MIRA INFORM REPORT

Report Date :

15.07.2014

IDENTIFICATION DETAILS

Name :	ARFIN INDIA LIMITED
Registered Office :	B-302, 3^rd Floor, Pelican House, Near Natraj Cinema, Gujarat Chamber of Commerce Building, Ashram Road, Ahmedabad – 380009, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.04.1992
Com. Reg. No.:	04-017460
Capital Investment / Paid-up Capital :	Rs. 18.677 Millions
CIN No.: [Company Identification No.]	L65990GJ1992PLC017460
TAN No.: [Tax Deduction & Collection Account No.]	AHMA05982E
PAN No.: [Permanent Account No.]	AAECA1211A
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturer of Aluminium Tubes, Ferro Alloy Product, Aluminium Wire Rod, Flipped Coil Aluminium Wire Rod, Aluminium Wire Rods etc.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (28)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 243000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Exits
Comments :	Subject is an established company having a moderate track record. Profitability of the company seems to be low during 2013. However, trade relations are reported as fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings 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.

ECGC Country Risk Classification List – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

N E W S

The economy grew 4.7 %in 2013/14, marking a second straight year of sub-5 % growth – the worst slowdown in more than a quarter of a century. The data was below an official estimate of 4.9 % annual growth and compared with 4.5 % in the last fiscal year. However, the current account deficit narrowed sharply to $ 32.4 billion at 1.7 % of gross domestic product, in 2013/14 from a record high of $ 98.8 billion or 4.7 %, the year before.A sharp fall in gold imports due to restrictions on overseas purchases and muted import of capital goods helped shrink the current account deficit.

Online retailer Flipkart has acquired fashion portal Myntra as it prepares to battle with the rapidly expanding India arm of the global e-commerce giant Amazon. The company raised $ 210 million from Russian Investment firm DST Global which has also invested in companies like Facebook, Twitter and Alibaba Group.

General Motors will start exporting vehicles from its Talegaon plant near Pune in the second half of 2014. GM was one of the few global carmakers that was using its India plant only for the domestic market.

Google has overtaken Apple as the world’s top brand in terms of value, according to global market research agency Millward Brown. Google’s brand value shot up 40 % in a year to $ 158.84 billion. The top 10 of the 100 slots were dominated by US companies.

Infosys lost another heavy weight when B G Srinivas, a board member put in his papers. He is the third CEO-hopeful to quit after Chairman N R Narayana Murthy’s return to the company – Ashok Vemuri and V Balakrishnan being the other two.While Vemuri went on to lead IGate, Balakrishnan joined politics.

Naresh Goyal – promoted Jet Airways posted biggest quarterly loss – Rs 2153.37 crore – in the three months ended March 31, mainly because it has been offering discounts to passengers to fill planes.

William S Pinckney – Chairman and CEO of Amway India was arrested by the Andhra Pradesh Police in connection with a complaint against the direct selling firm. This is the second time that he has been taken into custody. A year, ago the Kerala Police had arrested Pinckney and two company directors on charges of financial irregularities.

China has told its state-owned enterprises to sever links with American consulting firms after the United States charged five Chinese military officers wih hacking US companies. China’s action which targets consultancies like McKinsey & Co. and the Boston Consulting Group, sterns from fears that the first are providing trade secrets to the US governments.

India has emerged as a country with some of the highest unregistered businesses in the world. Indonesia has the maximum number of shadow businesses, says a study of 68 countries by Imperial College Business School in London.

Pfizer has abandoned its attempt to buy AstraZeneca for nearly $ 118 billion after the latter refused an offer of 55 pounds a share.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities BB
Rating Explanation	Moderate risk of default.
Date	31.01.2014

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 (91-79-26583791)

LOCATIONS

Registered Office :	B-302, 3^rd Floor, Pelican House, Near Natraj Cinema, Gujarat Chamber of Commerce Building, Ashram Road, Ahmedabad – 380009, Gujarat, India
Tel. No.:	91-79-26583791 / 26583792
Fax No.:	91-79-25620620 / 26583791
E-Mail :	mahendra@arfin.co.in rinkesh_1983@yahoo.co.in ashit@arfin.co.in
Website :	http://www.arfin.co.in
Location :	Owned
Factory :	118/ 1 Ravi Estate, Near Restige Hotel, Chatral, Gujarat, India
Tel. No.:	91-2764-232620
E-Mail :	jatin@arfin.co.in info@arfin.co.in
Branch Office :	A-209, Shital Shopping Centre, Gurunanak Chowk, Palanpur-385001, Banaskantha, India

DIRECTORS

As on 30.09.2013

Name :	Mr. Mahendrakumar Rikhavchand Shah
Designation :	Director
Address :	Khandwala Bunglow, Near Post Office, Dharam Nagar, Sabarmati Ahmedabad - 380 005, Gujarat, India
Date of Birth/Age :	09.03.1963
Qualification :	Graduate
Date of Appointment :	30.09.1998
DIN No.:	00182746
Name :	Ms. Pushpa Mahendra Shah
Designation :	Director
Address :	Khandwala Bunglow, Near Post Office, Dharam Nagar, Sabarmati Ahmedabad - 380 005, Gujarat, India
Date of Birth/Age :	21.06.1966
Date of Appointment :	01.04.2000
DIN No.:	00182754
Name :	Mr. Jatin Mahendrakumar Shah
Designation :	Director
Address :	Khandwala Bunglow, Near Post Office, Dharam Nagar, Sabarmati Ahmedabad - 380 005, Gujarat, India
Date of Birth/Age :	09.12.1983
Date of Appointment :	29.09.2012
DIN No.:	00182683
Name :	Mr. Shanti Lal Mehta
Designation :	Additional Director
Address :	H. No. 1010, Sector. 46-B, Chandigarh - 160047, India
Date of Birth/Age :	16.11.1945
Date of Appointment :	22.01.2013
DIN No.:	06459451

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

NOTE: MAJOR SHAREHOLDING DETAILS FILE ATTACHED

As on 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	5.45
Bodies corporate	0.08
Directors or relatives of Directors	41.40
Other top fifty shareholders	30.77
Others	22.30
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Aluminium Tubes, Ferro Alloy Product, Aluminium Wire Rod, Flipped Coil Aluminium Wire Rod, Aluminium Wire Rods etc.

Products :

Item Code No. (ITC Code)	Product Description
72029900	Ferro Metals

GENERAL INFORMATION

Customers :

¨ Essar

¨ Tata Steel

¨ Bhushan Power and steel

¨ Sail

¨ Aditya Birla

¨ Arcelor Mittal

No. of Employees :

Not Divulged

Bankers :

· State Bank of India, SME Branch Premises, Zodiac Avenue, Opposite Commissioner’s Bunglow, Law Garden, Ahmedabad-380009, Gujarat, India

· Punjab National Bank, Ambawadi Branch, Harikrupa Tower, Ellisbrigde, Ahmedabad – 380006, Gujarat, India

· Axis Bank Limited, Trishul, 3^rd Floor, Opposite Samartheshwar Temple, Law Garden Ellisbridge, Ahmedabad – 380006, Gujarat, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Loans taken for fixed assets	69.827	35.715
SHORT TERM BORROWINGS
	173.735	10.348
Total	243.562	46.063

Banking Relations :	--
Auditors :
Name :	Raman M. Jain and Company Chartered Accountants
Address :	B- 3 1 / 3 3 , Ghanshyam Avenue, Opposite, C U Shah College, Income Tax, Ahmedabad – 380014, Gujarat, India
PAN No. :	ABHPJ8145K

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3500000	Equity Shares	Rs.10/- each	Rs. 35.000 Millions

Issued Paid-up Capital :

No. of Shares	Type	Value	Amount
3018300	Equity Shares (Fully Paid up)	Rs.10/- each	Rs. 30.183 Millions
	Less : Equity Shares (Not Fully Paid up)		Rs. 11.506 Millions
	Total		Rs. 18.677 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	18.677	18.677
(b) Reserves & Surplus	42.184	11.299
(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)	60.861	29.976
(3) Non-Current Liabilities
(a) long-term borrowings	81.105	47.261
(b) Deferred tax liabilities (Net)	4.927	2.165
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	86.032	49.426
(4) Current Liabilities
(a) Short term borrowings	173.735	10.348
(b) Trade payables	210.111	58.932
(c) Other current liabilities	8.197	4.285
(d) Short-term provisions	6.094	0.187
Total Current Liabilities (4)	398.137	73.752
TOTAL	545.030	153.154
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	82.180	39.455
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	1.345	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	17.211
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	0.182	1.793
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	83.707	58.459
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	126.987	54.360
(c) Trade receivables	277.454	22.704
(d) Cash and cash equivalents	39.942	4.240
(e) Short-term loans and advances	16.940	13.391
(f) Other current assets	0.000	0.000
Total Current Assets	461.323	94.695
TOTAL	545.030	153.154

SOURCES OF FUNDS		31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		18.677
2] Share Application Money		0.000
3] Reserves & Surplus		10.126
4] (Accumulated Losses)		0.000
NETWORTH		28.803
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		9.700
TOTAL BORROWING		9.700
DEFERRED TAX LIABILITIES		1.853
TOTAL		40.356
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		21.059
Capital work-in-progress		0.000
INVESTMENT		17.211
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.196
	Sundry Debtors	0.242
	Cash & Bank Balances	0.095
	Other Current Assets	0.000
	Loans & Advances	2.016
Total Current Assets		2.549
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.154
	Other Current Liabilities	0.000
	Provisions	0.309
Total Current Liabilities		0.463
Net Current Assets		2.086
MISCELLANEOUS EXPENSES		0.000
TOTAL		40.356

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	1689.110	161.427	0.000
		Other Income	6.600	0.405	0.333
		TOTAL	1695.710	161.832	0.333
Less	EXPENSES
		Cost of Materials Consumed	1297.973	151.054
		Purchases of Stock-in-Trade	281.556	0.000
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(46.282)	(5.395)
		Employees benefits expense	6.334	1.905
		Other expenses	98.949	10.856
		TOTAL	1638.530	158.420	0.461
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		57.180	3.412	(0.128)
Less	FINANCIAL EXPENSES		10.704	1.325	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		46.476	2.087	(0.128)
Less/ Add	DEPRECIATION/ AMORTISATION		2.329	0.256	0.000
	PROFIT/ (LOSS) BEFORE TAX		44.147	1.831	(0.128)
Less	TAX		0.000	0.000	0.000
	PROFIT/ (LOSS) AFTER TAX		44.147	1.831	(0.128)
	Earnings / (Loss) Per Share (Rs.)		10.23	0.39	(0.04)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.60	1.13	(38.44)
Net Profit Margin (PBT/Sales)	(%)	2.61	1.13	0.00
Return on Total Assets (PBT/Total Assets}	(%)	8.12	1.35	(0.54)
Return on Investment (ROI) (PBT/Networth)		0.73	0.06	(0.00)
Debt Equity Ratio (Total Debt/Networth)		4.19	1.92	0.34
Current Ratio (Current Asset/Current Liability)		1.16	1.28	5.50

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	18.677	18.677
Reserves & Surplus	11.299	42.184
Net worth	29.976	60.861
long-term borrowings	47.261	81.105
Short term borrowings	10.348	173.735
Total borrowings	57.609	254.840
Debt/Equity ratio	1.922	4.187

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	0.000	161.427	1689.110
			946.362

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	0.000	161.427	1689.110
Profit	(0.128)	1.831	44.147
		1.13%	2.61%

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	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
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	Yes
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

LITIGATION DETAILS

HIGH COURT OF GUJARAT

TAX APPEAL No. 30 of 2011

Status: PENDING ( Converted from : ST/3587/2010 ) CCIN No : 001092201100030

Last Listing Date: 13/02/2012

Coram: HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA

HONOURABLE MR.JUSTICE J.B.PARDIWALA

S.NO.	Name of the Petitioner	Advocate On Record
1	COMMISSIONER OF INCOME TAX-I	MRS MAUNA M BHATT for: Appellant(s)  1

S.NO.	Name of the Respondant		Advocate On Record
1	ARFIN INDIA LTD		RULE SERVED for :Opponent(s)  1
Presented On		: 20/12/2010	Registered On	: 20/12/2010
Bench Category		: DIVISION BENCH	District	: AHMEDABAD
Case Originated From		: THROUGH ADVOCATE	Listed	: 104 times
Stage Name		: FOR REGULAR ADMISSION (SPL.)
Classification		DB - OJ - TAX APPEAL - INCOME TAX ACT, 1961 - APPEAL TO HIGH COURT - U/S 260 OF IT ACT - LONG TERM CAPITAL GAIN - U/S 54EA
Act		INCOME-TAX ACT, 1961

Office Details

S. No.	Filing Date	Document Name	Advocate Name	Court Fee on Document	Document Details
1	20/12/2010	MEMO OF APPEAL/PETITION/SUIT	MRS MAUNA M BHATT ADVOCATE for PETITIONER(s)  1	20	MRS MAUNA M BHATT:1
2	21/01/2011	CERTIFIED COPY	MRS MAUNA M BHATT ADVOCATE for PETITIONER(s)  1	6	MRS MAUNA M BHATT:1
3	15/08/2011	DOCUMENT	RULE SERVED  for RESPONDENT(s)  1	-	RULE SERVED:1

Court Proceedings

S. No.	Notified Date	CourtCode	Board Sr. No.	Stage	Action	Coram
1	05/01/2011	1	-	OFFICE OBJECTION (FILING STAGE)	NEXT DATE	· ADDITIONAL REGISTRAR ( JUDICIAL)
2	17/01/2011	1	-	OFFICE OBJECTION REMOVED	NEXT DATE	· HONOURABLE MS.JUSTICE HARSHA DEVANI  · HONOURABLE MR.JUSTICE H.B.ANTANI
3	13/02/2012	1	-	FOR REGULAR ADMISSION (SPL.)	RULE/ADMIT	· HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA  · HONOURABLE MR.JUSTICE J.B.PARDIWALA

Available Orders

S. No.	Case Details	Judge Name	Order Date	CAV	Judgement	Questions	Transferred	Download
1	TAX APPEAL/30/2011	HONOURABLE MS.JUSTICE HARSHA DEVANI  HONOURABLE MR.JUSTICE H.B.ANTANI	17/01/2011	N	ORDER	-	Y	Download
2	TAX APPEAL/30/2011	HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA  HONOURABLE MR.JUSTICE J.B.PARDIWALA	13/02/2012	N	ORDER	-	Y	Download

Certified Copy

S. No.

Applicant Name

Application Type

Application Date

UOL Number

Order Date

Notify Date

Delivery Date

Status

Nature Of Document

1

MRS MAUNA M BHATT

ORDINARY

14/02/2012

O/5059/2012

13/02/2012

16/02/2012

17/02/2012

Delivered

ORDER

NOTE:

The registered address of the company has been shifted from H - 10, Madhavpura Market, Shahi Baug Road, Ahmedabad – 380001, Gujarat, India to the present w.e.f. 30.06.2012

UNSECURED LOANS

PARTICULAR	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Loans and advance from others	11.278	11.546
Total	11.278	11.546

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10478032	20/01/2014	110,000,000.00	STATE BANK OF INDIA	SME Branch Premises, Zodiac Avenue, Opp. Commissioner's Bunglow, Law Garden, AHMEDABAD, Gujarat - 380009, INDIA	B96577838
2	10478261	20/01/2014	238,700,000.00	Axis Bank Limited	TRISHUL 3RD FLOOR OPP SAMARTHESHWAR TEMPLE, LAW GARDEN ELLISBRIDGE, AHMEDABAD, Gujarat - 380006, INDIA	B96669833
3	10385514	21/09/2012	2,307,360.00	Axis Bank Limited	RAC Ahmedabad, CV/ CE Department, 4th Floor, Shivalik Ishan, Nr. C. N. Vidhyalaya, Ambawadi, AHMEDA BAD, Gujarat - 380006, INDIA	B61729752
4	10335497	16/08/2013 *	128,700,000.00	AXIS BANK LIMITED	CORPORATE BANKING BRANCH, 2ND FLOOR, 3RD EYE ONE, NR. PANCHVATI CIRCLE, C.G. ROAD, AHMEDABAD, Gujarat - 380009, INDIA	B84564400
5	10332800	25/02/2013 *	695,700,000.00	Axis Bank Limited	TRISHUL 3RD FLOOR OPP SAMARTHESHWAR TEMPLE, LAW GARDEN ELLISBRIDGE, AHMEDABAD, Gujarat - 380006, INDIA	B71361349

* Date of charge modification

FIXED ASSETS

œ Land

œ Office Building

œ Plant and Equipment

œ Furniture and Fixtures

œ Vehicles

œ Computer 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.60.00
UK Pound	1	Rs.102.72
Euro	1	Rs.81.60

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	RAS
Report Prepared by :	ANK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	2
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		28

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.