MIRA INFORM REPORT
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Report No. : |
305962 |
|
Report Date : |
06.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
R.D. GEM LIMITED |
|
|
|
|
Registered Office : |
Room 1201, 12/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon |
|
|
|
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Country : |
Hong Kong |
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|
|
|
Date of Incorporation : |
21.11.2007 |
|
|
|
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Com. Reg. No.: |
38660913 |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturer, Importer & Exporter of diamonds including Single Cut & Full Cut Diamonds which are applied to Jewelery & Watch. |
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|
|
|
No of Employees : |
About 10 Employees |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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) |
|
Hong Kong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
Hong Kong 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 34.9 million in 2012, 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 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% 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.
|
Source : CIA |
Contact Points
|
Company Name: |
R.D. Gem Limited |
|
Supplied Name: |
RD Gems Limited |
|
Trading Address: |
Room 1201, 12/F., Fu Hang Industrial
Building, 1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong |
|
Supplied Address: |
Room No 1201 12/F Fuhanging Bldg 1 Hok Yuen Street East Hung Hom
Kowloon |
Note: The exact name and address are as above.
Credit Summary
|
Credit Opinion: |
Company Identification Details
|
Registered Name: |
|
|
Registered Address: |
Room 1201,
12/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon,
Hong Kong |
|
Telephone Number: |
+852-2766-2008 |
|
Fax Number: |
+852-2766-2040 |
|
Date of Registration: |
2007-11-21 |
|
Registered Number: |
1187492 |
|
Business Registration No.: |
38660913 |
|
Paid-up Capital: |
HKD 3,500,000 (USD 451,500) = 3,500,000 Shares@ HKD 1 (As of 2015.02, 1 HKD = 0.129 USD) |
|
Legal Form: |
Private Limited Liability Company |
|
SITC Code: |
66729--Diamonds, non-industrial,
otherwise worked, but not mounted or set (cm) |
|
Principal Activities: |
Manufacturer, Importer & Exporter of diamonds including Single Cut & Full Cut
Diamonds which are applied to Jewelery & Watch. |
|
Staff: |
About 10 Employees |
|
Listed at Stock Exchange: |
No |
|
Date of Last Annual Return: |
2014-11-21 |
History
Subject was incorporated on 2007-11-21 with the registered number 1187492 as Private Limited Liability Company in Hong Kong.
Corporate Structure
Related Company
|
Name: |
R.D. Gems Inc |
|
Address: |
Suite #301 22 West 48 Street New York 10036
USA |
|
Tel: |
+1-9177535253 |
Shareholder
|
Subscription Shares |
Proportion of Investment (%) |
|
|
Mangukiya Bharat Babubhai |
3,500,000 |
100% |
|
Total |
3,500,000 |
100% |
Major Shareholder
Information:
|
Name: |
Mangukiya Bharat Babubhai |
|
Address: |
Tower No.6, 23/F., Block B, Laguna Verde
Avenue, No.8 Laguna Verde, Hung Hom, Kowloon, Hong Kong |
Management Information
Core Management
Detailed
Information of Directors:
|
1 |
|
|
Name: |
Mangukiya Bharat Babubhai |
|
Address: |
Tower No.6, 23/F., Block B, Laguna Verde
Avenue, No.8 Laguna Verde, Hung Hom, Kowloon, Hong Kong |
|
Position: |
Director |
|
ID Number: |
R688130(A) |
|
2 |
|
|
Name: |
Lodestar Secretaries Limited |
|
Address: |
13/F., Wah Kit Commercial Centre, 302 Des
Voeux Road Central, Hong Kong |
|
Position: |
Corporate Secretary |
|
Registered Number: |
113023 |
Personnel
Structure
|
Total Employees |
Operation Information
Offices &
Factories
|
|
Office |
|
Address: |
Room 1201,
12/F., Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon,
Hong Kong |
Premises
Information
Office address:
|
Address: |
Unit No.1 on 12th Floor Fu Hang Industrial
Building No.1 Hok Yuen Street East Kowloon |
|
Owners: |
R.D. Gem Limited |
|
Memorial Number: |
11051600320064 |
|
Date of Instrument: |
2011-4-29 |
|
Date of Registration: |
2011-5-16 |
|
Consideration Value: |
HKD 7,252,000.00 |
History of
Premises Owners’
|
1 |
|
|
Memorial No.: |
11051600320075 |
|
Date of Instrument: |
2011-4-29 |
|
Date of Registration: |
2011-5-16 |
|
Nature: |
Mortgage |
|
In Favor of: |
The Hongkong and Shanghai
Banking Corporation Limited |
|
Consideration: |
To secure all moneys in respect
of general banking facilities |
|
2 |
|
|
Memorial No.: |
11012800200025 |
|
Date of Instrument: |
2011-1-21 |
|
Date of Registration: |
2011-1-28 |
|
Nature: |
Agreement for sale and purchase Remarks: See assignment mem. no.
11051600320064 |
|
In Favor of: |
R.D. Gem Limited |
|
Consideration: |
HKD 7,252,000.00 |
|
3 |
|
|
Memorial No.: |
10123102160012 |
|
Date of Instrument: |
2010-12-9 |
|
Date of Registration: |
2010-12-31 |
|
Nature: |
Provisional agreement for sale and purchase Remarks: see assignment mem. No.
11051600320064 |
|
In Favor of: |
R.D. Gem Limited |
|
Consideration: |
HKD 7,252,000.00 |
Production
Information
l Subject is a trader of diamonds without any production activities.
Purchase
Information
l Subject purchases products mainly from abroad such as India, etc.
Sales Information
l Subject is engaged in Manufacturer, Importer & Exporter of diamonds including Single Cut & Full Cut
Diamonds which are applied to Jewelery & Watch.
l Subject’s sales region focuses on Asia market.
l Subject’s major types of customers are retailers, designers and jewelry
manufacturers, etc.
Settlements
Purchase
1.
Domestic Purchase
Subject has little domestic purchase.
2.
Import
|
Products |
Diamonds, etc. |
|
Payment Terms |
T/T, etc. |
Sales
1.
Domestic Markets
|
Product |
Diamonds, etc. |
|
Selling Terms |
Cash, T/T, etc. |
2.
Export
|
Product |
Diamonds, etc. |
|
Selling Terms |
T/T, etc. |
Financial Information
The subject has no obligation to supply its financial statement to the third party according to the relevant policy in Hong Kong and the only source from which we can obtain the information is the subject itself.
Subject’s relevant staff rejected to disclose the financial information; from other sources we could not obtain such information, either.
Bankers
|
Name: |
The Hongkong and Shanghai Banking
Corporation Limited |
Public
|
Date: |
2011-05-07 |
|
Court Name: |
Small Claim Tribunal |
|
Court No.: |
012877/11 |
|
Claimant: |
R.D. Gem Ltd (SCTC012877/11) |
|
Defendant: |
T & T Jewellery Ltd |
|
Reason: |
Goods Sold and Delivered |
|
2 |
|
|
Date: |
2011-05-05 |
|
Court Name: |
Small Claim Tribunal |
|
Court No.: |
012840/11 |
|
Claimant: |
R.D. Gem Ltd (SCTC012840/11) |
|
Defendant: |
Tand t Jewellery Ltd |
|
Reason: |
Goods Sold and Delivered |
Mortgage Record
|
1 |
|
|
Company Name: |
R.D. Gem Limited (the “Company”) |
|
Instrument of Creating Mortgage: |
Floating Charge constituting a floating charge
over all the assets of the Company (the “Floating Charge”) |
|
Date of Creating Mortgage: |
2011-4-6 |
|
Amount Secured: |
All monies and liabilities which at the date
of the floating charge are or shall at any time thereafter be due owing or incurred
to the Hong Kong and Shanghai Banking Corporation Limited (“the Bank”) by the
Company whether alone or jointly with any other person, whether actually or
contingently, whether presently or in the future or in any capacity including
as principal or surety, interest on such monies and liabilities (both before
and after any demand or judgment) to the date on which the Bank receives
payment at the rates payable by the company or which would have been payable
but for any circumstance which restricts payment and any expenses of the Bank
in enforcing the Floating Charge (the “Monies and Liabilities”) |
|
Name of Mortgagee: |
The Hongkong and Shanghai Banking
Corporation Limited (the “Bank”) |
|
Address of Mortgagee: |
No.1 Queen’s Road Central, Hong Kong |
|
Description of Property Mortgaged: |
By way of floating charge the undertaking of
the Company and all its property whatsoever and wheresoever both present and
future including its uncalled capital for the time being (collectively called
“the Assets”) |
|
2 |
|
|
Company Name: |
R.D. Gem Limited |
|
Instrument of Creating Mortgage: |
Mortgage |
|
Date of Creating Mortgage: |
2011-4-29 |
|
Amount Secured: |
To secure “all moneys” in respect of general
banking facilities and interest thereon |
|
Name of Mortgagee: |
The Hong Kong and Shanghai Banking
Corporation Limited |
|
Address of Mortgagee: |
No.1 Queen’s Road Central, Hong Kong |
|
Description of Property Mortgaged: |
All Those 12 equal undivided 3,442nd
parts or shares of and in All That piece or parcel of ground registered in
the Land Registry as Section A of Kowloon Marine Lot No. 113 and of and in
the messuage erections and buildings thereon now known as “Fu Hang Industrial
Building” No.1 Hok Yuen Street East (formerly known as Hok Yuen Street/ Man
Lok Street), Hunghom, Kowloon, Hong Kong (“the building”) together with the
exclusive right and privilege to hold use occupy and enjoy All That Unit No.1
on the Twelfth Floor of the Building |
Special Note
Interview
Details
|
Department: |
Sales Department |
Industry Information
66729--Diamonds, non-industrial,
otherwise worked, but not mounted or set (cm)
Unit: HKD/000
|
|
2014.05 |
2014.01~2014.05 |
||
|
|
Quantity |
Value |
Quantity |
Value |
|
Imports |
||||
|
United Arab Emirates |
96,110 |
728,817 |
662,210 |
4,475,744 |
|
Armenia |
-- |
-- |
461 |
1,049 |
|
Australia |
1,756 |
23,658 |
3,733 |
54,816 |
|
Belgium |
84,515 |
1,239,263 |
423,171 |
6,622,381 |
|
Canada |
476 |
2,771 |
2,771 |
48,195 |
|
Switzerland |
8,077 |
206,582 |
32,377 |
858,188 |
|
Germany |
709 |
2,321 |
12,087 |
20,158 |
|
Britain |
1,277 |
88,340 |
9,442 |
386,120 |
|
Israel |
65,772 |
1,433,655 |
360,130 |
8,238,886 |
|
India |
981,536 |
4,727,211 |
5,338,417 |
26,201,042 |
|
Malaysia |
3,860 |
18,103 |
19,791 |
137,275 |
|
USA |
129,016 |
1,115,405 |
703,068 |
6,169,441 |
|
The Mainland of China |
114,204 |
798,063 |
516,495 |
3,689,202 |
|
Exports |
||||
|
United Arab Emirates |
-- |
-- |
53 |
749 |
|
Israel |
-- |
-- |
50 |
24,803 |
|
-- |
-- |
3 |
116 |
|
|
Belgium |
13 |
4,441 |
249 |
67,929 |
|
Thailand |
-- |
-- |
251 |
732 |
|
USA |
33 |
924 |
465 |
35,419 |
|
The Mainland of China |
157 |
184 |
2,711 |
8,359 |
External Trade Information:
External Merchandise Trade Aggregate Figures
Unit: HKD/ Million
|
|
Imports |
Domestic Exports |
Re-exports |
Total exports |
Year-on-year % change of Total exports |
Merchandise trade balance |
|
2011 |
3,764,596 |
65,662 |
3,271,592 |
3,337,253 |
+10.1 |
-427,343 |
|
2012 |
3,912,163 |
58,830 |
3,375,516 |
3,434,346 |
+2.9 |
-477,817 |
|
2013 |
4,060,717 |
54,364 |
3,505,322 |
3,559,686 |
+3.6 |
-501,031 |
|
2013.03 |
340,857 |
5,073 |
286,638 |
291,711 |
+11.2 |
-49,146 |
|
2013.04 |
332,963 |
4,503 |
285,763 |
290,267 |
+9.0 |
-42,696 |
|
2013.05 |
335,809 |
4,818 |
286,724 |
291,542 |
-1.0 |
-44,267 |
|
2013.06 |
327,309 |
4,476 |
273,161 |
277,637 |
-0.2 |
-49,673 |
|
2013.07 |
342,565 |
4,783 |
300,630 |
305,413 |
+10.6 |
-37,152 |
|
2013.08 |
347,059 |
4,932 |
302,558 |
307,490 |
-1.3 |
-39,570 |
|
2013.09 |
359,841 |
4,395 |
313,436 |
317,830 |
+1.5 |
-42,010 |
|
2013.10 |
361,196 |
4,458 |
318,686 |
323,144 |
+8.8 |
-38,052 |
|
2013.11 |
370,104 |
4,587 |
320,935 |
325,522 |
+5.8 |
-44,581 |
|
2013.12 |
365,228 |
4,596 |
306,281 |
310,877 |
0.0 |
-54,351 |
|
2014.01 |
323,436 |
4,299 |
299,157 |
303,456 |
-0.4 |
-19,979 |
|
2014.02 |
266,587 |
3,276 |
209,638 |
212,914 |
-1.3 |
-53,673 |
|
2014.03 |
351,889 |
5,120 |
296,403 |
301,523 |
+3.4 |
-50,365 |
|
2014.04 |
340,972 |
4,867 |
280,816 |
285,682 |
-1.6 |
-55,290 |
|
2014.05 |
348,323 |
5,299 |
300,673 |
305,973 |
+4.9 |
-42,350 |
|
2014.06 |
352,316 |
4,802 |
304,409 |
309,211 |
+11.4 |
-43,105 |
*Total exports figures have
been rounded to the nearest final digit after summing up the constituent trade
figures.
Attachment
Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon,
Hong Kong
Fu Hang Industrial Building, 1 Hok Yuen Street East, Hunghom, Kowloon,
Hong Kong
12/F., Fu Hang Industrial Building, 1 Hok Yuen
Street East, Hunghom, Kowloon, Hong Kong
Room 1201, 12/F., Fu Hang Industrial Building,
1 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong
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.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.87 |
|
UK Pound |
1 |
Rs.94.07 |
|
Euro |
1 |
Rs.70.19 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
MNL |
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 |
-- |
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.