MIRA INFORM REPORT

Report No. :	307076
Report Date :	13.02.2015

IDENTIFICATION DETAILS

Name :	CENTRAL ELECTRONICS LIMITED
Registered Office :	781, Desh Bandhu Gupta Road, Karol Bagh, New Delhi – 110005
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	26.06.1974
Com. Reg. No.:	55-007325
Capital Investment / Paid-up Capital :	Rs. 653.192 Millions
CIN No.: [Company Identification No.]	U74899DL1974GOI007325
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is engaged in the production of Solar Photovoltaic Modules and manufacturing, supply and installation of Electronic equipment, signaling systems to Railway and items for Defence, security and surveillance equipment for Government Departments and others.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (31)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 300000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established public sector enterprise having moderate track record. The company has accumulated losses however it has reported profitability for the current year. It is in process of improving its profitability. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with caution.

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)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

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.

LOCATIONS

Registered Office :	781, Desh Bandhu Gupta Road, Karol Bagh, New Delhi – 110005, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	csec@celsolar.com
Factory :	4 Industrial Area, Saur Urja Mar IND-201010 Sahidabad, Uttar Pradesh India

DIRECTORS

AS ON 19.12.2014

Name :

Nalin Shinghal

Designation :

Chairman cum Managing Director

Address :

B-28, Madhuban, Delhi – 110092, India

Date of Birth/Age :

25.10.1963

Date of Appointment :

22.02.2013

DIN No.:

01176857

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U74899DL1999GOI101707	INDIAN RAILWAY CATERING AND TOURISM CORPORATION LIMITED	Director	02/01/2007	02/01/2007	23/02/2013	Active	NO
2	U60100DL2008PLC185285	Royale Indian Rail Tours Limited	Director	27/11/2008	27/11/2008	-	Active	NO
3	U74899DL1974GOI007325	CENTRAL ELECTRONICS LIMITED	Managing director	22/02/2013	22/02/2013	-	Active	NO

Name :

Chandra Shekhar

Designation :

Director

Address :

Nideshak Niwas, Pilani, Jhunjhun – 333031, Rajasthan, India

Date of Birth/Age :

12.10.1951

Date of Appointment :

28.09.2010

DIN No.:

03292737

Name :

Anu Jagmohan Singh

Designation :

Director

Address :

D-I/74, Satya Marg, Chanakya Puri, New Delhi – 110021, India

Date of Birth/Age :

20.08.1961

Date of Appointment :

06.09.2012

DIN No.:

06416707

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U74899DL1974GOI007325	CENTRAL ELECTRONICS LIMITED	Director	06/09/2012	06/09/2012	-	Active	NO
2	U93000DL1989NPL034967	National Scheduled Castes Finance and Development Corporation	Nominee director	04/01/2013	04/01/2013	01/05/2013	Active	NO

Name :

Gyan Prakash Srinivastava

Designation :

Director

Address :

Flat No-401, Building No.6, Sagar Darshan Towers, Plot No.-38, Sector – 18, Nerul, Navi Mumbai – 400706, Maharashtra, India

Date of Birth/Age :

25.02.1949

Date of Appointment :

05.04.2013

Name :

Ramesh Chandra Budhani

Designation :

Director

Address :

Directors Bunglow, National Physical Lab, KS Krishan Marg, New Delhi – 110012, India

Date of Birth/Age :

03.02.1955

Date of Appointment :

05.04.2013

PAN No.:

03587270

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U73100DL2012NPL236264	NPL TECHNOLOGY INNOVATION CENTRE(NTIC)	Director	22/05/2012	22/05/2012	-	Active	NO
2	U74899DL1974GOI007325	CENTRAL ELECTRONICS LIMITED	Director	05/04/2013	05/04/2013	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 19.12.2014

Names of Shareholders	No. of Shares
Nalin Shinghal	1
President of India	653189
K. Vijayraghavan	1
Anu Jagmohan Singh	1
Total	653192

AS ON 19.12.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Government	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Subject is engaged in the production of Solar Photovoltaic Modules and manufacturing, supply and installation of Electronic equipment, signaling systems to Railway and items for Defence, security and surveillance equipment for Government Departments and others.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Not Available
Purchasing :	Not Available

GENERAL INFORMATION

Suppliers :

Reference :	Not Available
Name of the Person :	Not Available
Contact No.:	Not Available
Since How Long Known :	Not Available
Experience :	Not Available
Maximum Limit Dealt :	Not Available

Customers :

Reference :	Not Available
Name of the Person :	Not Available
Contact No.:	Not Available
Since How Long Known :	Not Available
Experience :	Not Available
Maximum Limit Dealt :	Not Available

No. of Employees :

Not Available

Bankers :

· Syndicate Bank, Cel Complex, Sahibabad, Ghaziabad, Uttar Pradesh - 201010, India

· State Bank of Mysore, Karol Bagh Branch, New Delhi, Delhi, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
SHORT TERM BORROWINGS
Working capital loans from banks	343.960	400.097
Total	343.960	400.097

Statutory Auditors :
Name :	SCJ and Associates Chartered Accountants
Address :	1/129-F, Professor Colony, Hariparwat, Agra-282 002, India
Cost Auditor :
Name :	A.G. Agarwal and Associates Chartered Accountants
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 19.12.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
800000	Equity Shares	Rs. 1000/- each	Rs. 800.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
653192	Equity Shares	Rs. 1000/- each	Rs. 653.192 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	597.692	557.692	547.692
(b) Reserves & Surplus	(460.686)	(491.541)	(467.418)
(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)	137.006	66.151	80.274
(3) Non-Current Liabilities
(a) long-term borrowings	143.540	157.342	183.175
(b) Deferred tax liabilities (Net)	0.000	0.000	53.238
(c) Other long term liabilities	51.172	47.210	347.308
(d) long-term provisions	331.643	338.042	0.000
Total Non-current Liabilities (3)	526.355	542.594	583.721
(4) Current Liabilities
(a) Short term borrowings	343.960	400.097	388.315
(b) Trade payables	487.650	718.714	408.913
(c) Other current liabilities	436.118	309.093	512.262
(d) Short-term provisions	58.660	52.234	24.839
Total Current Liabilities (4)	1326.388	1480.138	1334.329
TOTAL	1989.749	2088.883	1998.324
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	275.783	285.177	275.928
(ii) Intangible Assets	9.611	5.621	6.557
(iii) Capital work-in-progress	8.924	6.037	5.436
(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)	0.000	0.000	0.000
(d) Long-term Loan and Advances	62.161	50.961	55.090
(e) Other Non-current assets	161.044	130.319	117.034
Total Non-Current Assets	517.523	478.115	460.045
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	406.900	371.777	490.510
(c) Trade receivables	795.384	1062.316	710.577
(d) Cash and cash equivalents	158.458	87.948	217.803
(e) Short-term loans and advances	107.172	85.890	115.345
(f) Other current assets	4.312	2.837	4.044
Total Current Assets	1472.226	1610.768	1538.279
TOTAL	1989.749	2088.883	1998.324

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	17.205	19.213	16.002
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		TOTAL	NA	NA	NA
	PROFIT/ (LOSS) BEFORE TAX		0.315	(0.241)	(1.565)
Less	TAX		0.006	0.000	0.026
	PROFIT/ (LOSS) AFTER TAX		0.309	(0.241)	(1.591)
	Earnings / (Loss) Per Share (Rs.)		0.47	(0.37)	(2.44)

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	1.79	(1.25)	(9.94)
Return on Total Assets (PBT/Total Assets}	(%)	0.02	(0.01)	(0.08)
Return on Investment (ROI) (PBT/Networth)		0.00	0.00	(0.02)
Debt Equity Ratio (Total Debt/Networth)		3.56	8.43	7.12
Current Ratio (Current Asset/Current Liability)		1.11	1.09	1.15

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	547.692	557.692	597.692
Reserves & Surplus	(467.418)	(491.541)	(460.686)
Net worth	80.274	66.151	137.006
long-term borrowings	183.175	157.342	143.540
Short term borrowings	388.315	400.097	343.960
Total borrowings	571.490	557.439	487.500
Debt/Equity ratio	7.119	8.427	3.558

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	16.002	19.213	17.205
		20.066	(10.451)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	16.002	19.213	17.205
Profit	(1.591)	(0.241)	0.309
	(9.94%)	(1.25%)	1.80%

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
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	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
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	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

OPERATING RESULTS

System Production Division (SPD) achieved sales of Rs. 506.700 Millions and production of Rs. 554.700 Millions in 2013-14 as against sales of Rs. 297.100 Millions and production of Rs. 276.700 Millions in the previous year.

Microwave Electronics Division (MED) - achieved sales of Rs. 548.600 Millions and production of Rs. 552.100 Millions in 2013-14 as against sales of Rs. 418.500 Millions and production of Rs 426.200 Millions in 2012-13.

Solar Photovoltaic Division (SPV) achieved sales of Rs. 473.500 Millions and production Rs. 456.300 Millions in 2013-14 as against sales of Rs. 1023.600 Millions and production of Rs. 945.400 Millions in 2012-13 largely on account of non-receipt of sanctions from MNRE due to shortage of funds.

Electronic Ceramics Division (ECD) achieved sales of Rs. 98.700 Millions and production of Rs. 98.700 Millions in 2013-14 as against sales of Rs. 46.800 Millions and production of Rs. 149.900 Millions in 2012-13 on account of lower orders from Ordnance Factory, Khamaria due to change in their production plan .

The Company has achieved the Gross Margin of Rs. 111.500 Millions against Rs. 51.900 Millions in the previous year. The Company has also achieved Net Profit after Tax of Rs. 30.900 Millions against loss of Rs. 24.100 Millions in the previous year.

PERFORMANCE HIGHLIGHTS

During the year, the Systems Production Division (SPD) of the Company achieved a turnover of Rs. 506.700 Millions. The Company sold 722 Nos. of Axle Counters (including Single Section Digital Axle Counter, High Availability Single Section Digital Axle Counter (HASSDAC) and Multi Section Digital Axle Counter (MSDAC)) to Indian Railways despite funds constraints in Railway and tough competition from private and multinational companies. The Company also sold 10 UFSBI based Block Signaling

System. It also executed Railway Signaling project works worth Rs. 122.700 Millions which include execution of HASSDAC works in Indian Railway.

The Company has also received orders from various zonal Railways for installation, commissioning and testing and Supply of Axle Counters worth Rs. 80.600 Millions

The Company has successfully commissioned a 5 MWp Module Manufacturing Plant at Maputo, Republic of Mozambique.

During the year, the Company received an order for 1 MWp power plant with high efficiency SPV Modules which would be biggest plant with such modulesin the country. The same is under execution. The Company has also executed village electrification project worth Rs. 21.000 Millions from a leading mini Ratna PSU. During the year, the Company has received orders from two CSIR Labs total value of Rs. 36.000 Millions for supply, Installation of Solar PV Plants in their institutes.

The Company has exported various Solar PV Systems worth Rs. 28.700 Millions during the year.

During the year, the Company has supplied 36,215 Nos. of Phase Control Modules (PCMs) to Bharat Electronics Limited (BEL), Ghaziabad. The Company also executed the prestigious export order of USD 302,000 for supply of PCMs to Poland. The Company has enhanced manufacturing capacity of PCMs for AKASH Missiles.

The Microwave Electronics Division (MED) of the Company has achieved enhanced capacity utilization and more productivity by optimally using the available resources. MED has achieved sales and production of Rs. 552.100 Millions and Rs. 548.600 Millions respectively against annual set production/ sales target of Rs. 450.000 Millions.

The Company also satisfactorily executed order for Piezo assemblies for HEAT Fuse 551 and other Piezo Components worth Rs. 100.000 Millions from Ordnance Factory Khamaria, Jabalpur .

The Company has participated in various tenders floated by different Zones/Divisions of Indian Railways based on successful demonstration of Technology for Integrated Security System at old Delhi Railway Station and qualifying their technical criteria.

The Security and Surveillance group of the Company achieved a sales turnover of Rs. 58.000 Millions in this year. This group aims to become a trusted security advisor to the government sector providing focused integrated security solutions utilizing best of breed technology. It is executing works for provision of Integrated Security on nine Railway stations across three Zonal Railways.

The country faces a huge shortfall in trained technicians available to meet the requirements of the ambitious project targets under JNNSM. Realising the importance of meeting these requirements for the achievement of the national targets, your Company has taken up the task of capacity creation in the area of Solar PV installation, Commissioning and Maintenance. It has launched certificate training courses level in this area with the support of the MNRE.

FUTURE OUT LOOK AND VISION 2020

All the four areas that the Company operates in (viz. Solar Photovoltaic, Railway Signaling systems, Integrated Security and Surveillance Systems and Defence Electronics) are Per-Se high growth, core sector areas. The Company can make huge contribution to the national interests and future potential for the Company is immense.

SOLAR PHOTOVOLTAICS (SPV)

India has launched the Jawaharlal Nehru National Solar Mission (JNNSM) with ambitious targets of 20 GW of Grid connected and 2 GW of Off-grid capacity by 2022. Solar energy technology consists of Solar Thermal (ST) technologies, which utilize suns energy for heating and Solar Photovoltaics (SPV) technology, which convert solar energy directly into electricity. Under the mission, Government of India is targeting for the deployment of both the technologies equally.

CEL is capable of playing an important role in these efforts and is targeting to capture at least 2.0% (Grid-tied) and 20% (Off-grid) market by 2022. In this regard, the Company has already initiated the process of up-grading its module production facility to 40 MW. This will bring down the cost of CEL modules and make it competitive in the domestic and international markets. The Company is also taking active step for development of high efficiency solar cells with the funding from Administrative Ministry, DSIR.

The Company has entered into a new market segment i.e. partnering with CPSEs to execute their Corporate Social Responsibility (CSR) activities through integrated rural development programme. This is to be a major focus area for the Company, in times to come.

RAILWAY ELECTRONICS

CEL had been engaged in design and manufacture of Railways signaling equipments such as Analog and Digital Axle Counters and Block Signaling Equipment for last 30 years.

Indian Railways is planning major investment in the area of safety as well as capacity enhancement / new lines. This is expected to result in a huge demand for signaling and control equipments. CEL is working towards further developing its own R and D as well as production facilities in these areas with support from the DSIR.

The Company has already taken up a project for indigenous development of Train Protection and Warning Systems (TPWS) which is a major requirement, recently announced by Indian Railways. At present, there are no indigenous manufacturers and the entire requirement will need to be imported.

In future, the Company plans to develop new interfaces for its existing equipment to make them work through optical fiber cables that are being now used in Railways.

STRATEGIC ELECTRONICS

CEL has involved in the development of strategic electronic components such as Phase Control Modules (PCMs) for the Akash Missile, Piezo Generators for HEAT Fuse 551 and 651 for Carl Gustaf Gun etc. Company is also planning to expand the product portfolio using state-of-the art technology for supply of strategic components.

INTEGRATED SECURITY SYSTEMS

The current security scenario in the country has made security systems (Including Baggage Scanners, DFMDs surveillance equipment, intelligent systems, Bomb detection and disposal equipment etc.) a very high growth area. There is a need for a reputed and reliable Public Sector entity in these areas. The Company is focusing on these areas as an important business segment for future growth.

TRAINING PROGRAMME IN SOLAR PHOTOVOLTAICS

To help meet the manpower needs to achieve the countrys target under JNNSM, the Company has taken up the task of capacity building in the area of Solar Photovoltaics in installation, commissioning, and Maintenance with support from MNRE. It plans to expand this activity as major vertical in the coming year.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10092750	24/03/2008	240,000,000.00	TECHNOLOGY DEVELOPMENT BOARD	WING - A, VISHWAKARMA BHAWAN, SHAHEED JEET SINGH  MARG, NEW DELHI, Delhi - 110016, INDIA	A34547893
2	90043458	02/02/2011 *	1,100,000,000.00	SYNDICATE BANK CONSORTIUM WITH STATE BANK OF MYSOR  E	4 INDUSTRIAL AREA, SAHIBABAD, GHAZIABAD, Uttar Pradesh - 201010, INDIA	B06201792
3	90057497	27/06/2001 *	51,975,000.00	INDIAN RENEWABLE ENERGY DEVELOPMENT AGENCY LIMITED	CORE-4A; EAST COURT; 1ST FLOOR, INDIA HABITAT CENTRE; LODI ROAD, NEW DELHI, Delhi - 110003, INDIA	-
4	90057460	31/03/2001	20,790,000.00	INDIAN RENEWABLE ENERGY DEVELOPMENT AGENCY LIMITED	CORE-4A; EAST COURT; 1ST FLOOR, INDIA HABITAT CEN  TRE; LODI ROAD, NEW DELHI, Delhi - 110003, INDIA	-
5	90047984	25/02/2002 *	370,000,000.00	SYNDICATE BANK`	KAROL BAGH BRANCH, NEW DELHI, Delhi, INDIA	-
6	90042579	29/06/2000 *	406,500,000.00	STATE BANK OF MYSORE	KAROL BAGH BRANCH, NEW DELHI, Delhi, INDIA	-
7	90061601	25/01/1999	16,500,000.00	SYNDICATE BANK	CEL COMPLEX, SAHIBABAD, GHAZIABAD, Uttar Pradesh - 201010, INDIA	-
8	90042236	01/07/1998	420,000,000.00	SYNDICATE BANK	CONSORTIUM CONSISTING, CEL COMPLEX INDUSTRIAL, NEW DELHI, Delhi, INDIA	-
9	90056808	31/12/1997	12,810,000.00	INDIAN RENEWABLE ENERGY DEVELOPMENT AGENCY LIMITED	CORE-4A; EAST COURT; 1ST FLOOR, INDIA HABITAT CEN  TRE; LODI ROAD, NEW DELHI, Delhi - 110003, INDIA	-
10	90042101	24/12/1997	420,000,000.00	STATE BANK OF MYSORE	KAROL BAGH BRANCH, NEW DELHI, Delhi, INDIA	-

* Date of charge modification

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Other loans and advances	143.540	157.342
Total	143.540	157.342

FIXED ASSETS

· Land

· Buildings

· Plant and equipments

· Furniture and fixture

· Vehicles

· Office Equipments

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. 62.15
UK Pound	1	Rs. 94.72
Euro	1	Rs. 70.33

INFORMATION DETAILS

Analysis Done by :	SUC
Report Prepared by :	JYO

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	NO
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		31

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.