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Report No. : |
316359 |
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Report Date : |
14.04.2015 |
IDENTIFICATION DETAILS
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Name : |
PERFECT GEMS LTD. |
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Registered Office : |
10/F., Tung Fai Building, 27-27A Cameron Road, Tsimshatsui, Kowloon |
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Country : |
Hongkong |
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Date of Incorporation : |
24.05.2011 |
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Com. Reg. No.: |
58408965 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of Diamonds and Gem
Stones. |
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No. of Employees : |
4 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made on
e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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Hongkong |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
HONGKONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on
international trade and finance - the value of goods and services trade,
including the sizable share of re-exports, is about four times GDP. Hong Kong
has no tariffs on imported goods, and it levies excise duties on only four
commodities, whether imported or produced locally: hard alcohol, tobacco,
hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong
Kong's open economy left it exposed to the global economic slowdown that began
in 2008. Although increasing integration with China, through trade, tourism,
and financial links, helped it to make an initial recovery more quickly than
many observers anticipated, its continued reliance on foreign trade and
investment leaves it vulnerable to renewed global financial market volatility
or a slowdown in the global economy. The Hong Kong government is promoting the
Special Administrative Region (SAR) as the site for Chinese renminbi (RMB)
internationalization. Hong Kong residents are allowed to establish
RMB-denominated savings accounts; RMB-denominated corporate and Chinese
government bonds have been issued in Hong Kong; and RMB trade settlement is
allowed. The territory far exceeded the RMB conversion quota set by Beijing for
trade settlements in 2010 due to the growth of earnings from exports to the
mainland. RMB deposits grew to roughly 12% of total system deposits in Hong
Kong by the end of 2013. The government is pursuing efforts to introduce
additional use of RMB in Hong Kong financial markets and is seeking to expand
the RMB quota. The mainland has long been Hong Kong's largest trading partner,
accounting for about half of Hong Kong's total trade by value. Hong Kong's
natural resources are limited, and food and raw materials must be imported. As
a result of China's easing of travel restrictions, the number of mainland
tourists to the territory has surged from 4.5 million in 2001 to 40.7 million
in 2013, outnumbering visitors from all other countries combined. Hong Kong has
also established itself as the premier stock market for Chinese firms seeking
to list abroad. In 2012 mainland Chinese companies constituted about 48.5% of
the firms listed on the Hong Kong Stock Exchange and accounted for about 56.9%
of the Exchange's market capitalization. During the past decade, as Hong Kong's
manufacturing industry moved to the mainland, its service industry has grown
rapidly. Credit expansion and tight housing supply conditions have caused Hong
Kong property prices to rise rapidly; consumer prices increased by more than 4%
in 2013. Lower and middle income segments of the population are increasingly
unable to afford adequate housing. Hong Kong continues to link its currency
closely to the US dollar, maintaining an arrangement established in 1983. In
2013, Hong Kong and China signed new agreements under the Closer Economic
Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong
and the mainland. The new measures, effective from January 2014, cover services
and trade facilitation, and will improve access to the mainland's service
sector for Hong Kong-based companies. As of year-end 2014, the Democracy
protests that began in late September probably will have some adverse effects
on economic growth, particularly retail sales.
|
Source
: CIA |
PERFECT
GEMS LTD.
ADDRESS: 10/F.,
Tung Fai Building, 27-27A Cameron Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2367
7667, 2367 7227
E-MAIL: pritigems@gmail.com
Managing Director:
Mr. Nayan Vahalchand Shah
Incorporated on: 24th May, 2011.
Organization: Private Limited Company.
Issued Share Capital: HK$10,000,000.00
Business Category: Gem
& Diamond Trader.
Employees: 4.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
10/F., Tung Fai Building, 27-27A Cameron Road,
Tsimshatsui, Kowloon, Hong Kong.
Associated Company:-
Priti Gems Co. Ltd., Japan.
58408965
1606029
Managing Director:
Mr. Nayan Vahalchand Shah
HK$10,000,000.00
(As per registry
dated 24-05-2014)
|
Name |
|
No. of share |
|
Nayan Vahalchand SHAH |
|
10,000,000 ======== |
(As per registry
dated 24-05-2014)
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Name (Nationality) |
Address |
|
Nayan Vahalchand SHAH |
Flat A, 18/F., Tower 2, Lions Rise, 8 Muk Lun Street, Wong
Tai Sin, Kowloon, Hong Kong. |
(As per registry
dated 24-05-2014)
|
Name |
Address |
Co. No. |
|
Cbest Solutions Ltd. |
Suite 705, 7/F., Empress Plaza, 17-19 Chatham Road
South, Tsimshatsui, Kowloon, Hong Kong. |
1295959 |
The subject was
incorporated on 24th May, 2011 as a private limited liability company under the
Hong Kong Companies Ordinance.
Apart from these, neither material change nor amendment
has been ever traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All kinds
of diamonds and gem stones.
Employees: 4.
Commodities Imported: India,
other Asian countries, Europe, etc.
Markets: Hong
Kong, China, Japan, other Asian countries, etc.
Terms/Sales: L/C,
T/T, etc.
Terms/Buying: L/C,
T/T, D/P, etc.
Issued Share Capital: HK$10,000,000.00
Indebtedness:
HK$6,630,605.00 (Total amount outstanding on all mortgages and charges
as per last Annual Return dated 24-05-2014)
Mortgage or Charge:
(See attachment)
Profit or Loss: Made
small profits in 2013 & 2014.
Condition: Business
is normal.
Facilities: Making
active use of general banking facilities.
Payment: Met trade
commitments as required.
Commercial Morality:
Satisfactory.
Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
Having issued
10,000,000 ordinary shares of HK$1.00 each, Perfect Gems Ltd. is wholly owned
by Mr. Nayan Vahalchand Shah who is an Indian.
Being the only director of the subject, Shah currently is residing in
Hong Kong. Now, he is a Hong Kong
ID Card holder and has got the right to reside in Hong Kong
permanently. Formerly, he resided in
Tokyo, Japan.
The subject formerly
shared its office with another firm Forever Lucky Diamond Ltd. [Forever Lucky]
located at 10/F., Tung Fai Building, 27‑27A Cameron Road,
Tsimshatsui, Kowloon, Hong Kong. Now,
Forever Lucky has moved out and the office is solely occupied by the subject.
The subject is a
diamond and gemstone importer, exporter and wholesaler. It is trading in loose, polished and cut
diamonds. It also carries colour stones
in emerald, ruby, and sapphire (pink sapphire, yellow sapphire, blue sapphire,
green garnet [Tsavorite], princess cut, marquise, ovals, round and fancy
sapphire) and also semi precious stones like blue topaz, amethyst, citrine,
peridot, aquamarine, garnet, etc.
The subject is
specialized in accurately regulated assortments of stars & Melees,
exceptional diamonds from pointers to large Carat-size & also have a very broad
selection of GIA-Certificate stones both in Brilliant Cut & Fancy shapes.
It has set up offices
in Mumbai, Tel-Aviv, Antwerp. It is able
to offer customers with goods of good quality at competitive prices.
Most of the
commodities are imported from India, the other Asian countries, Europe,
etc. Prime markets are Hong Kong, Japan
and the other Asian countries. Business
is normal.
The subject has also
got an associated company in Tokyo, Japan known as Priti Gems Co. Ltd.
The subject’s history
in Hong Kong is about four years.
On the whole,
consider it good for normal business engagements in small credit amounts.
|
Date |
Particulars |
Amount |
|
13-07-2013 |
Instrument: Assignment of Life Insurance Property: (1) All the
Assignor’s claims under the Insurance: Insurance Policy No: 28006589 Name of Insurance Co.: HSBC Life (International) Ltd. Name of the Insured: Shan Priti Nayan Assignor / Policy Owner: Perfect Gems Ltd. (2) All the
Assignor’s claims against the issuer of the Policy Mortgagee: The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong. |
(i) All and any monies in any currency owing by the
Assignor to the Bank (ii) interest on such monies (iii) all monies paid by
the Bank in respect of the Policy |
|
23-08-2013 |
Instrument: Assignment of Life Insurance Property: (1) All the
Assignor’s claims under the Insurance: Insurance Policy No: 28006929-50 Name of Insurance Co.: HSBC Life (International) Ltd. Name of the Insured: Shan Nayan Vahalchand Assignor / Policy Owner: Perfect Gems Ltd. (2) All the
Assignor’s claims against the issuer of the Policy Mortgagee: The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong. |
(i) All and any monies in any currency owing by the Assignor
to the Bank (ii) interest on such monies (iii) all monies paid by the Bank in
respect of the Policy |
DIAMOND INDUSTRY – INDIA
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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.
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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.
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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.
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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.
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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.
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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.
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Excerpts from Times of India dated 30th
October 2010 is as under –
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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.
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The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.37 |
|
|
1 |
Rs.91.60 |
|
Euro |
1 |
Rs.66.49 |
INFORMATION DETAILS
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Analysis Done by
: |
RAS |
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Report Prepared
by : |
NIT |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
-- |
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This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.