|
Report Date : |
19.06.2014 |
IDENTIFICATION DETAILS
|
Correct Name : |
MILLENNIUM DIAMOND |
|
|
|
|
Registered Office : |
Suite 678, 13/F., Bank of America Tower, 12 Harcourt Road, Central |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
18.09.2000 |
|
|
|
|
Com. Reg. No.: |
31229156-000-09 |
|
|
|
|
Legal Form : |
Partnership Concern |
|
|
|
|
Line of Business : |
· engaged in manufacturing loose diamonds like marquise, pears, tappers, baguettes and rose cut diamonds range from 0.05 cts to 0.60 cts. · Importer, Exporter and Wholesaler of all kinds of diamonds and jewellery products, emerald as well as precious stones |
|
|
|
|
No of Employees : |
01 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Small Concern |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Hong Kong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.
|
Source
: CIA |
MILLENNIUM DIAMOND
Suite 678, 13/F., Bank of America Tower, 12 Harcourt Road, Central, Hong Kong.
PHONE: Not Available
Manager: Ritesh Jitendra Dave
Establishment: 18th September, 2000.
Organization: Partnership.
Capital: Not disclosed.
Business Category: Diamond Trader.
Employee: 1.
Main Dealing Banker: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.
Banking Relation: Satisfactory.
Head Office:-
Suite 678, 13/F., Bank of America Tower, 12 Harcourt Road, Central, Hong Kong.
Affiliated Concern:-
Millennium Diamond Co. Ltd.
Suite 307, 3/F., KBS
Building, Soi 3, Mahesak, Silom, Bangrak, Bangkok 10500, Thailand.
[Tel: 66-2-2383967~9
Fax: 66-2-2383966
E-mail: contact@millenniumdiamond.co.th ]
31229156-000-09
Manager: Ritesh Jitendra Dave
Name: Ritesh Jitendra DAVE
Residential Address: 709 Tapovan B/Z Paynanwachi, Ramisati, Bombay, India.
Name: Ashish Jitendra DAVE
Residential Address: 1402
Satsang Tower Upper, Govind Nagar Malad (B), Mumbas 97, India.
The subject was established on 18th September, 2000 as a partnership concern jointly owned by Hiteshkumar Popatlal Patel and Bimal Lalitkumar Kalyani under the Hong Kong Business Registration Regulations.
The following
table shows the changes of the partners:-
|
Name |
Incoming Date |
Outgoing Date |
|
Hiteshkumar Popatlal PATEL |
18-09-2000 |
26-09-2001 |
|
Bimal Lalitkumar KALYANI |
18-09-2000 |
01-04-2005 |
|
Ritesh Jitendra DAVE |
26-09-2001 |
--- |
|
Deepak MADHRANI |
22-05-2002 |
15-12-2007 |
|
Joge Cherian GEORGE |
11-06-2003 |
01-10-2010 |
|
Nitin Manohar DHAVLE |
23-09-2003 |
01-02-2012 |
|
Premal Chandrakant MAKWANA |
23-09-2003 |
01-12-2009 |
|
Ashish Jitendra DAVE |
15-12-2007 |
--- |
Initially the subject was located at Room 1701, 17/F., Star Mansion, 3 Minden Row, Tsimshatsui, Kowloon, Hong Kong, moved to Room 506, 5/F., Hart Avenue Plaza, 5-9 Hart Avenue, Tsimshatsui, Kowloon, Hong Kong in September 2001; to Flat B, 8/F., Kam Ma Building, 16 Cameron Road, Tsimshatsui, Kowloon, Hong Kong in January 2002; to Flat B, 18/F., Dorfu Court Building, 5-6 Hau Fook Street, Tsimshatsui, Kowloon, Hong Kong in January 2003; to Room 3705, 37/F., Suite 678, Bank of America Tower, 12 Harcourt Road, Central, Hong Kong in September 2005; to Room 1301, 13/F., Suite 678 of the same building in January 2009; and further moved to Flat E, 7/F., Tower 21, Laguna Verde, 8 Laguna Verde Avenue, Hunghom, Kowloon, Hong Kong in April 2009; to Room E, 35/F., Sunrise Villa, 19-33 Chikiang Street, To Kwa Wan, Kowloon, Hong Kong in July 2010; to Room 678, 13/F., 1301, Bank of America Tower, 12 Harcourt Road, Central, Hong Kong in March 2011 and further to the present address in June 2011.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds and jewellery products, emerald as well as precious stones
Employee: 1.
Commodities Imported: India, Belgium, other European countries, etc.
Markets: Japan, Southeast Asia, Europe, Middle East, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Capital: Not disclosed.
Profit or Loss: Making a very small profit every year.
Condition: Keeping in a satisfactory manner.
Facilities: Making fairly active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: Standard Chartered Bank (Hong Kong) Ltd., Hong Kong.
Standing: Small.
Millennium Diamond is a partnership jointly owned by two Indian: Ritesh Jitendra Dave and Ashish Jitendra Dave. The latter is an India passport holder.
The subject had a number of partners while most of them had retired during the years between 2001 and 2012.
The subject’s registered address is located at Suite 678, 13/F., Bank of America Tower, 12 Harcourt Road, Central, Hong Kong. This is the office of a secretarial concern located at Room 1301, 13/F., Bank of America Tower, 12 Harcourt Road, Central, Hong Kong. ‘Suite 678’ is the file number of the subject.
The subject is a diamond importer, exporter and wholesaler. It is engaged in manufacturing loose diamonds like marquise, pears, tappers, baguettes and rose cut diamonds range from 0.05 cts to 0.60 cts.
The subject has got an affiliate Millennium Diamond Co. Ltd. [MDCL] in Bangkok, Thailand. MDCL was founded in March 1999 by Ritesh Jitendra Dave for sole purpose of trading in diamonds in Bangkok as well as the international market.
MDCL regularly participates trade fairs held in Bangkok. It has had a large customer base and has set up offices located in Bangkok, Hong Kong and India to provide its customers with quality diamonds. The subject is the Hong Kong office of MDCL.
MDCL is specialised in tapers, baguettes, princess cut and round brilliant cut in all shapes, sizes and colours. It carries large inventories of diamonds and can fulfil the demands of its customers. MDCL is able to guarantee accuracy in shape, size and cut at par with international standards. It can immediately do a COD export anywhere in the world to meet the needs of its customers.
For wholesale orders, the subject needs its customer pay 40% in advance as confirmation of the order. After the goods are assorted and ready for shipment, the customer should clear the rest 60%.
The subject accepts payments by credit card, international bank drafts, and T/T (wire transfer).
The history of the subject in Hong Kong is over thirteen years and nine months.
On the whole, consider the subject good for normal business engagement in small credit amounts.
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term performance
– focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-concern transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.12 |
|
|
1 |
Rs.102.00 |
|
Euro |
1 |
Rs.81.43 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.