MIRA INFORM REPORT

 

 

Report Date :

20.01.2014

 

IDENTIFICATION DETAILS

 

Name :

DIVEKAR WALLSTABLE AND SCHNEIDER PRECISION SEALS PRIVATE LIMITED (w.e.f. 19.03.2010)

 

 

Formerly Known As :

DIVEKAR RUBBER PRODUCTS PRIVATE LIMITED

 

 

Registered Office :

Above Indravati Hall, Gokhale Road, Naupada Thane-400602, Maharashtra, India

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

16.05.1990

 

 

Com. Reg. No.:

11-056557

 

 

Capital Investment / Paid-up Capital :

Rs.31.000 Millions

 

 

CIN No.:

[Company Identification No.]

U25100MH1990PTC056557

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNED03359G

 

 

PAN No.:

[Permanent Account No.]

AAACD5920D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Gas Kit, O Ring Oil Seal, Rubber Gas Kit, Chlorine Gas Safety Kit, Toxic Gas Detection Kit etc.

 

 

No. of Employees :

Information Declined by Management.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (26)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 12000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

The management has failed to file its financial with government department for year 2013.

 

As per available financial of 2012, there appears accumulated losses recorded by the company. Profitability of the company seems to be under pressure.

 

However, trade relations are fair. Business is active. Payment terms are slow.

 

The company can be considered for business dealing with some caution.

 

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

 

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 94th 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 DENIED

 

MANAGEMENT NON CO-OPERATIVE (91-22-25423586)

 

LOCATIONS

 

Registered Office :

Above Indravati Hall, Gokhale Road, Naupada Thane-400602, Maharashtra, India

Tel. No.:

91-22-25401601/ 215402503/ 25423586

Fax No.:

91-22-25402503

E-Mail :

mecnam@hotmail.com

sdathale@vsnl.com

Website :

http://www.macnam.com

 

 

Corporate Office :

403, Lotus Plaza, Gokhale Road, Naupada Road, Thane (West), Mumbai-400602, Maharashtra, India

Tel. No.:

91-22-25442643/ 65771199

Fax No.:

91-22-25443644

 

 

Factory  :

16/2 Village Ambivali, Post Kanchad Alonde, Kanchad Road, T District Thane-421303, Maharashtra, India

Tel. No.:

91-2520-203114/ 203115

E-Mail :

info@divekar-wallstabe-scheider.in

 

 

DIRECTORS

 

AS ON 28.09.2012

 

Name :

Mr. Hari Krishna Divekar

Designation :

Managing Director

Address :

B/22, Balsundar CHS, M.G. Road, Naupada, Thane-400602, Maharashtra, India

Date of Birth/Age :

19.08.1943

Date of Appointment :

16.05.1990

DIN No.:

00469144

 

 

Name :

Mr. Chaitanya Hari Divekar

Designation :

Managing Director

Address :

B/22, Balsundar CHS, M.G. Road, Naupada, Thane-400602, Maharashtra, India

Date of Birth/Age :

04.01.1971

Date of Appointment :

19.04.2010

DIN No.:

00469309

 

 

Name :

Mr. Karl Rolf Schneider

Designation :

Nominee Director

Address :

Hubertusstrasse 8, Niederwinkling-94559

Date of Birth/Age :

28.04.1932

Date of Appointment :

04.06.2010

DIN No.:

03017059

 

 

Name :

Mr. Christian Wallstabe

Designation :

Nominee Director

Address :

Aletsberger STR 60, Deggdorf-94469

Date of Birth/Age :

04.04.1968

Date of Appointment :

04.06.2010

DIN No.:

03017074

 

 

MAJOR SHAREHOLDERS

 

AS ON 28.09.2012

 

Names of Shareholders

 

 

No. of Shares

Deshmukh Rubber Works Private Limited, Mumbai, Maharashtra, India

 

155000

Dichtungstechnik Wallstabe and Schneider GMBH and Company, KG, Germany

 

155000

 

 

 

Total

 

310000

 

Equity Share Break up (Percentage of Total Equity)

 

AS ON 28.09.2012

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

50.00

Bodies corporate

50.000

 

 

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Gas Kit, O Ring Oil Seal, Rubber Gas Kit, Chlorine Gas Safety Kit, Toxic Gas Detection Kit etc.

 

 

Products :

Product Description

ITC Code

Rubber ‘O’ Rings

401693

 

 

GENERAL INFORMATION

 

No. of Employees :

Information Declined by Management.

 

 

Bankers :

The Thane Janta Sahakari Bank (TJSB) Limited, Anant Laxmi Chambers, Naupada, Thane-400602, Maharashtra, India

 

 

Facilities :

SECURED LOANS

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Term Loan from Bank

 

 

Term Loan 1

51.353

20.055

Term Loan 2

28.952

18.459

Less: Current Maturity of Long Term Debt

10.802

3.635

Short Term Borrowings

 

 

From Bank

 

 

Cash Credit

21.306

13.683

Overdraft

22.110

0.000

 

 

 

Total

112.919

48.562

 

NOTES:
Long Term Borrowings

·         Aggregate amount of loan guaranteed by directors / others:

Term loan is secured by personal guarantee of Mr. Chaitanya H. Divekar. Mr. Hari Divekar and Corporate Guarantee of Deshmukh Rubber works Private Limited

·         Details of security, rate of interest terms of redemption, conversions and repayment.

Term Loan 1 and Term Loan 2 represents loans received from TJSB Bank in different branches which are set out as below.

-          TJSB ADHYP M 380015 – received on 13.09.2008 (Repayable in 60 equal installments)

-          TJSB ADHYP M 400016 – received on 19.07.2010 (Repayable in 84 equal installments)

-          TJSB PRLN 380013 – received on 13.09.2008 (Repayable in 72 equal installments)

-          TJSB PRLN M 400009 – received on 19.07.2010 (Repayable in 95 equal installments)

Term loan 1 and 2 carries an interest rate 11.50% (Previous year 11.50%) p.a. with monthly rests. Term loan 1 is secured by hypothecation of Ambivati property and Term loan 2 is secured by hypothecation of plant and machinery and equipment’s. (Existing and future) and personal guarantee of Mr. Chaitanya H Divekar (Managing Director). Mr. Hari Divekar (Director) and Corporate  Guarantee of Deshmukh Rubber Works Private Limited

 

Short Term Borrowings:

Loans repayable on Demand:

·         Cash credit facility from bank carries an interest rate 11.50% (Previous year 11.50%) p.a. with monthly rests cash credit facility is secured by hypothecation of stock and book debts and personal guarantee of Deshmukh Rubber Works Private Limited

·         Bank overdraft facility is secured by corporate guarantee of Dichrugstechnik Wallstabe and Schneider Gmbh and Company

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Sudit K. Parekh and Company

Chartered Accountants

Address :

Ballard House, 2nd Floor, Adi-Marzban Path, Ballard Pier, Fort, Mumbai – 400 001, Maharashtra, India

PAN No.:

AAAFS4500P

 

 

Related Parties : :

·         Deshmukh Rubber Works Private Limited

·         Dichrugstechnik Wallstabe and Schneider Gmbh and Company

 

 

 

 

 

 

CAPITAL STRUCTURE

 

AS ON 28.09.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

500000

Equity Shares

Rs.100/- each

Rs.50.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

310000

Equity Shares

Rs.100/- each

Rs.31.000 Millions

 

 

 

 

 


FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

31.000

20.000

(b) Reserves & Surplus

 

(27.775)

11.564

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

Total Shareholders’ Funds (1) + (2)

 

3.225

31.564

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

178.778

130.894

(b) Deferred tax liabilities (Net)

 

0.000

0.000

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

0.134

0.242

Total Non-current Liabilities (3)

 

178.912

131.136

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

43.416

13.683

(b) Trade payables

 

34.821

19.651

(c) Other current liabilities

 

24.755

13.610

(d) Short-term provisions

 

0.000

0.000

Total Current Liabilities (4)

 

102.992

46.944

 

 

 

 

TOTAL

 

285.129

209.644

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

187.225

70.908

(ii) Intangible Assets

 

6.085

6.859

(iii) Capital work-in-progress

 

0.000

48.383

(iv) Intangible assets under development

 

0.000

0.000

(b) Non-current Investments

 

0.021

0.021

(c) Deferred tax assets (net)

 

20.806

7.768

(d)  Long-term Loan and Advances

 

18.141

25.089

(e) Other Non-current assets

 

0.187

0.233

Total Non-Current Assets

 

232.465

159.261

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

12.918

9.594

(c) Trade receivables

 

36.014

35.620

(d) Cash and cash equivalents

 

1.662

1.815

(e) Short-term loans and advances

 

2.070

3.354

(f) Other current assets

 

0.000

0.000

Total Current Assets

 

52.664

50.383

 

 

 

 

TOTAL

 

285.129

209.644

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

5.000

2] Share Application Money

 

 

5.000

3] Reserves & Surplus

 

 

10.599

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

20.599

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

20.979

2] Unsecured Loans

 

 

4.974

TOTAL BORROWING

 

 

25.953

DEFERRED TAX LIABILITIES

 

 

0.009

 

 

 

 

TOTAL

 

 

46.561

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

0.110

Capital work-in-progress

 

 

33.774

 

 

 

 

INVESTMENT

 

 

3.220

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 
 
0.000

 

Sundry Debtors

 
 
0.000

 

Cash & Bank Balances

 
 
11.777

 

Other Current Assets

 
 
0.214

 

Loans & Advances

 
 
0.126

Total Current Assets

 
 
12.117

Less : CURRENT LIABILITIES & PROVISIONS

 
 
 

 

Sundry Creditors

 
 
0.431

 

Other Current Liabilities

 
 
0.000

 

Provisions

 
 
2.508

Total Current Liabilities

 
 
 2.939

Net Current Assets

 
 
9.178

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.279

 

 

 

 

TOTAL

 

 

46.561

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

 

 

 

 

 

Other Income

 

 

 

 

 

TOTAL                                        

124.428

71.999

11.809

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                        

154.848

88.382

0.184

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

(30.420)

(16.383)

11.625

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION        

21.956

8.524

0.014

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX 

(52.376)

(24.907)

11.611

 

 

 

 

 

Add/

Less

DEFERRED TAX INCLUDING REVERSE PROVISION FOR TAX                                      

13.038

7.777

2.519

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX

(39.338)

(17.130)

9.092

 

 

 

 

 

 

Earnings Per Share (Rs.)

(126.90)

NA

181.84

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

(31.62)

(23.79)

76.99

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(19.82)

(16.23)

94.96

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(16.24)

(0.79)

0.56

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

68.90

4.58

1.26

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.51

1.07

4.12

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITY OF LONG TERM DEBT:

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

Current maturity of long term debt

10.802

1.635

Not Available

 

 

 

 

Total

10.802

1.635

Not Available

 

 

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

No

10]

Designation of contact person

No

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

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

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

 

 

PERFORMANCE:

 

During the year, against expenditure of Rs.176.804 Millions subject earned an income of Rs.124.428 Millions, resulting in a net loss of Rs.52.376 Millions due to incurrence of startup manufacturing expenses. Directors hope that in the current year the operations of subject post capacity expansion would attain above break-even level.

 

During the year Authorized capital of subject increased from Rs.25.000 Millions to Rs.50.000 Millions. Paid up share capital of subject increased from Rs.20.000 Millions to Rs.31.000 Millions.

 

 

UNSECURED LOANS:

 

Particulars

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

ECB Loan from Dichrugstechnik Wallstabe and Schneider Gmbh and Company

97.275

90.015

Loan from N H Divekar

6.000

6.000

Loan from NTRPL

6.000

0.000

 

 

 

Total

109.275

96.015

 

 

NOTES:

Long Term Borrowings

Loans from related parties:

The company has availed an unsecured loan from:

·         Dichrugstechnik Wallstabe and Schneider Gmbh and Company (Interest rate applicable being LIBOR + 5% for term loan 1 and 55% p.a. for Term Loan 2).

·         N H Divekar, relative of the director (Interest rate applicable being 11%).

·         NTRPL Company managed by relative of the director. (Interest applicable being 10%) during the year.

 

 

 

 

 

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10297980

31/01/2011 *

44,300,000.00

THE THANE JANATA SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

B17556671

2

10259521

12/01/2011 *

21,700,000.00

THE THANE JANATA SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

B04560686

3

10240273

06/09/2013 *

30,000,000.00

TJSB SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

B86194321

4

10130574

16/10/2008

13,800,000.00

THE THANE JANATA SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

A50899343

5

10130576

26/09/2008

9,700,000.00

THE THANE JANATA SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

A50900117

6

10143105

26/09/2008

13,800,000.00

THE THANE JANATA SAHAKARI BANK LIMITED

ANANT LAXMI CHAMBERS,NAUPADA, THANE - 400602, MAHARASHTRA, INDIA

A50899731

 

* Date of charge modification

 

 

FIXED ASSETS:

 

·         Building

·         Plant and Machinery

·         Furniture and Fixture

·         Computers

·         Vehicle

·         Land

·         Leasehold Improvements

·         Software

 


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 records 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 records 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.61.35

UK Pound

1

Rs.100.21

Euro

1

Rs.83.52

 

 

INFORMATION DETAILS

 

Information Gathered by :

HTL

 

 

Report Prepared by :

NKT

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

1

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

2

--CREDIT LINES

1~10

3

--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

 

26

 

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.