MIRA
INFORM REPORT
|
Report Date : |
16.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
|
|
|
|
|
Registered
Office : |
Chobeyji Ka Phatak, Kinari Bazaar, |
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|
Country : |
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|
Financials (as
on) : |
31.03.2014 [Consolidated] |
|
|
|
|
Year of
Establishment : |
24.02.2004 |
|
|
|
|
Capital
Investment : |
Rs. 19.981 Millions |
|
|
|
|
IEC No.: |
0607006901 |
|
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|
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TIN No.: |
09300602084 [Uttar Pradesh] 07760326847 [Delhi] 08572115033 [Rajasthan] |
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|
|
|
PAN No.: [Permanent Account No.] |
AFIPG4789H |
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|
|
|
Legal Form : |
Sole Proprietary Concern |
|
|
|
|
Line of Business
: |
Manufacturer, Exporter and Trader of Gold and Silver. |
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|
|
|
No. of Employees
: |
15 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
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 |
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|
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|
Comments : |
Subject is an established proprietary concern having satisfactory
track. The rating takes into consideration concern’s established track record
of business operations supported by decent top line growth and diversified
market presence of the concern. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. The concern 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 willfully 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 PARTED BY
|
Name : |
Mr. Ajay Kumar Garg |
|
Designation : |
Proprietor |
|
Contact No.: |
91-9837352965 |
|
Date : |
15.09.2014 |
LOCATIONS
|
Registered/ Head Office : |
Chobeyji Ka Phatak, Kinari Bazaar, Agra – 282003, Uttar Pradesh, India |
|
Tel. No.: |
91-562-4007528/ 4042948/ 3059224-26/ 3059254-55 |
|
Mobile No.: |
91-9837352965 [Mr.
Ajay Kumar Garg] |
|
Fax No.: |
91-562-4044087 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Branch Office 1 : |
1170/ 1240, 3rd
Floor, Kucha Mahajani, Chandni Chowk, Delhi – 110006,
India |
|
Tel. No.: |
91-11-30171085 |
|
|
|
|
Branch Office 2 : |
57, Soni
Ni Khidki, Manek Chowk, Ahmedabad - 380001,
Gujarat, India |
|
Tel. No.: |
91-79-22147409 |
|
Fax No.: |
91-79-22113355 |
|
|
|
|
Branch Office 3 : |
111, Chota
Sarafa, Zavar Complex, Indore, Madhya Pradesh, India |
|
|
|
|
Branch Office 4 : |
63, 3rd Floor, M.I. Road, Govind
Ram Building, Jaipur, Rajasthan, India |
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|
|
|
Branch Office 5 : |
Shop No.2, 3rd Floor, No. 32/2, Vijaya
Complex, C T Street, Cross Rettappa Lane,
Bangalore, Karnataka, India |
SOLE PROPRIETOR
|
Name : |
Mr. Ajay Kumar Garg |
|
Designation : |
Proprietor |
|
Address : |
203A, Pushpanjali Tower, Extension, Delhi
Gate, Agra, Uttar Pradesh, India |
|
Date of Birth/Age : |
09.12.1978 |
|
Qualification : |
Graduate |
|
Experience : |
More than 2 Decades |
|
PAN No.: |
AFIPG4789H |
|
Voter ID : |
SZX1359611 |
|
Passport No.: |
H0983778 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer, Exporter and Trader of Gold and Silver. |
|
|
|
|
Terms : |
|
|
Selling : |
L/C, Cash and Credit [30 days] |
|
|
|
|
Purchasing : |
L/C, Cash and Credit [30 days] |
GENERAL INFORMATION
|
Suppliers : |
· MCS Trading Company Private Limited Shivam Traders Jewar Kothi Kela Devi Ornaments P.C.K. Jewellers S.K. Jewellers Sequel Logistics Private Limited Arushi Chain and Jewellery |
|||||||||||||||||||||||||||
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|||||||||||||||||||||||||||
|
Customers : |
Retailers and Others · Aimr Jewels Private Limited Radha Mohan Purshottam Das Jewels Private
Limited Om Commodity Trading (India) Private
Limited MMTC Limited MMTC Pamp India Private Limited |
|||||||||||||||||||||||||||
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No. of Employees : |
15 (Approximately) |
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Bankers : |
· HDFC Bank Limited Sanjay Place, Agra, Uttar Pradesh, India · State Bank of India Chhipitola, Agra, Uttar Pradesh, India · Axis Bank Limited Sanjay Place, Agra, Uttar Pradesh, India |
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Facilities : |
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|||||||||||||||||||||||||||
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Banking Relations
: |
-- |
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|
|
|
Auditors : |
|
|
Name : |
Tandon Mital and
Associates Chartered Accountants |
|
Address : |
F-5, Narayan Tower, Sanjay Place, Agra,
Uttar Pradesh, India |
|
Tel. No.: |
91-562-4004525 |
|
|
|
|
Associates : |
·
Om Commodity Trading
India Private Limited Shaurya Infracon Private Limited Crystal Infradevelopers Private
Limited |
CAPITAL STRUCTURE
AS ON 31.03.2014 [CONSOLIDATED]
|
Capital Investment : |
|
|
Owned : |
Rs. 19.981 Millions |
|
Borrowed : |
-- |
|
Total : |
Rs. 19.981 Millions |
FINANCIAL DATA
[all figures are in
Rupees Millions]
Note : Sole Proprietary and Partnership concerns
are exempted from filing their financials with the Government Authorities or
Registry.
CONSOLIDATED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Proprietor’s Capital |
19.981 |
26.117 |
20.295 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
19.981 |
26.117 |
20.295 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
49.994 |
50.585 |
71.152 |
|
|
2] Unsecured Loans |
3.913 |
0.390 |
8.840 |
|
|
TOTAL BORROWING |
53.907 |
50.975 |
79.992 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
73.888 |
77.092 |
100.287 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1.702 |
2.004 |
2.356 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.020 |
32.453 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
129.694
|
90.490 |
70.385 |
|
|
Sundry Debtors |
53.467
|
19.180 |
13.593 |
|
|
Cash & Bank Balances |
43.946
|
5.248 |
47.617 |
|
|
Other Current Assets |
0.109
|
0.000 |
0.000 |
|
|
Loans & Advances |
2.229
|
9.779 |
32.848 |
|
Total
Current Assets |
229.445
|
124.697 |
164.443 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
156.229
|
48.697 |
95.117 |
|
|
Other Current Liabilities |
0.436
|
0.000 |
0.000 |
|
|
Provisions |
0.594
|
0.932 |
3.848 |
|
Total
Current Liabilities |
157.259
|
49.629 |
98.965 |
|
|
Net Current Assets |
72.186
|
75.068 |
65.478 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
73.888 |
77.092 |
100.287 |
|
CONSOLIDATED
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Sales |
18590.650 |
18078.730 |
13842.381 |
|
|
|
Other Income |
0.859 |
3.866 |
5.548 |
|
|
|
TOTAL |
18591.509 |
18082.596 |
13847.929 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of goods sold |
18568.597 |
18063.072 |
13827.932 |
|
|
|
Exchange rate differences |
0.200 |
0.000 |
0.000 |
|
|
|
Manufacturing wages |
3.183 |
0.000 |
0.000 |
|
|
|
Export freight |
0.342 |
0.000 |
0.000 |
|
|
|
Insurance and Other expenses |
0.510 |
0.082 |
0.008 |
|
|
|
Bank charges |
0.870 |
1.123 |
4.641 |
|
|
|
Bank Interest on OD |
2.215 |
0.000 |
0.000 |
|
|
|
Car Running and Maintenance Expense |
0.142 |
0.060 |
0.057 |
|
|
|
Commission |
0.339 |
0.000 |
0.000 |
|
|
|
Delivery and Vaulting Agent charges |
0.251 |
0.098 |
0.156 |
|
|
|
Electricity Expenses |
0.165 |
0.129 |
0.112 |
|
|
|
Interest on loan |
0.177 |
0.969 |
0.864 |
|
|
|
MCX loss |
0.343 |
0.000 |
0.086 |
|
|
|
Membership and Subscription |
0.151 |
0.000 |
0.000 |
|
|
|
Petrol and Diesel Expenses |
0.181 |
0.114 |
0.043 |
|
|
|
Rent |
0.238 |
0.096 |
0.134 |
|
|
|
Salary |
2.582 |
1.969 |
1.498 |
|
|
|
Shop and Office Expenses |
0.141 |
0.105 |
0.096 |
|
|
|
Telephone and Communication Expenses |
0.222 |
0.151 |
0.182 |
|
|
|
Other Expenses |
0.316 |
3.956 |
2.453 |
|
|
|
TOTAL |
18581.165 |
18071.924 |
13838.262 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE DEPRECIATION AND AMORTISATION |
10.344 |
10.672 |
9.667 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
0.303 |
0.361 |
0.429 |
|
|
|
|
|
|
|
|
|
|
NET PROFIT |
10.041 |
10.311 |
9.238 |
|
CONSOLIDATED KEY
RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
0.05
|
0.06 |
0.07 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.05
|
0.06 |
0.07 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.34
|
8.14 |
5.54 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.50
|
0.39 |
0.46 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
2.70
|
1.95 |
3.94 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.46
|
2.51 |
1.66 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particulars |
31.03.2012
[Consolidated] |
31.03.2013
[Consolidated] |
31.03.2014
[Consolidated] |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Proprietor’s Capital |
20.295 |
26.117 |
19.981 |
|
Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
Net
worth |
20.295 |
26.117 |
19.981 |
|
|
|
|
|
|
Secured Loans |
71.152 |
50.585 |
49.994 |
|
Unsecured Loans |
8.840 |
0.390 |
3.913 |
|
Total
borrowings |
79.992 |
50.975 |
53.907 |
|
Debt/Equity ratio |
3.941 |
1.952 |
2.698 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2012
[Consolidated] |
31.03.2013
[Consolidated] |
31.03.2014
[Consolidated] |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
13842.381 |
18078.730 |
18590.650 |
|
|
|
30.604 |
2.832 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2012
[Consolidated] |
31.03.2013
[Consolidated] |
31.03.2014
[Consolidated] |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
13842.381 |
18078.730 |
18590.650 |
|
Profit |
9.238 |
10.311 |
10.041 |
|
|
0.07% |
0.06% |
0.05% |
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 |
Yes |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
Yes |
|
18] |
Major customers |
Yes |
|
19] |
Payments terms |
Yes |
|
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 |
No |
|
29] |
Last accounts filed at ROC |
No |
|
30] |
Major Shareholders, if
available |
No |
|
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 |
Yes |
|
34] |
External Agency Rating,
if available |
No |
------------------------------------------------------------------------------------------------------------------------------
UNSECURED LOANS
(RS. IN MILLIONS)
|
UNSECURED LOANS |
31.03.2014 (Consolidated) |
31.03.2013 (Consolidated) |
|
|
|
|
|
Meena Garg |
0.054 |
0.054 |
|
Pradeep Agarwal |
0.100 |
0.100 |
|
Ravindra Prasad Tandon HUF |
1.245 |
0.000 |
|
Vijay Kumar Garg |
2.514 |
0.000 |
|
Suresh |
0.000 |
0.183 |
|
Duram Singh Loan |
0.000 |
0.053 |
|
|
|
|
|
Total |
3.913 |
0.390 |
------------------------------------------------------------------------------------------------------------------------------
COMPUTATION
OF TOTAL INCOME
(RS. IN MILLIONS)
|
PARTICULARS |
31.03.2012 |
||
|
|
|
|
|
|
Income from Business or Profession [Chapter IV D] |
|
|
9.249 |
|
|
|
|
|
|
Profit as per Profit and Loss Account |
|
9.238 |
|
|
Add: |
|
|
|
|
Depreciation debited in P&L A/c |
|
0.429 |
|
|
Donation |
|
0.011 |
|
|
|
|
|
|
|
Total |
|
9.678 |
|
|
|
|
|
|
|
Less: |
|
|
|
|
Depreciation as per Chart u/s 32 |
0.429 |
|
|
|
|
|
0.429 |
|
|
|
|
9.249 |
|
|
|
|
|
|
|
Income from Other Sources [Chapter IV F] |
|
|
0.037 |
|
|
|
|
|
|
Interest from Bank |
|
0.002 |
|
|
Interest NSC Rs.
0.030 Million, 6th Year @ 12.08% F.Y. 2005-2006 |
|
0.004 |
|
|
Interest from Parties |
|
0.015 |
|
|
Interest on FDR |
|
0.016 |
|
|
|
|
|
|
|
|
|
0.037 |
|
|
|
|
|
_________ |
|
Gross Total Income |
|
|
9.286 |
|
|
|
|
|
|
Less: Deductions [Chapter VI-A] |
|
|
|
|
u/s 80C |
|
|
|
|
L.I.P. |
0.097 |
|
|
|
|
|
0.097 |
|
|
u/s 80 D [Payment Rs.
0.008 Million] |
|
0.008 |
|
|
u/s 80 G Donation |
|
|
|
|
Eligible for 50% |
0.100 |
|
|
|
Eligible Deduction |
|
0.050 |
|
|
|
|
|
0.155 |
|
|
|
|
|
|
Total Income |
|
|
9.131 |
|
Round off u/s 288 A |
|
|
9.131 |
|
|
|
|
|
|
Tax Due |
2.591 |
|
|
|
Educational Cess |
0.078 |
|
|
|
|
2.669 |
|
|
|
T.D.S. |
0.503 |
|
|
|
|
2.166 |
|
|
|
Advance Tax |
2.300 |
|
|
|
|
(0.134) |
|
|
|
Interest u/s 234 A/B/C |
0.007 |
|
|
|
|
(0.127) |
|
|
|
|
|
|
|
|
Refundable [Round off u/s 288 B] |
0.127 |
|
|
------------------------------------------------------------------------------------------------------------------------------
CREDIT
FACILITIES [PROPOSED]
(RS. IN MILLIONS)
|
SR. NO. |
TYPE OF
FACILITIES |
AMOUNT |
PURPOSE FOR
WHICH REQUIRED |
SECURITY OFFERED |
|
|
|
|
|
|
PRIMARY SECURITY
[DETAILS WITH APPROX. VALUE TO BE MENTIONED] |
WHETHER
COLLATERAL SECURITY OFFERED [PLEASE MENTION YES OR NO] [IF YES, THEN PROVIDE
DETAILS] |
|
|
|
|
|
|
|
|
1 |
Cash Credit |
150.000 |
For Jewellery Division |
Stock of raw material, finished goods and book debts |
Yes |
|
|
|
|
|
|
|
Details of collateral security offered if any including 3rd
party guarantee*
[* As per RBI guidelines banks are not to take
collateral security for loans upto Rs. 0.500 Million to MSME units]
------------------------------------------------------------------------------------------------------------------------------
STATEMENT
OF ASSETS AND LIABILITIES
MR. AJAY KUMAR GARG
(RS. IN MILLIONS)
DETAILS
OF ASSETS
IMMOVABLE PROPERTY
|
ASSETS |
OWN/ JOINT NAME |
FREEHOLD OR LEASEHOLD |
LOCATION/ ADDRESS |
PRESENT VALUE |
|
|
|
|
|
|
|
Non Agri. Land |
|
|
|
|
|
i. Commercial |
Own Own |
Freehold Freehold |
Jalesar Jalesar |
10.000 19.000 |
|
|
|
|
|
|
|
ii. Residential |
-- |
-- |
-- |
-- |
|
|
|
|
|
|
|
Flat / House |
Own |
Freehold |
203, Pushpanjali Tower Extension, Agra |
3.500 |
|
|
|
|
|
|
|
Agri. Land |
-- |
-- |
-- |
-- |
|
|
|
|
|
|
|
Others |
-- |
-- |
-- |
-- |
MOVABLE PROPERTY
INSURANCE POLICIES
|
Name of the Company and Branch |
Rs. in Millions |
|
Bajaj Allianz |
0.175 |
|
|
|
JEWELLERY
|
PARTICULARS |
Rs. in Millions |
|
Gold |
0.300 |
|
|
|
CAPITAL INVESTED
IN BUSINESS
|
Name of the Firm/ Company |
Rs. in Millions |
|
Om Commodity Trading Company |
50.200 |
|
|
|
LIABILITIES
|
Borrowed from |
Amount of Loan |
|
Market |
2.000 |
|
|
|
LEGAL
HEIRS / FAMILY
|
Name |
Occupation |
Relation |
Age |
Marital Status |
Address |
|
|
|
|
|
|
|
|
Jyoti Agarwal |
Business |
Wife |
32 Years |
Married |
203-A, Pushpanjali Tower Ext. Delhi Gate,
Agra |
|
|
|
|
|
|
|
|
Miti Agarwal |
Student |
Daughter |
8 Years |
-- |
203-A, Pushpanjali Tower Ext. Delhi Gate,
Agra |
|
|
|
|
|
|
|
|
Aman Agarwal |
Student |
Son |
6 Years |
-- |
203-A, Pushpanjali Tower Ext. Delhi Gate,
Agra |
------------------------------------------------------------------------------------------------------------------------------
PROFILE
OF THE CONCERN
|
Whether it is New / Expansion Modernization / Shifting or
Diversification Project |
Diversification Project - Jewellery Division |
|
|
|
|
Limit Required |
CC/OD OF Rs.240.000 Millions |
|
|
|
|
Marketing Aspects |
Very Encouraging |
|
|
|
|
Technical Aspects |
It Is Parental Business. Proprietor is engaged in the same nature of business since more than
15 years and has full knowledge about the intricacies of the business |
|
|
|
|
Primary Security |
Stock of Raw Matertal (Gold), Finished Goods
(Jewellery), and Book Debts |
|
|
|
|
Collateral Security |
Properties in the name of proprietor, his family members and friends |
|
|
|
|
Turnover Last Year |
Rs. 269.332 Millions (Jewellery
Division) |
|
|
|
|
Turnover Current Year |
Rs. 678.926 Millions (Jewellery
Division) (Till Date 02.06.2014) |
PROPOSAL FOR
SANCTION OF CC/OD LIMIT
OM COMMODITY TRADING CO. - a Proprietorship concern of Shri Ajay Kumar Garg - having its
Head Office at Chobeyji - Ka - Phatak,
Kinari Bazar Agra was
established in the year 2003-04.
The concern is in the business of Trading of Gold and Silver and has
recently entered into the business of Gold Jewellery
and has a good reputation in the said field throughout the country and is
presently operating through the head office at Agra and branches established in
Delhi, Ahmedabad, Indore, Jaipur and Bangalore.
GOLD AND
SILVER
The main business activity of the concern since its establishment has
been that of trading of Gold and Silver. The main purchases of the concern are
from the banks such as HDFC Bank Limited, ICICI Bank Limited or Government
Agencies such as MMTC, State Trading Corporation of India, MMTC PAMP etc. The
pricing of Gold and Silver is fixed by the bank or the movement agency as soon
as Gold and Silver is imported by them and the concern purchases the same from
the said agencies / banks at the price fixed by them. Gold and Silver so
purchased by the concern is sold to various parties or in the open market"
To hedge against the future risks the concern makes purchases and sales in the
future market to avoid losses due to price fluctuations in the market'
JEWELLERY
Apart from trading in Gold and Silver the concern is also involved in
the business of Jewellery. Looking to the vast
potential in exports, the concern entered into the business of exports of Gold Jewellery since January 2Ot4 through separate Jewellery Division and within a short span of time i.e.
during the first three months was able to achieve turnover to the tune of Rs. 269.332 Millions. During the first quarter of the
current year (2014-15) till 02.06.2014 the total turnover of Gold Jewellery has been to the tune of Rs.
678.926 Millions. The concern has large open orders for export in hand and it
is expected that during the FY: 2014-15 the total turnover of Jewellery - both exports and domestic - shall be to the
tune of Rs. 11310.000 Millions.
WORKING CAPITAL
REOUIREMENTS
For the purpose of the working capital for its Jewellery
Division the concern requires a CC/OD limit of Rs.
240.000 Millions. The relevant "CMA DATA" is annexed for the
consideration of bank.
PRIMARY AND
COLLATERAL SECURITY
While the Primary security shall be the stock of Raw Material (Gold),
Finished Goods (Jewellery) and Book Debts, Collateral
security shall be that of land holdings and properties in the name of
proprietor, his family members and friends.
RISKS ASSOCIATED
TO THE BUSINESS
There are no major risks involved in the business. All the purchases
made are fully insured and are delivered at the business premises of the
concern through security agencies. All the sales made are delivered to the
purchasers either at the premises of the concern upon the risk of the
purchasers or are supplied through security agencies to the customers. As far
as exports of jewellery are concerned all the goods
are delivered to the foreign buyers through security agencies after
confirmation from the concern of transfer of funds to the bank account of the
concern by the foreign buyers.
COPIES OF EXPORT
ORDERS FOR JEWELLERY
Copies of Export orders for jewellery received
by the concern are being furnished. The concern has open orders for the export
of jewellery considering the quality of jewellery supplied in the past. The proposal appears to be
viable based on the estimates furnished by the proprietor. Necessary finance
may be granted by the bank keeping into consideration various RBI Guidelines
and other banking norms
------------------------------------------------------------------------------------------------------------------------------
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.
------------------------------------------------------------------------------------------------------------------------------
FIXED ASSETS
· Machinery
Furniture
Computer
Vehicles
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 records 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 records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l Anti-Money
Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 60.99 |
|
|
1 |
Rs. 99.10 |
|
Euro |
1 |
Rs. 79.03 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
BVA |
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 |
5 |
|
--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 |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
45 |
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 |
-- |
xThis report is issued at your request without any risk
and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its
officials.