MIRA INFORM REPORT

Report Date :

30.10.2014

IDENTIFICATION DETAILS

Name :	K. GIRDHRLAL INTERNATIONAL LIMITED (w.e.f.13.03.2008)
Formerly Known As :	K.GIRDHARLAL INTERNATIONAL PRIVATE LIMITED
Registered Office :	1011, Prasad Chamber, Opera House, Mumbai-400004, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.06.2005
Com. Reg. No.:	11-153898
Capital Investment / Paid-up Capital :	Rs.1487.853 Millions
CIN No.: [Company Identification No.]	U36910MH2005PLC153898
Legal Form :	A closely held public limited liability company
Line of Business :	Manufacturer, Exporter and Importer of Diamonds Jewellery.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. Trade relations are reported as fair. Business is active. Payment terms are usually 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 31-03-2014.

INFORMATION DENIED

MANAGEMENT NON CO-OPERATIVE (91-22-23637896)

LOCATIONS

Registered Office :	1011, Prasad Chamber, Opera House, Mumbai-400004, Maharashtra, India
Tel. No.:	91-22-2369107/23631513/23684872/23637896/236/28250074
Mobile No.:	91-9820099818 (Mr. Piyush)
Fax No.:	91-22-23633027
E-Mail :	kgexport@bom3.vsnl.net
Head Office :	1033 Panchratna, Opera House, Mumbai-400004, Maharashtra, India
Tel. No.:	91-22-23621003
Fax No.:	Not Available
E-Mail :	info@kgiridharlal.com
Website:	www.kgiridharlal.com
Sales Office 1 :	551, 5^th Avenue,32^nd floor, new York, Ny-10176, united states
Tel. No.:	1-212-6444500
Fax No.:	Not Available
E-Mail :	newyork@kgiridharlal.com
Sales Office 2 :	Aspeco NV, 1^st Floor, Schupstraat 21, 2018 Antwerp, Belgium
Tel. No.:	32-3-4011000
Fax No.:	Not Available
E-Mail :	info@aspeco.be
Sales Office 3 :	K.Giridharlal DMCC, PO BOX NO.44753, Almas Tower 41-h, Jumeirah Lakes Towers, Sheikh Zayed Road, Dubai, United Arab Emirates
Tel. No.:	971-4-4574265
Fax No.:	Not Available
E-Mail :	dubai@kgiridharlal.com
Sales Office 4 :	K.Giridharlal (HK) Limited, Room No.916, 9/F, Peninsula Square, 18 Sung On Street, Kowloon, Hong Kong
Tel. No.:	852-231-16551
Fax No.:	Not Available
E-Mail :	rushabh@kgiridharlal.com
Sales Office 5 :	BLH – KG Room A606, China Diamond Exchange Center,1701 Century Avenue, Pudong New Area Shanghai 200122- China
Tel No.:	86-21-50470197
Fax No.:	Not Available
Email Id:	india@kgiridharlal.com

DIRECTORS

As on 30.09.2013

Name :

Mr. Kishore Girdharlal Shah

Designation :

Director

Address :

A/5, Arvind Kung, Opposite A.C. Market, Tardeo, Mumbai-400034,India

Date of Birth/Age :

01.05.1941

Date of Appointment :

10.06.2005

DIN No.:

00200309

PAN No.:

AADPS3385D

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	U36912MH1999PTC119076	K GIRDHARLAL DIAMONDS (INDIA) PRIVATE LIMITED	Director	24/03/1999	24/03/1999	-	Active	NO
2	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Whole-time director	25/08/2013	10/06/2005	-	Active	NO
3	U51909GJ2003PTC042457	ADD VALUE SOLUTIONS PRIVATE LIMITED	Director	03/09/2006	03/09/2006	-	Active	NO
4	U70101MH2003PTC210816	SURAT ENTERPRISES PRIVATE LIMITED	Director	01/11/2007	01/11/2007	-	Amalgamated	NO
5	U36912GJ2010PLC062808	SURAT ROUGH DIAMOND SOURCING(INDIA) LIMITED.	Director	04/11/2010	04/11/2010	06/12/2013	Active	NO
6	U36911GJ2001PTC039254	SPARKLE DIAM PRIVATE LIMITED	Director	14/08/2012	14/08/2012	-	Active	NO

Name :

Mr. Parag Kishore Shah

Designation :

Director

Address :

A/5, Arvind Kung, Opposite A.C. Market, Tardeo, Mumbai-400034,India

Date of Birth/Age :

17.02.1968

Date of Appointment :

10.06.2005

DIN No.:

00016400

PAN No.:

AADPS3386A

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	U72200GJ2004PTC043586	LEMON TECHNOLOGIES PRIVATE LIMITED	Director	10/02/2004	10/02/2004	14/02/2008	Active	NO
2	U91110GJ2000NPL039065	GUJARAT HIRA BOURSE	Director	09/03/2004	09/03/2004	-	Active	NO
3	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Whole-time director	25/08/2013	10/06/2005	-	Active	NO
4	U45200GJ2006PTC047855	ADD VALUE PROPERTIES PRIVATE LIMITED	Director	02/03/2006	02/03/2006	-	Active	NO
5	U51909GJ2003PTC042457	ADD VALUE SOLUTIONS PRIVATE LIMITED	Director	03/09/2006	03/09/2006	-	Active	NO
6	U70101MH2003PTC210816	SURAT ENTERPRISES PRIVATE LIMITED	Director	01/11/2007	01/11/2007	-	Amalgamated	NO
7	U80212GJ2007PTC052165	FOUNTAINHEAD EDUCATION PRIVATE LIMITED	Director	15/11/2007	15/11/2007	10/09/2008	Converted to LLP	NO
8	U80904MH2012NPL233740	THE GEM & JEWELLERY SKILL COUNCIL OF INDIA	Director	24/07/2012	24/07/2012	-	Active	NO
9	U36911GJ2001PTC039254	SPARKLE DIAM PRIVATE LIMITED	Director	14/08/2012	14/08/2012	-	Active	NO
10	U24100MH2014PTC255737	ADMAT INNOVATIONS PRIVATE LIMITED	Additional director	28/06/2014	28/06/2014	-	Active	NO

Name :

Mr. Pintu Vinnodkumar Shah

Designation :

Director

Address :

247,Sai Kripa Building, 1^st Floor, Walkeshwar Road, Mumbai-40006,India

Date of Birth/Age :

29.04.1974

Date of Appointment :

10.06.2005

DIN No.:

00149119

PAN No.:

AAIPS6255M

Name :

Mr. Piyush Vinodkumar Shah

Designation :

Director

Address :

247,Sai Kripa Building, 1^st Floor, Walkeshwar Road, Mumbai-40006,India

Date of Birth/Age :

01.04.1979

Date of Appointment :

02.11.2009

DIN No.:

00087175

PAN No.:

AHQPS0434B

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	U36900MH2000PTC128794	HERITAGE JEWELS PRIVATE LIMITED	Director	20/09/2000	20/09/2000	-	Active	NO
2	U36911GJ2001PTC039254	SPARKLE DIAM PRIVATE LIMITED	Director	18/04/2003	18/04/2003	-	Active	NO
3	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Director	30/09/2010	10/06/2005	-	Active	NO
4	U36912GJ1995PTC027887	FACETS GEMS POLISHING WORKS PRIVATE LIMITED	Director	06/06/2008	06/06/2008	-	Active	NO

Name :

Mr. Rashmikant Natwarlal Shah

Designation :

Director

Address :

102, Niraj Apartment 70, Walkeshwar Road, Mumbai-400006, India

Date of Birth/Age :

11.09.1964

Date of Appointment :

09.10.1967

DIN No.:

00708523

PAN No.:

AAGPS6655P

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	U36900MH2000PTC128794	HERITAGE JEWELS PRIVATE LIMITED	Director	20/09/2000	20/09/2000	-	Active	NO
2	U36911GJ2001PTC039254	SPARKLE DIAM PRIVATE LIMITED	Director	18/04/2003	18/04/2003	-	Active	NO
3	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Director	30/09/2010	10/06/2005	-	Active	NO
4	U36912GJ1995PTC027887	FACETS GEMS POLISHING WORKS PRIVATE LIMITED	Director	06/06/2008	06/06/2008	-	Active	NO

Name :

Mr. Yogesh Natwarlal Shah

Designation :

Director

Address :

102, Niraj Apartment 70, Walkeshwar Road, Mumbai-400006, India

Date of Birth/Age :

09.10.1967

Date of Appointment :

10.06.2005

DIN No.:

00087231

PAN No.:

AAGPS6652L

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	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Whole-time director	25/08/2013	10/06/2005	-	Active	NO
2	U45200GJ2006PTC047855	ADD VALUE PROPERTIES PRIVATE LIMITED	Director	02/03/2006	02/03/2006	-	Active	NO
3	U70101MH2003PTC210816	SURAT ENTERPRISES PRIVATE LIMITED	Director	01/11/2007	01/11/2007	-	Amalgamated	NO

Name :

Mr. Vinodkumar Gautamlal Shah

Designation :

Director

Address :

2, Bhaswan Building.,247, Walkeshwar Road, Banganga, Mumbai-400006, Maharashtra, India

Date of Birth/Age :

09.06.1950

Date of Appointment :

01.04.2010

DIN No.:

03175185

PAN No.:

AAGPS6793L

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	U36910MH2005PLC153898	K.GIRDHARLAL INTERNATIONAL LIMITED	Director	30/09/2010	01/04/2010	-	Active	NO
2	U36912MH1999PTC119076	K GIRDHARLAL DIAMONDS (INDIA) PRIVATE LIMITED	Additional director	25/06/2014	25/06/2014	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Equity Shares	No. of Preferences Shares
Kishore Girdharlal Shah S/o Girdharlal Shah	138573	14850000
Parag Kishore Shah S/o Girdharlal Shah	172756	13513500
Vinod Gautamlal Shah S/o Girdharlal Shah	48403	5098500
Rashmikant Natwarlal Shah S/o Natwarlal Shah	212033	16780500
Dinesh Mohanlal Shah S/o mohanlal Shah	---	16780500
Yogesh Natwarlal Shah S/o Natwarlal Shah	260632	12177000
Pintu Vinodkumar Shah S/o Vinodkumar Shah	91867	9900000
Piyush vinodkumar shah S/o Vinodkumar Shah	---	9900000
Natwarlal Shah	137136	26410000
Brill Diam Company Limited, Hong Kong	182700	22131176
Total	1244100	147541176

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	15.00
Directors or relatives of Directors	85.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Diamonds Jewellery.

Products :

Item Code No. (ITC Code)	Product Description
71023901	Cut and polished diamonds
71023100	Rough diamond
99999999	Electricity generated from windmill

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

• ABN AMRO Bank N.V., Sakhar Bhavan, 4^th Floor, Nariman Point, Mumbai-400021, Maharashtra, India
• Royal Bank of Scotland N.V, 4, North Avenue, Level 3, Maker Maxity, Bandra Kurla Complex, Bandra East, Mumbai-400051, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
SHORT TERM BORROWINGS
Term loans from Banks	4455.829	3792.258
Total	4455.829	3792.258

Banking Relations :	--
Auditors :
Name :	Suresh Surana and Associates Chartered Accountants
Address :	13 Floor, Bakhtawar, 228, Nariman Point, Mumbai-400021, Maharashtra, India
PAN No.:	AAQFS7647M
Subsidiaries (Enterprises where control exist):	K. Girdharlal Diamonds (India) Private Limited, India [U36912MH1999PTC119076] K. Girdharlal (Hong Kong) Limited K. Girdharlal Inc. Sparkle Diam Private Limited, India [U36911GJ2001PTC039254] N. M. Shah and Bros. (Partnership firm) Facets Gems Polishing Works Private Limited, India [U36912GJ1995PTC027887] Vardhaman Infrastructure Private Limited, India [U45209GJ1999PTC036469] Aspeco N.V. K. Girdharlal DMCC, Dubai K. G. Creation BLH - KG Diamonds (China) Company Limited Add Value Solutions Private Limited, India [U51909GJ2003PTC042457] Add Value Properties Private Limited, India [U45200GJ2006PTC047855]
Associates:	Spectacolour Diamonds (Partnership firm) Lemon Technologies Private Limited, India [U30007AP2002PTC038455]
Enterprises in which key management personnel have significant influence:	Heritage Jewels Private Limited, India [U36900MH2000PTC128794] Fountain Head Education Private Limited, India [U80212GJ2007PTC052165] K. G. Exports (Partnership firm)
Enterprises in which relative of key management personnel have significant Influence:	Fountain Head Trust

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions
148500000	Preferences Shares	Rs.10/- each	Rs.1485.000 Millions
	TOTAL		Rs.1505.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1244100	Equity Shares	Rs.10/- each	Rs.12.441 Millions
147541176	Preferences Shares	Rs.10/- each	Rs.1475.412 Millions
	TOTAL		Rs.1487.853 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	1487.853	1487.853	1487.853
(b) Reserves & Surplus	2259.397	1973.959	1759.557
(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)	3747.250	3461.812	3247.410
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	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	6.145	5.538	4.941
Total Non-current Liabilities (3)	6.145	5.538	4.941
(4) Current Liabilities
(a) Short term borrowings	5637.300	5161.584	4517.918
(b) Trade payables	5340.237	2884.599	1032.242
(c) Other current liabilities	45.987	95.161	5.565
(d) Short-term provisions	0.961	4.996	7.319
Total Current Liabilities (4)	11024.485	8146.340	5563.044
TOTAL	14777.880	11613.690	8815.395
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	490.511	361.214	284.908
(ii) Intangible Assets	17.199	15.290	5.813
(iii) Capital work-in-progress	0.000	9.622	5.784
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	2468.368	2516.043	2269.226
(c) Deferred tax assets (net)	33.754	16.926	22.150
(d) Long-term Loan and Advances	76.221	55.823	42.629
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	3086.053	2974.918	2630.510
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	6213.807	4847.244	3281.775
(c) Trade receivables	5012.601	3233.159	2328.009
(d) Cash and cash equivalents	88.375	15.673	43.492
(e) Short-term loans and advances	324.043	496.098	509.639
(f) Other current assets	53.001	46.598	21.970
Total Current Assets	11691.827	8638.772	6184.885
TOTAL	14777.880	11613.690	8815.395

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	12113.126	10686.831	8815.798
		Other Income	55.386	161.346	88.659
		TOTAL (A)	12168.512	10848.177	8904.457
Less	EXPENSES
		Cost of Materials Consumed	9920.237	8712.618	5731.375
		Purchases of Stock-in-Trade	1764.592	1917.969	1652.948
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(1227.343)	(1449.034)	391.683
		Employees benefits expense	45.563	43.103	41.456
		Other expenses	963.074	827.629	611.432
		TOTAL (B)	11466.123	10052.285	8428.894
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		702.389	795.892	475.563
Less	FINANCIAL EXPENSES (D)		299.274	444.865	109.957
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		403.115	351.027	365.606
Less/ Add	DEPRECIATION/ AMORTISATION (F)		66.331	49.976	21.886
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		336.784	301.051	343.720
Less	TAX (H)		51.347	86.649	81.388
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		285.437	214.402	262.332
	Earnings / (Loss) Per Share (Rs.)		229.43	172.33	210.86

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.35	1.98	2.95
Net Profit Margin (PBT/Sales)	(%)	2.78	2.82	3.90
Return on Total Assets (PBT/Total Assets}	(%)	2.74	3.32	5.27
Return on Investment (ROI) (PBT/Networth)		0.09	0.09	0.11
Debt Equity Ratio (Total Liability/Networth)		1.50	1.49	1.39
Current Ratio (Current Asset/Current Liability)		1.06	1.06	1.11

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	1487.853	1487.853	1487.853
Reserves & Surplus	1759.557	1973.959	2259.397
Net worth	3247.410	3461.812	3747.250
long-term borrowings	0.000	0.000	0.000
Short term borrowings	4517.918	5161.584	5637.300
Total borrowings	4517.918	5161.584	5637.300
Debt/Equity ratio	1.391	1.491	1.504

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	8815.798	10686.831	12113.126
		21.224	13.346

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	8815.798	10686.831	12113.126
Profit	262.332	214.402	285.437
	2.98%	2.01%	2.36%

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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

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 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th 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 30^th October 2010 is as under –

Gem and 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.

UNSECURED LOANS

Unsecured Loans	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. In Millions)
SHORT TERM BORROWINGS
Loans repayable on demand	0.087	0.263
Loans and advances from related parties	1181.384	1290.063
Other loans and advances	0.000	79.000
Total	1181.471	1369.326

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10500851	29/03/2014	140,000,000.00	ING VYSYA BANK LIMITED	HUGHES ROAD,, MUMBAI, MAHARASHTRA - 400007, INDIA	C05505839
2	80005611	18/02/2014 *	5,500,000,000.00	THE ROYAL BANK OF SCOTLAND N.V (ACTING AS LEAD BANK)	4, NORTH AVENUE, LEVEL 3, MAKER MAXITY, BANDRA KU  RLA COMPLEX, BANDRA EAST, MUMBAI, MAHARASHTRA - 400051, INDIA	B97908875

FIXED ASSETS

• Building
• Plant and Machinery
• Windmill Plant and Machinery
• Electrical Installation
• Furniture and Fixtures
• Computers
• Vehicles

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.61.35
UK Pound	1	Rs.98.93
Euro	1	Rs.77.92

INFORMATION DETAILS

Information Gathered by :	HET
Analysis Done by :	RAS
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	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--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		49

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.