nations. The US, France and Japan have emerged as the top three investors likely to invest in India.

 

India has been ranked 83rd globally in terms of talent competitiveness of its human capital.  Switzerland, Singapore, Denmark, Sweden and Luxembourg are the top five in the list of 103 nations compiled by INSEAD business school.

 

Tax rates for companies in India are among the highest in the world and the number of payments is also more than the global average putting the country at low, 158th rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the time taken for tax payments is relatively less in India which is rated ahead of China and Japan.

 

1 billion smartphone shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost computing in emerging markets. By 2017, total smartphone shipments are expected to approach 1.7 billion units, resulting in a compound annual growth rate of 18.4 % between 2013 and 2017, according to research from IDC.

 

20 % vacancy rate of office space in Mumbai and Delhi in the third quarter, the highest in Asia after Chengdu, in China. According to Cushman and Wakefield, six Indian cities are among the 10 office markets with the worst vacancies.

 

Foreign banks will not have to pay stamp duty and capital gains tax, if they convert their branch operations into a wholly owned subsidiary, according to the Reserve Bank of India.

 

The Reserve Bank of India is planning to launch CPI – indexed bonds aimed to protecting the savings of retail investors from the impact the price rise by December end.

 

Central Bureau of Investigation has booked State Bank of India, Deputy Managing Director Shyamal Acharya and others in a graft case related to distribution of a loan of over Rs 4000 mn. Gold and jewellery worth Rs 6.7 mn have been recovered from the residence of Acharya.

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

PTC Series A: “AAA (SO)”

Rating Explanation

Highest degree of safety carry lowest credit risk.

 

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 DENIED BY

 

Name :

Ms. Neena Parelkar

Designation :

Company Secretary

Contact No.:

91-22-30479531 / 30479450

Date :

03.01.2013

 

 

LOCATIONS

 

Registered Office :

570, Rectifier House, 3rd Floor, Naigaum Cross Road, Wadala, Mumbai – 400031, Maharashtra, India

Tel. No.:

91-22-30479531 / 30479450

Fax No.:

91-22-30479450

E-Mail :

neena.parelkar@rcap.co.in

Website :

http://www.reliancehomefinance.com

 

 

DIRECTORS

 

As on: 20.07.2013

 

Name :

Mr. Padmanabh Pundrikray Vora

Designation :

Director

Address :

Flat No. 503 – 504, 5th Floor, A Wing, Mount Everest Tower, Bhakti Park, Wadala – East, Mumbai – 400037, aharashtra, India

Date of Birth/Age :

01.10.1943

Date of Appointment :

01.07.2008

DIN No.:

00003192

 

 

Name :

Mr. Gautam Bhailal Doshi

Designation :

Director

Address :

402, Hamilton Court Tagore Road, Santacruz – West, Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

23.12.1952

Date of Appointment :

01.07.2008

DIN No.:

00004612

 

 

Name :

Mr. Soumen Ghosh

Designation :

Director

Address :

1501, Lodha Aria 6/207 Tokersey Jivraj, Road, Sewree, Mumbai – 400015, Maharashtra, India

Date of Birth/Age :

08.06.1959

Date of Appointment :

01.07.2008

DIN No.:

01262099

 

 

Name :

Mr. Srinivasan Venkateswaran Krishnan

Designation :

Additional director

Address :

Flat no.1601, B Wing, 16 Floor, Dosti Elite Metal Rolling Compound, Near sion Tele Exchange, Sion East, Mumbai – 400022, Maharashtra, India

Date of Birth/Age :

31.01.1965

Date of Appointment :

28.04.2012

DIN No.:

01827316

 

 

KEY EXECUTIVES

 

Name :

Mr. Suresh Kumar Kunnath

Designation :

Manager

Address :

Raheja Heights C Wing Flat No. 83, Nagar Niwaea Parishad, Goregaon – East, Mumbai – 400097, Maharashtra, India

Date of Birth/Age :

16.05.1968

PAN No :

ALOPS5878D

Date of Appointment :

28.04.2012

 

 

Name :

Mr. Neena Ulhas Parelkar

Designation :

Secretary

Address :

B/202, Raj Anand D D Borge Lane, Eksar Road, Borivali – West, Mumbai – 400091, Maharashtra, India

PAN No :

AKUPP4102G

Date of Appointment :

01.05.2012

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 20.07.2013

 

Names of Shareholders

 

No. of Shares

Chetan Raval jointly with Reliance capital limited

 

2

Yogesh deshpande jointly with reliance capital limited

 

2

Atul Tandon jointly with reliance capital limited

 

2

Parul Jain jointly with reliance capital limited

 

2

Kanam Cheittar jointly with reliance capital limited

 

2

Madan Chaturvedi jointly with reliance capital limited

 

10

Reliance capital Limited

 

65819980

 

 

 

Total

 

65820000

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 20.07.2013

 

Category

 

Percentage

 

 

 

Bodies corporate

 

100.00

 

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

The Company is Principally Engaged in Housing Finance Business. 

 

 

Products :

ITC Code

Products or Services

99711310

Residential mortgage loan services

 

 

GENERAL INFORMATION

 

No. of Employees :

Information Denied by Management

 

 

Bankers :

·         United Bank of India, Corporate Finance Branch, 25, Sir P. M. Road, 2nd Floor, Fort, Mumbai - 400001, Maharashtra, India

·         Axis Bank Limited, Atlanta, 209, Nariman Point, Mumbai - 400021, Maharashtra, India

·         Indusind Bank Limited, 2401 Gen Thimmayya Road,  Contonment, Pune - 411001, Maharashtra, India,

·         Yes Bank Limited, 9th Floor, Nehru Centre, Discovery of India, Dr. Annie Besant Road, Worli,, Mumbai - 400018, Maharashtra, India

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2013

As on

31.03.2012

Long term borrowings

 

 

Non-convertible debentures others

860.000

0.000

Term loans from banks

17112.091

18424.089

 

 

 

Total

17972.091

18424.089

 

 

 

Banking Relations :

--

 

 

Finance Institutions:

IDBI Trusteeship Services Limited, Asian Bldg., Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai - 400001, Maharashtra, India

 

 

Auditors :

 

Name :

Chaturvedi and Shah

Chartered Accountants

Address :

714-715, Tulsiani Chambers, 212, Nariman Point, Mumbai – 400021, Maharashtra, India

PAN No.:

AAAFC0662N

 

 

Ultimate Holding Company : (31.03.2011)

Reliance Innoventures Private Limited  

 

 

 

Holding company : (31.03.2011)

Reliance Capital Limited

 

 

Fellow Subsidiary : (31.03.2011)

Reliance General Insurance Company

 

 

CAPITAL STRUCTURE

 

As on: 20.07.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

75000000

Equity Shares

Rs.10/- each

Rs. 750.000 Millions

50000000

Preference Shares

Rs. 10/- each

Rs. 500.000 Millions

 

Total

 

Rs. 1250.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

65820000

Equity Shares

Rs.10/- each

Rs. 658.200 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

658.200

329.100

326.600

(b) Reserves & Surplus

3550.906

3608.499

3096.466

(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)

4209.106

3937.599

3423.066

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

19152.091

18424.089

16810.000

(b) Deferred tax liabilities (Net)

49.050

38.000

34.525

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

129.275

99.706

27.130

Total Non-current Liabilities (3)

19330.416

18561.795

16871.655

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

244.168

443.125

2701.620

(b) Trade payables

0.000

0.000

0.204

(c) Other current liabilities

5737.132

2772.769

2634.869

(d) Short-term provisions

14.185

4.237

2.177

Total Current Liabilities (4)

5995.485

3220.131

5338.870

 

 

 

 

TOTAL

29535.007

25719.525

25633.591

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

0.656

0.655

0.015

(ii) Intangible Assets

1.797

3.378

4.960

(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

137.571

137.571

137.571

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d) Long-term Loan and Advances

24826.464

22806.447

23355.715

(e) Other Non-current assets

956.671

785.473

421.564

Total Non-Current Assets

25923.159

23733.524

23919.825

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

250.000

0.000

(b) Inventories

0.000

0.000

0.000

(c) Trade receivables

0.000

3.326

6.577

(d) Cash and cash equivalents

709.417

495.499

86.992

(e) Short-term loans and advances

2666.678

1013.935

1437.993

(f) Other current assets

235.753

223.241

182.204

Total Current Assets

3611.848

1986.001

1713.766

 

 

 

 

TOTAL

29535.007

25719.525

25633.591

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

3555.944

3391.368

3228.562

 

 

Other Income

55.485

0.182

9.036

 

 

TOTAL                                     (A)

3611.429

3391.550

3237.598

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Employee benefit expense

275.027

256.657

278.476

 

 

Other expenses

372.303

411.430

431.741

 

 

TOTAL                                     (B)

647.330

668.087

710.217

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

2964.099

2723.463

2527.381

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

2542.231

2325.249

1903.800

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

421.868

398.214

623.581

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

1.631

1.606

1.586

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

420.237

396.608

621.995

 

 

 

 

 

Less

TAX                                                                  (H)

145.410

132.075

209.913

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

274.827

264.533

412.082

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

581.715

370.082

40.400

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

54.900

52.900

82.400

 

BALANCE CARRIED TO THE B/S

801.642

581.715

370.082

 

 

 

 

 

 

Earnings Per Share (Rs.)

4.26

4.20

13.67

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

7.61

7.80

12.72

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

11.81

11.70

19.27

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

1.42

1.56

2.43

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.10

0.10

0.18

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

4.61

4.79

5.70

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.60

0.61

0.32

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT DETAILS

 

Particulars

31.03.2013

31.03.2012

31.03.2011

 

 

 

 

Current maturities of long-term debt

4312.400

2125.000

1190.000

 

 

 

 

 

 

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 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

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

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

Yes

 

UNSECURED LOAN

(Rs. In Millions)

Particulars

As on

31.03.2013

As on

31.03.2012

Long term borrowings

 

 

Non-convertible debentures others

1180.000

0.000

Commercial paper

244.168

443.125

 

 

 

Total

1424.168

443.125

 

FINANCIAL PERFORMANCE AND REVIEW OF BUSINESS:

 

The Company’s gross income for the financial year ended March 31, 2013 increased to Rs.3611.400 millions from Rs. 3391.600 millions in the previous year, recording a growth of 6.48 per cent. As compared to the previous year, the cost of funds of the company increased by 9.33%. The gross profit amounted to Rs. 420.200 millions registering an increase of 5.96% against the previous year. Depreciation remained steady at Rs. 1.600 millions. The provision for taxation during the year was Rs. 145.400 millions. The net profit for the year was Rs.274.800 millions. During the year, an interim dividend of Rs. 3.300 millions (inclusive of dividend distribution tax) was paid to the preference shareholders in respect of dividend accumulated on these preference shares @8% for F.Y. 2009-2010 and 2010-2011. An amount of Rs. 54.900 millions was transferred to the Special Reserve Fund pursuant to section 29-C of the National Housing Bank Act, 1987, during the year.

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10456381

30/09/2013

2,500,000,000.00

UNITED BANK OF INDIA

CORPORATE FINANCE BRANCH, 25, SIR P. M. ROAD, 2ND FLOOR, FORT, MUMBAI, MAHARASHTRA - 400001, INDIA

B88054127

2

10416253

29/03/2013

2,000,000,000.00

BANK OF MAHARASHTRA

INDUSTRIAL FINANCE BRANCH, APPEJAY HOUSE, 130, DR. V B GANDHI MARG, FORT, MUMBAI, MAHARASHTRA - 400001, INDIA

B72143746

3

10402608

31/01/2013

3,500,000,000.00

IDBI TRUSTEESHIP SERVICES LIMITED

ASIAN BLDG., GROUND FLOOR, 17, R. KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA

B67823724

4

10384865

28/09/2012

1,000,000,000.00

STATE BANK OF PATIALA

ATLANTA, FIRST FLOOR, NARIMAN POINT,, MUMBAI, MAHARASHTRA - 400021, INDIA

B61519856

5

10354116

27/12/2011

1,000,000,000.00

UCO BANK

FLAGSHIP CORPORATE BRANCH, UCO BANK BUILDING, DR. 
D. N. ROAD, FORT, MUMBAI, MAHARASHTRA - 400001, 
INDIA

B33576422

6

10322962

05/12/2011

2,000,000,000.00

ANDHRA BANK

5-9-11, DR. PATTABHI BHAVAN, SAIFABAD, HYDERABAD, ANDHRA PRADESH - 500004, INDIA

B27799808

7

10305842

17/08/2011

1,000,000,000.00

ANDHRA BANK

5-9-11, DR. PATTABHI BHAVAN, SAIFABAD, HYDERABAD, ANDHRA PRADESH - 500004, INDIA

B20340949

8

10238822

16/08/2010

1,500,000,000.00

PUNJAB AND SIND BANK

21, RAJINDRA PLACE, NEW DELHI, DELHI, DELHI - 110 
008, INDIA

A94059342

9

10232614

27/08/2013 *

1,000,000,000.00

AXIS BANK LIMITED

ATLANTA, 209, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA

B84534775

10

10234467

08/07/2010

2,000,000,000.00

AXIS BANK LIMITED

ATLANTA, 209, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA

A91732560

11

10231322

19/12/2012 *

600,000,000.00

INDUSIND BANK LIMITED

2401 GEN THIMMAYYA ROAD, CONTONMENT, PUNE, MAHARA 
SHTRA - 411001, INDIA

B65459497

12

10212886

22/03/2010

2,500,000,000.00

CANARA BANK

PRIME CORPORATE BRANCH - II, VARMA CHAMBERS, 2ND 
FLOOR, HOMJI STREET, FORT, MUMBAI, MAHARASHTRA - 
400001, INDIA

A83401562

13

10208429

03/03/2010

1,500,000,000.00

SYNDICATE BANK

POST BOX NO 1, MANIPAL, KARNATAKA - 576104, INDIA

A81582843

14

10207048

25/02/2010

1,500,000,000.00

PUNJAB AND SIND BANK

21, RAJINDRA PLACE, NEW DELHI, DELHI, DELHI - 110 
008, INDIA

A81303430

15

10193478

17/12/2009

750,000,000.00

PUNJAB AND SIND BANK

21, RAJINDRA PLACE, NEW DELHI, DELHI, DELHI - 110 
008, INDIA

A76192020

16

10180200

29/09/2009

2,500,000,000.00

IDBI BANK LIMITED

224-A, MITTAL COURT, A-WING, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA

A70861273

17

10181572

29/12/2012 *

1,000,000,000.00

BANK OF INDIA

NEW DELHI CORPORATE BANKING BRANCH, 37, SHAHEED BHAGAT SINGH MARG, NEW DELHI, DELHI - 110001, INDIA

B65910671

18

10178564

31/08/2009

1,000,000,000.00

SYNDICATE BANK

POST BOX NO 1, MANIPAL, KARNATAKA - 576104, INDIA

A70024880

 

*Date of charge modification

 

FIXED ASSETS

 

·         Land and Buildings

·         Office equipment

·         Computer equipments

·         Other equipments

 


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. 62.41

UK Pound

1

Rs. 102.53

Euro

1

Rs. 85.20

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

DPH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

7

OPERATING SCALE

1~10

8

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

7

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

7

--RESERVES

1~10

7

--CREDIT LINES

1~10

7

--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

 

65

 

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.