MIRA INFORM REPORT

 

 

Report No. :

355274

Report Date :

21.12.2015

 

IDENTIFICATION DETAILS

 

Name :

SANSKAR JEWELS PRIVATE LIMITED (w.e.f. 11.06.2012)

 

 

Formerly Known As :

SANSKAR JEWELS LIMITED (w.e.f. 05.03.2007)

 

SANSKAR IMPORT AND EXPORTS LIMITED

 

SANSKAR IMPORT AND EXPORTS PRIVATE LIMITED

 

 

Registered Office :

BW-4120, Bharat Diamond Bourse, Bandra Kurla Complex, Bandar (East), Mumbai-400051, Maharashtra

Tel. No.:

91-22-23682131

 

 

Country :

India

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

08.09.1999

 

 

Com. Reg. No.:

11-121662

 

 

Capital Investment / Paid-up Capital :

Rs. 6.619 Million

 

 

CIN No.:

[Company Identification No.]

U36912MH1999PTC121662

 

 

IEC No.:

0399042610

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not  Available

 

 

PAN No.:

[Permanent Account No.]

AAECS0950Q

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer, Exporter and Importer of all types of Jewellery and Diamonds. (Confirmed by Management)

 

 

No. of Employees :

10 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (42)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 113400

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Sanskar Jewels Private Limited is engaged in manufacturing, exporting and importing of jewellery and diamonds. It was incorporated in September, 1999.

 

The rating on company reflects its above-average financial risk profile, marked by moderate net worth and gearing, and healthy debt protection metrics.

 

The rating also takes consideration on company’s experienced promoters and long established track record of company’s business operations.

 

This rating strength is partially offset by company’s susceptibility to intense competition in the gold jewellery retail segment and the vulnerability of its revenue and margins to fluctuations in gold and diamond prices.

 

However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct.

 

In view of aforesaid, the company can be considered for business dealings with usual trade term 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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

NOT AVAILABLE

 

 

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 31-03-2015.

 

INFORMATION PARTED BY

 

Name :

Mr. Mahendra Nihalchand Surana

Designation :

Director

Contact No.:

91-9820092252

Date :

18.12.2015

 

 

LOCATIONS

 

Registered Office/ Factory :

BW-4120, Bharat Diamond Bourse, Bandra Kurla Complex, Bandar (East), Mumbai-400051, Maharashtra, India

Tel. No.:

91-22-23682131/ 33928466/ 67

Mobile No.:

91-9820092252 (Mr. Mahendra Nihalchand Surana)

Fax No.:

91-22-23682131

E-Mail :

panki84@yahoo.com

mumbai@sanskarjewels.com

Website :

http://www.sanskarjewels.com

Area :

300 Sq. Ft

Location :

Owned

Locality :

Commercial

 

 

Branch Office :

421, HDC Building, Hathfaliya, Mahidharpura, Surat-395003, Gujarat, India

Tel. No.:

91-261-2609831

E-Mail :

surat@sanskarjewels.com 

Area :

100 Sq. Ft

Location :

Rented

Locality :

Commercial

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Mr. Rajendra Nihalchand Surana

Designation :

Director

Address :

603, Bhishma CHS Limited., Vishal Nagar, Marve Road, Malad (West), Mumbai- 400064, Maharashtra, India

Date of Birth/Age :

20.09.1968

Qualification :

Graduate

Experience :

23 Years

Date of Appointment :

08.09.1999

PAN No.:

ABAPS7795M

DIN No.:

00213534

 

 

Name :

Mr. Mahendra Nihalchand Surana

Designation :

Director

Address :

604, Bhishma CHS Limited., Vishal Nagar, Marve Road, Malad (West), Mumbai- 400064, Maharashtra, India

Date of Birth/Age :

16.12.1975

Qualification :

Graduate

Experience :

15 Years

Date of Appointment :

20.12.2003

PAN No.:

AFAPS0184C

DIN No.:

00230237

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2014

 

Names of Shareholders

 

No. of Shares

 

Rajendra N. Surana

 

104600

Beena R. Surana

 

151100

Rajendra N. Surana (HUF)

 

5200

Rebha Investments Private Limited, India 

 

84500

Anita M. Surana

 

101000

Mahendra N. Surana

 

108000

Kusumlata N. Surana

 

25000

Nihalchand Surana

 

25000

Aakansha R. Surana

 

10000

Aayussh R. Surana

 

19000

Mahendra N. Surana (HUF)

 

28500

Total

 

661900

 

 

AS ON 30.09.2014

 

Equity Share Breakup

Percentage of Holding

Category

 

Bodies corporate

12.77

Directors or relatives of directors

87.23

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Importer of all types of Jewellery and Diamonds. (Confirmed by Management)

 

 

Products :

ITC Code No.

 

Product Descriptions

71022990

Dealing in Diamonds, Precious and Semi Precious

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

 

Products :

Diamonds Jewellery

Countries :

·         Dubai

·         Hong Kong

·         USA

 

 

Imports :

 

Products :

Rough Diamond and Jewellery

Countries :

·         Belgium

·         Hong Kong

 

 

Terms :

 

Selling :

Cash and Credit (30 days)

 

 

Purchasing :

Cash and Credit (30 days)

 

 

PRODUCTION STATUS: NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference:

Yash Gems BVBA (Belgium)

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

Customers :

Retailers and End Users

 

Reference:

Notandas and Sons Jewellers

Name of the Person (Designation):

Mr. Nirav Parekh (Accountant)

Contact Number:

91-9821926311

Since how long known:

9 Years

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

He informed that we are satisfied with Product Quality and Delivery behaviour.

 

 

No. of Employees :

10 (Approximately)

 

 

Bankers :

Bank Name:

IDBI Bank Limited

Branch:

31, Profit Center, 90 Feet Road, Mahavir Nagar, Kandivali (West), Mumbai-400067, Maharashtra, India

Person Name (with Designation):

Mr. Parvati Ahir (Assistant Manager)

Contact Number:

91-9773838133

Name of Account Holder:

Sanskar Jewels Private Limited

Account Number:

0190102000014492

Account Since (Date/ Year of A/c Opening):

1st July 2015

Average Balance Maintained (Optional):

Not Divulged

Credit Facilities Enjoyed (CC/OD/Term Loan):

Not Divulged

Account Operation:

Good

Remarks:

As claimed by Ms. Parvati Ahit (Assistant Manager) that subject is having good record for banking transaction.

 

Bank Name:

Indusind Bank Limited

Branch:

Indusind House, 425, D.B. Marg, Opera House, Mumbai-400004, Maharashtra, India

Person Name (with Designation):

Mr. Dilip Samal (Relationship Manager)

Contact Number:

91-9833565294

Name of Account Holder:

Sanskar Jewels Private Limited

Account Number:

200000250797

Account Since (Date/ Year of A/c Opening):

10TH October 2005

Average Balance Maintained (Optional):

Rs. 0.300 Million (Approx)

Credit Facilities Enjoyed (CC/OD/Term Loan):

Not Divulged

Account Operation:

Satisfactory

Remarks:

As claimed by Mr. Dilip Samal (Relationship Manager) that subject is very good track record for banking transaction

 

Bank Name:

Kotak Mahindra Bank Limited

Branch:

G-34, Ground Floor, Aderbad Building, Huges Road, Opera House, Mumbai-400007, Maharashtra, India

Person Name (with Designation):

Ms. Jyoti Mhaskar (Relationship Manager)

Contact Number:

91-9820663675

Name of Account Holder:

Sanskar Jewels Private Limited

Account Number:

550011007078

Account Since (Date/ Year of A/c Opening):

22nd March 2000

Average Balance Maintained (Optional):

Not Divulged

Credit Facilities Enjoyed (CC/OD/Term Loan):

Not Divulged

Account Operation:

Satisfactory

Remarks:

As claimed by Ms. Jyoti Mhaskar (Relationship Manager) that subject is having very good track record for banking transaction.

 

 

Facilities :

SECURED LOANS

31.03.2015

(Rs. In Million)

31.03.2014

(Rs. In Million)

SHORT TERM BORROWINGS

 

 

Overdraft account with ING Vysya Bank Limited

22.363

21.731

 

 

 

Total

22.363

21.731

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Chordiya Naveen and Company

Chartered Accountants

Address :

Office No-25, Kamla Bhavan, Garware Chowk, Andheri (East), Mumbai-400069, Maharashtra, India

Tel. No.:

91-22-32400926

Fax No.:

91-22-67105048

E-Mail :

naveen1075@gmail.com

Income-tax PAN of auditor or auditor's firm :

ACTPC8058P

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Associates/Subsidiaries :

Not Available

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2015

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1,000,000

Equity Shares

Rs. 10/- each

Rs. 10.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

661,900

Equity Shares

Rs. 10/- each

Rs. 6.619 Million

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2015

31.03.2014

31.03.2013

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

6.619

6.619

6.619

(b) Reserves & Surplus

33.079

32.627

31.528

(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)

39.698

39.246

38.147

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

9.000

0.000

5.000

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

9.000

0.000

5.000

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

22.363

21.731

18.962

(b) Trade payables

37.145

33.364

98.139

(c) Other current liabilities

0.369

0.106

0.039

(d) Short-term provisions

0.000

0.000

0.000

Total Current Liabilities (4)

59.877

55.201

117.140

 

 

 

 

TOTAL

108.575

94.447

160.287

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

11.810

0.178

7.179

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.514

0.000

0.016

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.011

0.011

0.000

(d)  Long-term Loan and Advances

0.000

0.000

0.000

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

12.335

0.189

7.195

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

10.299

43.729

14.376

(c) Trade receivables

80.977

0.000

85.434

(d) Cash and cash equivalents

0.896

7.238

14.664

(e) Short-term loans and advances

4.068

43.291

38.618

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

96.240

94.258

153.092

 

 

 

 

TOTAL

108.575

94.447

160.287

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2015

31.03.2014

31.03.2013

 

SALES

 

 

 

 

 

Revenue from Operations

119.376

140.845

236.190

 

 

Other Income

0.412

4.091

2.339

 

 

TOTAL                                     (A)

119.788

144.936

238.529

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

112.356

126.417

207.712

 

 

Labour Charges

0.000

0.062

10.210

 

 

Foreign Exchange Fluctuations

0.090

10.629

13.050

 

 

Employees benefits expense

1.552

1.553

1.516

 

 

Other expenses

1.954

1.814

2.585

 

 

TOTAL                                     (B)

115.952

140.475

235.073

 

 

 

 

 

 

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

3.836

4.461

3.456

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

2.893

2.830

2.588

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

0.943

1.631

0.868

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

0.047

0.041

0.047

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

0.896

1.590

0.821

 

 

 

 

 

Less

TAX                                                                  (H)

0.330

0.491

0.255

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

0.566

1.099

0.566

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

20.046

68.795

NA

 

TOTAL IMPORTS

20.046

68.795

NA

 

 

 

 

 

 

Earnings Per Share (Rs.)

0.85

1.66

0.86

 

Expected Sales (2015-2016): Rs. 250.000 Million (Due to Market Fluctuation)

 

The above information has been parted by Mr. Mahendra Nihalchand Surana (Director)

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2015

31.03.2014

31.03.2013

Current Maturities of Long term debt

NA

NA

NA

 

 

 

 

Cash Generated from Operations

NA

NA

NA

 

 

 

 

Net Cash Flow from used in Operations

NA

NA

NA

 

 

KEY RATIOS

 

 

PARTICULARS

 

 

31.03.2015

31.03.2014

31.03.2013

Net Profit Margin

(PAT / Sales)

(%)

0.47

0.78

0.24

 

 

 

 

 

Operating Profit Margin

(PBDIT/Sales)

(%)

3.21

3.17

1.46

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.83

1.68

0.51

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.02

0.04

0.02

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.79

0.55

0.63

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.61

1.71

1.31

 

 

 

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

6.619

6.619

6.619

Reserves & Surplus

31.528

32.627

33.079

Money received against share warrants

0.000

0.000

0.000

Share Application money pending allotment

0.000

0.000

0.000

Net worth

38.147

39.246

39.698

 

 

 

 

Long-term borrowings

5.000

0.000

9.000

Short term borrowings

18.962

21.731

22.363

Total borrowings

23.962

21.731

31.363

Debt/Equity ratio

0.628

0.554

0.790

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

236.190

140.845

119.376

 

 

(40.368)

(15.243)

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

236.190

140.845

119.376

Profit

0.566

1.099

0.566

 

0.24%

0.78%

0.47%

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report

(Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

Yes

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

Yes

12

Voter Id Card No. of Proprietor / Partners

No

13

Type of business

Yes

14

Line of Business

Yes

15

Export/import details (if applicable)

Yes

16

No. of employees

Yes

17

Details of sister concerns

No

18

Major suppliers

Yes

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

Yes

22

Conduct of the banking account

Yes

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

Yes

28

Estimation for coming financial year

Yes

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

No

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

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 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.

 

 

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

 

 

UNSECURED LOANS

 

PARTICULARS

31.03.2015

(Rs. In Million)

31.03.2014

(Rs. In Million)

LONG-TERM BORROWINGS

 

 

Loans and advances from related parties

 

 

From Director

9.000

0.000

 

 

 

Total

9.000

0.000

 

 

OPERATIONS:

 

The company has posted net profit of Rs. 0.566 Million after tax against the net profit of Rs. 1.098 Million compare to previous year. The company caters the market of imports and exports of diamonds.

 

 

FUTURE OUTLOOK:

 

Company hopes to sustain same level of operation and profitability in current year as market conditions are improving the hope to improve further in future in India and US, the major buyer for polished diamonds.

 

 

BACKGROUND:

 

The Company was incorporated under the Companies Act, 1956 on September 08, 1999 as Private Limited, and subsequently company was converted to Public Limited Company as Sanskar Import and Exports Limited on October 3, 2005 and further changed its name to Sanskar Jewels Limited on March 05, 2007. The amin object of the company is to carry business of importing, exporting, manufacturing and dealing in diamonds, precious and semi precious stones and jewellery and ornaments.

 

 

CHANGE OF ADDRESS:

 

The Registered Office of the company has been shifted from 1005-A, 10th Floor, Panchratna, M.P. Marg, Opera House, Mumbai-400004, Maharashtra, India to the present address

 

 

FIXED ASSETS:

 

Tangible Assets

 

·         Plant and Equipment

·         Furniture and Fixtures

·         Vehicles

·         Office Equipment

·         Computer Equipments

·         Air Conditioner

 

 

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. 66.42

UK Pound

1

Rs. 99.17

Euro

1

Rs. 72.14

 

 

INFORMATION DETAILS

 

Information Gathered by :

NYA

 

 

Analysis Done by :

KAS

 

 

Report Prepared by :

IND

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

42

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

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.