MIRA
INFORM REPORT
|
Report Date : |
01.10.2014 |
IDENTIFICATION DETAILS
|
Name : |
TACHE JEWELRY PRIVATE LIMITED (w.e.f. 27.12.2004) |
|
|
|
|
Formerly Known
As : |
TACHE JEWELLERY PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
Plot No. GJ – 02, Seepz Seepz SEZ, Andheri (East), Mumbai
– 400 096, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
03.02.2003 |
|
|
|
|
Com. Reg. No.: |
11-138986 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.44.018
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U36911MH2003PTC138986 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMT08622F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCT7791D |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter of Diamond studded Gold Jewelry like rings, pendants, earrings, bracelets and necklaces. |
|
|
|
|
No. of Employees
: |
Not Divulged |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (42) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track record. Sales and profit of the company has dipped in the FY 2012-13. However,
liquidity position appears to be strong. Trade relations are reported to be fair. Business is active. Payment
terms are reported to be slow but correct. The company can be considered for 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.
ECGC Country Risk Classification List – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
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
Verdict Implications
: Apex court order may alter coal import dynamics. Traders go slow on talks over
coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.
Recent arrest of the
Chennai head of the Registrar of Companies, the ministry of corporate affairs arm
that ensures that companies file all the information required by the Companies
Act is the latest manifestation of a messy fight between a father and his
adopted son for the control of Rs 40000 mn business empire. The Central Bureau
of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as
bribe from M A M Ramaswamy, a CBI official said.
Central Bureau of
Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.
Infosys maintains
revenue guidance. COO Rao says attrition still an area of concern and it would
take a few more quarters to bring down levels to 13-15 %.
DHL to invest
Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its
e-commerce business model for the Asia-Pacific region.
Blackstone may buy
stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.
Kingfisher Airlines
Ltd grounded in October 2012 under the weight of heavy debt and accumulated
losses, recently approached the Delhi high court for relief in two separate
cases. The airline challenged a notice by Punjab & National Bank alleging
that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to
comply with the requirements under the listing agreements with the Stock
Exchanges.
OnMobile likely to
sack another 300 employees. The lay-offs follow a spate of senior-level exits
over the past two years, starting with of its founder. The overall lay-offs
could number around 600 and are driven by the need to cut costs, says a former
employee.
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 : |
Mr. Girish Parekh |
|
Designation : |
Finance Head |
|
Contact No.: |
91-22-67779999 |
|
Date : |
29.09.2014 |
LOCATIONS
|
Registered Office/ Factory : |
Plot No. GJ – 02, Seepz Seepz SEZ, Andheri (East), Mumbai – 400
096, Maharashtra, India |
|
Tel. No.: |
91-22-28293705 / 67779999 |
|
Fax No.: |
91-22-28293703 / 67779950 |
|
E-Mail : |
|
|
Website: |
|
|
Location: |
Owned |
DIRECTORS
As on: 30.09.2013
|
Name : |
Mr. Amish Bipin Choksi |
|
Designation : |
Director |
|
Address : |
43, Himgiri, 6th floor, Peddar Road, Mumbai – 400026, Maharashtra,
India |
|
Date of Birth/Age : |
26.03.1964 |
|
Date of Appointment : |
24.04.2007 |
|
DIN No.: |
00043931 |
|
|
|
|
Name : |
Mr. Nikhil
Ishwarlal Khandwala |
|
Designation : |
Managing Director |
|
Address : |
1001, Manju Apartment, Nepeansea Road, Mumbai – 400006, Maharashtra, India |
|
Date of Birth/Age : |
03.08.1963 |
|
Date of Appointment : |
24.04.2007 |
|
DIN No.: |
00446539 |
|
|
|
|
Name : |
Mr. Victor Henry
Weinman |
|
Designation : |
Director |
|
Address : |
7, Bretton Ridge Road, Mount Kisco, New York - 10549, USA |
|
Date of Birth/Age : |
11.12.1946 |
|
Date of Appointment : |
26.04.2003 |
|
DIN No.: |
00558764 |
|
|
|
|
Name : |
Mr. Ashish Anit
Choksi |
|
Designation : |
Director |
|
Address : |
9, Idar-Oberstein - 55743, Germany |
|
Date of Birth/Age : |
10.08.1967 |
|
Date of Appointment : |
30.09.2008 |
|
DIN No.: |
02117208 |
|
|
|
|
Name : |
Mr. Jacques Joseph
Tache |
|
Designation : |
Director |
|
Address : |
34, Peter Benoitstraat, Antwerp - 2018, Belgium |
|
Date of Birth/Age : |
16.06.1968 |
|
Date of Appointment : |
30.09.2008 |
|
DIN No.: |
02421425 |
|
|
|
|
Name : |
Mr. Andre Christian
Manfred Giloy |
|
Designation : |
Director |
|
Address : |
Fichtenhof, Idar-Oberstein - 55743, Germany |
|
Date of Birth/Age : |
26.04.1965 |
|
Date of Appointment : |
30.09.2008 |
|
DIN No.: |
02459957 |
KEY EXECUTIVES
|
Name : |
Mr. Girish Parekh |
|
Designation : |
Finance Head |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.09.2013
|
Names of Shareholders |
No. of Shares |
%age |
|
Tache Investments S.A., Luxembourg |
1970300 |
50.50 |
|
C. G. International Private Limited, India |
1580200 |
40.50 |
|
Meera Nikhil Khandwala |
351250 |
9.00 |
|
|
|
|
|
Total |
3901750 |
100.00 |
Equity Share Break up (Percentage of Total Equity)
As on: 30.09.2013
|
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 |
50.50 |
|
Bodies corporate |
40.50 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Diamond studded Gold Jewelry like rings, pendants, earrings, bracelets and necklaces. |
||||
|
|
|
||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
||||||||||||||||||
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|
||||||||||||||||||
|
Bankers : |
ABN Amro Bank N. V. , 7th Floor, Sakhar Bhavan, Nariman
Point, Mumbai 400 021, Maharashtra, India |
||||||||||||||||||
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|
||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
M.A. Parikh and Company Chartered Accountants |
|
Address : |
Yusuf Building II, Floor 4 3, Mahatma Gandhi Rd, Flora Fountain Fort Mumbai – 400023, Maharashtra, India |
|
PAN No.: |
AAAFM1433H |
|
|
|
|
Holding Company : |
Tache Investments, S.A. |
|
|
|
|
Associates : |
C.G.International Private Limited CIN No.: U99999MH1996PTC097577 |
CAPITAL STRUCTURE
After: 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12000000 |
Equity Shares |
Rs.10/- each |
Rs.120.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3901750 |
Equity Shares |
Rs.10/- each |
Rs.39.018
Millions |
|
|
|
|
|
As on: 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12000000 |
Equity Shares |
Rs.10/- each |
Rs.120.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
4401750 |
Equity Shares |
Rs.10/- each |
Rs.44.018
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 |
44.018 |
54.367 |
71.868 |
|
(b) Reserves & Surplus |
232.685 |
208.530 |
162.045 |
|
(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) |
276.703 |
262.897 |
233.913 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
2.440 |
3.374 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
2.440 |
3.374 |
0.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.750 |
0.750 |
|
(b) Trade payables |
145.216 |
192.533 |
184.904 |
|
(c) Other current
liabilities |
2.206 |
2.198 |
2.473 |
|
(d) Short-term provisions |
0.380 |
5.809 |
0.582 |
|
Total Current Liabilities (4) |
147.802 |
201.290 |
188.709 |
|
|
|
|
|
|
TOTAL |
426.945 |
467.561 |
422.622 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
122.080 |
121.284 |
118.383 |
|
(ii) Intangible Assets |
0.892 |
0.494 |
0.438 |
|
(iii) Capital
work-in-progress |
0.080 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
9.966 |
8.271 |
1.621 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
133.018 |
130.049 |
120.442 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
12.643 |
0.000 |
0.000 |
|
(b) Inventories |
84.528 |
75.970 |
97.432 |
|
(c) Trade receivables |
134.502 |
160.450 |
154.666 |
|
(d) Cash and cash
equivalents |
58.387 |
97.836 |
44.415 |
|
(e) Short-term loans and
advances |
3.834 |
3.233 |
5.654 |
|
(f) Other current assets |
0.033 |
0.023 |
0.013 |
|
Total Current Assets |
293.927 |
337.512 |
302.180 |
|
|
|
|
|
|
TOTAL |
426.945 |
467.561 |
422.622 |
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
636.012 |
804.353 |
654.562 |
|
|
|
Other Income |
12.483 |
10.214 |
9.384 |
|
|
|
TOTAL (A) |
648.495 |
814.567 |
663.946 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
|
588.852 |
|
|
|
|
|
Administrative Expenses |
|
|
|
|
|
|
Advertising Expenses |
|
|
|
|
|
|
TOTAL (B) |
588.852 |
730.885 |
601.067 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
59.643 |
83.682 |
62.879 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.415 |
0.801 |
0.203 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
59.228 |
82.881 |
62.676 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
4.948 |
4.477 |
4.154 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
54.280 |
78.404 |
58.522 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
1.994 |
13.258 |
9.797 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
52.286 |
65.146 |
48.725 |
|
|
|
|
|
|
|
|
|
|
TRANSFERRED TO
SPECIAL ECONOMIC ZONE RE-INVESTMENT ALLOWANCE RESERVE ACCOUNT |
15.000 |
38.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
ADDITIONAL AMOUNT
TRANSFERRED TO SPECIAL ECONOMIC ZONE RE-INVESTMENT ALLOWANCE RESERVE ACCOUNT |
10.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
REVERSAL OF MAT
CREDIT ENTITLEMENT |
6.270 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
12.777 |
12.731 |
26.507 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
20.000 |
27.100 |
62.500 |
|
|
BALANCE CARRIED
TO THE B/S |
13.793 |
12.777 |
12.731 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Export Earnings |
634.372 |
801.006 |
648.053 |
|
|
|
Repairs |
|
0.060 |
0.006 |
|
|
|
Job Work Production |
|
1.493 |
4.722 |
|
|
TOTAL EARNINGS |
634.372 |
802.559 |
652.781 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Raw Materials |
NA |
649.807 |
582.844 |
|
|
|
Capital Goods |
|
1.587 |
1.538 |
|
|
|
Others |
|
3.056 |
2.777 |
|
|
TOTAL IMPORTS |
NA |
654.450 |
587.159 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
10.93 |
11.21 |
6.48 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
8.06
|
8.00
|
7.34 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
8.53
|
9.75
|
8.94 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
12.72
|
16.77 |
13.85 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.20
|
0.30 |
0.25 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.01
|
0.02 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.99
|
1.68 |
1.60 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Share Capital |
71.868 |
54.367 |
44.018 |
|
Reserves & Surplus |
162.045 |
208.530 |
232.685 |
|
Net worth |
233.913 |
262.897 |
276.703 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
3.374 |
2.440 |
|
Short term borrowings |
0.750 |
0.750 |
0.000 |
|
Total borrowings |
0.750 |
4.124 |
2.440 |
|
Debt/Equity ratio |
0.003 |
0.016 |
0.009 |
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 |
654.562 |
804.353 |
636.012 |
|
|
|
22.884 |
-20.929 |
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 |
654.562 |
804.353 |
636.012 |
|
Profit |
48.725 |
65.146 |
52.286 |
|
|
7.44% |
8.10% |
8.22% |
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 |
Yes |
|
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 |
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 |
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 |
No |
UNSECURED LOAN
(Rs.
In Millions)
|
Particulars |
As
on 31.03.2013 |
As
on 31.03.2012 |
|
SHORT TERM
BORROWINGS |
|
|
|
Loans and advances from others |
0.000 |
0.750 |
|
Total |
0.000 |
0.750 |
OPERATIONS:
The Company made Revenue from operations of Rs. 636.012 Millions during the year as compared to previous year revenue of Rs. 804.353 Millions. The Company has continued turnaround and achieved Net Profit after tax of Rs. 52.286 Millions as compared to Rs. 65.146 Millions made in the previous year.
As a statutory condition, the Company has debited an amount of Rs. 25.000 Millions to the Profit & Loss account and credited the corresponding amount to Special Economic Zone Re-investment Allowance Reserve Account, which has to be utilized for specific purposes during the specified period. During the year company has utilised Rs.6.745 Millions towards purchase of new plant and machinery and accordingly, an equivalent amount has been transferred to Special Economic Zone Re-investment Allowance Utilised Reserve Account.
During the year, the management had taken various steps including reduction in expenses, streamlining production and improving on productivity in achieving the better results.
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10011468 |
20/07/2006 |
228,000,000.00 |
ABN AMRO BANK N.V. |
7TH FLOOR, SAKHAR BHAVAN, NARIMAN POINT, MUMBAI, |
A02833952 |
|
2 |
90148958 |
18/11/2004 |
15,500,000.00 |
ABN AMRO BANK N.V. |
7TH FLOOR; SAKHAR BHAVAN, NARIMAN POINT, MUMBAI, |
- |
* Date of charge modification
FIXED ASSETS:
- Plant and Machinery
- Electrical Installations
- Furniture and Fittings
- Air Conditioners
- Computers
- Office Equipments
- Vehicles
- Computer Software
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-company
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.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.61.61 |
|
|
1 |
Rs.100.28 |
|
Euro |
1 |
Rs.78.21 |
INFORMATION DETAILS
|
Information Gathered
by : |
PRT |
|
|
|
|
Analysis Done
by: |
SUB |
|
|
|
|
Report Prepared
by : |
ANK |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
42 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.