MIRA INFORM REPORT

Report No. :	304259
Report Date :	19.02.2015

IDENTIFICATION DETAILS

Name :	KALOTI ENGINEERING COMPANY PRIVATE LIMITED

Formerly Known As :	KALOTI FORGE PRIVATE LIMITED

Registered Office :	Shop No. 59, New Cycle Market Gill Road, Ludhiana - 141003, Punjab

Country :	India

Financials (as on) :	31.03.2014

Date of Incorporation :	12.05.2003

Com. Reg. No.:	16-026006

Capital Investment / Paid-up Capital :	Rs. 0.960 Million

CIN No.: [Company Identification No.]	U28991PB2003PTC026006

TAN No.: [Tax Deduction & Collection Account No.]	Not Available

PAN No.: [Permanent Account No.]	Not Available

Legal Form :	Private Limited Liability Company

Line of Business :	Company is engaged in the business of trading of Bolts.

No. of Employees :	Not Available

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 35000

Status :	Satisfactory

Payment Behaviour :	Slow but Correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track record. General financial position of the company seem to be sound and healthy. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings at usual trade terms 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 – December 31, 2014

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

India

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

EXTERNAL AGENCY RATING

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 31-03-2014.

LOCATIONS

Registered Office :	Shop No. 59, New Cycle Market Gill Road, Ludhiana - 141003, Punjab, India
Tel. No.:	Not Available
Mobile No.:	Not Available
Fax No.:	Not Available
E-Mail :	rskhera_1@yahoo.co.in

DIRECTORS

As on 30.09.2014

Name :

Mr. Jagjit Singh

Designation :

Director

Address :

D-80, PH-V, Focal Point, Ludhiana – 141010, Punjab, India

Date of Birth/Age :

31.12.1962

Date of Appointment :

12.05.2003

DIN No.:

00918997

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	U55101PB1998PLC021549	KALOTI HOTELS AND RESORTS LIMITED	Director	01-07-1998	01-07-1998	25-01-2011	Active	NO
2	U28991PB2003PTC026006	KALOTI ENGINEERING COMPANY PRIVATE LIMITED	Director	12-05-2003	12-05-2003	-	Active	NO
3	U01110PB2008PTC032413	GOOD LUCK OIL MILLS PRIVATE LIMITED	Managing director	12-11-2008	12-11-2008	-	Active	NO

Name :

Jasbinder Kaur Saini

Designation :

Director

Address :

D-80, Ph-V, Focal Point, Ludhiana – 141010, Punjab, India

Date of Birth/Age :

14.12.1965

Date of Appointment :

12.05.2003

DIN No.:

02186402

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	U55101PB1998PLC021549	KALOTI HOTELS AND RESORTS LIMITED	Director	01-07-1998	01-07-1998	20-08-2007	Active	NO
2	U28991PB2003PTC026006	KALOTI ENGINEERING COMPANY PRIVATE LIMITED	Director	12-05-2003	12-05-2003	-	Active	NO
3	U01110PB2008PTC032413	GOOD LUCK OIL MILLS PRIVATE LIMITED	Director	12-11-2008	12-11-2008	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares	%age holding
Mr. Jagjit Singh	76000	79.17
Jasbinder Kaur Saini	20000	20.83
Total	96000	100.00

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2014

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Company is engaged in the business of trading of Bolts.

Products :	Not Available

Brand Names :	Not Available

Agencies Held :	Not Available

Exports :	Not Available

Imports :	Not Available

Terms :	Not Available

PRODUCTION STATUS NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :

Not Available

Name of the Person :

Not Available

Contact No.:

Not Available

Since How Long Known :

Not Available

Maximum Limit Dealt :

Not Available

Experience :

Payment Behaviour	Market Goodwill	Overall
---	---	---
---	---	---

Remark:

Not Available

Customers :

Reference :

Not Available

Name of the Person :

Not Available

Contact No.:

Not Available

Since How Long Known :

Not Available

Maximum Limit Dealt :

Not Available

Experience :

Product Quality	Delivery Behaviour	Overall
---	---	---
---	---	---

Remark:

Not Available

No. of Employees :

Not Available

Bankers :

State Bank of India, Mehatpur, UNA, Himachal Pradesh, India
State Bank of India, Uma, Himachal Pradesh, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
HDFC BANK CAR LOAN (Secured against hypothecation of New Swift Car 0.500 Million rate of interest 10.57% 36 instalment Rs. 0.016 Million PM taken on 07.03.13) last date 07.01.2016	0.321	0.472
HDFC BANK CAR LOAN (Secured against hypothecation of Altis Car)	0.000	0.147
HDFC BANK (Loan against House property 97-G, BRS Nagar Ludhiana taken at 12.25% Per annum repayable in 120 instalments taken on 05.05.2011 amounts of Rs. 5.000 Million Rs. 0.072 Million pm)	4.293	4.623
HDFC BANK CAR LOAN (Secured against hypothecation of Swift Car)	0.000	0.102
Current maturities of Long Term Debt	(0.540)	(0.730)
Short-term borrowings
HDFC BANK CC Demand overdraft against House property 97- G, BRS Nagar Ludhiana (Drop line account) and is repayable on demand	4.397	6.545
Total	8.471	11.159
Note : HDFC BANK CAR LOAN Is Secured against hypothecation of Swift Car and loan is repayable in 36 monthly installments of Rs. 0.016 Million each HDFC BANK Is secured against House property 97-G, BRS Nagar Ludhiana and loan is repayable in monthly installments of Rs. 0.072 Million each

Auditors :
Name :	R.S. Khera and Associates Chartered Accountants
Address :	Upstairs, Chawla Juice Corner, Gill Road, Ludhiana – 141003, Punjab, India
PAN N Income-tax PAN of auditor or auditor's firm :	AFIPS4426H

Memberships :	Not Available

Collaborators :	Not Available

Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

100000	Equity Shares	Rs.10/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

96000	Equity Shares	Rs.10/- each	Rs.0.960 Million

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	0.960	0.960	0.960
(b) Reserves & Surplus	11.272	10.460	9.479
(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)	12.232	11.420	10.439

(3) Non-Current Liabilities
(a) long-term borrowings	5.243	7.586	5.830
(b) Deferred tax liabilities (Net)	0.167	0.128	0.071
(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)	5.410	7.714	5.901

(4) Current Liabilities
(a) Short term borrowings	4.397	6.545	5.582
(b) Trade payables	16.133	14.804	9.349
(c) Other current liabilities	1.520	1.831	3.152
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	22.050	23.180	18.083

TOTAL	39.692	42.314	34.423

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3.201	3.430	2.489
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	3.320	3.670	8.970
(c) Deferred tax assets (net)	0.000	0.000	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	6.521	7.100	11.459

(2) Current assets
(a) Current investments	0.010	0.010	0.010
(b) Inventories	8.033	7.593	5.665
(c) Trade receivables	14.845	14.075	9.745
(d) Cash and cash equivalents	0.728	0.644	0.651
(e) Short-term loans and advances	6.498	10.010	5.358
(f) Other current assets	3.057	2.882	1.535
Total Current Assets	33.171	35.214	22.964

TOTAL	39.692	42.314	34.423

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012

	TOTAL SALES	119.223	NA	NA

Less	EXPENSES	117.897	NA	NA

	PROFIT/ (LOSS) BEFORE TAX	1.326	1.155	0.632

Less	TAX	0.515	0.174	0.214

	PROFIT/ (LOSS) AFTER TAX	0.811	0.981	0.418

	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	9.479	9.479	9.061

	Balance Carried to the B/S	11.271	10.460	9.479

	Earnings / (Loss) Per Share (Rs.)	8.45	10.22	4.35

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.01	NA	NA

Return on Total Assets (PBT/Total Assets}	(%)	3.65	2.99	2.48

Return on Investment (ROI) (PBT/Networth)		0.11	0.10	0.06

Debt Equity Ratio (Total Debt /Networth)		0.79	1.24	1.09

Current Ratio (Current Asset/Current Liability)		1.50	1.52	1.27

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	0.960	0.960	0.960
Reserves & Surplus	9.479	10.460	11.272
Net worth	10.439	11.420	12.232

long-term borrowings	5.830	7.586	5.243
Short term borrowings	5.582	6.545	4.397
Total borrowings	11.412	14.131	9.640
Debt/Equity ratio	1.093	1.237	0.788

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 one 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

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
Long-term Borrowings
Loans From Directors
Jasbinder Kaur Saini	0.105	0.801
Jagjit Singh	0.435	0.612
Loans From Relative Of Directors
Ravitesh Kaloti	0.629	1.558
Total	1.169	2.971

FIXED ASSETS

Air Conditioner
Intercom and Telephone
Digital Camera
Invertor
Generator Set
Television
Car
Computer System
Furniture
Scooter
Refrigerator
Tata – 407
Water Filter
Vending Machine

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.62.25
UK Pound	1	Rs.95.57
Euro	1	Rs.71.01

INFORMATION DETAILS

Analysis Done by :	KAR

Report Prepared by :	RCH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	4
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	NO
--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.