MIRA INFORM REPORT

Report Date :

18.03.2014

IDENTIFICATION DETAILS

Name :	AZAD ENGINEERING PRIVATE LIMITED
Registered Office :	Plot No. 90C, Phase – 1, IDA, Jeedimetla, Hyderabad -500055, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	14.09.1983
Com. Reg. No.:	01-004132
Capital Investment / Paid-up Capital :	Rs.0.132 Million
CIN No.: [Company Identification No.]	U74210AP1983PTC004132
TAN No.: [Tax Deduction & Collection Account No.]	HYDA10075C
PAN No.: [Permanent Account No.]	AAECA9452H
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing forged and precision machined components.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 130000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Management of the company has failed to file its latest financials of 2013 with government department. As per financials of 2012, company has performed well. Overall financial position is decent. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct. The company can be considered normal for business dealing 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.

ECGC Country Risk Classification List – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INDIAN ECONOMIC OVERVIEW

State-run banks hired nearly 300000 personnel including more than 94000 officers in the last four years, according to the Indian Banks Association. A study by trade lobby Assocham in September 2013 indicated that banks would need 800000 people in the next six years. It estimated that state-run lenders alone would hire 50000 people in 2013/14.

The Competition Commission of India plans to issue final orders within a broad time-frame of one year in matters where it decides to carry out detailed investigations. The number of complaints received by the watchdog which keeps tabs on unfair trade practices in the marketplace.

The government has detected custom tax evasion totaling around Rs 37920 mn in 14 states until December. Maharashtra topped the list of Rs 14190 mn followed by Andhra Pradesh at Rs 8140 mn, Gujarat Rs 5240 mn, Karnataka Rs 1670 mn and Tamilnadu Rs 1610 mn.

Connaught Place in New Delhi slipped four notches to become the world’s eighth most expensive office locations. London’s West End is the world’s most expensive office market.

There are 4.072 mn number of high value spenders under the scanner of the income tax department. The income tax department has information that they have made cash deposits announcing to Rs 1 mn or more in their savings bank accounts in the current financial year. It plans to check potential evasion before the closing of the financial year on March 31.

Estimated pharmaceutical sales in the country for 2016 is $ 27 bn. It is 14.4 per cent higher than a year ago. The life sciences and health care industry is up against challenges such as quality management, says a recent Deloitte report.

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 DECLINED

MANAGEMENT NON – COOPERATIVE (91-40-23776871)

LOCATIONS

Registered Office :	Plot No. 90C, Phase – 1, IDA, Jeedimetla, Hyderabad - 500055, Andhra Pradesh, India
Tel. No.:	91-40-23776871
Fax No.:	Not Available
E-Mail :	Rakhiagarwal79@yahoo.com
Website:	www.azadengineering.com
Factory:	Plot No. 66, SVCIE, Balanagar, Hyderabad – 500037, Andhra Pradesh, India
Tel No.:	91-40-23776871/32577355
Fax No.:	91-40-23772520
Email:	Info@azadengineering.com

DIRECTORS

As on 29.09.2012

Name :

Mr. Rakesh Chopdar

Designation :

Director

Address :

102, Ganandha Residency, Sunder Nagar, Hyderabad – 500038, Andhra Pradesh, India

Date of Birth/Age :

09.11.1977

Date of Appointment :

14.08.2003

DIN No.:

01795599

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U74210AP1983PTC004132	AZAD ENGINEERING PRIVATE LIMITED	Director	14/08/2003	14/08/2003	-	Active	NO
2	U74990GJ2004PTC045060	CROSSTOWN POWER (INDIA) PRIVATE LIMITED	Director	30/09/2008	15/09/2007	01/11/2009	Active	NO
3	U29299AP2011PTC075646	FORGEN POWER PARTS PRIVATE LIMITED	Director	25/07/2011	25/07/2011	-	Active	NO
4	U18100AP1980PTC002735	SWASTIK COATERS PRIVATE LIMITED	Additional director	31/10/2011	31/10/2011	-	Active	NO
5	U70109AP2012PTC082314	BHAGYANAGAR AVENUES PRIVATE LIMITED	Director	02/08/2012	02/08/2012	-	Active	NO
6	U74210AP1997PTC026610	OHRI INDUSTRIES PRIVATE LIMITED	Additional director	19/09/2012	19/09/2012	-	Active	NO

Name :

Mr. Deepak Chopdar

Designation :

Director

Address :

102, Ganandha Residency, Sunder Nagar, Hyderabad – 500038, Andhra Pradesh, India

Date of Birth/Age :

27.11.1985

Date of Appointment :

14.08.2003

DIN No.:

02392732

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U74210AP1983PTC004132	AZAD ENGINEERING PRIVATE LIMITED	Director	14/08/2003	14/08/2003	-	Active	NO
2	U55101AP2013PTC088604	GOLDEN SAPPHIRE HOTELS INDIA PRIVATE LIMITED	Director	26/06/2013	26/06/2013	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares	% age
Bajrang lal Chopdar	680	0.45
K P Joy	50	0.03
Shakuntala Chopdar	160	0.11
Om Prakash Sharma	80	0.05
Sadfana Walia	50	0.03
Sunil Kumar Walia	100	0.07
Sumati Securities Limited, India	200	0.13
Rakesh Chopdar	150000	99.13
Total	151320	100.00

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing forged and precision machined components.

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

• ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda - 390015, Gujarat, India
• Canara Bank, Balanagar Branch, Door No. 6-3-2, First Floor, Balanagar, Hyderabad - 500042, Andhra Pradesh, India
• HDFC Bank Limited

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)
Long-term Borrowings
TATA Capital Limited	1.094
Kotak Mahindra Prime Limited	0.000
HDFC Bank Limited	0.000
Total	1.094

Banking Relations :	--
Auditors :
Name :	O P Bang and Company Chartered Accountants
Address :	3-5-363, 102, Laxmi Arcade, Vithalwadi X Roads, Hyderabad – 500029, Andhra Pradesh, India
Tel. No.:	91-40-23227516
Mobile No.:	91-9849295160
E-Mail :	opbangco@yahoo.co.in
PAN N Income-tax PAN of auditor or auditor's firm :	ABRPB6569P
Key managerial personal having significant influence:	Forgen Power Parts Private Limited Swastik Coaters Private Limited

CAPITAL STRUCTURE

As on 29.09.2012

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
151320	Equity Shares	Rs.100/- each	Rs. 15.132 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
2500	Equity Shares	Rs.100/- each	Rs. 0.250 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1320	Equity Shares	Rs.100/- each	Rs. 0.132 Million

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	0.132	0.132
(b) Reserves & Surplus	33.525	14.708
(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)	33.657	14.840
(3) Non-Current Liabilities
(a) long-term borrowings	5.571	6.324
(b) Deferred tax liabilities (Net)	1.005	0.767
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	6.576	7.091
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	107.836	44.002
(c) Other current liabilities	83.082	54.886
(d) Short-term provisions	0.000	0.000
Total Current Liabilities (4)	190.918	98.888
TOTAL	231.151	120.819
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	100.130	76.128
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	20.041	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	16.499	0.999
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	136.670	77.127
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	16.085	24.247
(c) Trade receivables	47.380	9.192
(d) Cash and cash equivalents	4.087	2.434
(e) Short-term loans and advances	18.977	6.346
(f) Other current assets	7.952	1.473
Total Current Assets	94.481	43.692
TOTAL	231.151	120.819

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.132
2] Share Application Money		0.000
3] Reserves & Surplus		9.059
4] (Accumulated Losses)		0.000
NETWORTH		9.191
LOAN FUNDS
1] Secured Loans		13.221
2] Unsecured Loans		4.809
TOTAL BORROWING		18.030
DEFERRED TAX LIABILITIES		0.277
TOTAL		27.498
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		37.987
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6.390
	Sundry Debtors	6.646
	Cash & Bank Balances	1.261
	Other Current Assets	3.905
	Loans & Advances	7.149
Total Current Assets		25.351
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1.128
	Other Current Liabilities	34.666
	Provisions	0.046
Total Current Liabilities		35.840
Net Current Assets		(10.489)
MISCELLANEOUS EXPENSES		0.000
TOTAL		27.498

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Turnover	403.675	131.000	33.300
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	NA	NA	NA
	PROFIT BEFORE TAX		NA	NA	NA
Less	TAX		NA	NA	NA
	PROFIT AFTER TAX		18.816	8.200	7.300
	FOB Value of exports		NA	72.930	21.539
	IMPORTS
	Capital goods		NA	2.802	1.828
	Earnings Per Share (Rs.)		14255.00	4280.00	NA

KEY RATIOS

PARTICULARS	31.03.2012	31.03.2011	31.03.2010
Debt Equity Ratio (Total Debt /Networth)	0.49	0.44	0.71
Current Ratio (Current Asset/Current Liability)	0.16	0.44	1.96

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.132	0.132
Reserves & Surplus	14.708	33.525
Net worth	14.840	33.657
long-term borrowings	6.324	5.571
Short term borrowings	0.000	0.000
Total borrowings	6.324	5.571
Debt/Equity ratio	0.426	0.166

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Turnover	33.300	131.000	403.675
		293.393	208.149

NET PROFIT MARGIN

Net Profit Margin	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	33.300	131.000	403.675
Profit	7.300	8.200	18.816
	21.92%	6.26%	4.66%

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	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

NOTE: Registered office of the company has been shifted from 66, Venkateshwara Industrial Estate, Balanagar, Hyderabad – 500037, Andhra Pradesh, Indiato the present address w.e.f 26.04.2014

OPERATION

During the year the company has improved its manufacturing activity and increased the capacity by investing in fixed assets to the tune of Rs. 55.900 Millions (Previous year Rs. 44.300 Millions). The company is having good order position and expecting to increase turnover substantially in coming year and the directors hope full of getting good profit.

UNSECURED LOAN

PARTICULARS	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Loan from director and share holders	3.476
Rent Deposit	1.000
Total	4.476

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10376587	24/07/2013 *	136,500,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B82139486

* Date of charge modification

FIXED ASSETS

• Land
• Factory Building
• Electrical Fitting
• Printer UPS
• Vehicle
• Computer
• Furniture
• Mobile Instalment

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.52
UK Pound	1	Rs.102.22
Euro	1	Rs.85.23

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	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		47

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.