MIRA INFORM REPORT
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Report No. : |
337561 |
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Report Date : |
24.08.2015 |
IDENTIFICATION DETAILS
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Name : |
jiangsu changqing
agrochemical TRADING Co., Ltd. |
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Registered Office : |
Rm. 2003, Bldg. 3, Shangceng International, Shuntian Road, New Area, Jiangdu District, Yangzhou, Jiangsu Province, 225202 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
03.09.2010 |
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Com. Reg. No.: |
321088000189059 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Subject was commissioned by enterprises for selling pesticide manufactured
by commissioned enterprises; selling the hazard chemicals with Class VIII No.
3 other corrosive substances, Class VIII No. 2 alkaline corrosive substances,
Class VIII No. 1 corrosive acid, Class VI No. 1 toxic chemicals, Class V No.
2 organic peroxides, Class V No. 1 oxidant, Class IV No. 3 flammable when
wet, Class IV No. 2 spontaneous items, Class IV No. 1 flammable solids, Class
III of flammable liquids No. 3 high flash point liquids, Class III of
flammable liquids No. 2 flash point of liquids, Class III of flammable
liquids No. 1 low liquid (excluding toxic chemicals, easy to produce
explosive chemicals, precursor chemicals with Class I and Oil products and
premises shall not be stored hazardous chemicals); common freight (with
permit if needed). Normal operating projects: selling chemical products;
import and export of various goods and technologies. |
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No. of Employees : |
15 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Small Company |
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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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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China |
A2 |
A2 |
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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 |
CHINA - ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. In 2014 the People’s Bank of China (PBOC) doubled the daily trading band within which the RMB is permitted to fluctuate. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2014 stood as the largest economy in the world, surpassing the US that year... Still, per capita income is below the world average.
The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2014 more than 274 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development.
Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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Source
: CIA |
Company
Name & address
jiangsu changqing agrochemical TRADING Co.,
Ltd.
rm. 2003, bldg. 3, shangceng international,
shuntian road, new area, jiangdu district, yangzhou, jiangsu PROVINCE, 225202
PR CHINA
TEL: 86 (0) 514-86882666 FAX: 86 (0) 514-86801486
EXECUTIVE
SUMMARY
INCORPORATION DATE : SEPTEMBER 3, 2010
REGISTRATION NO. :
321088000189059
REGISTERED LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
CHIEF EXECUTIVE :
MR. YU GUOQUAN (CHAIRMAN)
STAFF STRENGTH :
15
REGISTERED CAPITAL :
CNY 50,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 146,240,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 55,220,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY stable
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.40 = USD 1
Adopted
abbreviations:
ANS - amount not stated NS
- not stated SC - subject company (the
company inquired by you)
NA - not available CNY
- China Yuan Renminbi
SC was registered as a One-person Limited Liability Company at local
Administration for industry & commerce (AIC - the official body of issuing
and renewing business license) on Sep. 3, 2010.
Company Status: One-person
Limited Liability Company
Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only invest
in and set up one limited liability company, which is not permitted to
invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes certified business items: SC was
commissioned by enterprises for selling pesticide manufactured by commissioned
enterprises; selling the hazard chemicals with Class VIII No. 3 other corrosive
substances, Class VIII No. 2 alkaline corrosive substances, Class VIII No. 1
corrosive acid, Class VI No. 1 toxic chemicals, Class V No. 2 organic
peroxides, Class V No. 1 oxidant, Class IV No. 3 flammable when wet, Class IV
No. 2 spontaneous items, Class IV No. 1 flammable solids, Class III of
flammable liquids No. 3 high flash point liquids, Class III of flammable
liquids No. 2 flash point of liquids, Class III of flammable liquids No. 1 low
liquid (excluding toxic chemicals, easy to produce explosive chemicals,
precursor chemicals with Class I and Oil products and premises shall not be
stored hazardous chemicals); common freight (with permit if needed). Normal
operating projects: selling chemical products; import and export of various
goods and technologies.
SC is mainly engaged in selling pesticide.
Mr. Yu Guoquan is legal representative and chairman of SC at present.
SC is known to have approx. 15 employees at present.
SC is currently operating at the above stated address, and this address houses
its operating office in the commercial zone of Yangzhou. The detailed
information of the premise is unspecified.
SC is not known to host website of its own at present.
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
Organization Code: 561789363
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jiangsu Changqing Agrochemical Co., Ltd. 100
The company is a listed company in Shenzhen Stock Exchange Market with
the code of 002391.
Registered no.: 320000000041873
Registered capital: CNY 315,305,400
Legal representative: Yu Guoquan
Date of incorporation:
Tel: 0514-86421237
Fax: 0514-86421039
Web: http://www.jscq.com
E-mail: jscq@jscq.com
Legal
representative and Chairman:
Mr. Yu Guoquan, senior economist, born in 1960 with university
education. He is currently responsible for the overall management of SC.
Working
Experience(s):
At present Working
in SC as legal representative and chairman
Also working in Jiangsu Changqing Agrochemical Co., Ltd. as legal
representative, chairman and general manager, and in Hunan Changqing Runkangbao
Agrochemical Co., Ltd., Jiangsu Changqing Animal Medicine Co., Ltd. and Jiangsu
Changqing Agrochemical Nantong Co., Ltd. as legal representative
General
Manager:
Mr. Sun Xialin, born in 1973, with junior college education. He is
currently responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager
Also working in Jiangsu Changqing Agrochemical Co., Ltd. as vice-general
manager
Supervisor:
Huang Nanzhang
SC is mainly engaged in selling pesticide.
SC’s products mainly include: pesticide.
SC sources its materials 100% from domestic market. SC sells 80% of its
products in domestic market, and 20% to overseas market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note: SC’s management declined to release its customer and supplier
details.
Jiangsu Changqing Animal Medicine Co., Ltd.
-------------------------------
Registered no.: 321088000045161
Legal representative: Yu Guoquan
Jiangsu Changqing Agrochemical Nantong Co., Ltd.
------------------------------------
Registered no.: 320623000240909
Legal representative: Yu Guoquan
Incorporation date:
Hunan Changqing Runkangbao Agrochemical Co., Ltd.
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Registered no.: 430900000023294
Legal representative: Yu Guoquan
Registered capital: CNY 16,000,000
Date of incorporation:
Overall payment appraisal : ( )
Excellent ( ) Good
(X) Average ( ) Fair
( ) Poor (
) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment experience : SC did not provide any name of
trade/service suppliers and we have no other sources to conduct the enquiry at
present.
Delinquent payment record : None
in our database.
Debt collection record :No overdue amount owed by SC was placed to us for
collection within the last 6 years.
Bank of China Yangzhou Jiangdu Sub-branch
AC#：480658204732
Relationship: Normal
Balance
Sheet
Unit: CNY’000
|
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as of Dec. 31,
2012 |
as of Dec. 31,
2013 |
|
Cash & bank |
40,100 |
25,210 |
|
Notes receivable |
0 |
7,030 |
|
Inventory |
5,850 |
9,030 |
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Accounts receivable |
27,790 |
25,690 |
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Advances to suppliers |
8,470 |
11,510 |
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Other receivables |
1,320 |
3,790 |
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Trading financial assets |
140 |
0 |
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Other current assets |
20 |
20 |
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------------------ |
------------------ |
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Current assets |
83,690 |
82,280 |
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Fixed assets net value |
1,390 |
1,270 |
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Projects under construction |
0 |
0 |
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Long term investment |
0 |
0 |
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Deferred tax asset |
390 |
430 |
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Other assets |
0 |
0 |
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------------------ |
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Total assets |
85,470 |
83,980 |
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============= |
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Short loans |
0 |
0 |
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Notes payable |
22,730 |
9,380 |
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Accounts payable |
8,870 |
19,370 |
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Other payable |
0 |
0 |
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Taxes payable |
-300 |
-450 |
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Accrued payroll |
300 |
250 |
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Advances from clients |
0 |
210 |
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Other current liabilities |
0 |
0 |
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------------------ |
------------------ |
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Current liabilities |
31,600 |
28,760 |
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Long term liabilities |
40 |
0 |
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------------------ |
------------------ |
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Total liabilities |
31,640 |
28,760 |
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Equities |
53,830 |
55,220 |
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------------------ |
------------------ |
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Total liabilities & equities |
85,470 |
83,980 |
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Income
Statement
Unit: CNY’000
|
|
as of Dec. 31,
2012 |
as of Dec. 31,
2013 |
|
Turnover |
172,680 |
146,240 |
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Cost of goods sold |
166,410 |
140,850 |
|
Sales expense |
4,170 |
2,890 |
|
Management expense |
580 |
690 |
|
Finance expense |
-1,180 |
70 |
|
Other incomes |
80 |
150 |
|
Profit before tax |
2,780 |
1,890 |
|
Less: profit tax |
710 |
500 |
|
Profits |
2,070 |
1,390 |
Important
Ratios
=============
|
|
as of Dec. 31,
2012 |
as of Dec. 31,
2013 |
|
*Current ratio |
2.65 |
2.86 |
|
*Quick ratio |
2.46 |
2.55 |
|
*Liabilities to assets |
0.37 |
0.34 |
|
*Net profit margin (%) |
1.20 |
0.95 |
|
*Return on total assets (%) |
2.42 |
1.66 |
|
*Inventory /Turnover ×365 |
13 days |
23 days |
|
*Accounts receivable/Turnover ×365 |
59 days |
65 days |
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*Turnover/Total assets |
2.02 |
1.74 |
|
* Cost of goods sold/Turnover |
0.96 |
0.96 |
Note: SC’s management declined to release the latest financial
information.
PROFITABILITY:
AVERAGE
The turnover of SC appears fairly good in its line, but it decreased in
2013.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of goods sold is high, comparing with its turnover.
LIQUIDITY: FAIRLY
GOOD
The current ratio of SC is maintained in a fairly good level in both
years.
SC’s quick ratio is maintained in a fairly good level in both years.
The inventory of SC is maintained in an average level.
The accounts receivable of SC appears average in both years.
SC has no short-term loan in both years.
SC’s turnover is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is low.
The risk for SC to go bankrupt is average.
Overall financial condition of the SC: Fairly Stable.
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.83 |
|
|
1 |
Rs.103.39 |
|
Euro |
1 |
Rs.74.27 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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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.